Edition #25: How Telcos Can Leverage Social Responsibility to Appeal to Gen Z & Alpha

Meet your future customers: the tech-savvy and socially conscious Generation Z and Alpha who’ve started a seismic shift in consumer behaviour. Our youngest humans hold companies to ethical standards that would make even the most hardened executives tremble.

The numbers don’t lie: 53% of Gen Z back brands that care about mental health, while 47% are rallying for environmental sustainability and racial and gender equality. What about Gen Alpha? They're taking it further — 61% believe helping others is the only thing that matters.

Telcos, take note: your future customers insist that the heart of humanity must remain front and centre in all business activities. You have a unique opportunity to captivate the discerning hearts of Gen Z and Alpha through initiatives steeped in meaningful social responsibility!

In this edition of Telco Talk, we’ll explore the tactics that retailers and telcos are using to appeal to the newest generations of customers.

💡 Understanding Gen Z and Alpha

Gen Z, born between the mid-1990s and early 2010s, and Generation Alpha, born from the early 2010s onward, share several defining traits:

📱 Delight in digital: Born into a world ruled by smartphones and social media, both Gen Z and Alpha are digital natives who never knew life without instant access to information — and they are not shy about using it. They expect seamless digital experiences and quickly adopt new technologies.

🌟 Authenticity is their north star: Virtue signaling and flashy ads won’t cut it; young consumers support brands that back their commitment to social causes through real, impactful actions. Both generations prefer brands that are genuine and transparent about their values and practices, but Gen Alpha will give you brownie points for immersive digital experiences as well.

🕊️ Humanitarian at heart: Gen Z and Alpha navigate the world with a unique sensibility - ever attuned to the social, environmental, and political issues that develop around them. They wish to see more generosity and justice in the world, and they are not afraid of challenging the status quo in ways that resonate deeply with their values.

🤑 Growing spending power: By 2030, Gen Z’s spending power is expected to grow to $12 Trillion. In the US and Europe, they’re already spending 25% more than Millennials. Gen Alpha might be tiny, but their spending power is apparent. First, they have a considerable impact on their parents’ purchasing decisions, and they also manage money they received as allowances or gifts from a young age.

🌍 The Role of Social Responsibility in Brand Perception 🧠

Gen Z and Alpha are the sharp-eyed critics of the corporate world. Tokenism won’t take you far: these young humans want to see real social impact!

Think of initiatives that yield concrete results: reducing waste, enhancing access to technology in underserved communities, championing social justice movements, etc. In a world full of empty promises, companies that deliver real results will win the day — and perhaps even a little admiration.

Creativity can go a long way in enhancing your brand perception through social impact initiatives. Let’s review two brilliant examples of brands who have garnered the attention and affection of Gen Z and Alpha by getting creative with their social responsibility.

🔷 Samsung Singapore’s #FurTheWinSG: A Fun Twist on Upcycling

Have you checked out Samsung Singapore’s #FurTheWinSG campaign? They’ve turned the mundane task of upcycling into a delightful challenge, inviting eco-conscious folks to repurpose their cardboard packaging into adorable pet houses. But it’s not just about crafting; they’ve also mastered social media. By encouraging participants to share their creations, Samsung harnesses the power of user-generated content, creating an undeniable buzz around sustainability.

And let’s talk about incentives! The grand prize — a stunning 65” Frame QLED 4K Smart TV worth a jaw-dropping $4,599 SGD, plus customizable bezels, definitely grabs attention!

🤝 What we can learn from Samsung:

Samsung’s approach is a powerful reminder that when brands authentically and creatively connect with their audience, they can foster genuine relationships, especially with younger consumers. In a world that often feels too serious, they’ve proven that a sprinkle of fun and a commitment to social responsibility can make a lasting impact!

🔷 Ben & Jerry’s: Where Ice Cream Meets Social Change

Ben & Jerry’s knows how to blend creativity with a social conscience in every scoop! Their crafty flavor, ‘Justice ReMix’d’, was launched in partnership with The Advancement Project National Office, a civil rights organization fighting for racial justice. Co-Founder Ben Cohen nailed it when he said they aim to amplify grassroots efforts by leveraging every resource they have — business voice, fan connections, Scoop Shop community, and yes, plenty of ice cream. After all, who can resist discussing tough topics over a scoop or two?

But they’re not stopping there! Flavors like ‘Save Our Swirled’ raise awareness about climate change, while ‘I Dough I Dough’ celebrates the legalization of gay marriage. Each flavor isn’t just a sweet treat; it’s a conversation starter, inviting everyone to engage with important issues in a deliciously approachable way.

🤝 What we can learn from Ben & Jerry’s:

Ben & Jerry’s teaches us that businesses can be more than just profit-hungry entities; they can be champions of social change. By combining their resources with a dash of creativity, brands can tackle pressing issues and forge authentic connections with their audience. It’s proof that when companies stand for something, they can make a real difference—and win hearts in the process.

🎯 Do Telcos Meet The Challenge?

Consumer brands aren’t the only ones making waves in collective social responsibility. Telcos are also waking up to the influence they hold. Here are three great examples:

🔶 T-Mobile’s Project 10Million: Bridging the Homework Gap

T-Mobile gets it: low-income students deserve internet access just like everyone else. They’re offering free internet to close the homework gap and ensure kids from grades K-12 can join the digital classroom. And let’s not overlook their campaign videos featuring sign language, proof that they genuinely care about inclusivity.

