|By Marketwired .||
|November 8, 2012 12:01 AM EST||
BOSTON, MA -- (Marketwire) -- 11/08/12 -- Restaurants, apparel retailers, and shopping malls should provide more tailored offerings to capture the hearts and wallets of the Millennial Generation, also known as Generation Y, according to new research by The Boston Consulting Group (BCG).
BCG's Center for Consumer and Customer Insight, in partnership with Service Management Group (SMG) and Barkley, surveyed 4,000 U.S. Millennials (defined as those 16 to 34 years old) and 1,000 non-Millennials (ages 35 to 74) to find out how their attitudes and spending habits differ. The results appear in a new article Millennial Passions: Food, Fashion, and Friends, which is available at bcgperspectives.com.
According to the survey, U.S. Millennials love to spend on away-from-home food and fashion. They dine and shop in groups; crave exciting, exotic dining experiences and experiential, lifestyle shopping environments; want to share their experiences with friends; and exert a strong influence over others -- family, friends, and even total strangers -- thanks to their intense use of social media.
Their attitudes, needs, and preferences are often quite different from those of non-Millennials as well as those of one another, so restaurants, apparel chains and malls need to develop more tailored offerings to attract them, the survey found. Below are more detailed findings.
Restaurants Are High on Millennials' Spending List
Restaurant meals and drinks are high on the list of what Millennials like to spend their money on -- ranking above consumer electronics, apparel, footwear, beauty and cosmetic products, and accessories.
They eat out more often than non-Millennials (3.4 versus 2.8 times per week), regardless of their income or household composition, and they prefer fast, fast-casual, takeout, Asian, exotic, and organic foods more than non-Millennials do. They're more likely to get food to go than to dine at the restaurant -- particularly at breakfast. Millennials spend slightly more than non-Millennials on average; indeed, a subgroup spends considerably more.
Millennials are much more likely to eat out with friends and coworkers (reported by 65 percent of Millennials compared with 43 percent of non-Millennials). They want to feel that they are "exploring something new" and that they can "easily catch up with friends."
Millennials visit mainstream casual restaurants but prefer fast-casual options such as Panera Bread, Chipotle Mexican Grill, and Pei Wei Asian Diner. "Regardless of price point, Millennials expect a great dining experience," said Chris Egan, the chief operating officer at SMG and a coauthor of the report. "Affordable fast-casual and fast food restaurants with locally sourced goods, exotic flavors, and service levels historically reserved for higher-quality restaurants will most likely garner a disproportionate share of Millennial dining spending."
Shopping for Clothing -- in Groups -- Is a Favorite Millennial Activity
Forty-seven percent of Millennial women reported shopping more than twice a month, compared with 36 percent of non-Millennial women. This difference in shopping frequency was even more striking among men (38 percent for Millennial men versus 10 percent for non-Millennial men). Millennial men spend twice as much on apparel per year as non-Millennial men; Millennial women outspend non-Millennial women by a third.
Fashion magazine articles and editorials, retailer websites, apparel brand websites and social media, fashion blogs, and store associates are top sources of trusted information on trends, products, and brands for Millennials.
As with dining-out preferences, Millennials tend to shop in groups and consider the opinions of others more than non-Millennials.
Millennials and non-Millennials prefer different apparel brands. Among the Millennial favorites: for women, Old Navy, Forever 21, Target private brands, Express, Aéropostale, Hollister, and H&M; for men, Nike and adidas. "Dual gender" favorites are Gap, American Eagle Outfitters, and Abercrombie & Fitch. Levi's, a non-Millennial favorite, is popular among Millennials, but less so.
Millennials prefer an experiential, lifestyle environment (such as that offered by Hollister or Abercrombie & Fitch), like to receive help and approval from fashion consultants rather than just basic sales assistance, and value store environmental factors more than their non-Millennial counterparts.
Retailers, Malls, and Restaurants Can Win Over Millennials
To win over Millennial consumers, the article says, retailers and shopping malls will need to consider several factors. They should emphasize group-shopping experiences, create in-store events and social forums, use mobile apps and social media, integrate their in-store and online offerings so that Millennials can compare prices on their smartphones or return their online purchases in stores, and in general make shopping fun, fast, and easy. Malls will want to ensure that they have the right mix of stores and restaurants to drive traffic.
