The term “Millennial” is pretty all-encompassing. On the most basic level, it describes the age group of Americans that are currently between the ages of 18 and 34, covering the youngest group of adults and measuring 76.6 million strong. It seems that Millennials are simultaneously praised and criticized for everything from their work ethics to their views on family, politics, and education. One thing is certain though. The ways that Millennials spend money matters. Millennials add an estimated $ 1.68 trillion in purchasing power annually to the U.S. economy and as their wealth grows, so will their financial influence.
Take a look at what small business owners should keep in mind when dealing with this up-and-coming group of spenders:
Millennials Value Experiences Over Financial Advantages
A study from Eventbrite found that 75 percent of Millennials would rather spend money on doing something, rather than owning something. They take trips, go out to eat, and are comfortable spending money on experiences. As a result, they care about how they are treated and how they feel at the places where they do spend money – and this is where small businesses have an advantage with this young-to-mid adult demographic.
Millennials Are More Electronically Connected Than Ever
Almost 90 percent of Millennials who own smartphones say that they have them at their side all of the time, even when they are sleeping at night. Small businesses need to find ways to have a presence on smartphones, tablets and devices, even if they do not have a dedicated application for their businesses. This can be accomplished through strong social media accounts that prompt engagement, weekly e-newsletters and even opt-in choices for text messages. In order to really reach Millennials, small businesses must be mobile.
Millennials Like Customization
Millennials appreciate when brands really understand who they are, and what it is that they want to buy. Targeted marketing is effective and they say that they would gladly trade personal information, like contact details or social media accounts, with brands in exchange for incentives (like coupons, discounts, or insight into products that are a good match). Small businesses should get to know their Millennial customers and their needs as intimately as possible – whether that be through careful product purchase history tracking or occasional electronic surveys – in order to keep them informed of products or services that benefit them.
It’s important for small business owners to not simply write-off the Millennial generation when it comes to a mobile presence, retaining customers, and daily operations. Even the smallest companies can tap into their marketing techniques to better reach this growing group of spenders and maximize revenue in the process.
Do you target Millennials specifically in your marketing strategies?