Understanding What Millennials Want
Contrary to popular belief, data reveals that millennials are the most brand loyal generation yet, with over half of the millennial population claiming that they are loyal to their favorite brands. With the increased usage of technology and social media, millennials have a greater knowledge of the brands that others are using, as well as their honest opinions of them. According to a CrowdTwist study, nearly 45 percent of millennials stated that they use their personal social media accounts to spread the word about the products or services that they are using. This has a heavy influence on how their friends and followers feel about those brands.
Now it is more important than ever for businesses to not only maintain a good reputation, but to actually understand what is influencing millennial’s purchasing decisions, brand loyalty, and willingness to promote the brand to their friends. In recent studies, the following characteristics have been proven to spark interest and improve brand loyalty.
1) Brands that are Unique
With the infinite amount of options to choose from in today’s market, millennials are looking for a purchase that will add value or a unique experience to their lives. For instance, Airbnb and Uber successfully capitalized on this concept. Prior to these brands, it was very out of the norm to stay in a stranger’s home or ride in their car, but these two companies made it possible while providing a unique experience for the everyday consumer.
2) Brands that Engage on Social Media
Data reveals that consumers are much more loyal to companies who have a large social media presence. However, this does not simply mean that if you have a large number of followers, then you have a large social media presence. Millennials are looking for brands that have active engagement on their posts, whether the engagement is likes, shares, comments, or saves. Furthermore, millennials have also proven to be more loyal to companies who engage directly with users on social media. In fact, according to a Forbes study, 62 percent of millennials state that they are more likely to be loyal to a brand if they interact directly with them on social media. For example, GoPro has successfully implemented this strategy of engagement by posting a “Photo of the Day” on their Instagram selected from a customer’s content. This allows the customers to feel more connected to the brand, as well as encourage other users to actively promote their brand on social media.
3) Brands that are Charitable
Recent studies prove that almost as many as 50% of millennials are inclined to make a purchase, or even pay extra, if it is supporting a good cause. This generation is very interested in making an impact, and even promoting companies when they engage in their charitable activities. For example, TOMS successfully used a philanthropic approach by giving a pair of shoes to a person in need for every pair of shoes sold. With this unique approach, TOMS quickly gained millennial’s attention and many customers chose to share this story with the friends.