The NextGen’s CXpectations - the new rules of Customer Experience for Gen Z & Gen Alpha

For Gen Z and Gen Alpha, good is no longer good enough. These digital natives have grown up in a world where experiences are instant, intuitive, and designed around them. But the next generation of consumers doesn’t just want things to work, they want them to feel right.

Their expectations for customer experience, or CXpectations, are rewriting the rulebook for brands. Speed, personalization, and tech still matter, but what really earns their loyalty today is empathy, authenticity, and the sense that a brand gets them.

1. Hyper-personalization drives loyalty

Gen Z and Gen Alpha have been raised on personalization. Their playlists, social media feeds, and streaming or shopping recommendations have always been tailored to who they are, or at least who the algorithm thinks they are.

That’s why broad targeting now feels out of sync. They expect brands to speak their language, remember preferences, and adapt in real time. But more than that, they expect brands to see them as people, not profiles.

It’s not about more data; it’s about more meaning. Think of it as the difference between saying “We noticed you bought this” and “We understand why you might love this.”

Smart brands combine insight and empathy, turning personalization into emotional relevance.

Take Ulta Beauty’s AI-powered GlamLab, for example: it lets customers virtually try on makeup and hairstyles through augmented reality. Beyond the fun, it feeds learning back into Ulta’s systems, helping tailor future recommendations. GlamLab now drives half of Ulta’s online sales, and users have a 95% repurchase rate, proof that when personalization feels meaningful, it builds loyalty.

Participation is part of that too. From Nike’s customisable sneakers to Spotify’s Wrapped, younger consumers for whom creativity quickly became a social currency do love co-creation. Brands that open the experience up, letting people shape, remix, or respond, make them feel seen, not sold to.

2. Immersive and seamless “phygital” experiences

This generation lives across worlds, physical, digital, and everything in between. They don’t distinguish between them; they just expect it all to flow naturally.

Whether that’s browsing a brand on TikTok, testing products through AR, or picking up in-store after an online order, seamlessness is non-negotiable. But what sets the best experiences apart isn’t just convenience, it’s again…creativity.

According to Alter agents research 92% of Gen Z shoppers is interested in AR experiences in-store. To launch its Fleur perfume, Glossier has created an AI-powered retail installation observing visitors’ expressions and postures to generate personalized poetry. Nike’s “Nikeland” on Roblox, for instance, lets players train and compete in virtual sports while dressed in digital Nike gear, a playful extension of brand culture that has drawn over 26 million visits. A snapchat AR lens linked Nike’s digital Roblox presence to in-store physical activity games like The Floor is Lava. Similarly, Bershka’s AR mirrors outside its Madrid flagship store turned window-shopping into an interactive experience, with more than 10,000 try-ons in a single weekend.

These examples show that immersion isn’t about chasing the latest tech trend; it’s about creating phygital relevant moments that feel alive, shareable, and true to the brand’s world.

3. Instant service with a human touch

Raised on instant gratification, Gen Z expects everything to work now. They love automation, as long as it actually helps. But when technology feels cold or confusing, their patience evaporates.

They’ll happily chat with a bot, but they also expect a quick route to a real human when things get tricky. The best brands have learned to balance both: using AI for efficiency and humans for empathy.

Popular fintech and travel apps are leading the way here, offering 24/7 chat support that escalates smoothly from AI to human assistance. This hybrid model gives reassurance: when everything else is automated, being able to reach someone who listens and solves it feels like a luxury.

For younger consumers, human support isn’t old-fashioned, it’s a hallmark of brands that really care.

4. Emotional intelligence builds digital trust

For all their digital fluency, Gen Z and Gen Alpha crave humanity. They read tone instantly, see through insincerity, and reward brands that act with heart.

Empathy, inclusivity, and transparency aren’t “nice-to-haves”, they’re expectations. These generations care about how brands treat people, how they use data, and how they show up in the world.

Renude, a skincare start-up, exemplifies this blend of technology and trust. Its AI analyses customers’ skin and suggests regimens, but consultations are guided by human estheticians, a mix that creates confidence and emotional connection.

A chatbot with personality, a brand that admits mistakes, a company that stands for something real, these are the moments that turn a transaction into a relationship. Because for them, customer experience isn’t just what you deliver. It’s how you make them feel.

CXpectations of a new generation

In summary, Generation Z and Generation Alpha demand a new level of excellence in customer experience: one that is highly personalized, tech-immersed, ultra-convenient, and genuinely caring. They are the future shoppers who will reward companies that strike that magical balance between digital efficiency and human empathy.

Brands that invest in AI and innovation with a human touch, from personalized AI recommendations to immersive retail theaters to empathetic support, are not just meeting Gen Z/Alpha’s CXpectations, they are building the foundation for enduring trust and loyalty. For any brand asking, “Can AI help you serve the new generation of customers?” the answer is a resounding yes, but only if you design it with the heart and honesty that these savvy young consumers expect every step of the way.

I explore this topic in depth in my keynote “Can AI help you?”, a session packed with fresh insights, real-world examples, and practical takeaways for CX professionals. Curious to learn more or book me for your next event? You’ll find all the details here!