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travel—and they
have money to spend.
Savvy marketers will
want to cater to this
crowd. Here’s how.
MEET GEN Z:
THE TRAVELING
GENERATION
Sponsor Content
MEET GEN Z: THE
TRAVELING GENERATION
2 Ad Age May 2018
Meet Gen Z: the Traveling Generation
Africa
South America Antarctica
0.5%
4.4% Asia
Oceania 8.2%
(Australia,
New Zealand
and 14.2%
surrounding 15.3%
islands)
19.8%
37.6%
North America
Europe
3 Ad Age May 2018
Meet Gen Z: the Traveling Generation
Don’t underestimate the spending power of That makes sense when you look at where
Gen Z. As noted above, Gen Zers control an these students are traveling. Overall, 43 per-
estimated $143 billion in spending power on cent said their last journey was a domestic trip,
their own—and that’s just for the U.S., a mar- while 53 percent traveled internationally. U.S.
ket of which they’re expected to constitute 40 students were more likely to travel domesti-
percent in the next two years. cally, at 63 percent, while international travel
And while many Zers may be college stu- dominated with U.K. students (66 percent),
dents, that doesn’t mean they don’t have money Australian students (59 percent) and New
to spend, especially when it comes to travel. Of Zealand students (59 percent).
all survey respondents, 62 percent say they work There are, of course, minor regional
and save to finance their travel, with only 18 differences. For U.S. students, the traditional
percent relying on their parents to pay for their American road trip still holds its age-old mys-
trips. Additionally, 69 percent describe their tique, whereas for U.K. students it’s easy to hop
travel style as “affordable with the occasional on a train or shuttle jet and head for neigh-
splurge.” Given the emphasis they place on boring countries. For Australians and New
experiential travel, Gen Z will pay a premium for Zealanders, the closest countries to visit are
something they can check off their bucket list. at least a seven-hour flight away, which boosts
What does that mean in terms of spending? the cost of just getting to a destination (though
According to the UNiDAYS survey, 44 percent that doesn’t seem to be stopping them).
of U.S. students spent an average of around The Takeaway: Today’s students aren’t
$250 to $750 for a typical vacation. Students afraid to spend on travel. In fact, when given the
from Australia and New Zealand were the right opportunity, they’re willing to splurge on
biggest spenders, with 51 percent spending it (so long as they feel that what they’re paying
AU $1,000 or more and 40 percent of New is worth the experience). As a brand, make sure
Zealanders spending NZ $1,000 or more. Gen Zers are among your key audiences. It’s also
25
20
15
10
0
U.S. (US$) U.K. (£) AU (AU$) NZ (NZ$)
Source: UNiDAYS 2018 Travel Survey, all respondents.
4 Ad Age May 2018
Meet Gen Z: the Traveling Generation
imperative that you provide them with different What discounts would motivate you to travel?
Hotels, airfare and package deals top the list.
opportunities (whether cost-effective, luxurious
or a little of both) that can meet their expecta-
tions without taking their bank accounts for a
rough ride.
5 Ad Age May 2018
Meet Gen Z: the Traveling Generation
said they’d opt for a city trip, 22 percent would 58 percent of Gen Zers
choose an outdoor adventure and roughly
11 percent said they’d prefer a luxury resort said they prefer to stay
getaway. Surprisingly, 58 percent of Gen Zers at hotels over Airbnb and
surveyed also expressed that they prefer to stay
at hotels over Airbnb and vacation rentals. vacation rentals.
Another thing that may come as a surprise:
In the UNiDAYS survey, the No. 1 activity Gen
Zers said they want to do when traveling is eat
out. That was followed closely by sightseeing
and visiting museums and outdoor adven- for the Eiffel Towers, Metropolitan Museums
tures. As for partying? It came in at a distant and Yosemite National Parks of the world can
sixth place. Again, don’t assume anything have a big effect in drawing students to tours
with this group. and other sightseeing opportunities.
