Financial Habits of Millennials

The Millennials

The habits of the new generation known as the millennials is the target of marketers, economists, corporations, and journalists. Making loyal customers out of young people is the best long term strategy. The millennials - as defined by the National Journal - is a group of people, born after 1980, who came of age during the worst recession of the last roughly 75 years.

Millennials Taste

The Millennials taste can be summarized in the tabulated data by the Boston Consulting Group below. It shows a move away from luxury and switching over to healthy staples. Fresh fruits, organic food, and natural products are the choice over luxury goods, soda, applications, and handbags.

This new generation prefer to throw cash at new experiences and adventures. They reward socially responsible companies that they can connect with and that they deem as authentic.

Information Age

Growing up in the information age, this group place emphasis on mobile services more than anything else. With good connectivity other inconveniences are only a minor setback. They were basically asked, "How could your banker best serve you?" in the KPMG results tabulated result above. The convenience of mobile banking is clearly the top priority over more branches or ATMs.

Housing Woes

According to the Trulia analysis of Current Population Survey data there is a spike in the millennials living with parents. These young home buyers are holding back due to tighter mortgage lending, career instability, and high levels of student debt.

Staying with parents appears to be the most viable options to wait out the storm.