With their purchase power nearing $200 billion per year, the Millennial generation can single handedly determine the success or failure of your brand. So how does this generation decide how to spend their money? Here are some of the factors that impact their purchase decisions:
What do others think?
What peers are saying about your brand carries a lot of weight for Millennials. On average, Millennials tend to be convinced by the opinions of five people, as opposed to the Baby Boomer generation who are usually convinced by three. So, how do you get people talking to impact the purchase decisions of this generation? Start a referral program to motivate customers to tell others about you. Millennials love being considered the first to find a brand or product, so rewarding them for telling their friends about your company will work well with this group. Millennials are equally, if not more, influenced by the opinions of strangers compared to friends, so seek out ways for anyone to talk about you. Encourage customers to leave online reviews so Millennials can research your company when making purchase decisions. But don’t stop there! Find other third-party sources where you can get your brand mentioned. Are you a travel related company? Seek out blogs that discuss the best places to see and ways to plan a trip. As long as people are talking, Millennials will be listening.
What do you stand for?
When Millennials make a purchase, they’re not just buying into the product, they’re buying into the brand as a whole. Because of this sense of personal investment, Millennials prefer to find companies with values that closely align with their own. This generation wants to know not just what you make, but what you stand for and how you impact the world. Look no further than the Chik-fil-A gay marriage scandal for evidence of how the Millennial generation reacts to opposing values. When the fast food chain’s founding family publicly spoke out against gay marriage, Millennials took a stance and vowed to not support Chik-fil-A restaurants because of this set of values that differed so greatly from their own. To influence Millennials, your company must align with them both in the personal and product worlds.
Make it easy.
Millennials value speed, convenience and efficiency when it comes to making purchases. If you want to attract Millennial customers, don’t make them jump through hoops when it comes to going through a transaction. E-commerce businesses should have mobile-friendly sites designed to get the customer in and out as quickly as possible, like the one-click to buy feature available on Amazon. This generation is more likely than any other to make an impulse purchase, so the ease of the transaction could very well be the factor that pushes these customers to decide one way or the other.
Views are vital.
A recent study found that over 80% of Millennials used video to help in their purchase decision-making process. Is your product difficult to assemble or use? Create a helpful video and place it online so Millennials can see your brand is utilizing this platform to reach consumers. If this doesn’t apply to your product, you’re not out of the video woods, yet! Create a video highlighting who your company is so Millennials can learn about your values when researching a possible purchase.
Can you hear me now? Good.
This outspoken generation is known for having an opinion and wanting it to be heard, and this attitude applies to the purchase decision-making process as well. Millennials are attracted to brands that openly ask for opinions and make an effort to listen to feedback. Unlike previous generations, they don’t view advertisements as marketing messages, but rather, a two-way line of communication where both sides are heard. They respond well to promotions like Lay’s Do Us a Flavor, where consumers were asked to submit their own ideas for the next flavor of potato chips. To engage this generation and increase the chance they will purchase your product, think about launching a promotional campaign that facilitates interaction between your brand and the consumer.
Now that you’re ready to impact Millennial purchase decisions, make sure your product has enough distribution for people to find you!