Researching the Millennial Mind

Carol PhillipsPresident, Brand Amplitude, LLC

with

Josip Petrusa, Millennial

Today

How Are Millennials Different?

What It Means For Marketers

Research Approaches

Millennials Gen X Boomers Silents Greatest

Present Age

Birth year

13-17

1993-1997

65-82

1928-1945

46-64

1946-1964

18-29

1981-1992

30-45

1965-1980

83-100

Before 1928

66,145M 76,511M

32,418M

7,810M

73,198M

Source: U.S. Census, Projected Population by Single Year of Age, released 2008 based on 2000 dataAge Categories Based on Pew Research:

Who Are The Millennials? (Gen Y)

What Made Them So Special?

Child-centric parenting styles

Unprecedented prosperity

Massive technological changeYou Rock !

Are Millennials REALLY Different?

Values Shift

New Forms of Communication

Personalized, Portable Media

Making Different Life Choices

Greater Connectedness

Better Filters

What’s Changed? Why It Matters

Values Have ShiftedDriven to make a difference

“Yes we really are great. I will even go so far as to say that we are

awesome. It’s something that we say because it’s a goal for us. It’s

something to live up to each and every day. We constantly strive for

awesomeness.” – Colby Gergon, 21

@GenyChat: Do you believe there are generational differences in how personal and material success are defined?

@kelly_ashworth: Absolutely! I think GenY will be less focused on $ which failed for many of our parents and more focused on happiness.

.@malapropicninny: Heck yes. As GenY, I’d like to have a nest egg, but if I’m working & doing something I love, I don’t mind the lifelong grind!

@steve_campbell: Definitely. Gen Y doesn’t necessarily care about following a set path to find happiness. Experiences seem to be a bigger part of our lives.

@Outlaw_Inc: Yes. GenY’s success = having the freedom and flexibility to pursue passions, have great experiences.

80% have a console gaming device

75% have a cell phone

23% have a smart phone

79% have an iPod or mp3 player

51% have a handheld gaming device

Communications Have Shifted

“[Without my phone] I felt quite alone and secluded from my life. Although I go to a school with thousands of students, the fact that I was not able to communicate with anyone via technology was almost unbearable.” ----Deprivation study participant

63% of Millennials (18-34 years old) say they feel more more connected to people now than

previously.

TV/Video PrintGamesComputerMusic/Audio Movies

4.5 Hours

38 min.1.25 Hours1.5 Hours

2.5 Hours

25 min.

Typical Amount of Time Spent Daily by 8-18 Year Olds

Source: Kaiser Family Foundation, 2010

Just 2:39 hours spent ‘live’.

Media Use Has Shifted

81% say ads are not relevant and 36% say they never look at them.

41% don’t want to see ads for companies or brands on social network sites.

Less than 1 out of 5 report being a fan or friend of a brand.

What’s happening?

Millennials are more likely to say they would choose to watch commercials they like. #pivotcon

13

Source: Mintel, March 2010

Total Adults

18-24years

I like the idea of having a DVR to record my entertainment preferences and then select commercials for me to view based on those preferences.

21% 42%

I would like to be able to view commercials on demand through a DVR.

9% 24%

% Adults 18+ with DVR Who Agree With Statement

What These Shifts Mean to Marketers

Active reputation managers

Expect brands to interact

Peer-to-peer influence

Brands need to stand for something

Brands need to ‘humanize’

Brands need to be ‘status up-date worthy’

What’s Changed? Why It Matters

Millennials identify strongly with the brands they love and use them to curate their personal brands. #pivotcon

Millennials Love Brands

63% of Gen Y women and 61% of Gen Y men describe themselves as ‘brand conscious’

“Young adults are finding their place in the world, and looking for products that can help communicate what they stand for. Many define success as growing and maturing as a person. And they tend to view brands as a means of expressing themselves, which is good news for brands“  --Nick Tabbal, SVP research, Resonate. 

Millennial Brand Values Indexed vs. Older Adults (35+)

Show others I have succeeded 191

Show the world where I am heading as a person 176

Help me achieve more in the future 138

Help me feel attractive 129

Make me feel like I've attained important milestones in my life 126

Brands Help Millennials ‘Curate’ Their Identities

Total Teens Automotive 26% 45% Personal Care 35% 45% Beverages 46% 58% Apparel 38% 59% Sports 39% 63% Technology 39% 67% Food / Dining 54% 69% Entertainment 57% 78%

Source: TallTrack WOM Diary Study

% Having One or More Brand Conversations About Category Per Day

Millennials Talk About Brands More Than Everyone Else

TargetHP

Honda

SpriteSamsungHollister

SonyNike DellChevroletMicrosoftToyotaWalmartSprint

Top 20 Most Discussed Brands

Source: TallTrack

Coca-ColaAppleVerizoniPodFordPepsiMcDonald’sAT&TT-Mobile

TeenagersGeneral Public

Millennials Talk About the Same Brands As Everyone Else

“No technological development can replicate the feeling of awe we feel when we witness a spectacular act, even if it’s in something as mundane as music or sports. This is why the icons for our generation will come from “people brands.”