Education and equal opportunities are critical concerns for younger generations. T-Mobile’s commitment to providing internet access to all students, regardless of their socioeconomic background, strikes a powerful chord. This initiative not only demonstrates a tangible impact on society, but also earns the respect of young consumers who admire brands that tackle social inequalities head-on.

🔶 Telefónica’s Eco Smart Label: Pioneering Green Solutions for a Sustainable Future

Telefónica is shaking up the sustainability game with its Eco Smart label, which highlights services that meet tough environmental criteria like energy efficiency, waste reduction, and the use of renewable resources. For instance, their fiber-optic internet connections use significantly less energy than traditional copper networks. Companies utilizing Telefónica’s Eco Smart cloud services can slash their carbon footprint by hosting data on energy-efficient servers powered by renewables.

But that’s not all — Telefónica also encourages customers to return old smartphones and devices for responsible recycling or reuse, tackling electronic waste head-on. The Eco Smart label is proudly displayed on products powered by renewable energy, showcasing Telefónica’s commitment to sourcing 100% renewable electricity in its main markets. This initiative not only highlights their dedication to sustainability but also empowers consumers to make greener choices.

🔶 SingTel’s Digital Thumbprint Programme: Protecting Young Digital Natives

As kids and teens dive deeper into the digital world, they face growing risks like gaming addiction, cyberbullying, and inappropriate content. Enter SingTel’s Digital Thumbprint Programme, designed to equip young people with essential skills in online safety, critical thinking, and responsible social media use. This initiative hits home with Gen Z and Alpha, who spend significant time online and are increasingly focused on digital wellness and mental health. SingTel is stepping up to ensure the next generation navigates the digital landscape safely and smartly.

🌱3 Ideas To Help Telcos Get Started 🔍

Now that you recognize the power of social awareness in business and its significance to young customers, the question is: how can you get involved? The essence of being socially aware is to do it thoughtfully. For telcos contemplating social initiatives, begin with manageable projects and grow into larger efforts that resonate with your clientele.

Here are three practical steps telcos can take to infuse social impact into their operations:

🌳 Ditch the Paper: A Smart Move for Sustainability and Youth Engagement

Want an easy and cost-effective way to boost sustainability? Go paperless! Just think about how much paper your stores are using. If the average telco stopped printing contracts for a year, they could save enough water to fill ten swimming pools! Curious about your paper impact? Take our quick quiz to find out. Many telcos have cut their paper related costs by 85% by going paperless.

But that’s not all—paperless processes also create smooth omnichannel experiences, enhance security, and offer valuable contract analytics. These perks are a surefire way to appeal to the tech-savvy, socially conscious Gen Z and Alpha. So, ditch the paper and connect with the future!

🛠️ In-Store Repairs: Enhancing Sustainability and Customer Trust

What’s worse than a broken phone? Not much, right? Enter in-store device repairs — your smart solution for today’s tech-savvy consumers! Younger generations crave instant gratification, so the appeal of quick screen and battery fixes within hours is hard to resist.

By offering repair services, telcos can extend the lifespan of devices and cut down on electronic waste. This isn’t just about fixing gadgets; it shows a commitment to customer support that goes beyond selling new phones. Plus, it provides real value for budget-conscious consumers.

In-store repairs also minimize reverse-logistics transportation related waste and enhances your brand’s commitment to sustainability. In a world where consumers expect businesses to tackle environmental and social issues, offering repair services positions telcos as socially responsible champions. It’s a win-win!

📦 Shipping Smarter: Boosting Brand Image Through Responsible Practices

Are your shipping practices sustainable? It’s time to evaluate! A few small changes can make a big difference to your environmental footprint. Here are a few ways to make your supply chain greener.

The success of telco retail is built on shipping goods from A to B. This includes inbound parcels from suppliers and manufacturers, as well as outbound shipments to retail stores and consumers. That’s a lot of kilometres traveled! Did you know that long-haul air freight generates 47 times more greenhouse gas emissions than ocean freight per ton-mile? Small changes to how you ship can have a significant impact on the environment.

Optimizing your last-mile deliveries can make a real difference too. Invest in route optimization solutions to guide delivery drivers along the most efficient paths and help them avoid traffic accidents in real-time. What seems like a small action has a big impact on reducing fuel usage and speeding delivery times. And don’t forget about checking customer availability — sending a simple text before the package is enroute can ensure a successful delivery the first time, saving repeat trips and their associated emissions.

Let’s not forget about packaging: it’s a necessary part of the supply chain with a massive sustainability impact. We can debate the merits of virgin packaging materials vs recycled ones, but do you know what’s even better? Reusing packaging from items that have already been received. Free and planet-friendly? What’s not to like!

There are lots of small ways you can make your warehouse operations more environmentally friendly - check out our edition on the Sustainable Supply Chain for more tips.

👋 Wrap Up

Telcos, Gen Z and Alpha are watching you — and they expect you to be more than just a service provider. By championing social responsibility and taking bold action, you can gain the trust of young people in shaping a future that is as connected by good values as it is by technology and wires. Take your first step forward now because tomorrow’s customers are already here!

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