Word-of-mouth has long been a key driver of marketing success for small businesses. However, new research from GoDaddy reveals that younger consumers are increasingly turning to influencers instead of friends, family, and coworkers for recommendations.
A September 2024 GoDaddy survey of 1,000 U.S. consumers highlights that while Gen Z and Millennials are shifting away from traditional shopping behaviors, their preferences differ. About 41% of Gen Z consumers trust influencer recommendations more than ads from businesses, while 46% of Millennials lean toward trusting business ads over influencer posts.
When it comes to purchasing based on social media content, both groups show a clear preference for influencer recommendations, with Gen Z putting the most trust in influencers, while Millennials tend to follow businesses more closely. The order of influence is as follows:
- Gen Z: Influencer posts (57%), posts from businesses they follow (54%), feed ads (49%), friends' posts (40%).
- Millennials: Posts from businesses they follow (57%), feed ads (51%), friends' posts (48%), influencer posts (44%).
Alycia Leno, director of marketing at GoDaddy, notes that Gen Z's higher trust in social media ads over friends' recommendations represents a significant shift. "Understanding how each generation shops on social media is crucial for small businesses, as the right strategy and tools can enhance social media marketing efforts."
Despite their differing preferences, both Gen Z and Millennials still rely heavily on social media for product discovery. More than half of Gen Z (55%) and Millennials (47%) turn to social media regularly for new product ideas, with over half of them encountering ads that prompt action weekly. Around 30% of both groups find social media ads helpful for discovering new products or businesses.
These findings emphasize the importance of small businesses understanding their target audience to avoid wasting time and resources. By tailoring their strategies to the shopping habits of different generations, entrepreneurs can see quicker and more effective results.
GoDaddy’s Digital Marketing tools, including GoDaddy Airo™ and GoDaddy Studio, offer small businesses affordable, intuitive solutions for creating AI-driven content, scheduling posts, designing digital ads, and analyzing performance. These tools are designed to help businesses, regardless of size, attract new customers and boost sales.
Click here to know more about GoDaddy and its products.
A September 2024 GoDaddy survey of 1,000 U.S. consumers highlights that while Gen Z and Millennials are shifting away from traditional shopping behaviors, their preferences differ. About 41% of Gen Z consumers trust influencer recommendations more than ads from businesses, while 46% of Millennials lean toward trusting business ads over influencer posts.
When it comes to purchasing based on social media content, both groups show a clear preference for influencer recommendations, with Gen Z putting the most trust in influencers, while Millennials tend to follow businesses more closely. The order of influence is as follows:
- Gen Z: Influencer posts (57%), posts from businesses they follow (54%), feed ads (49%), friends' posts (40%).
- Millennials: Posts from businesses they follow (57%), feed ads (51%), friends' posts (48%), influencer posts (44%).
Alycia Leno, director of marketing at GoDaddy, notes that Gen Z's higher trust in social media ads over friends' recommendations represents a significant shift. "Understanding how each generation shops on social media is crucial for small businesses, as the right strategy and tools can enhance social media marketing efforts."
Despite their differing preferences, both Gen Z and Millennials still rely heavily on social media for product discovery. More than half of Gen Z (55%) and Millennials (47%) turn to social media regularly for new product ideas, with over half of them encountering ads that prompt action weekly. Around 30% of both groups find social media ads helpful for discovering new products or businesses.
These findings emphasize the importance of small businesses understanding their target audience to avoid wasting time and resources. By tailoring their strategies to the shopping habits of different generations, entrepreneurs can see quicker and more effective results.
GoDaddy’s Digital Marketing tools, including GoDaddy Airo™ and GoDaddy Studio, offer small businesses affordable, intuitive solutions for creating AI-driven content, scheduling posts, designing digital ads, and analyzing performance. These tools are designed to help businesses, regardless of size, attract new customers and boost sales.
Click here to know more about GoDaddy and its products.