– MBA student

Brands are people and people are brands. Brands are humanizing. Millennials actively manage their personal brands. #pivotcon

People are Brands – And Brands Are Becoming More Human

As for iconic brands for our generation, we are ourselves our most iconic brand, and not just because Time Magazine told us so in 2006 with You: as the Person of the Year. Who better for us to be the first to ‘discover’ our brands? …We now like Lady Gaga because there’s no one else like her, and shun N Sync and boy bands because there are a million copy cats.”

Brands are humanizing and people are becoming brands. Content and conversation will drive affinity and connection. #pivotcon

“As for iconic brands for our

generation, we are ourselves our most

iconic brand. Who better for us to be

the first to ‘discover’ our brands? …We

now like Lady Gaga because there’s

no one else like her, and shun N

Sync and boy bands because there

are a million copy cats.” – MBA

Student

Brands Succeed When They Lead Rather Than Follow

“There’s something attractive about a person who’s comfortable with who they are.  The same goes for brands.  You don’t want your brand to be like that person–you know who I’m talking about–that one person who’s always trying too hard to impress you.” -- MBA Student

Another paradox of Gen Y marketing: Trying to be cool makes you uncool. Better to be authentic. #pivotcon

Cool Brands Don’t Try to Be Cool

Even Classic Brands Can Be Cool

Brand AffinityBrand Affinity

Gen Y chooses brands based on alignment of values and interests. Who you are matters as much as what you do for me. #pivotcon

Brand Values & Culture

Gen Y Values & Culture

“Being seen as part of local culture is not a necessity, but being seen as relevant to local culture is.” – Nigel Hollis

Com

mitm

ent

Competence

Millennial Brand Strategy Foundations

Are our values aligned? Do you care about doing good in the world?

Do you get me and my world? Do you share my interests, humor and passions?

How do you make me feel smarter or more discerning? Do you help me use my time and money more efficiently?

MeaningPurpose

Noble Cause

Culturally AwareRelevant Content

Quirky, Real

Faster/Cheaper/BetterRicher Experience

More Personal

CaringPassionate

Making A Difference

IndividualisticUnique

In the Know

DiscerningEfficientSmart

Brand Values & Culture

Gen Y Values & Culture

Commitment

Competence

Culture

Research Implications

Deep cultural understanding

Values and interests

Performance needs

Identify interests and passions

Define meaningful brand purpose

Identify opportunities to better serve

What’s Changed?

Why It Matters

Internal panels or councils

Market research communities

Co-Creation

Netnography

Online Focus Groups

Emerging Research Approaches

“The site needs to be authentic to their voice and how they shop,” -- Charlie Federman, Chairman, PlumWillow  

“It went from us talking to them to us listening to them. We decided we might as well institutionalize it and make it part of our culture.” –

Scott Stone, Co-founder, PlumWillow

Internal Panels

In 2007, NASA employees prepared presentation for its leadership “Gen Y Perspectives” http://www.slideshare.net/ashwinl/nasa-geny-perspectives

Internal Panels

Meet Garret, Kristen, Aaron and Nick

Market Research Communities

Market Research Communities

How would you rate the value of the time and money you spend at museums relative to other leisure activities?

Gen Y Super Consumers: Perceived Value

Source: Brand Amplitude Survey, Sept 2010

High Value

Market Research Communities

Opportunity

Source: Brand Amplitude Survey, Sept 2010

Gen Y Super Consumers: Visit Frequency

Market Research Communities

Which three of the following strategies or events would be most likely to get you to visit a museum you like more often in the future?

Gen Y Super Consumers: What Would Increase Visit Frequency?

Market Research Communities

Market Research Communities

Market Research Communities

Customer Co-Creation

Netnography

39

-Do you relate to this story?-Does it matter to you and your life?-What, if anything, about this is uniquely Vogue? Think about…visual impact (photography, layout), the story (topic and way it’s told)

Online Focus Groups

40

Chris H: you, a friend, the beach and no worries

kass: And we've all gotten so used to the beach scene that it's hard to imagine Corona without the beach.

Luis B: The beach theme seems strictly coronas

Jason P: They relate to me because of the beach/relaxing theme

Are there any visual elements you can’t imagine NOT being in a Corona ad?

Online Focus Groups

Com

mitm

ent

Competence

What Makes A Brand ‘Status Update Worthy?

Thank you!

Carol Phillips

carol@brandamplitude.com@carol_phillips

http://linkedin/in/carolphillipshttp://facebook.com/carolphillips