Gen Z has the potential to completely change the retail industry. And, brands that learn the group's shopping habits could win over this crucial generation of consumers.

There are three main features that Gen Z values in brands, Instagram Shopping's product lead, Layla Amjadi, said at Business Insider's IGNITION: Redefining Retail conference in New York City on Tuesday.

"What we look at is, well, what's working for them in their shopping experience," Amjadi said at the conference.

Here are three characteristics that Gen Z values in a brand:

1. Brands engaging in real-time culture

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Amjadi said that the ability for a brand to have a broader conversation about a current trend is crucial.

To win over Gen Z, Amjadi said that brands should aim for a nimble content strategy that is aware of larger trends and fads in the world.

"Brands really showing up like your friend and being a part of the conversation is critical for building that relationship with that Gen Z shopper," Amjadi said.

2. Products that resonate

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Gen Z likes feeling that their products were made with their preferences in mind, Amjadi said.

She gave the example of the polling feature on Instagram, which allows shoppers to vote on items and styles they like.

"Then when the product comes out, it very much feels 'by them,' and that resonates," Amjadi said.

3. Authenticity

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According to Amjadi, Gen Z wants you to give it to them straight. In other words, this consumer group values authenticity.

"And I think that's really a function of the fact that, even this generation is selling a lot of their own products," Amjadi said, explaining how speaking frankly and conversationally about products is natural when you are selling them yourself.

Comfortable conversation is crucial to Gen Z, and if that is lacking, the brand could appear disingenuous, Amjadi said.

Watch IGNITION: Redefining Retail here.

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