Wednesday, December 2nd, 2015

The Millennial Generation Paradox

Jonathan Blum

Unpredictable consumer trends and habits have made the millennial generation (those between the ages 18-34) a challenge for entertainment businesses and brands. Despite this, they are also one of the most attractive sectors because they are considered to be a unique niche market.

According to the “Millennial Generation Paradox,” a study published by BBVA, this is due to three main factors:

1. The segment’s size, which in the United States alone accounts for 24% of the total market.

2. They have a high level of education given that the majority have a university degree, or are on their way to receiving one.

3. Their attachment to technology and their cultural diversity, which makes them more “reachable” from a marketing perspective.

However, these last two points can also work against marketers when trying to create a strategy targeting millennials. It is obvious that the 34 year olds do not seek out the same things as the 18 year olds; nor does a European millennial want the same thing as a Latino millennial. An example of this is the study published by the Hispanic Millennial Project which drew comparisons between millennials of different racial ethnicities.  The results were extremely interesting. Television, for example, still dominates the way Spanish-speaking viewers consume content, however seeing an actor or actress representing their own ethnicity on an international program can be factor that leads to them to reject the program. The study calls this the effect of “wanting to see themselves in the media, without seeing themselves in the media.” It elaborates on this by saying that rejection only tends to happen when certain stereotypes.

Another thing that differentiates Spanish-speaking millennials is that they dominate box office revenues while their English-speaking counterparts seek out other movie-viewing options such as streaming services or websites.

Lastly, social media is the factor that most impacts on their decisions when purchasing a product of deciding which programs and movies to watch. The study states that 17% of Spanish-speaking millennials consult Twitter, Facebook or Instagram prior to making a decision, compared to just 13% of non-Spanish speakers who consult these same sources.

This demonstrates that we need to segment this market, even within the same generation, in order to increase the scope of our content or products; otherwise we run the risk of not reaching our goal or our content being missed.