Gen Z Buys the Vibe, Gen X Pays the Bill

Mar 28, 2025

Marketing expert Elizabeth Schmidt, with a background at Disney and Target, dives into the dynamics of Gen Z marketing and luxury retail. She discusses how brands like Zadig & Voltaire effectively target Gen Z while Gen X parents make the buys. The conversation highlights the revival of nostalgia in retail and the significance of storytelling in advertising. Schmidt also touches on the shifting landscape of luxury branding, emphasizing community and experiential value as key drivers of consumer engagement.

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Episode notes

Intro

00:00 • 2min

Reviving Nostalgia in Retail

01:36 • 7min

Shifts in Advertising Strategy Post-Pandemic

08:47 • 3min

Reviving Television Advertising

11:26 • 6min

Luxury Branding in a New Era

17:32 • 13min

Exploring AI, Design, and Cultural Connections

30:26 • 15min

The Power of Relationships in Industry and Community

44:56 • 2min

Live from the buzzing floor of ShopTalk Spring, Phillip, Brian, and marketing expert Elizabeth Schmidt unpack everything from nostalgic branding and Gen Z marketing to luxury retail and AI in education. We digest key themes we heard during ShopTalk in real-time and share a compelling look at how relationships and storytelling are driving the next chapter in retail.

You Can’t Optimize Your Way to A Myth

Key takeaways:

[02:30] CEO Richard Dixon emphasized Gap’s legacy as a canvas for American culture and its pivot toward digital-first experiences while embracing nostalgia.
[08:30] Kevin O'Leary argues that if you're spending $50K/month and not investing in TV (linear and streaming), you're missing out. His brands spend 40% of ad dollars there.
[18:00] Accenture outlined 7 dimensions of luxury today—adding experience, innovation, and social value to the classic trio of heritage, exclusivity, and craftsmanship.
[30:30] Zadig & Voltaire targets Gen Z—but it's Gen X parents doing the buying. Smart multi-generational strategy in play.
[15:20] Thoughtful, non-promotional SMS messages (like a GIF with no CTA) outperformed sales-driven texts in some cases—surprising and powerful.
[24:30] The LORE Activation – Future Commerce’s “Book of Lore” pop-up at ShopTalk captured personal brand confessions and created physical artifacts of digital culture.
"Gap is a canvas... a portfolio of American brands that shape culture." – Elizabeth quoting Richard Dixon
"Any brand spending $50K/month on ads not doing TV is doing it wrong." – Elizabeth quoting Kevin O'Leary
“Brighten your customers’ day—don’t just sell. Some of our best SMS responses came from a simple, feel-good GIF.” – Elizabeth
"40% of their customer base is Gen Z, but they're actually winning Gen X because the parents are the ones that are buying... To have a brand that can appeal to two completely separate demographics is incredible." – Elizabeth
“You have an always-on advertising channel that's just playing ambiently all the time… and that is extraordinarily powerful.” – Phillip
"Myths are made when relationships are formed... and this year, ShopTalk feels like a place where those stories begin." – Brian

In-Show Mentions:

@Art_lust on TikTok

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