YOUTH ODYSSEY. Page 1
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1 2014 YOUTH ODYSSEY Page 1
2 2014 Youth Odyssey is a study that focuses on youths aged 15 21, a group that represents 6.1 million people in Great Britain (source: GB TGI). This is a time of change in the lives of this group. For the first time they are making decisions that will have a longterm impact on their future success. But they are not making these decisions alone; this study shows that they are turning to various sources in order to guide and support decision making. The study also explores year olds shopping habits and influences and delves into their attitudes towards employment and media. The report also aims to assist marketers who target this audience, highlighting implications that can help make their brands more relevant and appealing to year olds. Insight Manager UM London Head of Consumer The Student Room Group Page 2
3 Music is the area that all youths say they are most passionate about spending 6.5 hours listening to, reading about or going to music events per week. Other passion areas are much more defined by gender, with girls more enthusiastic about literature, TV and travel and boys very much into their sport, gaming and films. UM s Content Crusades demonstrated the value of good content as a way for brands to share their message, and tell their story, at a much deeper level than traditional advertising. If brands can tailor this content around passion areas for year olds then they are significantly more likely to appeal and engage with this audience. Page 3
4 15 21 year olds have an average income of 313 per month, representing 1.8bn in total per year. The amount, source and attitude to money varies greatly depending on the education level, through across all groups at least 55% felt they spend money carefully and over half agreed they can t think of anything worse than being in debt. University students have greater demands on their money rent, bill and day-to-day costs like food shopping are new expenses for them. The Student Room has seen that these expenses are where students look to save money buying own-label or hunting for the cheapest utility supplier, in order to have more disposable income to spend on nights out and their other passion areas. All in all, their financial attitude commands respect; they are educated, savvy and in control of their money. Page 4
5 When year olds are ready to part with their money, there are key areas in which it is being spent mainly on entertainment and looking good! Over half of both males and females are buying cinema tickets and books. However fashion, beauty and live music are categories in which the majority of females are spending. Males on the other hand are sticking to their passion areas of Gaming and Electronics. With fewer demands on their money, youths generally have more freedom with their income than their bill-riddled, mortgage-encumbered elders. But this money is limited, and although youths are happy to spend the money they have, these purchases are very considered. Page 5
6 When deciding what to buy, it s no surprise to see that price has the most influence on purchasing decisions. User experience, either personal or via online reviews, also play a big part in spending habits. Young people have moved away from the tribal groups of old. The opinions of friends are less influential as they have access to wider sources of information online. Advertising is beaten only by celebrities to be the least influential factor when shopping. This means that brands need to think more creatively than traditional formats when targeting youths. For example H&M partnered with NME to create unique music gigs with up-and-coming artists in-store. Page 6
7 The trend of showrooming the practice of examining goods in-store without purchasing it, but then shopping online to find a lower price for the same item is something that youths are familiar with and are actively doing; 43% of those with smartphones agree they have showroomed. DVDs, books and electronics and video games are particularly susceptible to this. Brands, particularly those that are on the high street, need to recognise that showrooming is taking place. By keeping up-to-date on new mobile technology, marketers can take advantage of the fact that 86% of youths have smartphones by driving new purchase behaviours. For example, Weve s WeLocate aims to connect the online and offline worlds by actually driving people in to stores. Page 7
8 Youths turn to different source for advice about different things. The Student Room is second only to friends and family in terms of where to get advice about personal issues, such as relationships and health, and about what to buy. Plus, when it comes to educational decisions, the forum is just as valuable as advice from friends. The anonymous, peer-led forum is hugely important in the lives of year olds. The power of Facebook and the rise of Twitter is something that marketers know very well. However amongst our youth audience, Facebook in particular is losing its sheen it is become a judgemental, unrealistic online environment. Forums like The Student Room represent a platform that have been quietly building a reputation as a supportive, knowledgeable and inclusive network. Brands need to consider the role of trusted forums in their digital marketing strategy. Page 8
9 15 21 year olds are at a very important stage of their lives. For the first time, they are having to make decisions that impact on their future working lives. The majority don t have a firm idea of what career they want to pursue, though they are taking control and carving their own career path. Interestingly, LinkedIn is not really on this demographics' radar; only those with a pretty good idea about their career are likely to have an account. The media has focused a great deal on the issue of youth unemployment. For the most party youths don t want to sit back and wait for the situation to change. Any brands that can go beyond marketing tactics and be open, letting youths see and get involved with their inner workings, will inspire young people. Sony Playstation did just this via a Q&A on The Student Room. Page 9
10 Though there is still a role for traditional media (particularly the new forms of TV), it s no surprise to find that the internet is the key media channel in youths lives year olds are very comfortable with the internet and they are more savvy than their parents about the data exchange that takes place online. However as a result of this, there is also an element of concern about the information available about them online. Young people are more self-aware of their online profile than ever before. They know that brands make use of their data, and are happy to give them access, but youths are taking more control over what they share, how they share it and who they share it with. Page 10
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