The Takeaway: Gen Zers are more sophis-
ticated than you’d expect. There’s a strong 5. Let Gen Zers do the marketing for you.
demographic-wide demand for cultural experi- Gen Zers surveyed tend to view cultural
ences abroad, and the travel industry can meet experiences and travel adventures as things
that need. For marketers that promote restau- that define their lives over the long run. So
rants and cafés, museums and other sight- it shouldn’t come as a surprise that Gen Zers
seeing spots, this opens up a whole new set of aren’t merely frequent fliers when it comes
possibilities in reaching student groups with to vacation—they’re frequent posters, shar-
money to spend—especially when factoring in ers and tweeters on social media as well.
Gen Z’s influence over their families’ budgets. Broadcasting their travels on Instagram and
Offering student discounts and package deals similar networks not only reaffirms their own
15
10
0
Eat out Sightsee Outdoor Just walk Tours and Party Unwind with Volunteer
and visit adventures and take excursions a book or my
museums it all in phone where
Source: UNiDAYS 2018 Travel Survey, answers multiselected , all respondents.
I can relax
6 Ad Age May 2018
Meet Gen Z: the Traveling Generation
88 percent
of students
post during
their
vacation
week — and
72 percent
tag their
location.
sense of self, it also lets them build their own the 88 percent of students posting during their
personal brands and become micro-influencers vacation week—and the 72 percent tagging
among their peers. their friends on these locations—want to share
According to the UNiDAYS survey, around your business. Once your business is shared
22 percent of respondents said they post on among friends and family, it naturally attracts
social media every day while on vacation, and their interest. In other words: Set up an environ-
53 percent post at least once or twice over the ment that encourages social interaction—and
course of a week. This, in turn, influences their watch your Gen Z traffic pick up.
friends and family, with 20 percent of Gen Zers
saying social media inspires them to travel and Conclusion
25 percent saying their travel choices were In the final analysis, Gen Z is a generation that
inspired by friends and family. seeks out new adventures and experiences—
Social media opens up new opportunities and has the right amount of spending power to
for marketers to make their brands part of make things happen. Brands that can engage
the conversation with the college-age crowd. and create an affinity with this group will reap
Hotels can have Instagram accounts that not the benefits for years to come as these consum-
only showcase the eye-catching novelty of ers age and their income grows.
their rooms, suites, restaurants and swimming At the same time, reaching Gen Z is not a
pools, but also show Gen Z collegians having a one-size-fits-all proposition. Brands have to be
great time in those spaces. The more Gen Zers adaptable. They need to find ways of generat-
see other Gen Zers enjoying particular hotel ing meaningful value and savings that go well
chains or cultural destinations, the more likely beyond what’s currently being offered to Gen Z
they’re going to want to enjoy them too. travelers—in hopes of creating long-term loyalty.
The Takeaway: Make sure your destination And they need to insert themselves into
is perceived as singular and unique by using the conversation. This might not be easy, since
landmark pins and corresponding photos. It it requires stretching and expanding current
may be an unusual set-up in a hotel lobby or a marketing practices, but it does promise huge
distinctive environment in a coffee shop; that’s rewards for marketers that make the bold leap
up to you. The point is, you need to make sure forward.
7 Ad Age May 2018
Ad Age Custom Studio About UNiDAYS
The Ad Age Custom Studio helps our UNiDAYS is the world’s leading Student
clients connect with an audience Affinity Network. We connect brands
actively seeking innovative companies, to more than 10 million Gen Z college
products and partners. Through custom students around the world, giving them
articles, research, events, webcasts, the power to make every experience
videos, site pages, white papers and more valuable and rewarding. Our
more, our end-to-end solutions deliver award-winning marketing platform
content that resonates. provides student verification
technology and integrated marketing
Staff: solutions to some of the world’s most
Writer: Karen Egolf recognizable brands, including Apple,
Senior Art Director: Jennifer Chiu Adidas and Samsung. Founded in
Copy Editor: Barbara Knoll 2011 by CEO Josh Rathour, UNiDAYS
has offices in London, New York and
Contact us: Sydney, and is headquartered in
Jackie Ramsey Nottingham, UK.
General Manager, Revenue and
Client Partnerships For more information, visit
jramsey@adage.com www.myunidays.com/genz.