Millennials are the generation of people born between 1980 and 2000. They supersede generations X and Y. For a business to thrive and stay competitive, it has to take into consideration the needs, habits, and demands of this generation. This is because this group forms a sizable part of the population today. The following are tips to help you understand the consumer behavior of this generation.
They are Tech Savvy
In 2017, the average millennial spent 223 minutes daily on mobile internet devices. This is bound to increase in 2018. Because Millennials make up the biggest part of the consumer market, you would be missing a lot of business if you ignored them. They are more attracted to deals or freebies online and do not want to locate a physical store or call a business to inquire about their services. They prefer to find all the information they need online. In fact, most may doubt your reputation if you do not have an online presence. In addition, this is a generation that does not want to be restricted to what is available locally but desires the freedom to make purchases anywhere in the world.
They are Quality Conscious
Forget the older generation that held friends and acquaintances close and conducted business with them out of loyalty. Millennials demand quality products before they can offer repeat business. For them, it is not just about the delivered package but the overall experience. They are keen to note your professionalism, promptness, honesty, and dedication. Because the next store is just a click away, they do not mind dropping a transaction they are not happy with for the next one.
They are Researchers
Millennials don’t make buying decisions randomly, they take time to research trends, analyze the market and find the best deals. At least 94% will look for outside guidance before making a purchase. Because they are tech savvy, they can compare prices, product details, and other measures with ease by just clicking a few buttons. Most will not agree to close a deal before checking online reviews. Also, their decisions may be influenced by their peers, and these do not just include friends but other Millennials.
They want instant gratification
Unlike the older generation that had to plan, save and contemplate on what to do with their money, Millennials want things now. They do not want to wait until they have enough money to buy; they prefer getting the product, then paying later. In the same breath, these people are not afraid to get into debt to finance the lifestyle they wish for. This does not mean that they live beyond their means, or they are careless with money, they are just confident of their ability to get what they want when they want. Precisely that kind of behaviour is being exploited by lending companies. Novel services, like ‘buy now pay later’ (BNPL), actually target overconfident consumers. In fact, according to DebtRescue, “most BNPL providers do not even check individual’s ability to pay back the money borrowed”.
Spend time on Social Media
More than 80% of the Millennials have mobile devices, and 75% of them are connected to social media. A large part of the online time is spent on social media platforms. This is their mode of communication with peers, finding the latest trends and shockingly, nail, negotiate and get a job deal. The Forbes research shows, that for a millennial, social media is the primary place they get all the information they need, and for this reason, they appreciate businesses that have a strong presence on social sites.
They are Loyal
Despite the notion that Millennials are not loyal, they actually are when they find the right products or businesses. They are more concerned about authenticity and quality than most other things. Before they use any product, they have to find out whether it is genuine. This is driven by the need to have personal, authentic relationships and not a superficial one-off engagement.
Millennials are driven by the need for a personalised experience and convenience. They are more attracted to brands that have a personality and which maintain a good reputation. Also, they are not afraid of debt; they want to access the product now and pay in the future.