The younger generation is moving away from dating apps, mindless consumerism, and an obsession with work and career. This trend highlights the generational gap between Gen Zers and Millennials. We touched base with Stan Cos, the founder of the YouMatch dating app, to get his insights on why Millennials and earlier generations need to rethink their business strategies to earn Gen Z’s trust.
Rethinking Romance: How Dating Apps Can Win Back Gen Z
Since 2021, Match Group (Tinder, Hinge, OkCupid) and Bumble, which dominate the dating app market, have lost over $40 billion in market value. The younger generation is ditching dating apps and is turning to platforms like Snapchat and TikTok and offline dating events to connect and look for romantic partners.
This shift highlights a generational clash between the values of the two generations. Millennials (who created the biggest dating app market players) embraced the platforms for their convenience and the opportunity to connect with a broader social circle digitally. It turns out to be especially valuable as Millenials seem to live in a state of constant lack of time, striving for more money to make, bigger promotion to get and a higher ceiling to crash.
For Gen Z, “hustle culture” is being replaced with work-life balance and self-care. The younger generation prioritizes rest, mental health, mindfulness, and self-expression. In dating, they seek authenticity and meaningful connections and are ready to spend more time and effort in their search for the right person.
Mainstream apps with their superficial approach to dating and appearances orientated interface are too shallow for Gen Zers. Youngsters call major platforms “barren wasteland” and say that they’re flooded by “bots, scammers, and psychos.” According to therapists, young users experience burnout from the constant swiping and superficial interactions, leading to disillusionment with the digital dating process.
The dating apps of the future have to be different, deeper, and more authentic — both on the level of interface and matching algorithms and on the level of values they share and promote. They should offer experiences that are as similar to real-life interactions as possible. The platforms need to incorporate features that facilitate genuine connections and reduce user burnout. This might include enhancing user experiences to promote authenticity, self-care, and self-awareness, as well as creating marketing campaigns that highlight successful, harmonious relationships formed through the apps.
Managing Gen Z: The Corporate Challenge Millennials Didn’t Expect
In the corporate world, a similar divide between Millenials and Gen Zers is also evident. When sharing their experience of working with Gen Zers, Millennial managers confess that managing youngsters may be challenging and frustrating as they don’t want to overexert themselves, and they are very chill about running behind schedule.
Compared to Millenials, Gen Z appears to be simply less focused on the future and more on living enjoyable lives now. They care less about the amount of their pension or the number of rooms in their apartment and more about meeting people they’re happy to spend time with. This is why social discovery platforms are on the rise.
Salary is usually considered the most important factor in deciding on a job — but not for Gen Zers. They value salary less than every other generation: If given the choice of accepting a better-paying but boring job versus work that was more interesting but didn’t pay as well, Gen Z was fairly evenly split over the choice. The younger generation values the mission behind the company they work for, diversity and inclusion, and the ability to make an impact.
Gen Zers’ relationships with money highlight one more problem with the biggest dating apps on the market. These platforms are no longer cool to the younger generation because they’re very well aware that these companies are solely focused on keeping people on the app as long as possible and making money rather than building a good user experience or helping them find love.
Understanding Gen Z’s attitude toward work is crucial for companies that seek to attract clients and users from the younger generation. Gen Z prioritizes meaningful experiences, individuality and personal approach over traditional metrics like money. This shift demands that businesses focus on creating inclusive, mission-driven environments that resonate with Gen Z’s values to make their product more attractive in Gen Zers eyes.
The mainstream apps have too many features hidden behind paywalls, which annoys the younger generation. At the same time, the dating giants’ strategy to keep people on the app relies mostly on the FOMO effect and users’ growing addiction to the platform. Overall, this approach is completely unsuitable for the younger generation, who excel in critical thinking, are very conscious of money, and search for something authentic.
The dating apps of the future have to find other ways to make money while offering a great user experience and allowing people to enjoy all (or almost all) the features for free. The platforms should charge money for the cutting-edge technology and algorithms and for the development of matching mechanisms that will offer users a deep, personalized experience of genuine connection with someone instead of thousands of useless swipes and chats.
How Brands Evolve to Meet New Consumer Expectations
Today, firms need to rethink the way they engage with the younger generation as they differ from Millenials when buying and consuming. “Zoomers” are generally more financially pragmatic than millennials, and they tend to be more risk averse. They value personal expression and place high importance on brand ethics and corporate responsibility. Instead of being loyal to specific brands, Gen Zers are ready to shop around for the best deal.
This change is most obvious in the luxury goods sphere. Gen Z is already responsible for 20% of all luxury sales globally. By 2025, Millennials and Gen Z are projected to contribute 70% of all luxury spending. Thus, even the main leaders of the luxury market have to adapt to the needs and preferences of younger people to survive and flourish.
One of the main challenges for the luxury industry is that Gen Z has a value system that is strikingly different from previous generations. To attract “Zoomers,” luxury brands are rapidly having to move beyond the traditional notions of luxury — such as status, legacy, prestige, and heritage — towards a new set of values: inclusivity, sustainability, transparency, data ethics, technology, and circular innovation.
Unlike Millennials, Gen Z is more affected by social media influencers in terms of their shopping behavior. The research shows that among 1,000 U.S. consumers in 2023, 21% of respondents said they would be influenced to buy a recommended product served to them on social media. Among Gen Zers, the percentage rose to 36%. Moreover, 34% have been influenced to try a product “digitally advertised to me” at the shelf edge in-store, which rose to 50% of Gen Z.
Key Tips for Dating and Social Discovery Platforms to Earning Gen Z Brand Loyalty
Embrace Technological Innovation. Gen Z values innovation and expects unique, tailored experiences in modern dating and social discovery apps. Consider using AI to analyze data and provide personalized recommendations and services that are crucial to attracting Gen Zers. Bumble founder Whitney Wolfe Herd believes the future of the dating industry will be deeply intertwined with AI.
Prioritize Transparency and Data Ethics. Ensure robust data governance, offer privacy controls, and maintain open communication about data usage. This builds trust with Gen Z, who value privacy and ethical data practices. A recent study shows that youngsters are more cautious about their data but willing to share it if incentivized. Companies that prioritize privacy-first tactics with transparency and control options will be better positioned to win over this demographic.
Highlight Inclusivity and Diversity. Reflect a wide range of perspectives in your marketing and corporate practices. Make your platform a discrimination-free and welcoming place for different people. Consider adding features protecting users from hate speech and any forms of disrespectful communication. Gen Z supports products committed to inclusivity, tolerance, and diversity.
Leverage Social Media Influencers. Collaborate with social media influencers to reach Gen Z consumers. As noted, this generation is significantly influenced by online personalities, so strategic partnerships can boost brand visibility and credibility among young audiences.
Greg Grzesiak is an Entrepreneur-In-Residence and Columnist at Grit Daily. As CEO of Grzesiak Growth LLC, Greg dedicates his time to helping CEOs influencers and entrepreneurs make the appearances that will grow their following in their reach globally. Over the years he has built strong partnerships with high profile educators and influencers in Youtube and traditional finance space. Greg is a University of Florida graduate with years of experience in marketing and journalism.
