The arrival of generative artificial intelligence (Generative AI) has revolutionized the world of marketing and advertising, allowing brands to design hyper-personalized campaigns in real time. However, it’s not just about technology: to win over Generation Z and Millennials, brands must understand what these audiences expect and how personalization directly impacts their consumption habits.
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The report “Marketing Personalization Worldwide” by Statista reveals compelling data: younger generations spend more when they feel a brand speaks directly to them, with messages that reflect their interests, values, and lifestyles.
What do Generation Z and Millennials expect from AI-generated advertising?
Gen Z and Millennials not only expect personalization in advertising, they demand it. The Statista report reveals that:
- 48% of young consumers prioritize ads with high-quality visuals, generated with AI.
- Fun, authentic content that reflects their personal interests has a greater impact on their purchase decisions.
- They prefer brands that use AI creatively, without losing the human essence in communication.
Ads that use Generative AI to create immersive experiences—such as interactive videos, personalized memes, or augmented reality filters—are the ones that connect best with these audiences.
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Which AI-generated advertising formats are most effective for Centennials and Millennials?
According to Statista, brands that use Generative AI in these formats achieve greater engagement:
- Personalized short videos (TikTok, Reels, Shorts)
- Interactive content on social media (polls, challenges, memes)
- Virtual shopping experiences (try-ons, product simulators)
- Real-time dynamic advertising (interest- and behavior-based targeting).
What these generations value is not just the technology, but that brands show creativity, spontaneity, and authenticity. AI-generated campaigns that seem generic or lack a clear purpose are quickly ignored.
How does personalization impact Gen Z and Millennials’ spending?
The impact of personalization on spending is direct and powerful. According to Statista:
- 65% of Generation Z increases their spending when the experience is personalized to their interests.
- For Millennials, 62% report spending more when they feel the brand understands their preferences.
On the other hand, if they don’t perceive personalization:
- 40% of consumers look for alternatives in other brands.
- 30% abandon the purchase and switch providers.
- 28% leave their shopping carts unfinished.
This demonstrates that the lack of personalization not only affects immediate conversion but also long-term loyalty.
Why is personalization decisive in purchase decisions?
New generations are tired of generic advertising. They expect brands to:
- Understand their values and lifestyles.
- Offer relevant recommendations in real time.
- Provide unique digital experiences that feel tailor-made.
Generation Z seeks authenticity, while Millennials prioritize convenience. Personalization provides both: content that represents them and a faster, more efficient purchase process.
How should brands use Generative AI to maximize Gen Z and Millennials’ spending?
The most effective strategies include:
- Integrating AI to personalize every touchpoint (from first impression to post-sale service).
- Using intelligent chatbots that remember preferences and consumption habits.
- Creating AI-generated content that is participatory and socially relevant.
- Constantly measuring digital behavior to adjust messages and offers in real time.
Brands that strike a balance between technological automation and emotional connection will be the ones to increase the average spending of these generations.
AI-powered personalization is the path to winning over Gen Z and Millennials’ wallets
Generative AI is not just a technological trend, it is the key tool for delivering the personalization that Generation Z and Millennials demand. Beyond automation, these generations seek authenticity, relevance, and tailor-made experiences.
Brands that understand this new paradigm and apply it with creativity and purpose will not only capture these audiences’ attention but also increase their spending and long-term loyalty.