For restaurants, the keys to success will include faster service (along with ready-to-eat and to-go options), fast-casual formats, and happy-hour, late-night, and bar experiences. Technology should again play a central role -- options such as online reservations and self-ordering systems will appeal to Millennials. And social media will matter to restaurants as well. Finally, menus themselves should include unusual, exotic, organic, or local ingredients, including "crowd sourced" options.
To stay relevant to Millennials over the next three to eight years and retain their popularity with the succeeding generation that will begin to emerge in stores and online in this time frame, stores and brands that target teens and young adults must reinvent themselves.
"For brands that appeal more to non-Millennials, as well as luxury and accessible-luxury brands and multibrand, multicategory formats like department stores, the challenge is fundamentally different: how to introduce their goods and brands to Millennials at the appropriate life stage and with authentic and relevant products," Christine Barton, a partner at BCG and lead author of the article, said. "And, importantly, when to do so, given that Millennials are not their core customers today, but will be in ten years."
To succeed, all companies must use language, marketing messages, causes, and spokespersons that relate to members of this generation.
Millennials' Impact Will Be Significant -- and Not Just on Their Peers
Millennials have a strong influence on each other -- they value experts but have redefined "expert" to mean someone with firsthand experience, often a friend or peer, not a critic or academic. "Millennials' impact will extend beyond generational lines," said Jeff Fromm, an executive vice president at Barkley and a coauthor of the report. Millennial brand preferences and buying patterns are early indicators of trends among non-Millennial consumers. Millennials live their lives on social media. Their attitudes spread quickly among their peers, then reach across generational lines. For example, non-Millennials report influencing the spending and product and brand preferences of spouses and kids; by comparison, Millennials perceive their influence to be over parents, siblings, grandparents, classmates, coworkers, roommates, and even complete strangers.
"Interestingly," Barton said, "Millennials report more likelihood to broadcast negative experiences or to look for 'knockout' criteria on a brand or product online compared, for example, with non-Millennial women, who report willingness to post positive as well as negative reviews and stories."
Research on Millennials can begin close to home. "Most retailers and restaurants already have access to a powerful tool: the Millennials on their own staff, who can be a valuable source of advocacy, insights and new ideas," Barton said. "Quick research close to home can be the key to winning over the Millennial generation."
To arrange an interview with one of the authors, please contact Alexandra Corriveau at +1 212 446 3261 or [email protected].
About The Boston Consulting Group
The Boston Consulting Group (BCG) is a global management consulting firm and the world's leading advisor on business strategy. We partner with clients from the private, public, and not-for-profit sectors in all regions to identify their highest-value opportunities, address their most critical challenges, and transform their enterprises. Our customized approach combines deep insight into the dynamics of companies and markets with close collaboration at all levels of the client organization. This ensures that our clients achieve sustainable competitive advantage, build more capable organizations, and secure lasting results. Founded in 1963, BCG is a private company with 77 offices in 42 countries. For more information, please visit bcg.com.
About BCG's Center for Consumer and Customer Insight
The Boston Consulting Group's Center for Consumer and Customer Insight applies a unique, integrated approach that combines quantitative and qualitative consumer research with a deep understanding of business strategy and competitive dynamics. The center works closely with BCG's various practices to translate its insights into actionable strategies that lead to tangible economic impact for our clients. In the course of its work, the center has amassed a rich set of proprietary data on consumers from around the world, in both emerging and developed markets. The Center for Consumer and Customer Insight is sponsored by BCG's Marketing and Sales and Consumer practices, with support from the Global Advantage practice in emerging markets. For more information, please visit BCG - Center for Consumer and Customer Insight.
Barkley believes that creativity and innovation can change the world. As the nation's largest employee-owned advertising agency, they are fiercely independent and committed to adding GOOD. Barkley's goal is to help build the biggest future possible for their clients. They provide fully integrated advertising services as well as specialized services through four partner companies: Crossroads, PR and Cause Marketing; Blacktop, Branding and Design; Barkley REI, Interactive Marketing; and Grenadier, Strategic and Creative. For more information, please visit http://barkleyus.com/.
About Service Management Group
SMG helps its clients drive business results by improving customer loyalty and employee engagement. SMG has a rich history in innovation, providing proprietary data-collection, reporting, and insight tools for front-line and executive levels. Each year, SMG collects and evaluates over 70 million surveys in 65 countries and 29 languages for more than 225 brands. To request more information about SMG, email Joe Sciara at [email protected] or call 816-448-4500.
