Millennials make up 25% of the U.S. population defined by the age range of 16-34. Their spending power has surpassed that of prior generations making them an extremely influential market. Over the past few years many consulting companies such as Barkley Service Management Group and The Boston Consulting Group have researched this unique and powerful age bracket to ease the understanding of this market. Their purchasing and shopping habits are unique and this article highlights a few of their tendencies that we've found intriguing
Many of the studies performed by the consulting companies I've mentioned have shown that Millennials are more likely to shop at a specialty food store like Trader Joe's or Whole Foods. Some analysts believe this is due to their adventurist spirit or perhaps their aim for healthier life styles. 20% of Millennials are committed to working out more than twice a week and 36% follow a dietary plan. Millennials follow dietary plans that focus on the ingredient panel, while older generations often focus on the nutritional panel. When it comes to name-brand foods they are less likely to make a purchasing choice based on the brand name. To understand brand purchasing habits Barkley, Service Management Group conducted a qualitative study showing that 72% of Millennials think store brands or private label brands are okay for some items, but not for others. They released this information, along with many other findings in their book Deciphering the Enigma Generation. Furthermore, Millennials proved to be open about purchasing a generic brand if it's on sale, but only if the value is equal to that of the name brand.
Millennials are research-oriented, and often times have done their homework on the products they plan to buy. They read reviews, ask their friends, and check out the ingredients before making a purchase. They'll even take to social networks to ask for recommendations. Once they make a purchase or have a good shopping experience, they will share their thoughts with their social circles. Millennials are 20% more likely to rate a product on the web, and almost 40% more likely to check out a brand whose presence they like on social media.
Check out a more in-depth report on Millennial Grocery Shoppers here.