Millennials are turning the world upside down
This is what Matt Britton, the American serial entrepreneur and expert on consumer trends, told us when he lectured on millennials, or Generation Y as they are also called, at the startup platform Vinngroup this week. It was packed to capacity.
Millennials are young adults born from 1982 to the mid-1990s. It is the generation that could use a mobile phone and iPad before they could tie their shoelaces, and it obviously affects their brains and the way they see the world, says Matt Britton, who wrote the book Youth Nation.
- Today they are no longer children but young adults who influence everyday life everywhere and not least the business decisions of companies. And they want to have fun, says Matt Britton.
How millennials are influencing the world
They marry later, have children later in life. First, they want to acquire experiences, experiences and travel. They would rather live in an apartment in the city where everything is close than in a villa in the suburbs where nothing happens.
- Marriages are shorter and people marry later in life. There's always Tinder..., he says.
And they're not that interested in status symbols—unless it's social media status updates.
- People used to be in a hurry to grow up, that's not the case anymore. And status updates are the new status symbol. Previous generations used to define status and class by the goods they consumed. People aspired to it. It was understandable before Instagram existed. Now things have been replaced by experiences, as the definitive social currency. It affects people to "be young", longer in life, says Matt Britton.
The experience is everything
Millennials travel to faraway, exotic places just to take pictures and show they've been there.
And they build their personal brands through their social networks by sharing their experiences, which in turn can lead to new social contacts and jobs.
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- One thing companies must understand, regardless of whether they are active in trade or produce goods, is that the focus is on creative experiences that they want to share, he says.
In this change, there are industries that are winners and those that will have to struggle.
The global hospitality and travel industry has never been better, as Generation Y prioritizes travel more than any other product. They like to follow in the footsteps of influential people, travel to the same places as them, eat in the same restaurants and stay in the same hotels, in order to be able to take pictures and show that you have also been there.
Trade must rethink
Technology brings people together. Music festivals like Summerburst are growing big, as is e-sports. While trade and shopping malls will have a tough time attracting customers, as one might as well shop online.
- There is a back side. Local merchants are losing business. But that's the direction the world is moving towards and trade has to reinvent itself, notes Matt Britton.
How then can generation Y afford to finance all their experiences?
- Well, by moving the money away from what we adults traditionally put our money on - cars and houses. Why own a car when you can call for an Uber? They like cars and want access to cars, but not necessarily own one. That is why the major car manufacturers are now planning to introduce subscription services for cars, he says.
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In the UK, the home ownership market is falling among young adults.
- They prefer to rent and live on airbnb around the world when they are out and about, says Matt Britton.
Brands not as important
They also don't care about brands in the same way as previous generations and might as well buy a pair of cheap jeans, or rent an expensive designer dress for a day (to take a photo and do a social update). Therefore, large global brands may have problems in the future, he predicts.
And it may not only be about Generation Y but many more people.
- There is a misconception about generation Y - it is not about age, but about attitude and attitude, says Matt Britton.
