Tuesday, October 28, 2008
Generation We
I found this video while reading one of the Change.org blogs by Jen Nedeau. It's moving and a dead on description of millennials straight from the source.
Saturday, October 18, 2008
Debt and Hope: ROI of the First Few Years
Millennials have debt. A lot of it. The price of college continues to rise, but we all know to get ahead a Bachelor's degree is a bare minimum, so we pay the price and take out loans. The average millennial's accumulated debt post-graduation is $30,000. If you went to a private school, like me, you're looking at upwards of $60,000 in debt upon graduation (if you were as lucky as I was to get at least a partial scholarship).
So you would think with all that debt, we would be saving every penny. Nope. Just like the rest of Americans, we have an insatiable hunger for consumer goods. For millennials, however; our spending habits are not completely driven by consumerism. It's partly driven by a sense of hope for things to come.
Most smart millennials have read enough Suze Orman to know that we should simply make the minimum payments on our student loans for the full term to build credit and because we don't have the means to pay any more than the minimum. The millennial is left with a target expendible income that is seen as too little of an amount to make an impact if saved. So, that amount is spent--on dining out, on clothes, and on technology. These are items that are within reach financially and create a sense of accomplishment in the short term. These things also present an image of status and confidence. We feel as though it tells our employer, "This is where I want to go, and I'm going to get there."
After a few years out, and a few raises into that first job--some millennials begin to feel that a home purchase may be within reach, and will begin to save. The time in between graduation and the second or third raise is the perfect opportunity for consumer marketers to push trendy "status" products on to millennials. Help us present an image of professionalism, confidence, and hope for the future, and we will spend 100% of our expendible income on your product(s).
So you would think with all that debt, we would be saving every penny. Nope. Just like the rest of Americans, we have an insatiable hunger for consumer goods. For millennials, however; our spending habits are not completely driven by consumerism. It's partly driven by a sense of hope for things to come.
When previous generations entered the workplace, they had either no debt or a negligable amount of Federal fixed rate loans that could be paid off in a few years. The debt was paid down, and then people moved on to saving for their big investment: a home. Millennials; on the ther hand, had to adopt a different mindset. Because there was a need to take on so much debt at a young age (before producing any income), millennials had to consider their education as their big investment. There was a fundamental shift in perspective in deciding which investment would garner the most return. Now, as millennials exit college, we feel as though we have already made our big investment and certainly are working on paying it down. Post graduation, millennials are living at home with their parents and/or renting for many years because the thought of saving up for another big investment seems nearly impossible.
Most smart millennials have read enough Suze Orman to know that we should simply make the minimum payments on our student loans for the full term to build credit and because we don't have the means to pay any more than the minimum. The millennial is left with a target expendible income that is seen as too little of an amount to make an impact if saved. So, that amount is spent--on dining out, on clothes, and on technology. These are items that are within reach financially and create a sense of accomplishment in the short term. These things also present an image of status and confidence. We feel as though it tells our employer, "This is where I want to go, and I'm going to get there."
After a few years out, and a few raises into that first job--some millennials begin to feel that a home purchase may be within reach, and will begin to save. The time in between graduation and the second or third raise is the perfect opportunity for consumer marketers to push trendy "status" products on to millennials. Help us present an image of professionalism, confidence, and hope for the future, and we will spend 100% of our expendible income on your product(s).
Wednesday, October 15, 2008
Rules for Millennials Part II: Employee Relations & Recruiting
In my last post, I gave you my perspective on how to market (or not market) consumer products to millennials. This post will dive more into what millennials expect out of their employers and touches on the integral relationship with millennials' work and personal identity. Now for the rules...
...Ditch the hierarchy.
Hierarchy does not make sense in my ideal workplace. Some companies have caught on to this. They have general “associates” and then they have senior management. I am not going to respond well if you tell me I don’t have enough years of experience to be in a certain position even though I have the knowledge and expertise to do a certain job. I don’t care about the way things were always done or whether it’s fair compared to someone who has been at the company for years if they aren’t doing the same quality or quantity of work me. I want to be judged on my work, my merit, and my perspective based on my personal mix of education and life experiences.
