millennials and food
TRANSCRIPT
Exploring Millennial’s Passion for Food: It’s More than Food, It’s An Experience!
September, 2014
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Millennials represent more than just the next generation in a progression of alphabet names - they represent a new and influential way of thinking, living and consuming.
As Millennials progress into new lifestages, they are shaking up conventional approaches to marketing in everything from product development, to distribution to media and promotion. This influence is already the driving force in technology, retail and experiential categories such as food, wine, and travel.
Their unusual combination of idealism, practicality and passion are enabling explosive new business opportunities and making it especially critical to understand this unique generation.
Why Millennials and Food?
Millennial influence is growing and we all are becoming more “Millennial-like” in our values, attitudes and behaviors each day.
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Who Are the Millennials?
Different from earlier generations Politics Saving and Spending Social values Life goals More…
Consumer impact being felt in... Education Financial services Travel and entertainment Media Housing Healthcare Retail More..
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77 Million Young Adults 19-34 years (born 1980-1995), $60,000 average income
Grew up in dawn of the information technology age
http://www.forbes.com/sites/patrickspenner/2014/04/16/inside-the-millennial-mind-the-dos-donts-of-marketing-to-this-powerful-generation-3 /
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“The persistent ranking of these values across age spectrum signifies that this is not merely a stage they will grow out of.” - Iconoculture, Inside the Millennial Mind
Millennial Values
http://www.forbes.com/sites/patrickspenner/2014/04/16/inside-the-millennial-mind-the-dos-donts-of-marketing-to-this-powerful-generation-3 /
Millennial choices are shaped by strongly held values that differ from those of their Boomer parents.
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Millennials are notoriously elusive and skeptical of overt marketing and claims Yet, they are willing to embrace brands that demonstrate that they are authentic
and can be trusted to share their values
The Paradox of Marketing to Millennials
Millennials consistently say Apple is a favorite brand
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Listen and share Take a stand / state your purpose Be a force for good Challenge the status quo Show some style Leverage your heritage Add value, be useful
Millennial Brand Building 101
Interrupt or yell Fake it Pander or preach Be bland or generic Waste their time
http://www.adweek.com/adfreak/everything-you-hate-about-advertising-one-fake-video-thats-almost-too-real-156525
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It should feel the same when dealing with a company whether online, in a store or on the phone 64%
Expect to be able to engage with a company whenever I choose and through whatever channel I choose 63%
I like it when a company reaches out to me and not just to sell a product 60%
Do business with company that can make good offers in real time 57%
I like it when a company makes recommendations that make shopping easier 55%
I would be prepared to give more data to business if it meant they didn’t waste my time on offers that are not relevant 54%
Millennials Want Customization and Control
Millennials want to hear from companies on their own terms Customizable news feeds dominate content discovery 71% listen to customizable music streams, like Spotify and Pandora
http://www.slideshare.net/SDLonline/understanding-the-millennials-summary-of-findings-march2014
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Millennials are 56% more likely to discover marketing content on social networks than via search engines or email.
Five out of six Millennials connect with companies on social media networks The average spends 5 hours a day on average with user generated media (UGC)
Millennials Rely on Social Media
http://www.slideshare.net/SDLonline/understanding-the-millennials-summary-of-findings-march2014
http://mashable.com/2014/04/09/millennials-user-generated-media/
“Only 5% of Millennials use social sites as a car-shopping resources, and they are brackish about auto brands that use social media to reach them: 78% of Millennials surveyed by AutoTrader said such efforts had not the slightest impact on their perception of the brand.”
Millennials trust user generated product information/media over other sources
At the same time, Millennials distrust brand-sponsored social sites
http://www.mediapost.com/publications/article/232110/millennial-auto-shoppers-are-digital-mobile-conf.html?
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Millennials check their phones on average 100+ times a day The top social apps are Facebook and Instagram
Social Media is Increasingly Mobile
http://www.marketingcharts.com/online/most-popular-social-apps-among-millennial-smartphone-users-44770/attachment/comscore-top-social-apps-millennials-in-june-aug2014/
http://www.mediapost.com/publications/article/232110/millennial-auto-shoppers-are-digital-mobile-conf.html?utm_source=newsletter&utm_medium=email&utm_content=headline&utm_campaign=75361
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Millennials value brands that allow them to express themselves in unique ways via photo and video sharing
Instagram is one of the top media channels used by Millennials on a daily basis. On Facebook, photos get 53% more likes, 104% more comments and 84% more
click-throughs on links than text-based posts.
