Familiarizing oneself with the intricacies of Millennials is one of the most crucial steps a marketer can take. Today, personalization is the name of the game. The tailored experience that you want to create starts with getting to know the Millennial mind: how they operate and why they matter so much to your business.
Millennials are consumers, just like the generations that have come before them. However, circumstances, technology, and a changing global landscape have created a unique Millennial mindset.
In 2015, Millennials edged out Baby Boomers as the largest demographic. Immediately, without any additional information about the demographic, they become important to your business. Volume alone makes them a highly coveted group. They’re all independent consumers, and the vast majority have a steady income. Very few brands wouldn’t be interested in marketing to the largest group of consumers in the country.
The Millennial cohort provides plenty of opportunities for marketers. Millennials currently have tremendous buying power and over time will become wealthier.
Here are several reasons why the size of the market is a particularly important consideration:
– Economic influence: As older generations shrink, Millennials have a growing share of the consumer base. This results in the transfer of wealth. If you don’t develop products that appeal to them today, then you risk your business becoming obsolete.
– Trendsetting: Some trends are set intentionally, such as popular challenges that pop up on social media. One example is the Ice Bucket Challenge of 2014, which asked individuals to pour a bucket of ice over their heads to raise awareness for Amyotrophic Lateral Sclerosis (ALS). Other trends occur because of the sheer size of this demographic. Thanks to the availability of web data on Millennials, marketers can spot naturally occurring trends.
– Fast sharing: The volume of data available and the rate at which it’s shared creates a changing landscape for marketers. You can currently find more online data about Millennials than any poll, questionnaire, survey, or census could collect. Therefore, marketers need to be ready to adapt to the information revealed by thousands of data points.
– Brand advocacy: The Millennial market has the power to make or break a brand overnight. The power of the people has never been stronger than it is now. Brands need to be transparent and respond to the demands of activist Millennial consumers.
Millennials are poised to receive the greatest transfer of wealth in economic history. Estimates from major American financial institutions, like Morgan Stanley, and research firms suggest that over the next several decades, Millennials will receive somewhere near $30 trillion from the generations that preceded them. That is a startling figure, and one that undoubtedly whets the appetite of marketers in any field.
To determine where that money is likely going to go, marketers should become aware of the spending habits of Millennials. This knowledge will help them build effectively targeted campaigns.