By 2020, millennials will have a collective spending power of US$1.4 trillion in the U.S. alone. As a consumer powerhouse, they are vital to the sustainability and success of many brands, so it’s important to focus your marketing efforts and resist the temptation to employ tactics that worked on previous generations.
Who are millennials?
Millennials, as defined by Pew Research Centre, are individuals born between 1981 and 1996, currently ranging in age from 22 to 37 years old.
This group of people are the largest generation to date. To provide some context, there are 2 billion millennials worldwide; in the U.S. alone, they represent 1 in 3 of all adults.
Why should you care about millennials?
Millennials have reached what the banks call the most important age range for economic activity. Meaning this group of people are entering or established in the workplace, spending money not only on going out, but on starting families and buying homes.
This group is a consumer powerhouse. In the U.S., millennials’ purchasing power is estimated at US$200 billion, and Morgan Stanley estimates that India’s millennials will spend US$330 billion annually by 2020.
What do millennials value?
There are some key factors that appeal to millennials. Understanding these and adapting your marketing strategy can increase brand engagement and loyalty.
Here are five key insights on what millennials value:
- Millennials are purpose- and passion-driven consumers.
For your brand to resonate with this consumer group, you need to think about how your product or service aligns with their needs and desires. Local, original and trustworthy are all good in the millennial world. The ‘80s and ‘90s approach of one-size-fits-all mass marketing will not work....
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