Why're marketers obsessed with millennials?
Because this generation's global purchasing power was estimated to hit $2.45 trillion in 2015, according to research by Youbrand. In addition to holding significant purchasing power they'll be soon an important part of workforce. In an article titled Marketers Are Sizing Up the Millennials in the NYT, Dionne Searcey gives us an insight into the increasing influence of millennials in the US on businesses and corporate strategies -
"Our whole consumer model is based on the baby boom,” said Diane Swonk, chief economist for Mesirow Financial. Now, the coming generation is “setting up a whole new consumer model.”There are more 23-year-olds — 4.7 million of them — than any other age, according to census data from June. The second most populous age group was 24, and the third was 22. There is no official age range for millennials but the generation generally is defined as being born between the early 1980s and early 2000s. By 2020, they will account for one-third of the adult population.At the same time, millennials are the most educated generation in American history. Far more members of this generation are going to college than of past generations....they also have significant earning potential in the years to come and, because of the sheer size of the group, have the ability to reshape the economy in ways that haven’t happened since the huge baby boom generation was hitting the job market and moving into first homes.
1. Millennials isn't an American phenomenon!
2.They do not easily fall to the charm of advertisements
For millennials, traditional advertising doesn't work. They connect well with content that's in sync with their cultural interests. In a research by NewsCred, 64% of the millennials studied said that they respond more positively to brand messages that are tailored to their cultural interests (music, movies, sports, entertainment), and 62% felt similarly about messages that are useful and help them solve their unique everyday problems. With millennials simply pushing marketing messages down their throats won't work. Make your messages customized and brand experience personal.
3. Millennials put more value on authenticity than the content
In a research by Elite Daily And Millennial Branding, millennials (58%) expect brands to publish content online before they make a purchase and rank authenticity (43%) as more important than the content itself (32%) when consuming news. They do not buy into the hype created by brands as much as their forefathers did. However, they trust the opinions of actual users, or rather, people they believe to be actual users. Everytime a user interacts with the brand make sure you're delivering authentic experience. Red warning - fake reviews.
4. Millennials want to co-create products
In a survey by Forbes, 42% of participants commented that they are presently helping companies develop new products and they are loving the experience. Obviously, in the long run, these are the brands they would be more likely to buy from. Encourage customers to provide suggestions regarding the development of new products.
5. Facebook influences their spending habits
When it comes to making a buying decision, millennials flock to Facebook.
But pay attention to mobile social networking, where Twitter, Instagram, Pinterest and Tumblr are all significant players. That's where the next phase of growth is happening - according to Debra Aho Williamson, eMarketer's principal analyst.
This is eMarketer's prediction on market share for different U.S. demographics.
[Update: The number of total social network users in 2015 below should be 179.7 million including users under the age of 18. All other total figures include this demographic.]
6. Millennials love to socially engage with brands
In 2015 Forbes wrote
62% of millennials say that if a brand engages with them on social networks, they are more likely to become a loyal customer. They expect brands to not only be on social networks, but to engage them.
Millennials don't want plain and boring updates from you. They want you to engage with them. Create meaningful content in language that they speak. Check Dove's curly haired emojis, order with an emoji by Domino's or the Fanta selfie can - you'll know what we're talking about. Katie Elfering, a CEB consumer strategist and resident expert on Millennials at Forbes hits the nail on the head:
Beyond just being innovative and useful, the brands that give Millennials a reason to engage, whether that’s branded content like what Intel has produced, or creating an experience that they couldn’t have without the brand, like many of Red Bull’s events, have figured out how to connect to this generation in a meaningful way. These brands know how to provide what matters most to Millennials in a way that is additive to their lives and entertaining, which in turn compels them to share their experiences with their friends.
7. Emotional connect is the keyword
Millennials love sharing content that makes them laugh. But if humour marketing doesn't align with your marketing goals then tread carefully. Create content that emotionally connects your brand with millennials - it's nnot about just humour, it can be any other emotion.
Here're some examples of great humour marketing.
8. They're brand loyalists
What makes this generation loyal to a brand. Well, it's a mix of factors - product quality, customer experience and in what ways the brand is impacting the society in a positive manner. According to a study by Rosetta Marketing, 37% of millennials say they're receptive to cause marketing. They're more likely to buy products of those brands that're making positive changes in the society. Causes that're close to millennials include LGBT equality, animal rescue, green living plus more.
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