Marketing to Millennials - US - June 2018

OVERVIEW
What you need to know
Definition
EXECUTIVE SUMMARY
Overview
Figure 1: Number of births (in millions) by year
Millennials exceeding their expectations for family life
Highlights
Considerations
Figure 2: Millennials’ life expectations, March 2018
Family is a top priority for 2018
Highlights
Considerations
Figure 3: Millennial priorities, March 2018
Personal experiences and passions set Millennials apart
Highlights
Considerations
Figure 4: Millennials’ unique qualities, March 2018
Millennials want to stand out in a crowd
Highlights
Considerations
Figure 5: Self-perceptions, March 2018
Kids are seen as a big responsibility and expense
Highlights
Considerations
Figure 6: Attitudes toward parenting, March 2018
Brands are clued in to the Millennial experience
Highlights
Considerations
Figure 7: Millennial purchase priorities, March 2018
What it means
THE MARKET – WHAT YOU NEED TO KNOW
Millennials are the largest generational group
This group is aging up, and catching up
Working their way up
Managing their money
MILLENNIAL DEMOGRAPHICS
Millennials are a large, influential generation
Figure 8: Population by generation, 2018
Demographic profile of Millennials
Figure 9: Millennial consumer, by key demographics, March 2018
Inclusion an important consideration for Millennials
Figure 10: Generations, by race and Hispanic origin, 2018
MILLENNIALS AT HOME
Millennials fall below average for homeownership
Figure 11: Homeownership rate, by age of householder, 2000-17
Figure 12: Median US home values, 1963-2017
Young Millennials still living with friends
Figure 13: Households, by age of householder and type of household, 2017
THE MILLENNIAL MARRIAGE
Millennials get together, but keep finances apart
Figure 14: Median age at first marriage, by gender, 2006-16
Outsourcing housework can save the Millennial marriage
Dishes may be primary area for complaint
About half of Millennials are parents
Figure 15: Households with own children under age 18, by age of householder, 2017
Millennial families are smaller, and come later in life
Figure 16: Annual births and general fertility rate, 2006-16
MILLENNIALS AT WORK
Millennials are a critical part of the work force
Figure 17: Labor-force status of people aged 16 or older, annual averages, by age, 2016
Women work to close the wage gap
Figure 18: Median earnings of full-time, year-round workers, by gender and female-to-male earnings ratio, in inflation-adjusted dollars, 1960-2016
MILLENNIALS AND MONEY
Household income will likely grow
Figure 19: Median household income, by age of householder, 2016
Millennials make room in their budgets for fun
Figure 20: Geico print ad, July 2017
Figure 21: Where extra money is spent, November 2017
Young Millennials have stretched budgets
Figure 22: Current financial situation, February 2018
Student debt may be subsiding
Figure 23: Unsecured debt ownership – Student loan and credit card debt, by age, August 2017
Young Millennials are optimistic about the future
Figure 24: Financial outlook, February 2018
KEY TRENDS – WHAT YOU NEED TO KNOW 
Looking forward means looking back
Millennials stand out at work
Purpose is key
The clean-eating Millennial
Everything on demand
WHAT’S WORKING?
Nostalgia
Who’s doing this well?
Figure 25: Pepsi Generations "This is the Pepsi" | Super Bowl LII Commercial | Pepsi | :30, February 2018
Figure 26: Freshly Picked Disney Styles, December 2017
Astrology
Who’s doing this well?
Figure 27: Bite Beauty Astrology by Bite - Amuse Bouche Lipstick, February 2018
Easy Investing
Who’s doing this well?
Figure 28: Betterment Mobile Advertisement, April 2018
Figure 29: What is Betterment? January, 2018
Figure 30: Meet Swell Investing - Where purpose meets profit, May 2017
The Millennial calling card
Who’s doing this well?
Millennial style
Who’s doing this well?
Figure 31: SmashMallow – Strawberries & Cream Snackable Marshmallows
WHAT’S STRUGGLING?
Brands without purpose
Feeling the impact: baby care
Rebels without a ride
Feeling the impact: motorcycles
Just another Meatless Monday
Feeling the impact: hot dogs and sausages
WHAT’S NEXT?
Door to door
What to watch
Anti-aging for the young
What to watch
Figure 32: Murad Environmental Shield - City Skin Age Defense Broad Spectrum SPF 50 PA++++
Sustainable travel
What to watch
THE CONSUMER – WHAT YOU NEED TO KNOW
Millennials are meeting expectations
Settling down is top of mind
Millennials celebrate their unique passions
Standing out is still favored, but maybe not for long
Millennials are practical parents
Marketers continue to win with this group
LIFE EXPECTATIONS
Millennials take stock
Family life brings joy
Careers don’t seem to be the primary focus
Health is meeting expectations – for now
Figure 33: Millennials’ life expectations, March 2018
All generations are feeling the love of family
Figure 34: Life expectations – family life, by generation, March 2018
Young generations need to save or be saved
Figure 35: Life expectations – financial life, by generation, March 2018
Millennial men are exceeding their expectations
Figure 36: You’ve Got This, Mom On! June, 2017
Figure 37: Millennials’ life expectations – by gender, March 2018
CURRENT PRIORITIES
Millennial goals mirror areas of satisfaction
Figure 38: Millennial priorities, March 2018
In their own words: What are your priorities this year?
