One of the most difficult aspects of creating effective marketing strategies for Generation Y is finding two sources that actually agree on who this group represents. But because most agree they are some 80 million-plus strong and will soon comprise the largest percentage of workers in the US, it's critical for marketers to understand what makes Generation Y tick, and how to reach them.
Also known as Millennials, Connecteds, the Internet Generation and Echo Boomers (due to the fact that they are the children or grandchildren of Baby Boomers), Gen Y typically refers to people born between the late 1970s and 2000, with some demographers narrowing that even further to include only those born after 1980 and before 1999. Regardless of which span of years you focus on, the general agreement is that Gen Yers share certain distinct characteristics that include: 1) a high-level of tech savvy, 2) a low interest in traditional media and 3) a tendency to eschew many of the brands that their parents and grandparents were loyal to, in favor of brands that their parents and grandparents may be completely unfamiliar with.
Naturally, this combination of factors can test even the most creative marketer's mettle. But, its also gives us the opportunity to think out of the box and develop effective, engaging marketing campaigns that Gen Yers can "totally" relate to. For example, consider how this group has grown up during a time of almost dizzying technological advances, all the way from vinyl records, video cassettes and pagers to CDs and music downloads, DVDs and Blue Ray, and smartphones. Barely any device they use for communication or entertainment existed 20 years ago, and those that did seem prehistoric when compared with today's gadgets. So it should come as no surprise that this age group prefers to watch movies, listen to music or get their news commercial free. The fact is they can.
Technology isn't the only thing that has influenced and helped shape the Gen Y spirit and approach to life. News stories such as the explosion of the space shuttle Challenger, the Bill Clinton/Monica Lewinsky affair, the fall of both the Berlin Wall and the Soviet Union, the death of Princess Diana and the acquittal of O.J. Simpson, the 9/11 attacks and shootings at Columbine High School have most definitely played a part in how they think and what they consider important. As a result, this generation tends to rely more on word of mouth and real-time communication for their information, while also supporting political and charitable causes, craving comfort (in attire as well as in their work and living surroundings) and putting a high priority on connection to friends and family.
The fact that they abandon the "old school" apparel, beverages and entertainment preferences of the generations before them is perhaps the most predictable of the Gen Y behaviors. What generation, particularly in the US, hasn't done the same? If anything, we should find this product rebellion reassuring; it's the hallmark of an age group trying to establish and define itself.
So what do we marketers need to do to get our messages through to this high tech, hyper connected, casually dressed, socially entrenched generation? Here are some suggestions:
1. Meet them on their own turf. Ninety-five percent of Gen Yers own cell phones, and 70 percent have laptops. They job hunt, apply to colleges, shop, keep informed, play games, search for places to live and socialize via one or both of these tools. One in five has never subscribed to cable TV and another 30 percent are considering "cutting the cord." Staying abreast of mobile and social media marketing trends and success stories while forgoing mainstream advertising outlets is essential to getting your product or service on the Millenial's radar.
2. Aim for generating buzz. Given the social nature of these young adults and their reliance on word of mouth, the most successful Gen Y campaigns engage them in the conversation. Holding a Facebook contest, posting a video that goes viral or staging a live event are just a few of the ways to snag their attention.
3. Connect with a cause. According to a 2011 Walden University report, this generation has supported various social causes in large numbers, with 81 percent stating they had donated money, services or goods during the preceding 12 months, 70 percent saying they had educated others about a cause or issue and nearly the same number participating in a volunteer activity. Linking a product to something Gen Yers can feel passionate about is a strategy that has already worked well for some brands and will continue to do so.
4. Respect their knowledge. Gen Y collectively possesses the highest level of education in history, with more than 80 percent holding a high school degree or higher. Combined with their tech savvy and social nature, this makes them a questioning and demanding population. Marketing strategies, therefore, need to anticipate any questions they may have and respond accordingly.
5. Capture their attention as quickly as possible. Connected 24/7 and with so many things to read, see and do, Gen Yers are constantly bombarded with incoming messages. As a result, they have become adept at multi-tasking in order to squeeze as much into their days as possible. If your campaign doesn't immediately grab them, they most likely won't even see it, much less talk about or act on it.
Comprising between 25 and 30 percent of the U.S. population and with a reported $200 billion in annual purchasing power, Generation Y is indeed a marketing pro's dream come true. As with other generations, however, the key to reaching them with your marketing messages lies in understanding what attracts and motivates them.
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