The influence of Millennial shoppers is hardly a new topic, but as I recently learned at the 2014 SPECS conference, Millennials are certainly a force to be reckoned with. Within six years, Millennials will represent 1/3 of all retail spending, making it imperative that retailers find ways to engage this group. But so far, from what I’ve witnessed, most of the brands experimenting with innovative concepts designed to enhance the customer experience are international brands. In this edition of Retail Rap, I discuss the growing influence of Millennial shoppers and explore what brands can do to better engage this generation moving forward.
Consider these eye-opening numbers: Millennials (those born between 1980 and 2000) will make up a population of approximately 80 million consumers by 2020. That group, which currently spends around $600 billion a year on retail, will increase its purchasing power to an estimated $1.4 trillion a year over the next six years. That figure will represent about 1/3 of all retail sales in 2020. In other words, Baby Boomers and GenX are passing the baton, and Millennials are in the process of becoming the big spenders.
Check out the full article from my recurring column, Retail Rap, at Chain Store Age.