Social Media Is Increasingly Visual
Over 90% of the 150 million people on Instagram are
under the age of 35
40 million active monthly users, 80%
women
30 million active monthly users, 30%
women
Over 1 Billion users, 50% of traffic is from
mobile
http://www.businessinsider.com/instagram-demographics-2013-12#ixzz38VppltFGhttp://www.mediabistro.com/alltwitter/social-media-statistics-2014_b57746http://blog.bufferapp.com/7-facebook-stats-you-should-know-for-a-more-engaging-page
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Brand #Success: Mercedes Benz CLA
CLA launched in 2013 with starting price of 30,000, targeted to Millennial demo
Millennials differ from older car buyers, much of their consideration phase occurs online instead of on the lot.
“Take the Wheel” campaign leveraged popular Instagram users (half a million or more followers) and asked them to ‘gram their journeys’
Results: 87 million Instagram impressions and 2
million ‘likes’ More than half of CLA buyers are Gen-X or
Gen-Y. 75% are first-time Mercedes buyers.
CLA owners are “one of the youngest age groups in the history of the brand.” --Mark Aikman, Mercedes digital marketing managerhttp://digiday.com/brands/mercedes-benz-uses-instagram-sell-cars-millennials/
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Millennials seek to discover one-of-a-kind experiences, gain insider knowledge and share their knowledge and experience with others.
Tapping Millennial Passions
Travel stories comprise 42% of posts on the average Facebook user's timeline.
"Books, music, everything is dematerializing, it's turning virtual and travel is increasingly playing a role in how people represent their identity. It's not just bragging, it's sharing, stating who they are.” -- Andy Murdock, Lonely Planet
http://www.brand-e.biz/half-of-all-adults-watch-food-videos-on-youtube_33408.htmlhttp://abcnews.go.com/Travel/millennials-world/story?id=18971171&page=2
Brands like ZipCar, Lyft, Airbnb and TaskRabbit help Millennials to feel frugal, savvy, spontaneous and open for new experiences.
Nearly half of all adults watch food videos on YouTube – but Millennials watch 30% more foodie footage than other demographics.
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Food and beverages are uniquely suited to Millennials desires to experience life, share their passions and express themselves. They are comfortable in the kitchen and love to socialize around food.
Half of Millennials Self-Identify as “Foodies”
http://marketrealist.com/2013/12/craft-beer-attracts-millennials-consumers-momentum/?utm_source=yahoo&utm_medium=feed&utm_content=graph-1&utm_campaign=craft-beer-attracts-millennials-consumers-momentum
http://www.foxbusiness.com/personal-finance/2013/10/08/how-millennials-are-changing-wine-industry/
Millennials represent 30% of weekly wine drinkers, and are adopting wine at a faster rate than any other generation. According to Mintel, over 50% of Millennials have tried craft beer vs. 36% overall.
Millennials eat out more frequently, and are less likely to cut back on dining out when money is tight.
64% eat out at least once a week.
65% of Millennials love cooking and consider themselves experts in the kitchen. 86% enjoy experimenting with new recipes, many of which they find on Pinterest! 68% of Millennial men describe themselves as ‘confident cooks’
Cooking DrinkingDining
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Millennials Have a Taste For …
A recipe page on the Tabasco website is devoted to college and university students. Featured recipes include The All-Nighter, a drink made from Mountain Dew, Red Bull Energy Drink, and a dash of Tabasco brand Original Red Sauce
http://www.forbes.com/sites/onmarketing/2014/07/21/no-longer-uncool-millennials-love-store-brands/http://www.pancommunications.com/prspeak/2014/06/fancyfoodshow/http://finance.yahoo.com/news/gardening-grows-millennials-dig-1-142000148.htmlhttp://www.forbes.com/sites/onmarketing/2014/01/13/how-less-bad-food-marketing-is-attracting-millennial-parents/
Special Flavors & Ideas Locally Grown/Fresh
Millennials are choosy when it comes to food. They favor ethnic, fresh, antibiotic free and organic foods and avoid processed foods and mainstream flavors.
52% say they support the local food movement.Gardening is growing as the #1 hobby in America, with 5 million more households digging in and planting than in 2010, driven by Millennials' interest in edible gardening. Farmers markets are increasingly popular.
Millennials scrutinize food labels, especially when it’s for their kids! 46% look for foods with few ingredients and 41% buy organic whenever they can. Many say Kashi is among their favorite brands.
