Sometimes I groan when I hear the term millennial in a marketing conversations. At our office, I’m surrounded by millennials so the stereotypes of work ethic and entitlement make me cringe. Everyone I know that age is busting their butt and optimistic at their future. I love millennials – but I don’t think they’re sprayed with magic dust that makes them too different from anyone else.
The millennials I work with are fearless… much like I was at that age. The only difference I truly see is not one of age, it’s of circumstance. Millennials are growing up in a time where technological advancements are accelerating. Combine optimism, courage, and available technology, and of course, we’re going to see unique behaviors emerge. To my point, 73% of millennials make purchases directly on their smartphones Tweet This!
Because they’re young and haven’t accumulated wealth, buying power per millennial isn’t as great as older generations but the number of millennials is growing. And as their wealth and numbers grow, it’s a segment of the population that simply cannot be ignored.
Not too long ago, you may have heard the avocado toast incident, where a typhoon stated millennials couldn’t afford things because they were wasting their money on luxuries they could not afford. According to a Bank of America Merrill Edge study, millennials are much more likely to prioritize travel, dining, and their gym membership over their financial future. Personally, I’m not sure this is an example of millennials being irresponsible, it may mean that our younger generation values certain experiences much more than others.
This goes in stride with millennials spending money with companies that meet their environmental and social beliefs. If you have less money to spend and hope to make more impact with it, spending an evening with friends at a neighborhood cafe serving coffee from sustainable sources and that donates back to their community makes perfect sense. Thanks to the Internet and social media, these purchase decisions can easily be researched – not so when I was young!
If they like your brand, they’ll sing your praises to everyone they know. If they don’t, they will be quick to call you out. What do these millennial shopping trends mean for retailers? It means standing behind quality products. It’s learning how to connect with the demand of different audiences. Being proactive rather than reactive will go a long way to improve brand loyalty, increase customer retention, and generate more revenue. IMI Content Team
Learn about how millennials are changing the shopping landscape and the best ways to connect with the generation.