Millennials Seek Better Deals from Marketers

Retailers often look to the younger generations to fuel their growth as they shop for goods and services they need for their growing households. Historically, younger consumers have been taste-​makers as they make various brands and products their favorites. But the slow economic recovery is threatening this trend because the financial situation of many of today’s younger shoppers is strained and this new reality has implications for marketers.

New research from WSL/​Strategic Retail shows that consumers of all ages are finding it hard to make ends meet. The following percentages of shoppers say that routinely do not have enough money to pay their basic bills:

  • Ages 18–34 25%
  • Ages 35–54 17%
  • Ages 55+ 13%

Because of the recession, Millennials have adjusted their habits and beliefs. Here is a snapshot of their attitudes:

  • It’s important to get the lowest price when I shop 80%
  • I will select lower-​priced brand to save money 60%
  • I search online for discounts  57%
  • I shop at stores I can afford 63%

These shopping  behaviors indicate that marketers will have to work harder to convince younger consumers to buy their products. The lessons learned during the recession seem to have made a lasting impression on Millennials. As a result, promotional messages will need to incorporate a blend of phrasing about being trendy and affordable.

[Source: Young Adult Spending  Power Losing Its Punch. WSL/​Strategic Retail. 30 Apr. 2012. Web. 5 May 2012]

 

Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.