The Metaverse of Madhappy: How One Brand Built a Universe of Belonging for Gen Z

19 Apr

Gen Z Seeks Community and Belonging to Combat Loneliness

Gen Z craves community and a sense of belonging more than previous generations. According to research by Archrival, 54% of Gen Zs prefer brands that make them feel part of a community. This desire for connection stems largely from the loneliness and anxiety many Gen Z individuals face.

With mental health issues on the rise, young people increasingly seek out that feeling of being part of something bigger than themselves. They want to engage with brands in an authentic way that provides comfort, understanding, and human connection.

Building community is especially vital for Gen Z because it directly combats the isolation they feel. Brands have a real opportunity to make a difference by fostering welcoming, inclusive spaces where Gen Z feels valued. Going beyond transactions to create a universe of belonging is key to earning Gen Z loyalty.

Example of Madhappy

Headquartered in Los Angeles, Madhappy blends fashion and mental health advocacy to foster an authentic sense of community for its customers. The brand was founded by Peiman Raf, who envisioned a company that could make an impact beyond simple transactions.

Madhappy offers much more than just apparel and accessories. Through initiatives like the Madhappy Foundation, it provides mental health education and aims to de-stigmatize conversations around wellbeing. The brand hosts events at its physical spaces, like guided meditation sessions at its Madhappy Cafe.

By facilitating real-world gatherings and experiences, Madhappy strengthens connections between its customers. As Raf explains, "Our hope has always been to create a brand that goes deeper than something transactional and instead, makes people come together." The company's emphasis on mental health advocacy and in-person community building generates a sense of belonging that keeps Gen Z consumers engaged far beyond an initial purchase.

Example of Represent

The Manchester-based streetwear brand Represent emphasizes community building alongside selling products. Founded by brothers George and Michael Heaton, Represent understands the importance of storytelling and lifestyle in creating an authentic brand identity that resonates with Gen Z consumers.

Represent fosters community engagement through both physical and online touchpoints. The Rep Talks Facebook groups allow customers to connect and discuss the brand, while Rep Talk days are in-person events that give fans an inside look into Represent's future collections and direction. During these events, the most engaged customers are encouraged to provide feedback and feel a sense of ownership in the brand's evolution.

By facilitating these interactive experiences that go deeper than transactions, Represent is building a universe where Gen Z consumers feel valued, heard, and inspired beyond just purchasing products. The brand aims to continuously earn loyalty by keeping community at the core of its ethos.

Gen Z Expects Continuous Brand Loyalty

For Gen Z consumers, brand loyalty is not a one-time achievement; it's an ongoing process that requires consistent nurturing. Whereas previous generations may have formed lifelong allegiances to brands based on an initial positive experience, Gen Z takes a more fluid approach. Their loyalty must be earned continuously through relevant and meaningful touchpoints over time.

According to Ben Harms, Chief Growth Officer at Archrival, "Gen Zs are reinventing the very notion of brand loyalty." For them, it's less about pledging devotion to a brand and more about evaluating each interaction to determine if the relationship remains mutually beneficial. They expect brands not just to sell them products, but to understand their values and connect with them on an ongoing basis.

To achieve this continuous loyalty, brands must create immersive experiences that extend beyond the initial purchase. Transactional interactions are no longer enough. Gen Z consumers want to feel valued, understood and connected to the brands they engage with. This means brands must embed themselves within Gen Z's lifestyle and interests. Through consistent and creative brand touchpoints, marketers can transform every interaction into an opportunity to prove their brand's worth and strengthen loyalty.

Rather than taking Gen Z's business for granted, brands must continuously reinvent themselves to provide the sense of connection and community this generation craves. Satisfying their high expectations for relevant, authentic and meaningful brand relationships is the only way to earn Gen Z's continuous loyalty in the long run.

Brands Build Universes to Inspire and Engage

To earn Gen Z's loyalty, brands must build universes that make consumers feel valued, connected, and inspired beyond the initial purchase. Brands should aim to create immersive experiences that engage consumers throughout the entire customer journey.

For example, brands can foster connection and community by offering exclusive events and insider access for their most loyal customers. Pop-up shops, festivals, concerts, and other experiential activations allow brands to interact with consumers face-to-face. These events go beyond transactions by providing entertainment, connection, and a behind-the-scenes look into the brand.

Social media also presents opportunities for brands to engage with their audience daily. Creating content that educates, entertains, and inspires helps brands build an emotional connection with consumers. Brands that incorporate user-generated content make consumers feel valued as part of the brand community.