Let them be free! (and productive)
I want to be on facebook at work, so let me. I’ll either be on it or I will be consumed with thoughts of being on facebook or checking our gmail and not get work done. Let me do my personal “business” at work. I will be more productive. I promise. I can ingest a lot more information in a shorter amount of time than you were ever used to consuming. I usually work through lunch. I have 10 tabs open in firefox at a given time with my schedule, favorite blogs, social networking sites, bank account, etc. I was raised as a project manager. I’ve had an over-booked schedule my entire life. I can handle it. Give me the work. I will rise to the challenge and if I need assistance, I will ask, because I like to collaborate and I don’t want to be wrong, so I’ll check in with authority along the way.
If you give us access to authority and recognition back from that authority, we’ll work hard, get it right, and strive to do better.
If you let us work at home, we’ll put in 12 hour days (maybe more, and maybe on the weekend).
Enable Zen.
Work and “life” is the same thing for me. I have been sold on the idea of a 360 degree lifestyle and work/life balance. It’s been ingrained in me from birth that a job that makes me happy is better than a job that makes me rich, and I believe it. If I make a lot of money doing what makes me happy- bonus. Don’t let that think you can get away with underpaying millennials. I know what the average salary is in the industry and market because I can look it up on salary.com and will demand to make competitive pay for the work I’m doing.
There is Only One World
I over-share. The lines between work and “home” are blurred for me. Actually, I would argue the line doesn’t even exist. I want you to know who I am as a person, not as a work-self versus a home-self. Earlier generations often compartmentalize their home-self in the home world and their work-self in the work world. This drives some of the main challenges for usage of social networks. My mature colleagues struggle with choosing what social network should be for co-workers, and what social network should be for friends and family. I don’t have more than one world. I have one, global, interpersonal world. My life experiences, personality, and “home life” are a part of my effectiveness and competitive advantage as an employee. (p.s. they are for you, too, but you aren’t ready to admit it).
Action=Impact
I want to my actions to make a difference. I’ve only known a global world. The terms global and international don’t really make sense to me because I don’t believe there is a concept of non-global (unless you live in North Korea). I want to help kids with AIDS in Africa. I want to deplete poverty in the world. I want to save the environment. The difference between traditional do-gooders and millennials is that I believe that there are specific actions I can take that will have a significant and measurable impact on the world to aid my cause as opposed to sending money into an infomercial charity that you will never see again and never really know where the money went. I want to help via my actions, not necessarily my money. If I have money to give, I will, but I want to know what it was spent on.
Take a look at the current presidential campaign. Barack Obama has made history by fund raising millions of dollars in a few days by single contributors giving as little as $5 at a person. I can donate and instantly see how I have increased the fund raising sum on the real-time fundraising bar graph on Obama’s website. The same success via individual contribution can be seen with the participation in text voting on reality shows. My vote makes a difference and I get to see and enjoy the results in a quick turnaround time (sometimes instantly).
It’s not just about doing something, but about being a part of something. Yes, I sent a text because it contributed to the selection of who gets “voted off,” but I also sent a text because millions of other people were texting along with my opinion (or against it). Part of the success of the Obama campaign is that people feel as though they are a part of a positive human movement. The campaign has created a sense of community and people cannot help but to catch the fever.
What can you do as a social marketer? Develop a platform where I can take action, see the results, and interact with others committed to the same cause. A good example of this is the social vibe application on facebook. You choose your cause, contribute if you want (not necessary) and post a link to your cause on your wall to build enthusiasm and participation from peers.
Fellow millennials--Do you agree?
What other good examples are out there?
...Ditch the hierarchy.
Hierarchy does not make sense in my ideal workplace. Some companies have caught on to this. They have general “associates” and then they have senior management. I am not going to respond well if you tell me I don’t have enough years of experience to be in a certain position even though I have the knowledge and expertise to do a certain job. I don’t care about the way things were always done or whether it’s fair compared to someone who has been at the company for years if they aren’t doing the same quality or quantity of work me. I want to be judged on my work, my merit, and my perspective based on my personal mix of education and life experiences.
