Millennials have some serious purchasing power. According to Ad Age, 17- to 34-year-olds will spend $200 billion annually starting in 2017, and $10 trillion over their lifetime!
This generation moves fast. And as a business, you need to constantly evolve to keep their attention. That means continually auditing everything from your pricing strategy to your marketing efforts to the design of your store. Here are some top millennial shopping trends, and how your business should adapt to stay relevant.
Put mobile first!
Millennials are constantly on their mobile devices. A mobile-optimized business website is no longer just a nice-to-have, it’s essential to the relevancy of your business. But mobile first doesn’t just apply to your online presence. Your brick-and-mortar store should also be optimized with mobile in mind. To provide the customer experience that this demographic will soon come to expect, thinking mobile first is crucial.
Invest in a social media strategy!
Social media is how most millennials find and discover new products. Fifty-five percent of millennials surveyed in a recent report cite social media as their primary source for shopping, news, and information. The study also found that traditional methods of advertising, including television and print media, fall behind digital advertising methods when it comes to their effectiveness amongst the millennial generation. So businesses are well advised to make social media a cornerstone of their marketing strategy.
Although keeping social accounts updated, relevant, and interesting is important, it may not be enough to cut through the noise. Studies have found that millennials trust expert opinions from “strangers” over brands (and even their friends) when it comes to making purchasing decisions. Toward that end, businesses should consider social partnerships with influencers or experts in their space.
Price products competitively!
Millennials have an acute awareness of product pricing. Forty-one percent of respondents in the Accenture study said that more often than they did a year ago, they “shop around” for the same product at a lower price point at other retailers before deciding to buy something. This shift in behavior is likely due to the increased usage of smartphones, which allow shoppers to search for an item easily, even when they’re in a store. To stay competitive, businesses need to offer competitive pricing or more value than what consumers can find at online retailers like Amazon.