How Millennials are changing retailer trends

13/12/17

Millennials, also known as Generation Y, are shaping the way the world is responding to and developing technology by the way they use it.

Not only does technology have a strong presence in the world of business, music, science and media but it is now becoming a key factor for businesses in the retail sector.

Born between 1980 and 2000, Millennials make up the world’s largest generation and lead the way in adopting new technology causing retailers to sit up and re-evaluate their strategies.

Millennials prefer mobile

Millennials are digital natives. Alliance Data found that 84% of Millennials use smartphones whilst shopping in-store, comparing online deals against the in-store deal they have in front of them. 63% claim to shop on their phones every day and spend $200bn across the US and Europe.

Retailers need a digital strategy to keep up with demand and deliver a good user experience. Large clear images, easy-to-tap buttons, fast loading time and easy navigation are vital.

The retailers that are winning Millennials’ business are those who know how Millennials tick – and that means speed and convenience. Retailers are installing self-checkout kiosks and advanced digital payment systems to keep the Millennial shopper happy.

Millennials are the most brand loyal generation

Millennials identify more strongly with brands personally and emotionally, making them more likely to be loyal. For a millennial to stand behind a brand it needs to make them feel good, as well as provide value. Below are the most engaging global brands for Millennials, with Apple at the peak.

Brands are reaching Millennials through social media

Unsurprisingly 90% of Millennials use social media, so these platforms have become integral to marketing strategy as they create an emotional connection with customers.

Millennials are about three times more likely than other generations to refer to social media when choosing to buy something, and 62% say that if a brand engages with them on social networks, they are more likely to become a loyal customer.

Millennials are more price sensitive than average
Price has the greatest influence on millennials’ purchase decisions – more than quality, brand, store and availability. They are very likely to compare prices across different brands and access a range of information before buying anything. Successful retailers need to craft a digital strategy to capture people’s attention, create loyalty and make them less driven purely by price.

For more insights into targeting and engaging millennials, speak to Speed Agency. We have a proven track record in designing compelling and effective campaigns – both online and offline.