Married couples interested in an upgrade
Figure 39: HomePod — Welcome Home by Spike Jonze — Apple, March 2018
Figure 40: Amazon Alexa Moments: Story Time (Amazon Echo Commercial), April 2018
Figure 41: Millennial priorities – home upgrades, by key demographics, March 2018
Millennial women are challenged with opposing priorities
Figure 42: Millennial priorities, by gender, March 2018
Millennials of all income levels may look to simplify
Figure 43: Millennial priorities, by household income, March 2018
Millennials without kids show broader range of interests
Figure 44: Millennial priorities, by parental status, March 2018
UNIQUE QUALITIES
Millennials focus on the individual
Figure 45: Will finds a way, April 2018
Figure 46: Millennials’ unique qualities, March 2018
In their own words: What are your unique qualities?
Optimism is the Millennial lens
Figure 47: TURF Analysis – What makes you different, March 2018
Women focus on family, but may find less meaning in tradition
Figure 48: Millennials’ unique qualities, by gender, March 2018
Personal experiences transition to family plans for parents
Figure 49: School Pickup ft. Kathryn Hahn | Chrysler Pacifica S, March 2018
Figure 50: Millennials’ unique qualities, by parental status, March 2018
SELF-PERCEPTIONS
Standing out beats fitting in
Figure 51: Self-perceptions – standing out, March 2018
Standing out is for the young
Figure 52: Standing out vs fitting in, by generation, March 2018
Young generations prepared to take risks
Figure 53: New Obstacles Revealed: Tough Mudder 2018 | Tough Mudder, January 2018
Figure 54: Risk vs caution, by generation, March 2018
Millennials see less negativity
Figure 55: Perceptions of negativity, by generation, March 2018
Is Millennial optimism fading?
Figure 56: Perceptions of negativity, by generation, March 2018
MILLENNIALS AS PARENTS
Children are more work than fun
Figure 57: Attitudes toward parenting, March 2018
In their own words: How old do you feel?
Younger generations share more reservations about parenting
Figure 58: Attitudes toward parenting – select items, by generation, March 2018
Even older Millennials may not feel ready to be parents
Figure 59: Attitudes toward parenting – desire to have children, by young generations, March 2018
Millennial moms see the blessing (and the curse) of having kids
Figure 60: Attitudes toward parenting – desire to have children, by young generations, March 2018
Parents feel the extension of their families
Figure 61: Bring Merry Back - House of Fraser Christmas Advert, November 2017
Figure 62: Family traditions, by parental status, March 2018
PURCHASE PRIORITIES
Millennials have a plan, but give in to impulse
Millennials feel the brand focus
Social media encourages browsing
Figure 63: Wendy’s Twitter Feed, select posts, March – April, 2018
Figure 64: Denny’s Twitter Feed, select posts, April, 2018
Figure 65: Millennial purchase priorities, March 2018
Brands may need to reconnect with Millennial women
Figure 66: Millennials and brands, by gender, March 2018
Parents are a brand focus
Figure 67: Millennials and brands, by gender, March 2018
MILLENNIAL SHOPPING SEGMENTS
Factors
Figure 68: Millennial shopping segments, March 2018
Segment 1: Know-It-Alls (33%)
Opportunity
Characteristics
Segment 2: Haste Makers (24%)
Opportunity
Characteristics
Segment 3: Planners (21%)
Opportunity
Characteristics
Segment 4: Free Spirits (22%)
Opportunity
Characteristics
APPENDIX – DATA SOURCES AND ABBREVIATIONS
Data sources
Consumer survey data
Methodology
Consumer qualitative research
Direct marketing creative
Abbreviations and terms
Abbreviations
Terms
APPENDIX – MILLENNIAL DEMOGRAPHICS
Figure 69: Population by generation, 2013-23
Figure 70: Generations, by race and Hispanic origin, 2018
Figure 71: Homeownership rate, by age of householder, 2000-17
Figure 72: Median US home values, 1963-2017
Figure 73: Households, by age of householder and type of household, 2017
Figure 74: Median age at first marriage, by gender, 2006-16
Figure 75: Households with own children under age 18, by age of householder, 2017
Figure 76: Annual births and general fertility rate, 2006-16
Figure 77: Labor-force status of people aged 16 or older, annual averages, by age, 2016