It’s estimated that the population of the Millennial generation, which consists of people born between 1980 and the early 2000s, will surpass the population of the Baby Boomer generation in the next year. This generation isn’t just large in size–Millennials also have a lot of buying power. In fact, it’s been reported that this generation spends around $200 billion every year, and that number is expected to rapidly grow over the next several years.
Based on these statistics, it’s not hard to see why so many marketers are eager to win Millennial consumers over. Marketers are especially interested in targeting Millennial women, who tend to spend more and make the majority of purchase decisions. If you’re targeting Millennial women, it’s important to understand how to drive them to try your brand. According to a new report, memorable experiences are the driving factor behind the majority of purchase decisions made by Millennial women.
Why Millennial Women Buy
Merkle and Levo recently released a new report entitled “Why Millennial Women Buy.” According to this research, nearly three-quarters of Millennial women say that spending their money on experiences makes them happier than buying new products. These women are putting their money where their mouth is, too. Nearly half of Millennial women said the biggest purchases they made within the last year were on experiences. Furthermore, these women do not expect their buying habits to change in the near future. Fifty-four percent of Millennial women surveyed said that they believe experiences will continue to account for their biggest purchases in the next year.
Based on the information within this report, it is clear that Millennial women value experiences over tangible products. This is in line with the results of other studies that have shown that Millennials are more interested in spending money on experiences than on “things.”
What Factors Do Millennial Women Consider When Making A Purchase?
The report also revealed important information regarding the many factors that Millennial women consider when making purchase decisions. About 60% of Millennial women admit that their purchase decisions are influenced by a brand’s values and stance on important social issues. That’s not the only factor that can persuade Millennial women to try your brand. The women studied in this report revealed that they are also heavily influenced by a brand’s sustainability and their representation of a diverse population.
These women take learning about their favorite brands rather seriously. Almost half of the survey respondents claimed to know the story of how their favorite brand was founded. Impressively, about 40% of Millennial women can name the founder of their favorite brands as well.
Millennial women work hard for their money–in fact, 40% of the women surveyed said they work full-time and do additional work on the side to earn more money. The last thing Millennial women want is for their money to go to waste, which is why they also consider the value and price of a product or experience before purchasing it. Three-quarters of Millennial women will consider the value of their purchase before making a decision, while 87% of Millennial women check the price prior to whipping out their credit card.
Millennials known for being tech-savvy, so it’s not surprising to learn that many women in this generation rely on online reviews and influencers to help them make purchase decisions. Influencers still have the power to persuade consumers, but this specific audience would rather turn to family and friends for recommendations.
The final factor that affects the average Millennial woman’s purchase decisions is nostalgia. Forty-seven percent of the women surveyed for this report admitted that they enjoy doing business with brands that were a part of their childhood.
How Marketers Should Use This Research
This research is incredibly valuable to marketers–that is, if they know how to use it. Millennial women are obviously drawn to experiences, which is why it’s so important for marketers to focus on experiential marketing events when targeting this audience. Millennial women are always looking for new experiences, so an exciting event will certainly appeal to them. Since most Millennial women are also price-conscious, a branded event with free entertainment should be a major hit with this audience.
But, marketers must make an effort to plan an event that will relate to Millennial women on a personal level. After all, this audience wants to get to know the brands they do business with inside and out. Marketers can earn their loyalty by using experiential marketing events to connect with Millennial women on a deeper level.
Marketers should also take note of how Millennial women appreciate a brand’s story, values, sustainability, and stance on social issues. Since these factors are important to Millennial women, marketers need to highlight them in their campaigns.
Brands can also reach this audience by launching campaigns designed to make Millennial women feel nostalgic. This tactic was recently used by Limited Too, which launched a pop-up shop in New York City to remind Millennial women of their childhood experiences shopping at the retailer. Countless Millennial women–many of whom brought their own children–visited the pop-up shop to relive their childhood and reminisce about their favorite products. If a brand can recreate the magic of a Millennial woman’s childhood, they can create a lasting connection with her on an emotional level.
There are a lot of stereotypes about the Millennial generation, specifically that they are lazy, entitled, and financially irresponsible. But, it’s important for marketers to understand who Millennials really are, especially Millennial women. If you’re interested in targeting Millennial women with an experiential marketing event, contact Factory 360 today. Let our team plan the perfect event to reach your target audience.Share This Post On Social Media!