To inspire loyalty, brands must also focus on the post-purchase experience. Surprise-and-delight tactics like special packaging, handwritten notes, and exclusive merchandise help make customers feel special. Subscription services, early access to new products, and loyalty programs also incentivize repeat purchases while making consumers feel appreciated.

By building immersive universes, brands can earn Gen Z's trust and loyalty for the long term. The key is crafting experiences that engage consumers emotionally and make them feel connected to the brand beyond any individual product. Brands that successfully build communities inspire loyalty by making consumers feel valued participants in an evolving, engaging universe.

Authenticity Matters

For Gen Z, authenticity is paramount when it comes to brand loyalty and community building. Brands must be genuine in their efforts to foster connection. Superficial attempts often backfire, as this generation's radar for authenticity is highly tuned.

According to research by YouthLogic, 91% of Gen Zs say authenticity is important when deciding which brands they like and support. Brands must demonstrate their values through actions, not just hollow messaging. Any disingenuous community engagement or performative activism will be seen as inauthentic.

Brands should also highlight their unique narratives and founders' stories. By being transparent about origins and values, brands allow Gen Z consumers to connect at a more personal level.

Ultimately, brands must avoid community building as a checkbox and truly commit to fostering belonging. The connections and conversations must be real. As YouthLogic notes, "Gen Z can spot disingenuous marketing and engagement from a mile away."

Inclusivity is Key

Brands aiming to build loyalty with Gen Z must ensure their communities are inclusive and diverse. With its focus on equality, Gen Z expects to see diverse perspectives represented. Brands should showcase real customers from a wide range of backgrounds in their marketing and community engagement efforts.

Avoiding exclusionary brand communities is also vital. High price points, limited sizing, or narrow targeting can alienate Gen Z consumers seeking true belonging. Brands should ensure their products, messaging, and experiences appeal to a diverse customer base.

Initiatives like incorporating feedback from marginalized groups, featuring inclusive models, and participating in social causes can help brands build more welcoming communities. Above all, actions must be authentic. Gen Z's radar for disingenuity means brands must back up inclusive messaging with real commitment to diversity.

The key is fostering a sense of belonging for all. Brands that succeed with Gen Z incorporate diverse perspectives at all levels, from product design to community engagement. This focus on inclusivity helps them build loyal brand communities with strong emotional resonance.

Data privacy must be ensured

Gen Z highly values data privacy and control over their personal information, especially online. Having grown up surrounded by technology, Gen Z is very aware of the potential privacy risks when engaging with brands' online communities and platforms. Studies show that 60% of Gen Z don't trust companies to ethically use their data.

To gain Gen Z's trust and loyalty, brands must make data privacy a top priority. This means being transparent about how customer data is collected, used, and protected. Brands should clearly communicate their privacy policies and enable customers to control their data sharing preferences.

When building online communities and engagement platforms, brands should incorporate privacy protections and controls. Features like granular permissions, anonymous modes, and strong data encryption demonstrate a commitment to safeguarding customers' personal information. Respecting privacy will be key for brands to credibly build immersive digital universes tailored to Gen Z consumers.

Experiential Retail Builds Connection

Brands are increasingly turning to experiential retail to foster connection and creativity with Gen Z consumers. Pop-up shops, brand-sponsored events, and interactive spaces provide opportunities to engage customers in memorable ways.

According to a report by EventTrack, over 70% of Gen Z respondents said they're more likely to buy from a brand they've engaged with through a pop-up shop or brand-sponsored event. Temporary physical retail experiences pique interest and position brands as innovators.

Collaborations also enable creativity and community. Brands like Vans and Anti Social Social Club have partnered with artists and designers on limited-edition collections, fueling hype through exclusivity. Similarly, brands host design competitions and source product ideas from their most passionate fans.

Inviting customers to shape brand experiences satisfies Gen Z's craving for participation. As digital natives, Gen Z longs for IRL connection. Experiential retail provides the vibrant, shareable moments that build brand love.

In summary, Gen Z consumers crave more than transactions from the brands they support - they seek community, connection, and belonging. Brands that succeed with this generation understand the importance of building immersive universes that foster loyalty.

Key strategies include creating physical and digital communities, hosting engaging events, and facilitating continuous engagement post-purchase. Brands must build trust by ensuring transparency, inclusivity, authenticity and data privacy. Experiential retail also helps bring brands to life.

Ultimately, Gen Z is reinventing brand loyalty. Success requires brands to move beyond products and focus on building communities where consumers feel valued, connected and inspired. The brands that get this right will earn enduring loyalty from this powerful generation of consumers.

Olga de Villiers