Millennial Shopping Report 2019 -...

Millennial Shopping Report 2019

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The Millennial Shopping Report | CouponFollow | Winter 2019

Over the past decade, Millennials—those born

between 1982 and 1996—have become a

dominant cultural force and the source of much

debate. The largest generation in American

history, Millennials spend nearly $600 billion each

year—a figure that is expected to rise to $1.4

trillion by 2020.

INTRODUCTION

In this report, we examine the shopping,

spending, and saving habits of American

Millennials and explore how these

behaviors are impacting the evolution of

commerce and the future of retail.

The Millennial Shopping Report 2019 | CouponFollow

METHODOLOGYFor this report, we polled 1,002 Millennials

between the ages of 22-37 from all over the

United States.

Representing a broad economic scope, with an

annual household income ranging from 0-

$200,000+, participation was almost evenly

split amongst Millennials who identify as male

or female (53% and 47%, respectively).

The data was collected in January of 2019.

This report also features comparisons to our

previous Millennial shopping report research

done in 2017.


The majority of Millennials now

do most of their shopping

online—a shift from our

previous data, which suggested

a preference for brick-and-

mortar purchasing.

Younger Millennials are even

more likely to shop online (via

desktop and/or mobile device)

than brick-and-mortar

compared to older Millennials.

1

Millennials now make more

online purchases on mobile

devices (i.e., phone and

tablet) than on desktop

computers.

Overall, the data shows a

dramatic 20% increase in

mobile shopping over the last

18 months.

Two-thirds of Millennials

make half or more of their

purchases on Amazon, with

nearly one-third making at

least 4 out of 5 purchases on

the retail platform.

Reviews and prices are the

two greatest factors when

shopping on Amazon.

KEY TAKEAWAYS


Millennials search for

discounts at a staggering

rate when shopping online.

95% of the generation say

they search the Internet for

coupons before an online

transaction, with more than

half (55%) estimating they

spend 3 minutes or more

looking for discounts and

savings.

Online shopping has finally surpassed brick-and-mortar in popularity.

Mobile has replaced desktop as the preferred online shopping platform.

2

Amazon owns the Millennial generation and dominates spend in all categories.

3

Coupons have become central to the online shopping experience.

4

PART ONE:

Platform Preferences: Online Versus Offline Shopping


Millennials now make the majority of their purchases online—a deviation from previous findings, which suggested a lingering preference for brick-and-mortar shopping.


47%

53%

60%

40%

Online Offline

Where Do Millennials Shop: 2017 vs. 2019

2017 2019

Older Millennials—those between the ages of 32-37—are more likely to shop at brick-and-mortar stores than their younger counterparts. However, even the oldest Millennials make the majority of their purchases online.


39% 38%43%

61% 62%57%

22 to 26 27 to 31 32 to 37

Shopping Behavior By Age Group

Offline Online

Mobile has increased in popularity by 20% since 2017 and is now the leading platform for online purchases amongst Millennials.


53%

31%

16%

40%

24%

36%

In-store (i.e., brick andmortar)

On a computer (i.e., desktopor laptop computer)

On a mobile device (i.e.,phone or tablet)

Mobile Growth

2017 2019

While both genders show a strong preference for mobile shopping, Millennial females are 10% more likely to purchase on a mobile device, while males are 14% more likely to use a computer device.


42%

17%

41%38%

31% 31%

In-store (i.e., brick andmortar)

On a computer (i.e., desktopor laptop computer)

On a mobile device (i.e.,phone or tablet)

Gender And Purchasing Platforms

Female Male

From search and discovery to check-out and delivery, 39% of Millennials are interested in shopping entirely digital—up nearly 10% since 2017.

18%

6%

31%

15%

30%

13%

8%

22%18%

39%

Browse in-storeand purchase in-

store

Browse in-storebut purchase

online

Browse online andin-store but

purchase in-store

Browse online andin-store but

purchase online

Browse online andpurchase online

All Digital, All The Time

2017 2019



79% OF MILLENNIALS BROWSE THE INTERNET BEFORE MAKING EITHER AN ONLINE OR

OFFLINE PURCHASING DECISION

PART TWO:

Consumer Behavior: Where, Why, and How Millennials Buy


Amazon is the dominant retailer for Millennial shoppers, with 97% of the generation utilizing the platform for some portion of their online shopping.


