Welcome to the future of business, where Generation Z, the tech-savvy and socially conscious generation, is (loudly) making its mark. As the first truly digital-native cohort, Gen Z is reshaping the way businesses operate and industries thrive.
While the technology sector, especially social media, is expected to thrive with the assimilation of Gen Z into the workforce, other industries will also be impacted by this generation. At Abode, we’ve examined the accounting, financial services, healthcare, manufacturing, CPG, government, oil & gas, education, and legal industries - exploring the impact of Gen Z and how these industries can better adapt to Gen Z’s wants, needs, and motivations.
Finding top Gen Z talent has been challenging, prompting HR professionals to reconsider their recruitment approaches, resources, and technologies. However, there are several industries that are successfully shifting to meet the needs of this new generation. Below, we unpack three different industries that will thrive, thanks to Generation Z.
Finance is the most desirable sector to work in among 18-25 year-olds, beating out entertainment and technology. 2023 has brought the highest number of rescinded job offers in the tech industry, a challenging and dire situation for eager college students. However, financial firms are capitalizing on the opportunity to poach candidates from tech - hiring engineers, developers, and data scientists to fill their talent gaps.
According to Rhodri Preece, Senior Head of Research at the CFA Institute, financial firms now face a significantly more competitive talent market compared to the mid-2010s, when they had the advantage of hiring graduates and interns from top colleges and universities. To stand out, financial firms have pivoted; they’ve increased visibility on college campuses by hosting more online job fairs and campus events, for one.
They’ve also taken note that Gen Z is drawn to careers with high-income potential: the financial services industry remains attractive due to its relatively high entry-level salaries. And, financial firms have a long-standing presence, providing a sense of stability and security compared to the start-up tech industry, where many companies didn’t exist even a decade ago. Finally, while Wall Street has also experienced layoffs and hiring freezes, the tech industry has been hit more than twice as hard. According to Bloomberg, tech giants like Amazon, Meta, and others, have collectively cut nearly 200,000 jobs since October 2022, more than double the number of job cuts experienced in the finance sector.
TL;DR: Financial firms have shifted to better meet the demands of Gen Z. Finance is a desirable sector for Gen Z due to the availability of jobs, perceived visibility and stability of the industry, and financial security those types of jobs can provide.
As the class of 2023 is stepping into the job market, they’re met with news of tech company layoffs, which have been expanding vigorously since late last year. The uncertainty of a looming recession adds to the confusion and anxiety in an economy that just recently offered a robust job market, making it especially challenging for young employees just beginning their careers.
Gen Z’s demand for stability has been well understood by the aerospace industry. Gen Z search interest for these types of organizations has increased over the past year: Raytheon’s search interest is up by 209% and Lockheed Martin is up by 92%, according to a Handshake report. Steve Schultz, Raytheon’s global head of talent acquisition, confirms that the company’s reputation for stability has proven to be a significant advantage in attracting new talent; revealing that approximately a quarter of the organization’s recent hires are from Generation Z.
The aerospace industry is also known for its cutting-edge technologies and innovations, another aspect that captures the attention of Gen Z. For one, the global space economy is projected to exceed $1 trillion by 2040. And, the aerospace sector, with its diverse sub-industries and substantial financial support, presents abundant opportunities for growth and innovation, two aspects that are also important to Generation Z when considering a career path.
“[The Class of 2023 is] prioritizing stability, and they’re quite turned off by the volatility they’ve seen the news around Big Tech. They’re gravitating toward companies that offer solid benefits, career pathing, and a level of stability.” - Christine Cruzvergara, Chief Education Strategy Officer, Handshake
Marketing & Advertising
SHRM data finds that working in Marketing and Advertising is a top-5 most coveted industry among Generation Z, just barely behind the Sales and Account Management sector. When we break it down, it’s no surprise: Gen Z’s exceptional social media skills and talent for trend creation and tracking have them on the precipice of revolutionizing the marketing and advertising landscape.
According to recent data, nearly half of Gen Z find a brand’s trustworthiness and transparency to be a significant motivator or engagement. For brands, then, it’s essential to avoid making social marketing solely focused on selling. Instead, prioritizing content creation that showcases the brand’s values and shares its story will help foster meaningful relationships with Gen Z audiences. And who better to lead the charge than Gen Z?
As organizations transition to online environments to stay in touch with cultural shifts, it’s evident that even the younger Gen Zers exhibit remarkable prowess in content creation, content marketing, and leveraging social media. Gen Z has an innate ability to effectively communicate through videos, texts, and photos, leaving the marketing and advertising industry striving to replicate its intuitive approach. Undoubtedly, Gen Z’s influencer marketing is here to stay, and they are already ahead of the curve in shaping the future of marketing and advertising.
Generation Z’s unique attributes and preferences are poised to propel certain industries to new heights. As we’ve explored the finance sector’s ability to adapt to Gen Z’s need for stability, the marketing and advertising industry’s embrace of influencer marketing, and the aerospace industry’s use of technology and futuristic aspirations, it becomes evident that these three areas are well-positioned to thrive in the era of Gen Z. With their tech fluency, authenticity-seeking behaviors, and passion for innovation and exploration, this generation is not only reshaping consumer trends but also reshaping the landscape of business.
For more insights like these, consider Abode. Abode helps early-career teams scale communication, task completion, and define role expectations, all while building community in a centralized place. To see how Abode can impact your Gen Z recruitment & retention efforts, explore our website or schedule a demo with our team today.