Why Are Brands Obsessed With Millennial Women??
Let’s start off by noting that the ultimate goal of most consumer brands is to sell their product to consumers and make money, right? Even if the brand has a really cool mission or philanthropic goal, the business still needs to make that cold hard cash to survive.
So if you HAD to guess – why do you think brands are fighting for the attention of millennial women? Yep, you’re right they (we) spend TONS of money! In fact, according to a report conducted by Merkle in partnership with Levo, millennial women in the US spend $170 billion annually.
You might be wondering “how on earth does this one demographic have so much spending power?” We’re going to answer this question by looking at the results of the survey mentioned above.
First off, millennials are the largest living generation in the U.S., an even bigger generation than the Baby Boomer generation which was previously the largest generation. That means there are a lot of millennials, defined as those born between 1982 and 2000 (roughly ages 18 – 35 as of 2018) out there swiping their credit cards!
Next, millennials are just starting to age into the era of “disposable income,” a term which is like music to a marketer’s ears. Basically, this means we’ve been working our a$$es off long enough to have extra money to spend on things we WANT (cool, quality stuff) rather than things we NEED.
Millennials also make more money. The median household income amongst millennials is higher than other generations based on the high number of respondents whose household income was in the highest bracket of $80K and up.
Lastly, it’s a common belief that women make 85% of the household purchasing decisions – girl power! This is how it was estimated that of the $200 billion spent by millennials annually, $170 billion is spent by millennial women specifically, meaning millennial men are spending a mere $30 billion - LOL.