There was a time when television was our main source of communication, the golden ticket to consumers’ attention. But now, TV doesn’t have the same impact on millennials, consumers born between the early 1980s and early 2000s. Our research shows a number of surprising findings, and among these, one of the most significant is that millennials are influenced more by their peers than they are by celebrities. And despite what you may think, the high street is still incredibly influential – but in a different way.
Our research will help brands and retailers better understand millennials and what will drive their future purchasing decisions.
It was two years ago when a customer insights company reported that four in 10 millennials (40%) had gone on to buy a product once they had shared or favourited it on social media.
However, our research now shows that that statistic has increased, 75% have made a purchase after seeing a product that someone else has liked or shared. If you take into account the ages of those profiled, this trend can only grow. The younger the audience, the more responsive they are to recommendations.
It is suggested that a whopping total of $30 billion came from socially-driven commerce in 2015. But where do these shoppers find their recommendations? They’re mostly spread amongst social media sites, but some are favoured significantly over others:
It would seem that a quarter of respondents believe TV advertising remains a key influence. But almost the same amount of people say they have been influenced by something they have seen in an online video.
It’s a relatively new phenomenon that TV viewing is declining. It’s perhaps too early to call a long term decline based on the figures alone, but it is a compelling trend that supports our forecast of a greater diversity in the Future-Ready Retail report. We are witnessing a shift from a small selection of centralised media channels to much greater numbers of niche, on-demand and peer-driven propositions.
It’s not all lost for TV, as this kind of advertising still remains highly influential among the older millennials (30-34). But, elsewhere 16 to 19-year-olds and 20 to 24-year-olds are influenced more by online videos rather than TV advertising. So like many things it’s a case of truly understanding your demographic segmentation and ensuring your marketing communications plan reaches them in the most appropriate way.
To read the full research, click here.