Bcgperspectives.com is a new website -- available on PC, mobile phone, and iPad -- that features the latest thinking from BCG experts as well as from CEOs, academics, and other leaders. It covers issues at the top of senior management's agenda. It also provides unprecedented access to BCG's extensive archive of thought leadership stretching back almost 50 years to the days of Bruce Henderson, the firm's founder and one of the architects of modern management consulting. All of our content -- including videos, podcasts, commentaries, and reports -- can be accessed via PC, mobile, iPad, Facebook, Twitter, and LinkedIn.
The list of ‘new paradigm’ technologies that now surrounds us appears to be at an all time high. From cloud computing and Big Data analytics to Bring Your Own Device (BYOD) and the Internet of Things (IoT), today we have to deal with what the industry likes to call ‘paradigm shifts’ at every level of IT. This is disruption; of course, we understand that – change is almost always disruptive.
Mar. 27, 2015 08:15 PM EDT Reads: 949
SYS-CON Events announced today that Cisco, the worldwide leader in IT that transforms how people connect, communicate and collaborate, has been named “Gold Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Cisco makes amazing things happen by connecting the unconnected. Cisco has shaped the future of the Internet by becoming the worldwide leader in transforming how people connect, communicate and collaborate. Cisco and our partners are building the platform for the Internet of Everything by connecting the...
Mar. 27, 2015 07:00 PM EDT Reads: 5,073
SYS-CON Events announced today that robomq.io will exhibit at SYS-CON's @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. robomq.io is an interoperable and composable platform that connects any device to any application. It helps systems integrators and the solution providers build new and innovative products and service for industries requiring monitoring or intelligence from devices and sensors.
Mar. 27, 2015 06:00 PM EDT Reads: 1,312
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here
Mar. 27, 2015 06:00 PM EDT Reads: 1,639
Temasys has announced senior management additions to its team. Joining are David Holloway as Vice President of Commercial and Nadine Yap as Vice President of Product. Over the past 12 months Temasys has doubled in size as it adds new customers and expands the development of its Skylink platform. Skylink leads the charge to move WebRTC, traditionally seen as a desktop, browser based technology, to become a ubiquitous web communications technology on web and mobile, as well as Internet of Things compatible devices.
Mar. 27, 2015 06:00 PM EDT Reads: 1,688
Docker is an excellent platform for organizations interested in running microservices. It offers portability and consistency between development and production environments, quick provisioning times, and a simple way to isolate services. In his session at DevOps Summit at 16th Cloud Expo, Shannon Williams, co-founder of Rancher Labs, will walk through these and other benefits of using Docker to run microservices, and provide an overview of RancherOS, a minimalist distribution of Linux designed expressly to run Docker. He will also discuss Rancher, an orchestration and service discovery platf...
Mar. 27, 2015 04:15 PM EDT Reads: 2,334
Sonus Networks introduced the Sonus WebRTC Services Solution, a virtualized Web Real-Time Communications (WebRTC) offer, purpose-built for the Cloud. The WebRTC Services Solution provides signaling from WebRTC-to-WebRTC applications and interworking from WebRTC-to-Session Initiation Protocol (SIP), delivering advanced real-time communications capabilities on mobile applications and on websites, which are accessible via a browser.
Mar. 27, 2015 04:00 PM EDT Reads: 1,655
SYS-CON Events announced today that Aria Systems, the leading innovator in recurring revenue, has been named “Bronze Sponsor” of SYS-CON's @ThingsExpo, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Proven by the world’s most demanding enterprises, including AAA NCNU, Constant Contact, Falck, Hootsuite, Pitney Bowes, Telekom Denmark, and VMware, Aria helps enterprises grow their recurring revenue businesses. With Aria’s end-to-end active monetization platform, global brands can get to market faster with a wider variety of products and services, while maximizin...
Mar. 27, 2015 04:00 PM EDT Reads: 1,500
SYS-CON Events announced today that Vitria Technology, Inc. will exhibit at SYS-CON’s @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Vitria will showcase the company’s new IoT Analytics Platform through live demonstrations at booth #330. Vitria’s IoT Analytics Platform, fully integrated and powered by an operational intelligence engine, enables customers to rapidly build and operationalize advanced analytics to deliver timely business outcomes for use cases across the industrial, enterprise, and consumer segments.
