Millennials - Motivations for Brand Preference
Some five motivations provided in the findings below include tough tech love, advertising adversity, and loyalty. Each motivation is described, and examples are also given of brands that fulfill these motivations and target themselves to millennials.
1) Tough Tech Love
- The idea of applying technology in the use of a product or service motivates millennials for brand preference.
- This motivation must be a technology that adds value to the delivery of the product or service in areas of "practicality, utility, fun, savings, and convenience."
- Why it is motivation is because millennials are in love with tech, as it is part of their growth. It is about the period of their adolescent development that the world witnessed "numerous networks and devices bomb, such as MySpace, Vine, and Google+."
- Nike is one brand that fulfills this motivation, using its Nike+ running app to attract customers into its training program and making it easy to share their progress with friends and loved ones.
- Aside from that, millennials are also interested in futuristic products, and a company like Google warms their hearts in terms of brand favorability when it comes to tech companies.
2) Advertising Adversity
- This motivation is about the reception of millennials to authenticity and customer experiences.
- Millennials are far behind in trusting brands than generations before them, and the new media has made them master fact-finders. They filter through traditional advertising and reject what they deem as untrue.
- This motivation is about the genuineness of the brand, which must also be consistently beneficial to their needs.
- Why this is motivation is because the feeling of being part of a brand's community is what appeals to millennials, and not a sales approach.
- It is also a motivation because one of the top needs of millennials is customer experience, and being part of a brand community affords them that.
- An example of brands that fulfill this motivation and target itself to millennials is Herschel Supply Company, which is popular among millennials. The company "keeps it real on Instagram by presenting collections of authentic content posted and hashtagged by their customers."
- Another brand example is Red Bull, which sold the experience that its drink can inspire energetic and exciting activities instead of focusing on the consumption of its product. Members of its ambassador program, tagged the Wing Team, embody the "high energy aura of the brand and relay this to their community, acting as a network of marketing bodies." The majority of Red Bull consumers are millennials.
3) An Omnichannel World
- This motivation is a buyer journey that enables consumers to interact simultaneously with digital and analog channels. While the former is e-commerce, the latter is brick and mortar outlets.
- For this motivation to be fulfilling for millennials, physical shopping outlets not only serve as points of sale, but they also act as customer experience outposts too.
- Why this is motivation is because millennials are fond of hybrid marketplaces, something an omnichannel world offers. They appreciate brands that "enable them to connect channels, touchpoints, and experiences throughout the buyer journey."
- Starbucks is one example of brands that fulfill this motivation and target itself to millennials. The company's quest to satisfy this hotly-coveted demographic is significant to the success of the brand.
- The motivation, as deployed by Starbucks, is to connect millennials with the brand, and create a "warm, welcoming environment in their stores over coffee and tea."
- Loyalty is a motivation for brand preference among millennials. This motivation is "tribe-driven and seeks validation from like-minded peers to create person-to-person engagement across channels."
- It is also meant to deepen relationships between brands and their customers.
- This motivation entails free shipping, discounts, giveaways, contest, and among other things designed by brands towards the satisfaction and retention of customers.
- More importantly, millennials are won over by loyalty programs that "transcend the transaction and deliver genuine experiences, customer engagement, and convenience."
- Why loyalty is motivation is because "millennials shop carefully and are ready to change allegiances when they’re less than satisfied."
- Loyalty is also a motivation because 86% of millennials are involved in the loyalty programs of brands, while 60% of millennials claimed to "be often or always loyal to brands that they currently purchase."
- Again, Starbucks an example of a brand that fulfills this motivation and targets itself to millennials. The company's Rewards program appeals to the millennial mindset through engagements such as "music downloads, games, a ‘stars’ system, and the occasional free coffee."
- Through this loyalty program, members receive exclusive deals, and "high-value purchases are frequently encouraged."
5) Social Cause
- Social causes or standing for something is a motivation that is associated with values that identify with a brand.
- This motivation entails making a difference in society, suggesting that brands should not be all about making a profit.
- Millennials tend to pay more for "products and services from companies dedicated to social and environmental change."
- According to Julie Turner, VP Marketing, Camp Bow Wow, "millennials want to align themselves with organizations doing good in their world."
- Why this is motivation is because millennials are willing to use their "purchasing power to support companies that have similar values." They are enthusiastic about being part of "making the world a better place."
- Nike is an example of a brand that attracted more significant millennial following after it stood behind the controversial ex-NFL quarterback Colin Kaepernick.
- TOMS is another brand example that made use of a unique ethical practice to get millennials' absolute loyalty to the brand. The social cause of the brand was "to donate a pair to a child in need for each pair of shoes purchased" and this resonated well with millennials to buy their shoes.
We started our findings by understanding the motivations that millennials have to prefer one brand over another. After concise analysis, we were able to provide five motivations and described each.
Following another intensive research, we were able to provide examples of brands that fulfill these motivations and target themselves to millennials. We also determined why each example is motivation.