Article · January 1, 2024

Preparing for the Alpha Generation

An entire generation of consumers are influencing purchase decisions, and most haven’t yet entered junior high. Meet the Alpha Generation.

Generation Z and Millennials get all the attention. Sure, they have a significant share of buying power—but an entire generation of new consumers are influencing purchase decisions, and most haven’t yet entered junior high. Born between 2010 and 2025, the oldest members of the Alpha Generation are now 12 years old.

Experts estimate this cohort will include approximately 2 billion people worldwide in 2025.Understanding what makes this generation tick will help brands cater to their buying preferences as we watch them grow up. How are brands preparing for Generation Alpha? Will today’s kids have similar tastes or preferences to their Millennial parents?

Here’s what you need to know about the upcoming cohort of customers, leaders, and influencers. Who is the Alpha GenerationGeneration Alpha comprises children born in or after 2010—the year Steve Jobs unveiled the first iPad. The oldest children in this generation are tweens.

Two and a half million Gen Alphas are born every week, according to demographer and social analyst Mark McCrindle. By 2025, their cohort will have more than 2 billion more ethnically and racially diverse members than their predecessors. They are more likely to earn a college degree and be technologically literate than previous generations.Ashley Fell, social researcher and co-author of Generation Alpha, says that COVID’s economic, social, educational, and psychological impacts will leave lasting marks on this young generation.

She also predicts they will value family more, admire “everyday superheroes,” and see work from home as a usual way of life. “They will be a more creative and resilient generation due to the challenges they experienced,” she says.The Pandemic-Technology CoefficientUnlike Gen Z, Gen Alpha has had more exposure to technology at an earlier age, thanks in part to the COVID-19 pandemic, which forced this generation to learn online and communicate with classmates through video calls and messaging apps.They’ve lived through their parents working from home while watching them tune into online classes. Furthermore, they were more likely to stay indoors and play video games rather than venture outside with their friends in the past two years than in years prior.

Indeed, this will have lasting effects on this generation that we will see play out as the Alpha Gen comes into its own. Purchase InfluencesParents are increasingly giving their children digital access to their wallets and online shopping carts. Whether for gaming, subscriptions, or even just to save time, the data shows an uptick in purchase habits from Gen Alpha.

One can only hope there are no surprise $1,000 purchases along the way.So while they don’t have access to their own money (yet), many kids are already making online purchase decisions—simply dropping items in their parents’ cart for approval/purchase or ordering on their own. This is a new type of buying power that prior generations could only dream of at that age.Kid InfluencersNow that toddlers on tablets are mainstream, it shouldn’t come as a surprise that Gen Alphas are huge fans of the tech and entertainment giants like YouTube, Netflix, and Apple. This generation looks up to the kids they see on YouTube, streaming platforms, and shows.Kid influencers have found a massive audience in Gen Alphas.

If you have a kid, chances are you have heard of the infamous YouTube channel Ryan’s World (formerly Ryan ToysReview). The channel is one of the Top 10 most-subscribed YouTube channels in the United States, with videos that have amassed more than 50 billion views. At age 10, Ryan Kai creates popular toy reviews, unboxing videos, day-in-the-life vlogs, and kid’s songs.

Known as the most famous 10-year-old globally, he has endorsed 1,600 licensed products, including Roblox and Skechers. Today’s children look up to other kids they see as leaders, entrepreneurs, innovators, and creators. Easy accessibility to information means kids are more likely to learn about young influencers and other kids making a difference.

For example, 19-year-old Swedish climate activist Greta Thunberg has challenged world leaders to take immediate action on climate change. Likewise, 10-year-old Hannah Grace built her own successful bath bomb business, BeYOUtiful.Social JusticeKids today are also more likely to be activists in the home than previous generations. They are aware of social issues surrounding climate change, sexual and gender identity, and racial discrimination.