Let them be free! (and productive)
I want to be on facebook at work, so let me. I’ll either be on it or I will be consumed with thoughts of being on facebook or checking our gmail and not get work done. Let me do my personal “business” at work. I will be more productive. I promise. I can ingest a lot more information in a shorter amount of time than you were ever used to consuming. I usually work through lunch. I have 10 tabs open in firefox at a given time with my schedule, favorite blogs, social networking sites, bank account, etc. I was raised as a project manager. I’ve had an over-booked schedule my entire life. I can handle it. Give me the work. I will rise to the challenge and if I need assistance, I will ask, because I like to collaborate and I don’t want to be wrong, so I’ll check in with authority along the way.
If you give us access to authority and recognition back from that authority, we’ll work hard, get it right, and strive to do better.
If you let us work at home, we’ll put in 12 hour days (maybe more, and maybe on the weekend).
Enable Zen.
Work and “life” is the same thing for me. I have been sold on the idea of a 360 degree lifestyle and work/life balance. It’s been ingrained in me from birth that a job that makes me happy is better than a job that makes me rich, and I believe it. If I make a lot of money doing what makes me happy- bonus. Don’t let that think you can get away with underpaying millennials. I know what the average salary is in the industry and market because I can look it up on salary.com and will demand to make competitive pay for the work I’m doing.
There is Only One World
I over-share. The lines between work and “home” are blurred for me. Actually, I would argue the line doesn’t even exist. I want you to know who I am as a person, not as a work-self versus a home-self. Earlier generations often compartmentalize their home-self in the home world and their work-self in the work world. This drives some of the main challenges for usage of social networks. My mature colleagues struggle with choosing what social network should be for co-workers, and what social network should be for friends and family. I don’t have more than one world. I have one, global, interpersonal world. My life experiences, personality, and “home life” are a part of my effectiveness and competitive advantage as an employee. (p.s. they are for you, too, but you aren’t ready to admit it).
Action=Impact
I want to my actions to make a difference. I’ve only known a global world. The terms global and international don’t really make sense to me because I don’t believe there is a concept of non-global (unless you live in North Korea). I want to help kids with AIDS in Africa. I want to deplete poverty in the world. I want to save the environment. The difference between traditional do-gooders and millennials is that I believe that there are specific actions I can take that will have a significant and measurable impact on the world to aid my cause as opposed to sending money into an infomercial charity that you will never see again and never really know where the money went. I want to help via my actions, not necessarily my money. If I have money to give, I will, but I want to know what it was spent on.
Take a look at the current presidential campaign. Barack Obama has made history by fund raising millions of dollars in a few days by single contributors giving as little as $5 at a person. I can donate and instantly see how I have increased the fund raising sum on the real-time fundraising bar graph on Obama’s website. The same success via individual contribution can be seen with the participation in text voting on reality shows. My vote makes a difference and I get to see and enjoy the results in a quick turnaround time (sometimes instantly).
It’s not just about doing something, but about being a part of something. Yes, I sent a text because it contributed to the selection of who gets “voted off,” but I also sent a text because millions of other people were texting along with my opinion (or against it). Part of the success of the Obama campaign is that people feel as though they are a part of a positive human movement. The campaign has created a sense of community and people cannot help but to catch the fever.
What can you do as a social marketer? Develop a platform where I can take action, see the results, and interact with others committed to the same cause. A good example of this is the social vibe application on facebook. You choose your cause, contribute if you want (not necessary) and post a link to your cause on your wall to build enthusiasm and participation from peers.
Fellow millennials--Do you agree?
What other good examples are out there?
Rules for Millennials Part I: Consumer Marketing
What’s my less-than-twitter length best advice for marketers and employers trying to reach millennials? Be flexible.
What you’ve heard about me
You’ve probably heard some of the gen-Y/ millennial theories. We grew up being over-scheduled with zero downtime. We have been told that we have to be “well-rounded” to even gain entry into college. We had to be a scholar, be a club president, be a sports team captain, and a community volunteer. We take that mindset into the workplace. We want excellence and balance in the workplace, in the home, and in the consumer marketplace. What does that mean? For my recommendations to marketers and managers, read on.
Junk the rigid policies in exchange for common sense.
