In Japanese, the terms “yutori-generation” and “satori-generation” referred to the Millennial and Generation Z populations, respectively. However, due to their negative connotations and indistinct categorizations of the two groups, they are no longer used. A need for precise terminology emerges, one that is ultimately fulfilled by the “Millennial vs. Gen Z” distinction.
Millennials’ world view continues to be influenced by their proximity to technology and how they use it in their daily lives. This article examines the characteristics unique to millennial digital users— and other closely-related generations— in order to optimize marketing and advertising strategies for the foreseeable future.
Millennials: An Overview
Falling in between Generations X and Z, millennials comprise a unique subset of social media users. Born anywhere from 1981 to 1996, millennials experienced the technological revolution firsthand with the emergence of PCs and smartphones. In the early 2000s, the childhood experiences of millennials revolved around the new technological advancements of the time. Indeed, the earliest gadgets and websites produced during this time bring immense nostalgia for millennials. Educational practices during this era were also predicated on the development of digital technologies. Today, Millennials demonstrate ease while using search engines and social media to obtain information.
Specifically, the parents of Millennials play a key role in their children’s consumption behaviors. Having experienced Japan’s global economic boom, or “Bubble Economy,” the optimism of these parents persists today; the economic hardships defining their generation generated a tolerance for struggle. In turn, millennials internalized such positive attitudes with the belief that improvement and recovery is always possible. The resulting combination of optimism and technological literacy lead to millennials’ widespread preference for high-value-added products.
A Passion for Social Justice
Millennials are further characterized by increased interest in social causes and devoting themselves to community service. They are assertive about their rights, honor differences in others’ values, and pursue originality and individuality. Indeed, race, gender, and minority thinking are all of importance to the average Millennial user. When marketing to this generation, strategists must ensure diversity and equity measures are enforced on their end as well.
In Search of Intrinsic Value
Millennials demonstrate less materialistic tendencies than their older counterparts. They are less interested in expensive items as a means of bolstering social status. In short, they do not want to possess physical things as much as they want fulfilling experiences. This search for internal satisfaction also lends itself to a minimalist consumer habits. They wish to consume only “what they need” and mostly stray away from excess.
Moreover, the economic landscape plays a part. Millennials’ initial entry into the workforce coincided with a prolonged stagnation of Japan’s economy. Forced to be intentional about their purchases, Millennials showed an assertive use of their money to achieve meaningful experiences.
Brands can harness the emotional experience associated with these activities into their marketing strategies; this has been proven to positively impact a businesses’ economic success. For example, gyms promoting fitness and physical wellbeing may attempt to promise internal satisfaction for their customers. Or, marketing food produced without harmful preservatives suggests that the consumer will live a healthier lifestyle. However, these strategies still may fall short. Millennials want to feel as if their money is going towards a meaningful and long-term betterment of themselves.
Millennials vs. Generation Z
It may be helpful to consider Millennials in the greater context of generations close in proximity. Comparisons derived from this context will inform media and marketing strategies.
Generation Z, born from 1997-2021, follow in the footsteps of Millennials as the true “digital natives.” While their preferences and consumption behaviors reveal many similarities, Gen Z leans more into realist values. Seen with Millennial parents, enduring economic turmoil shaped their outlook on life in various ways. Gen Z grew up 20 to 30 years following the “burst” of Japan’s bubble economy, later experiencing the Lehman Shock and subsequent global recession. Natural disasters such as the Great East Japan Earthquake and continued political and social unrest lead to this realist mindset. Their identity as realist digital natives with a mind for cost-consciousness is important to consider when marketing to this subset of consumers.
A Generational Comparison of Media Behaviors
Marketing Strategies for Millennials
Amidst an endless landscape of information, shrinking attention spans of media users spanning all generations must be addressed via marketing strategy. Short-form videos are growing increasingly popular, even on the social video networking site Youtube—popular for its long-form video content. When developing solutions, it’s important to prioritize simple and straightforward content that can be generated with ease and reach audiences with speed and higher accessibility.
There is still value in more intimate interaction with creators. Indeed, some may view today’s preference for short-form content as impersonal or unfulfilling. Tracking these divergent preferences among your audiences is crucial for keeping up with a diverse user base. Regardless, when generating goods and services aimed at youthful consumers, brands can always rely on current trends to establish a sizable fanbase.
False Authenticity: Social Media Strategizing
Having grown up with technology, Millennials are more likely to pick up on, and reject, deliberate marketing strategies. They do not respond as well to intentional, obvious marketing as older generations tend to. Furthermore, they are also highly aware of “stealth” branding. This is where companies attempt to make paid-for posts seem natural and “native” in someone’s social media feed. This deceptiveness contributes to a negative perception of advertising for Millennials. Their collectively strong sense of self and technological literacy promote digital marketers to generate creative forms of content.
- Instead of pushing back on Millennial preferences, it would be more beneficial to employ the high-road approach. This requires an acceptance of the data and its implications for branding and strategy. Conforming to and empathizing with Millennials’ preferences for genuine, authentic content makes it easier to catch their attention in the long run.
Investing in immersive communities
Beyond Millennials and Generation Z, Community formation lies at the center of future marketing strategy. An overwhelming preference for consumption in places where comfort is prioritized, is telling as well. This sense of comfort is predicated on a consumer’s capacity to maintain friendships and other relationships where growth and happiness are possible.
The development of positive relationships can be achieved through mindful public relations (PR). Previous approaches of “training” consumers with TV commercials or internet advertisements feel impersonal and cold in the market today. Being proactive about current community trends is crucial for assessing marketing strategies’ potential to endure in popularity. Moreover, these strategies should account for any future contingencies or developments in the social sphere of media.
Millennials as the center of consumption
By 2025, 75% of the world’s workforce will be comprised of millennials (United Nations 2016). As the center of consumer activity, this generation’s unique characteristics and behaviors must be prioritized in the development of marketing strategies.
Diversity in value among Millennials begets nuanced conversation on the best way to market to them. For example, as purchasing patterns veer away from ownership, and more towards temporary usage via rental or trial, brands must pivot to cater to those specific preferences. Understanding consumer psychology is vital for impactful interaction through the appropriate channels, messages, and philosophies.
The most crucial component of marketing is a comprehensive understanding of the target audience. Looking farther to the future, Group Z will be followed by the “Alpha Generation,” or the generation born around 2020, which will be the first “artificial intelligence natives”, growing up with access to A.I generated ads and applications such as ChatGPT. The children of millennials will also be shaped by their parents’ consumer habits. By examining the lived experiences and resulting behaviors of the average Millennial today, businesses may be able to anticipate the same of their future children. Staying vigilant about emerging trends will assist businesses in the creation of successful marketing strategies for generations to come.
Original Japanese Article:
Influencer Marketing and Millennial Generation Z (U.S. Survey Results)