ECON 222 Study Guide - Final Guide: Millennials, Nielsen Holdings Plc, Elite Daily
28 Oct 2018
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Demographics
Our target market is the millennial generation since we wish to sell to women ages 15 to 30. In
North America, there are 92 million millennials (ages 15 to 35) in total but approximately, 36
million women ages 15 to 30.
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Since 2016, they have become the largest generation taking over
the baby boomers.
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They are the most diverse generation to date with only 55.8% being
Caucasian in the United States. Contrary to millennials, the baby boomer generation is composed
up to 75% of Caucasians.
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The millennials are also the most educated generation. In 2013, 34%
of millennials had completed at least a bachelor's degree before the age of 30 compared to only
24% of baby boomers in 1979.
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These educated millennials choose to live in ‟core cities”. The
cities that populate the most millennials in north America, are New-York, Los-Angeles and
Chicago. This is due to their economic standing, multi-cultural backgrounds, museums,
restaurants and bottom line, ‟attractiveness”. Although, the population of millennials in
Pittsburgh, Detroit and Cleveland is also on the rise due to the fact that they are home to multiple
major research universities.
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Socio-Cultural
Brands
This generation was born in the new era of technology and it has become an integral part of their
daily lives. According to a study conducted by Nielsen, a renowned consumer research agency,
98% of 18 to 24 year olds and 97% of 25 to 34-year olds own a smartphone.
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Furthermore, a
global study by B2X, states that ‟25% of Millennials spend more than 5 hours on their
smartphone each day and more than 50% spend at least 3 hours”.
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Since they experienced the birth and growth of social media, their smartphone became an
extension of their arm. They have formed a need for constant interaction and dynamism.
Additionally, they grew up in a very fast-paced society with innovation at their fingertips where
trends evolve very rapidly. Therefore, it is difficult for brands to keep up with these and for
brands to impress millennials by old advertising strategies. Millennials are watching less live TV
and when watching online, companies wishing to advertise only have about 5 seconds to fully
grasp viewers’ attention before they are allowed to "skip" the add. Billabong, like many brands
today, has had trouble reaching its audience in the past few years. In the 2015 “Be on Board”
campaign, the first part of Billabong's vision was to “Focus on commitment to brand image and
generate stronger brand identity”
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, but how? During a study conducted by Forbes and Elite Daily
on 1300 millennials, “Only 1% of millennials surveyed said that a compelling advertisement
would make them trust a brand more”. This was due to the fact that they believe advertising is
“not authentic”. The research also determined that unlike popular belief, they can be loyal
customers but they want to interact with the brand: “62% of millennials say that if a brand
engages with them on social networks, they are more likely to become a loyal customer”.
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Why
is that? Because “instead of seeing giant, faceless corporations, they want genuine interaction
with brands” says Intercept Group, millennial audience experts.
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Hence, the key to rebuilding
the brand's performance has to be through communicating back and forth with our target
audience, displaying our interest in them and their opinions. As Tora Brophy said, Billabong’s
group ecommerce manager, the company’s “goal is to cut through and engage, tailor our
communications to specific campaigns and make them more relevant. ”
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Appearance
Document Summary
Our target market is the millennial generation since we wish to sell to women ages 15 to 30. Contrary to millennials, the baby boomer generation is composed up to 75% of caucasians. 3 the millennials are also the most educated generation. In 2013, 34% of millennials had completed at least a bachelor"s degree before the age of 30 compared to only. 24% of baby boomers in 1979. 4 these educated millennials choose to live in core cities . The cities that populate the most millennials in north america, are new-york, los-angeles and. This is due to their economic standing, multi-cultural backgrounds, museums, restaurants and bottom line, attractiveness . Pittsburgh, detroit and cleveland is also on the rise due to the fact that they are home to multiple major research universities. 5. This generation was born in the new era of technology and it has become an integral part of their daily lives.
