Retailers Bet Big on TikTok, Instagram for Younger Generations
- 57% of US retailers are using social media ads to target Gen Z shoppers
- 40% of global retailers invest in influencer marketing for the holiday season
- 70% of businesses plan to use AI to compete with large e-commerce brands
- EMarketer predicts 42% of Gen Z will buy gifts via social media this year
- TikTok Shop expands its shopping capabilities in the US and UK
- Instagram also focuses on attracting younger customers with shopping features
As Gen Z turns to social media for holiday shopping, retailers are investing in digital marketing strategies such as social media ads, influencer marketing, and AI to stay competitive. EMarketer predicts that 42% of Gen Z shoppers will buy gifts through social media this year, with Instagram (57%) and TikTok (43%) being popular platforms. Brands like NYX Professional Makeup and L’Oréal Paris have partnered with TikTok Shop for discount days, while Instagram continues to add shopping features to attract younger customers. With inflation driving discounts and deals, 80% of businesses offer promotions.
Factuality Level: 8
Factuality Justification: The article provides accurate information about the trends in digital marketing strategies used by retailers to reach younger generations, including social media ads, influencer marketing, email marketing, improved product pages, and AI. It also mentions the popularity of social media platforms like Instagram and TikTok for holiday shopping among Gen Z. The article cites a report from EMarketer and Fiverr for its data and provides relevant statistics. However, it could have included more context on how inflation affects consumer behavior and retailer strategies beyond discounts.
Noise Level: 6
Noise Justification: The article provides relevant information about the increasing use of social media and digital marketing strategies by retailers to reach younger generations, particularly Gen Z. However, it contains some repetitive information and lacks in-depth analysis or actionable insights.
Financial Relevance: Yes
Financial Markets Impacted: The article discusses the impact of social media advertising, influencer marketing, AI usage, and e-commerce on retailers and brands targeting Gen Z shoppers during the holiday season.
Financial Rating Justification: The article is relevant to financial topics as it discusses strategies used by businesses to attract younger generations for holiday shopping and how they are investing in digital marketing and AI to stay competitive. It also mentions the increasing use of social media platforms like TikTok Shop and Instagram for e-commerce, which can impact companies’ sales and financial performance.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the text.
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