As if Millennials haven’t already kept marketers wheels spinning with their unique purchasing behavior and attitude, this youthful group is now reshaping the marketing strategies of a product category historically targeting past more traditional generations. Baby products. Millennials, defined as individuals born between 1980 and 2000, account for 29% of the American population. Recent research performed by Goldman Sachs shows that 90% of new mothers are Millennials, with an average age of 26 years old. The study also reveals that 43% of all children in the U.S. between the ages of 0-17 have a Millennial mother; this number is projected to increase over the next 10 years as those born in the 90s begin starting families. Although this cohort has had to overcome many obstacles resulting from an unfavorable economy, such as high unemployment and debilitating student loan debt, it has not deter this group from the pursuit of happiness, starting with building a family of their own.
What does this mean for marketers?
With over $200 billion in annual spending power, it is imperative that classic brands such as Huggies and Fisher Price reevaluate their marketing strategies in order to successfully capture the wallets of this consumer. As a Millennial that plans on starting a family in the near future, I strongly believe that my current values that play a role in my purchasing decisions will influence my household purchases in the future. Below are three key points that marketers must keep in mind in order for new and classic brands to be successful amongst in the evolving marketplace of Millennial parents.
- Be Social
As a tech-saavy cohort, Millennials frequently interact with friends, family along with strangers who share a common interest through social media. This cohort values brands that engage with them where they spend most of their time, which increases the likelihood of building brand loyalty.
- Be Authentic
With an endless stream of information at their fingertips, Millennials easily navigate through this information, making sure to bypass gimmicky ad campaigns and the brands associated with them. Authenticity = Consumer Loyalty. In addition, Millennials find consumer reviews to be more influential in their purchasing decisions than advertisement.
- Be Socially Responsible
Arguably the most social and eco-conscious generation thus far, Millennials value a company’s commitment to giving back to society and they’ll pay the extra dollar to support companies who share this same value.