Millennials may not understand their parents’ past affinity for go-go boots, fringed vests, or bell-bottoms, but they consider loyalty to other long-standing products groovy today. According to Adroit Digital’s brand loyalty study, 43% of millennials—those between the ages of 18 to 33—use many of the same brands their parents use. Likewise, 40% of millennials feel the same level of brand loyalty to these products as their parents do, while about a quarter (24%) of millennials consider themselves more brand loyal than their parents, and about one third (31%) consider themselves less loyal.
Part of this divergence can be attributable to the idea that millennials are revolutionizing the way they evaluate brands: 77% of millennials say they choose brands based on a different set of criteria than their parents. For instance, 62% of millennials say that price influences whether they decide to try a brand. Other influences include recommendations by friends (55%), brand reputation (47%), and quality (35%).
Many millennials believe that their digital dexterity, compared to their parents’ Flower Power, gives them a leg up when making purchase decisions. In fact, 73% of millennials say that their access, familiarity, and knowledge of digital helps them make smarter brand choices than their parents make. But when it comes to influencing millennials’ brand decisions, a retro-modern combination is the way to go. According to the study, 45% of millennials say digital ads combined with traditional ads are equally or more effective at impacting their brand decision making compared to either alone. For instance, when asked which advertising channel sways their brand value perception the most, millennials listed TV (70%) followed by social (60%). Millennials also list TV (29%) and social (26%) as the channels most likely to introduce them to new brands to try.
Once brands earn millennials’ loyalty, they can’t just let their hair down; 78% of millennials surveyed say brands have to work harder to earn their loyalty than they had to for their parents’. Price increases (41%), family or friend recommendations (38%), and bad business practices (32%), can all cause millennials to peace out, according to the study. To retain millennials’ loyalty, brands have to think less about “the man” and more about the individual. In other words, brands need to focus more on the consumer and less on the brand if they want to stay relevant, says 38% of millennials surveyed. Similarly, millennials expect to have an open dialogue with brands (44%) and be open to making changes based on their feedback (52%).
We know you love infographics. Check out some more Direct Marketing News originals.