Healthy/Organic
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Millennials Have Embraced Ethnic Cooking
Korean (eg bulgogi, bibimbap)
Greek (eg spanakopita, moussaka)
Thai (eg pad Thai)
Indian (eg tandoori chicken, palak paneer)
Caribbean (eg jerk chicken)
Japanese (eg sushi, ramen, tempura)
Middle Eastern (eg falafel, hummus)
Spanish (eg paella, tapas)
Mediterranean/Middle Eastern food use
Cajun/Creole (eg gumbo, jambalaya)
Chinese (eg chow mein, kung pao chicken)
Asian food use
Mexican/Hispanic food use
Italian (eg chicken parmigiana, pasta primavera)
0 10 20 30 40 50 60 709
11
13
13
13
17
17
18
20
20
28
36
51
55
15
17
22
20
21
29
22
26
27
23
37
52
58
57
20
21
24
27
24
29
28
33
31
29
40
51
62
63
% Preparing Ethnic Food at Home by Age (Mintel, Jan 2014)
25-34 18-24
All Adults
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Female Millennials grocery shop as frequently as other adults, while males Millennials grocery shop more often.
Millennials spend more on groceries and enjoy it more than other adults.
How Millennials Shop for Food
Grocery Shopping Frequency
All AdultsMale, 18-34
Female, 18-34
More than once a week 27% 36% 27%
Once a week 46% 41% 40%
2-3 times per month 22% 19% 29%
Once a month or less 6% 6% 4%
Source: Mintel, February 2014
Average Weekly Grocery Expenditures
All Adults $106
18-34 Years $114
All Adults 42%
18-34 Years 54%
“I Enjoy Grocery Shopping”
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Millennials are more likely to build shopping trips around a particular recipe. They also place less emphasis on special discounts in their menu planning than do other generations.
More than 25% of their meals include items they bought on the same day.
Millennials Emphasize Freshness
http://www.washingtonpost.com/news/business/wp/2014/08/28/how-we-shop-for-food-is-changing-in-three-charts/
From store shelves…
… to table in same day.
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All AdultsMale, 18-34
Female, 18-34
I usually use coupons 46% 35% 33%
I look at retailers’ circulars (in-store or online) to see what’s on sale
42% 34% 26%
I compare prices while shopping in-store through an app on my smartphone
15% 23% 17%
Source: Mintel
Millennials Love to Save
Private Label
Much of the growth in store brands is driven by cost-conscious Millennial shoppers. They especially like store brands like Target’s Archer and Up and Up that still feel cool.
Millennials are careful shoppers who love a good deal, but they are less likely to use coupons or newspapers circulars than to go online or use an app while shopping.
Grocery Shopping
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Millennials are less likely to have regular food routines. They eat when they are hungry, which often means more frequent, smaller meals and snacks.
They tend to get together for drinks and snacks regularly. Restaurants have responded with ‘small plate’ menus, and items like McDonald’s Snack Wraps.
Millennials Are Snackers
http://millennialmarketing.com/wp-content/uploads/2012/05/Kind.jpg
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Authenticity Authentic origins story, Regional associations Discoverable, not
mainstream Not trying too hard to be
hip
“Ingredients” for Connecting with Millennials
Accessibility Whole Foods, Trader
Joes are preferred Online presence Farmers markets Specialty stores
Integrity “Clean label” is minimum
requirement Organic a plus Interesting flavors that enable
creativity and self-expression
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New regional brand appears to have many of the qualities Millennials seek:
– Ethnic– Socially
conscious– Social media
Millennial Friendly: Mike’s Organic Curry Love
http://www.mycurrylove.com/
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Mike’s Organic Curry Love
Authentic Proudly organic Helpful, visual, delicious
Accessible
Omnichannel
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Millennials are a large, influential and growing demographic Connecting with Millennials requires understanding their values and passions Brands connect with Millennials by helping them express their passions Millennials see food and drink as an opportunity for self-expression and social
credibility– Reflection of values and interests– Creative and customizable– Inherently sharable
Millennials shop more frequently, often with a specific recipe in mind. Leverageable ‘ingredients’ for building a Millennial-friendly food brand include:
– Clean label– Healthy, organic, ‘fresh’ ingredients– Unique flavors or ethnic options– Accessibility – be where they are looking– Authentic “story”– Social media presence
Re-Cap
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Judy [email protected]
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