Spend-Setters. Millennials are big spenders, collectively spending $1.4 trillion annually by 2020,
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1 MILLENNIALS Millennial consumers are highly coveted by marketers because they re beginning to shape their shopping behavior and they have real spending power. Want to learn how they buy, how they consume media, and how you can reach them? READ ON. BIG SPENDERS RESEARCH PURCHASE HABITS EXPECTATIONS FROM MARKETERS
2 BIG SPENDERS And Their Spend is Increasing Spend-Setters Millennials are big spenders, collectively spending $1.4 trillion annually by 2020, accounting for 30% of U.S. retail sales. Source: U.S. Department of Labor, Bureau of Labor Statistics, May 2014.
3 BIG SPENDERS How They Purchase DIGI DOES IT Millennials are tech savvy, and comfortable making purchases online. Three-quarters have made at least one digital purchase during the year. 60% look at products to buy online almost every day, even if they re not actually making purchases (vs. 46% of total respondents). Source: emarketer: Adult Millennials as Consumers, 2014.
4 BIG SPENDERS But They Prefer In-Store MORE IN STORE Despite millennials comfort with digital technology, 82% still prefer to shop in brick-and-mortar stores. Millennials are more likely to shop in grocery stores than big box stores (79%). 34% use their mobile device in-store to search for local deals. Source: Harris Interactive, The Harris Poll, July 2014.
5 RESEARCH & PURCHASE HABITS Across the Purchase Funnel PATH TO PURCHASE Millennials are influenced by the internet throughout the purchase funnel. They are likely to compare prices, check reviews, and generally research products at every stage along the path to purchase. Source: emarketer, 2014.
6 RESEARCH & PURCHASE HABITS They Showroom THEY SHOWROOM One of their most common behaviors is showrooming. They get inspired in stores, and then go online to see if they can find a better deal. u.s. internet users who have engaged in showrooming behavior, by age: Source: comscore Inc., State of the U.S. Online Retail Economy in Q1 2014, May 20, % % % % % %
7 RESEARCH & PURCHASE HABITS They Go Online to Compare THEY COMPARE They are highly informed consumers. They are likely to compare prices, conduct research, etc. Millennials look at things to buy online, even if they re not planning on buying it today. Source: emarketer, % 61% 56% 52% Opinions about digital shopping among u.s. internet users, by age. 41% 38% 30% 29% I compare the prices of the products I m interested in, using mobile apps and websites I conduct research about the products I m interested in, using mobile apps and websites.
8 RESEARCH & PURCHASE HABITS Social is Important: They Rely on Their Peers and Friends HE SAID, SHE SAID Word-of-mouth, peer reviews, consumer websites, social media, and blogs play a big part in millennial shopping behaviors. Source: Crowdtap, Social Influence: Marketing s New Frontier, March % have conversations about brands or products with friends and family. 68% RELY ON PEER REVIEWS 56% , TEXT, AND INSTANT MESSAGE 50% TURN TO SOCIAL MEDIA SITES
9 EXPECTATIONS FROM MARKETERS They Have High Expectations from Marketers GET ON TARGET Marketers who need to reach millennials have more targeting technologies at their disposal than ever before. Knowing your audience how they consume media and what expectations they have of you, the marketer is key to creating campaigns that speak to this ad-savvy audience. Target Them Correctly Personalized Messages Tap Into Their Deal Seeker Side Have Strong CSR
10 EXPECTATIONS FROM MARKETERS Target Them Correctly TAILOR MADE Take advantage of the extensive targeting technologies contextual, behavioral, keyword, and more that help you reach millennials with messaging that s made for them.»58%» of millennials agreed that tailored advertising helps them find products and services more quickly.»» Eighteen to thirty-fouryear-olds EXPECT that their mobile advertising will be targeted directly to them, based on their interests, likes, and dislikes. Source: emarketer: Adult Millennials as Consumers, 2014.
11 EXPECTATIONS FROM MARKETERS Personalized Messages NOW IT S PERSONAL Marketers need to combine the right message with the right targeting to effectively reach millennials. Keep in mind that they demand a high level of personalization and your message needs to stand out. 65% agree that online ads and promotions make them aware of things they want to buy (more than any other group). 41% of millennial mobile device users also agree that mobile ads are informative and helpful. Source: Crowdtap, Social Influence: Marketing s New Frontier, March 2014.
12 EXPECTATIONS FROM MARKETERS Tap Into Their Deal Seeker Side DEAL WITH IT They use their mobile devices for more than checking Snapchat. Use local targeting technologies to get your message into the hands of these highly sought-after consumers. 29% agreed that a coupon would influence them to shop in a store they don t usually shop in.»34%» reported that they often use their mobile device to search for local deals (vs. just 20% of total consumers). Source: emarketer: Adult Millennials as Consumers, 2014.
13 EXPECTATIONS FROM MARKETERS Have Strong CSR BRAND NEW Millennials are not as brand loyal as their parents. If their preferred brand isn t available, or if they receive a competitor s coupon, they ll pick up another national brand instead.»84%» are influenced to switch brands by corporate social responsibility and loyalty programs. Source: Bond Brand Loyalty, The Loyalty Report U.S. Edition, 2014, June, 2014.
14 THE LAST WORD The millennial consumer is one that marketers are pushing hard to connect with. What this means for you is that your message runs the risk of being lost in a sea of sameness. Make sure your message makes an impact. Creating comprehensive, hypertargeted campaigns is easier than ever before. And don t forget to deliver unique and interesting creative to make your message most appealing to millennials.
15 Designed to give you easy access to important industry information, the MNI Breakdown gives you the low-down on marketing and media trends, determined by extensive research from our team of media experts. For more information about how MNI can help you more effectively and efficiently target your most valuable audience, call your local MNI Account Executive or visit mni.com MNI Targeted Media Inc. A Time Inc. Company
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