Millennials are defined as those born between the early 1980s and approximately 2004. With the rise of this tech savvy group, new challenges have arisen for retailers on how to engage them and gain their loyalty. RetailTouchpoints recently posted an article outlining this challenge and what retailers need to do to capture Millennials. Below is a summary of that article.
Retailers know they have to adapt marketing and advertising messages to target each new generation of shoppers. But the evolution of technology over the past 20 years has forced merchants to speed up their understanding of today's more technologically advanced Millennials.
The Millennial generation has grown up with the technology revolution and is now gaining more buying power, motivating retailers to tap into more content-based campaigns that are focused on a personalized customer experience.
It wouldn’t be a stretch to say Millennials are consumed by these technologies and their personal gadgets. In fact, reports from Pew Research Center and The Media Insight Project indicated that:
- 24 percent consider technology usage to be their most unique trait
- 83% sleep with their cell phones right next to them
- 91% use Facebook and 37% use Twitter
Millennials have every method of accessing, browsing and purchasing from a retailer at their fingertips, and as such have more buying power than any previous generation. To keep up with the evolution of the modern consumer, retailers must be proactive and provide the type of environment that will capture the hearts and minds of today's Millennial shoppers.
While Millennials may have a reputation for being fickle buyers, and even being disloyal to brands in favor of price consciousness, as many as 63% joined a loyalty program from October 2014 to October 2015, according to COLLOQUY. This indicates that many young consumers do want relationships with their favorite brands; they just want the brands to work for their loyalty a little bit harder. With this in mind, merchants must continue to be creative and innovative when it comes to content and promotions.
Millennials listen to their peers. Retailers can take advantage of this opportunity by using brand advocates to promote the company in a way traditional advertisements cannot.
While 85% of Millennials trust recommendations from people they know, and 70% trust consumer opinions posted online, online ads don’t fare as well, according to Nielsen. The weak performance of online video ads (53%), search engine ads (52%), social media ads (51%) and mobile ads (48%) all reveal the importance of bringing a sense of authenticity to the social media experience.
Whether through developing a consistent mobile presence, a scalable social presence or a seamless overall omni-channel experience, today's retailers must ensure that each touch point is an experience the Millennial consumer won’t forget.
Read the complete article here.
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