I don’t want to adhere to your 100 year old policies. If I am unsatisfied with your product and have already opened it, take it back. Believe me, it’s more of an annoyance for me to drive to your store to return it than it is for you to actually pay for that loss sale. Ninety percent of the time I return something (which is rare), I shop around the store and end up netting out with a higher spend than the value of item(s) returned. And, if you give me good customer service during my return, I will tell all of my friends how awesome you are. I have nearly 400 friends on facebook, not to mention all my other social networks. Imagine my reach as your spokesperson. Be flexible with and the rewards can be exponential.
Information trumps brand.
I don’t have brand loyalty. This has nothing to do with being ephemeral, but everything to do with being informed. I will not purchase your product just because my parents did. I want you to prove your value to me. I have the ability between the web and my peers to make the most informed decision. I know if I can get the same product from another vendor for a better price. I know what products are made of and will check the label. I know if your product is made of the same thing as the generic brand.
Value will be rewarded.
I’ve bought Downy fabric softener my whole life. Not because it’s the one I’m loyal to, but because they have provided me with consistently updated and relevant value. They moved from their original product to concentrated product (so it’s lighter to carry in my hand-cart). A year or so later, they combined their product with Tide in one formula (less weight in my basket and less steps/ time saved when doing laundry). Someone at Downy is obviously listening to customers, putting themselves in my shoes, and constantly providing me value.
Marketers—ding, ding, ding… You need to provide regularly updated, remarkable, and targeted VALUE whether that’s web content, product alterations, or customized service. It takes time, but I truly appreciate it and will reward you for it.
Don’t use me.
Contrarily, I do have brand loyalty when it comes to particular product competencies. If I want the best leather crafted handbag, I’m going to go to Coach. I will not; however buy anything with those god-awful “C”’s on it. Don’t brand me. I’m not cool with that. I’m not your billboard. I will be your ambassador if you provide me value, but if you try to “use” me, I will reject you.
There is no vertical
I get the same endorphin feeling from saying I have an expensive Michael Kors tangerine trench that I do from telling someone my fashion-forward sweater I’m wearing was $12.95 from Forever 21. I’m not embarrassed that I have some things that are “cheap.” I’m proud of my resourcefulness and live by the theory of buying either the best or the cheapest (thanks Elsa Schiaparelli). The brands have different value and different expectations. If I pay for Michael Kors, I want it to last for 21 years. If I pay for a Forever 21 top, I’m happy to have it last for 3 wears. I will splurge on a “luxury” item if I really want it and skimp on a “commoditized” item when it meets my needs. I don’t have much need for anything in between. I will either be indulging in an iphone or waiting until my Verizon contract runs out so I can get the cheapest phone that accompanies a new contract.
Ditch the hierarchy.
We don’t jive with your hierarchy. Why do you need a hierarchy? I don’t want to have to ask to “speak you’re your manager” to get good service. I similarly don't jive with hierarchy in the workplace.
See Part II of Rules for Millennials for more on how to communicate with us in the workplace.
Millennials at New Marketing Conference
I've spent the last two days in Boston, MA at the second annual New Marketing Summit. The days were jam packed and high paced, churning out solid, valuable tips from leading experts in "new" marketing, PR, social media, etc. Most presentations were kept to 10 minutes, some just 5 minutes and it was awesome! Presenters were forced to get to the meat and kept the audience engaged, which is not easy when you have a conference that runs from 8 AM-7 PM.
A select few deserving speakers got a whole 30 minutes to share their insight--my favorites being David Meerman Scott and Paul Gillin. Other really remarkable (linkable) quick presentations that stuck with me were given by Todd Defren and Brian Halligan.
The inspiration for this blog came from a panel of millennial markers. They touched on some key descriptors of the millennial generation, but I think they also left a lot out. This blog is my take on things as a Millennial Marketer. Enjoy!
A select few deserving speakers got a whole 30 minutes to share their insight--my favorites being David Meerman Scott and Paul Gillin. Other really remarkable (linkable) quick presentations that stuck with me were given by Todd Defren and Brian Halligan.
The inspiration for this blog came from a panel of millennial markers. They touched on some key descriptors of the millennial generation, but I think they also left a lot out. This blog is my take on things as a Millennial Marketer. Enjoy!
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