Understanding what millennials really want
Millennials are now the leading group of consumers, with approximately $200 million in annual buying power, according to Inc.com. They have the power to influence many people in the marketplace, and companies must understand this generation to keep up with their demands.
What should your business know about marketing to millennials?
Millennials expect brands to continually engage with them as customers. This "always on" approach to engagement means that your business should have multiple channels for millennials to obtain information about your brand or provide feedback. The company essentially becomes a part of the millennials' social circle by nurturing a relationship with them via online and offline experiences.
Millennials want to be part of the innovation process. Incorporating the millennial customer into the process can be as simple as requesting input. Asking customers to vote for the next package or creating a contest where the winning design goes to production encourages millennial participation.
One company that has successfully incorporated its customers into its development process is Betabrand. By soliciting customer suggestions at every stage of the process, Betabrand ensures that it has their attention and buy-in.
Convenience is critical to the millennial shopping experience. Since they were raised in an environment where immediate service is possible, millennials assume that competent brands will be able to meet their needs instantly. They will quickly leave a brand that fails to provide the expected product or service.
One brand doing it right is Blue Apron. The meal-kit delivery service markets economical, on-demand solutions that fit a range of lifestyles, from vegetarian selections to small family or party plans. Since the food is packed in ice, busy millennials do not even need to be home to accept delivery.
Millennials prefer buying "experiences" rather than things. Their individualism helps drive their need for novel, targeted experiences that enrich their lives. This means that your brand should seek to identify individual goals and help the customer attain those goals.
Play! By Sephora hits all the right notes. At $10 a month, it fits the millennial budget. Its profile feature ensures that every delivery contains a personalized selection of novel products to explore.
Millennials' decisions are highly influenced by social media and blogs. The focus on individual opinion means that millennials are also willing to listen to and respect the opinion of others. They are influenced by experts, close friends and family members, and they enjoy discussing what brands they love and why.
Approximately 60 percent consider themselves loyal to certain brands. In another survey, 90 percent of millennials indicated that they would share those preferences online. This means that your brand's social media presence is critical to tapping into the desires of this market segment.
While it may be simple to generalize about millennials, it is not easy to create a rich, 3-D persona of your company's typical customer. There is simply too much data available and not enough time to effectively evaluate it all.
The O360 platform uses machine learning and artificial intelligence to give you insights on how to innovate to meet millennials' constantly shifting needs. Contact O360 and start seeing your customers more clearly.
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