Gen Z interns on the changing nature of media and technology

At Kindred Media, we recognize that age is not much of a factor these days when it comes to who is doing innovative work. We have heard extraordinary business stories, with guests ranging from 20-something CEOs to retiring executives.

We wanted to hear from the next generation of leaders, which is why we invited LionTree’s 2019 class of interns to weigh in on the future of media and technology. Here is what we learned:

1. The music industry has gone DIY — and that’s a good thing.

Cody Jones, a junior in the Honours in Investment Management program at McGill University, joined us to discuss SoundCloud as a case study for a wider do-it-yourself (DIY) trend in the music industry. He explained how this product of the digital economy allows artists to circumvent the label system, reaching fans worldwide for free.

“To put in perspective the value and how big SoundCloud is, it was valued at a post-money valuation of $320 million roughly in its last financing round in 2017, and it has a 175 million global monthly users as of March 2019,” Cody said. To him, the power shift cannot be overstated. “This kind of speaks to how not just for corporate brands but also record labels specifically, a lot of these artists have turned heads, but it wasn’t the sort of thing where the artists were discovered maybe playing in a bar somewhere, but instead by seeing the power that they had to reach fans through the Internet.”

2. Sports betting is legal, but betters aren’t budging.

Abhisek Sahoo, a senior at UC Berkeley studying business administration, wanted to discuss the changing nature of sports betting. Last year, a federal law banning sports betting was overturned, which led a lot of people to believe that major changes to the industry would follow. “People thought that the NBA, the NFL would just automatically have partnerships with BetOnline, Bovado, all these different sports betting companies out there and really find a way to integrate between the people that watch the sports and the people that enjoy betting on them,” Abhisek said.

To the contrary, Abhisek noted that only about 4% of people who previously used unauthorized betting companies have not converted to authorized and legal companies. So how can the legal betting companies convert these audiences? To Abhisek, the key is digital optimization. “I really think this comes down to finding a way to implement the most frictionless experience for users and also investing heavily into things like fraud prevention and cybersecurity so that these companies can, at the end of the day, protect their bottom lines and keep betters happy,” he noted.

3. Gen Z is redefining branding through ethical consumption.

Victoria Boning, a junior studying finance and business economics and public policy at the University of Pennsylvania, spoke to us about generational shifts in technology. She cited a statistic that by 2025, technology will make up 24% of the GWP (gross world product). “It’s truly a fascinating industry with countless entrepreneurs pursuing the next big thing aimed at making our lives easier and better, but sometimes these trends in consumer tech products are hard to understand,” Victoria said. “They rely on a super technical computer science foundation. Then there are the generational gaps, which honestly, I think are quite natural, given the industry’s rapid evolution. I’m curious to understand how generational values influence consumption habits, and specifically how evolution and adoption in tech is influenced by these consumer differences.”

“To start off with, the Baby Boomer generation was characterized by excessive consumerism, think the era of Coca-Cola, Woodstock, the Beatles, TVs and cars,” Victoria continued with a characterization of each major generation. “Much is reflected by this generation’s somewhat idealist, collectivist, and patriotic values. Then came Gen X, and they consumed what’s known as status. Brands, luxury, and MTV. This is a result of their individualistic, materialistic, and entrepreneurial values. That was reflected by the time period they lived in. They lived through Watergate, the energy crisis, and shifting societal values. Then came along Gen Y, the millennial generation, which was known to consume experiences, think festivals and travels, given their globalist and questioning values in a digital age marred by terrorism.”

And Gen Z? Victoria cites her own generation as “digital natives” focused on ethical consumption and product personalization. “Out of the four generations I mentioned earlier, Gen Z individuals are most likely to spend more for a product if a brand promotes environmental, gender equality, LGBT, or racial justice initiatives. This ethical marketing can be achieved through influencers; individuals that represent the brand’s values.”

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To learn more from LionTree’s interns, check out the last two episodes of KindredCast (Parts 1 and 2), embedded below, and available on Apple Podcasts, Stitcher, or wherever you get your podcasts.

Part 1:

Part 2:

Please note that the information, statements, comments, opinions and views expressed in this episode belong to the interns themselves and do not necessarily reflect those of LionTree or its employees.