Pew Research defines the millennial generation as those born between 1981 and 1996. Why should we care about this generation? Pew says this tech-savvy generation just surpassed the baby boomers as the largest population cohort in the world.
Attracting this influential consumer base requires CPG marketing teams to understand some of the unusual attitudes and differences in this young and influential generation. Here’s how to attract millennials to your brand in 2020.
CPG Marketing to Millennials
There are around 77 million millennials in the US today, or about 24% of the population. That’s a lot of buying power, and CPG marketing teams are driving changes in their approach to attracting these consumers. CPG brands seeking to capitalize on this buying cohort should consider what we know about the population:
- As the first generation of tech-natives, millennials do not have the first contact with your products in the grocery aisle. Instead, millennials are almost twice as likely to use digital technologies to research your brand before entering a store or buying a product online. This holds true for all products and services, not just the CPG category.
- This population cannot be separated from their devices for long, and they bring their tech right into the store. 77% of millennials keep their phones nearby all the time. They are nearly three times as likely as baby boomers to use their smartphones for in-store purchases. And they use their phones to do in-store research before selecting a product.
- Millennials care more about corporate responsibility and sustainability. Millennials feel a strong tie to brands as selections that define them as people. Nearly half of 18 to 24-year-olds say that the brands they purchase say something about their personal values. CPG marketing should take corporate values into account when trying to attract these customers.
- This population likes to try new products and services. Nearly 40% of millennials are willing to buy organic and say they want high-quality, healthy foods at a fair price.
- This next generation wants fresh foods, but they often struggle to prepare it. They are willing to pay more for fresh but ready-to-eat foods that make being on the go easier. These packages should be recyclable and resalable to reduce waste.
- Established brands popular with baby boomers can build their reputation with this group by creating new partnerships with start-ups and younger products currently popular with this cohort.
- Brands must strive to be transparent in their advertising approaches. 90% of millennials say authenticity is important for companies. Millennials want their CPG brands to have a consistent identity that bleeds across the customer experience. They also want brand communications to be about more than just selling a product. Millennials crave a genuine connection with the products they choose.
Millennials seem to be the new trendsetters, as the population moves increasingly into their role as the largest generation on the planet. CPG marketing must make changes to products to attract and retain the buying power of this new generational cohort.
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