How Millennial Shopping Trends Are Rewriting the Rules of Retail
There are eighty million millennials in America alone and they represent about a fourth of the entire population, with $200 billion in annual buying powerI’ll be the first to admit, my spending habits at times can be a tad ridiculous. The millennial spending in the U.S. is projected to reach $1.4 trillion annually by 2020 so clearly, I am not alone in my retail shopping addiction.
Retailers must take into account the huge impact this generation has on spending besides technology that has completely taken over a lot of our day to day lives, chances are you’re reading this on your phone. But millennials are influential themselves, we are not only changing our own shopping behavers but influencing our parents also! This is for sure true for me I recall walking my mom through the steps of online shopping and now she may be just as addicted as me. Companies that have learned to grasp this truth and run with it are pretty successful others, on the other hand, such as Toys “R” Us have shut down because they were able to keep up with shopping trends.
As I and my generation start a new chapter in our lives with higher paying jobs and more opportunities it is inevitable that we spend more money. This is as good a time as any for retailers to understand the impact they can have on their sales, including influencer marketing. Rather we like to admit it or not as millennials we are inspired by people we can relate to especially other millennials. So why haven’t all these companies jumped on the influencer marketing train?? Wet Seal let an influencer take over their snapchat account and added 9k connections in two weeks, by the way, 14% of millennials have a net worth of over two million dollars which explains why we keep blowing it on retail and why millennials continue to spend despite the economic recession.
This generation represents an outstanding opportunity for smart retailers to gain and increase their market share if the right strategies are put in place.