This article was originally published on August 28, 2016. It was updated on July 29, 2021.
Key Takeaways:
- Encourage shoppers to share purchased items on social media as millennials are significantly influenced by friends and family.
- Communicate discount codes and promotions to reach bargain and frugal shoppers.
- Millennials love a personalized shopping experience.
Millennials, or those who were born between 1980-1995, make up for a quarter of the population of the United States. At about 73 million people, it has been found that this massive group has a lot of spending power—averaging at $47,256 is spent every year per person. Currently between the ages of 23 and 38, and admittedly one of the first generations to spend their formative years online, it is crucial to learn how to cater to them as eCommerce customers. Learn how to accommodate the five types of millennials based on this survey made by CueConnect:
1. The Social Shopper
This group would jump off a bridge if their friends did. Accounting for nearly 50% of millennial shoppers, they are highly influenced by friends and family members when shopping.
65% of millennials take into account the opinions of their family and friends when making purchases.
To reach Social Shoppers: Offer a way for them to capture, organize and share products they are considering purchasing or have already bought from you. For example, you can encourage shoppers to share photos of their purchases on social media, create an online “wish list” of products they want to buy and make it easy for them to save prospective purchases in their shopping carts for later.
Read more: Get Connected: How to Use Social Influencers to Grow Your Small Business
2. The Bargain Hunter
Grandma isn’t the only one clipping coupons: This group, accounting for nearly 58 percent of Millennial shoppers, is dubbed the “Krazy Coupon Lady of Ecommerce.” Bargain Hunters are more likely to purchase from an ecommerce site when deals are to be had.
To reach Bargain Hunters: Email or text them a discount code. Notifying these consumers immediately when you are offering a deal is key, so get them to sign up for text messages from you and to follow you on social media, then share codes there.
Read more: 5 Low-Cost Ways to Delight Your Customers
3. The Elite Shopper
Nearly 50% of respondents fall into this category, which prefers things handed to them on a silver platter. Feeling valued and rewarded is important to these Millennial shoppers.
To reach Elite Shoppers: Set up a loyalty program and reward them for purchases with loyalty points, free gifts, or VIP treatment. These Millennials also love personalized shopping experiences. You can track their past purchases and send them suggestions for new products they may like based on that information. Also set up chat on your site so they can interact one-on-one with customer service reps for personalized assistance.
Read more: Why You Should Personalize Your Online Customer Experience
4. The Impulse Buyer
Almost half of Millennials in the survey admit that they have made an impulse purchase based on a suggested product on an eCommerce site — after all, who doesn’t have a hard time resisting shiny objects?
Millennials make impulsive purchases. 82% reported that they have purchased an item the first time they saw it.
To reach Impulse Buyers: Make sure your website offers suggestions or recommendations for related products as customers are browsing. You can also send these buyers alerts about new products based on what they have purchased in the past.
Read more: How to Attract Customers Online
5. The Frugal Fannie
This is the smallest group of Millennials, accounting for just 37.2% of respondents. These die-hard non-consumers dislike shopping and only do so when they absolutely, positively have to have something.
Millennials also like saving money. A reported 66% would be willing to switch brands if they were able to save at least 30%.
To reach Frugal Fannies: Use email marketing to reach out to these Millennial customers and develop a strong relationship so that when they do have to shop, yours is the eCommerce site they think of first. Track their purchases of products that wear out or get used up and need to be replaced or replenished and send them reminders when it’s time to buy again. Even better, set up auto-ship options so they can buy the product once and never have to think about it again.
Read more: Think Beyond the Website: Building Online Marketing Strategies
Connect with millennials now
Millennials seem like the biggest population with the most purchasing power nowadays. As with all types of customers, it pays to build a personalized relationship with them to gain loyalty and trust. Take a look at your brand and eCommerce site and find out what you can tweak to cater most especially to these discerning consumers. The payback is totally worth it.
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