BBC Advertising has published an in-depth report into ‘Millennials’, focussed on dispelling the misconceptions surrounding this sought-after generation and making it easier for advertisers to target the most attractive and commercially receptive segment within that group.
The report, Reaching Affluent Millennials offers advertisers a deeper insight into the difference between ‘affluent’ and ‘non-affluent’ Millennials and identifies the most valuable segment, ‘The Supercharged’.
The study found that affluent Millennials have a unique relationship with money – they are 36% more likely to consider themselves much more affluent than their equivalents in older generations.
They are also passionate about the environment – 78% agree that they do everything they can to help the environment. They are also much more likely than non-affluent Millennials to follow this through into purchase behaviour – 72% would pay more for sustainable products vs. 57% of non-affluent Millennials. As a result, affluent Millennials have higher expectations of brands, with 82% preferring brands that give something back to society vs. 67% of non-affluent Millennials. When it comes to the environment and corporate responsibility, this high capital group expect brands to behave in the same way they do. In order to resonate with this audience, brands have to be authentic and translate words into action.
The research also uncovered that affluent Millennials are much more emotionally attached to brands, with 70% agreeing that their favourite brands play an integral role in their life vs. only 51% of non-affluent Millennials. They are also 36% more likely than their non-affluent counterparts are to agree that they are defined by the brands they purchase.
According to the research and contrary to common belief, affluent Millennials also have a stronger relationship with international news providers than social media-based news outlets. For example, the BBC reaches 69% of affluent millennials on a monthly basis (compared with between 18-24% for online news ‘youth brands’). The report goes on to conclude that this group look to international news providers to help them understand the world and to make important life decisions. They value trust above all else in a news provider, with 83% saying it matters most to them.
Other key findings relating to news providers include:
• 63% find international news providers useful for helping them to understand the world
• 48% look to news providers to help them make decisions on how to protect their family
Sean O’Hara, acting EVP for BBC Advertising said, “In an increasingly competitive market, where consumers have greater choice regarding the brands they wish to purchase and be associated with, it is imperative that advertisers understand who they are targeting and how to reach them. Today’s report delves beneath the initial labels assigned to different generations, offering advertisers the most accurate picture to date of millennials, from their behaviours to their beliefs.”
The research has also identified the most valuable segment within the affluent Millennial group. ‘The Supercharged’ group has a stronger global outlook, is more influential in business, is an early adopter and brand ambassador. More importantly, its members are the opinion leaders of their generation.
Additional figures:
• 67% prefer it when a brand tells them a story vs. 57% non-affluent Millennials
• 74% of affluent Millennials agree that news stories from other parts of the world feel more relevant to them than they used to vs. 54% of non-affluent Millennials
The study was carried out between August and September 2016 and comprised of over 3,000 interviews across 31 countries. The respondents were selected from a pool of Millennials from the industry wide planning tool, the Global Web Index, and then modelled up to the entire Affluent Millennial base. The research, conducted by Voxpopme, also included interviews with affluent Millennials across seven markets – Australia, Germany, US, Canada, India, Singapore and South Africa.