Mar. 27, 2015 03:30 PM EDT Reads: 2,100
SYS-CON Events announced today that Akana, formerly SOA Software, has been named “Bronze Sponsor” of SYS-CON's 16th International Cloud Expo® New York, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. Akana’s comprehensive suite of API Management, API Security, Integrated SOA Governance, and Cloud Integration solutions helps businesses accelerate digital transformation by securely extending their reach across multiple channels – mobile, cloud and Internet of Things. Akana enables enterprises to share data as APIs, connect and integrate applications, drive part...
Mar. 27, 2015 03:15 PM EDT Reads: 1,368
After making a doctor’s appointment via your mobile device, you receive a calendar invite. The day of your appointment, you get a reminder with the doctor’s location and contact information. As you enter the doctor’s exam room, the medical team is equipped with the latest tablet containing your medical history – he or she makes real time updates to your medical file. At the end of your visit, you receive an electronic prescription to your preferred pharmacy and can schedule your next appointment.
Mar. 27, 2015 03:15 PM EDT Reads: 442
The WebRTC Summit 2014 New York, to be held June 9-11, 2015, at the Javits Center in New York, NY, announces that its Call for Papers is open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 16th International Cloud Expo, @ThingsExpo, Big Data Expo, and DevOps Summit.
Mar. 27, 2015 03:00 PM EDT Reads: 1,344
SYS-CON Events announced today that Solgenia will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY, and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Solgenia is the global market leader in Cloud Collaboration and Cloud Infrastructure software solutions. Designed to “Bridge the Gap” between Personal and Professional Social, Mobile and Cloud user experiences, our solutions help large and medium-sized organizations dr...
Mar. 27, 2015 03:00 PM EDT Reads: 2,641
SYS-CON Events announced today that Liaison Technologies, a leading provider of data management and integration cloud services and solutions, has been named "Silver Sponsor" of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York, NY. Liaison Technologies is a recognized market leader in providing cloud-enabled data integration and data management solutions to break down complex information barriers, enabling enterprises to make smarter decisions, faster.
Mar. 27, 2015 03:00 PM EDT Reads: 3,347
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Mar. 27, 2015 02:00 PM EDT Reads: 2,910
SYS-CON Events announced today that CommVault has been named “Bronze Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY, and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. A singular vision – a belief in a better way to address current and future data management needs – guides CommVault in the development of Singular Information Management® solutions for high-performance data protection, universal availability and sim...
Mar. 27, 2015 02:00 PM EDT Reads: 1,489
Cloud is not a commodity. And no matter what you call it, computing doesn’t come out of the sky. It comes from physical hardware inside brick and mortar facilities connected by hundreds of miles of networking cable. And no two clouds are built the same way. SoftLayer gives you the highest performing cloud infrastructure available. One platform that takes data centers around the world that are full of the widest range of cloud computing options, and then integrates and automates everything. Join SoftLayer on June 9 at 16th Cloud Expo to learn about IBM Cloud's SoftLayer platform, explore se...
Mar. 27, 2015 02:00 PM EDT Reads: 1,520
SYS-CON Media announced today that 9 out of 10 " most read" DevOps articles are published by @DevOpsSummit Blog. Launched in October 2014, @DevOpsSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce softw...
Mar. 27, 2015 01:00 PM EDT Reads: 2,370
Wearable technology was dominant at this year’s International Consumer Electronics Show (CES) , and MWC was no exception to this trend. New versions of favorites, such as the Samsung Gear (three new products were released: the Gear 2, the Gear 2 Neo and the Gear Fit), shared the limelight with new wearables like Pebble Time Steel (the new premium version of the company’s previously released smartwatch) and the LG Watch Urbane. The most dramatic difference at MWC was an emphasis on presenting wearables as fashion accessories and moving away from the original clunky technology associated with t...
Mar. 27, 2015 12:45 PM EDT Reads: 1,097
The world's leading Cloud event, Cloud Expo has launched Microservices Journal on the SYS-CON.com portal, featuring over 19,000 original articles, news stories, features, and blog entries. DevOps Journal is focused on this critical enterprise IT topic in the world of cloud computing. Microservices Journal offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. Follow new article posts on Twitter at @MicroservicesE
Mar. 27, 2015 12:00 PM EDT Reads: 1,302