I don't shop on Amazon at all.

3%

Some portion of my online retail

shopping is done via Amazon.

97%

Amazon And Millennials

Two-thirds of Millennials make at least 50% of their online retail purchases through Amazon; the top one-third (34%) use Amazon for 80% or more of their online shopping.


3%

17% 16%14%

16%

30%

4%

I don't shopon Amazon

at all.

20% 40% 50% 60% 80% All of myonline retailpurchases

are made onAmazon.

The Amazon Influence

Both a product’s price point and its reviews are the greatest factors for Millennial shoppers on Amazon—with the generation evenly split between which of the two is most important (43 vs. 41%, respectively).


43%

41%

9%

4%

3%

By reading reviews

Best price / price comparison

Choose the Amazon recommended option

Top one listed in search

Other

Amazon Purchasing Factors

Most Millennials rarely use voice assistants to make purchases, however, such devices are beginning to play a significant role in product search and discovery.


I use a voice assistant when shopping (eg. searching for

products, product reviews,

etc.).45%

I don't use a voice assistant

for any shopping activity

55%

Voice-Assisted Shopping

Google’s Assistant is the preferred voice assistant for shopping-related activities amongst Millennials. Apple’s Siri and Amazon’s Alexa follow closely behind.


24%

19%

18%

5%

0% 5% 10% 15% 20% 25%

Google's Assistant

Apple's Siri

Amazon's Alexa

Microsoft's Cortana

Voice Assistant Popularity

Smart Speakers are also underutilized as shopping tools. While 55% of Millennials own a smart speaker, less than 5% used one to make more than one purchase in 2018.


45%42%

10%

4%

I don't have a smartspeaker or voicecontrolled device

I have a voicedevice, but didn't

make any purchases

I made onepurchase

I made more thanone purchase

Shopping With Smart Speakers

90% of Millennials are familiar with cryptocurrency. Only 10% don’t know what it is.


I don’t know what cryptocurrency is.

10%

I am familiar with cryptocurrency.

90%

Cryptocurrency Awareness

While 22% of Millennials made a retail purchase using Cryptocurrency in 2018, only 6% of made a significant number (6+) of purchases.


78%

7% 9%4% 2%

None Just 1 2 - 5 6 - 10 More than 10

Cryptocurrency Adoption In 2018

28% of Millennial males make purchases using cryptocurrency, 13% more than Millennial females.


14%

70%

6% 7%3%

5%

66%

14%10%

5%

I don't know whatcryptocurrency is

No, I don't usecryptocurrency tomake purchases

Yes, but veryrarely

Yes, I use it onoccasion

Yes, I use itwheneverpossible

Cryptocurrency Gender And Usage

Female Male


24% OF MILLENNIALS AGED 26 OR YOUNGER USE CRYPTOCURRENCY COMPARED TO 16% OF

MILLENNIALS AGED 32 OR OLDER.

PART THREE:

Spending and Saving: How Millennials are Rethinking Couponing


65% of Millennials search the Internet for coupons when purchasing via a computer- 30% more than those who to search the Internet for coupons before making a brick-and-mortar purchase.


65%62%

35%

When shopping online (i.e.,computer)

When shopping on a mobiledevice (i.e., phone or tablet)

When shopping in-store (i.e.,brick and mortar)

Coupon Clipping Preference

Expired or nonworking codes continue to be the single greatest pain point for Millennial shoppers.


64%

17%

15%

4%

The offer has expired or link is broken. /The coupon codes rarely work.

I feel misled by the offer, and/or distrustthe results.

It takes too long to search for codes.

There's too many coupon options.

Couponing Pain Points

Millennials are willing to spend more time looking for discounts, with more than half of Millennials (56%) spending three minutes or longer searching the Internet for coupons—a 10% increase over the past 18 months.


11%

5%

12%

27% 27%

18%

5%

9% 9%

21%

32%

24%

I don't searchfor coupons

I use softwareto search for

couponsautomatically

Less than oneminute

One to threeminutes

Three to fiveminutes

More thanfive minutes

Duration Of Search

2017 2019

The percentage of Millennials who use software and/or online tools to automate couponing on the Internet has almost doubled since 2017.


11%

5%5%

9%

I don't search for coupons. I use software to automatically search forcoupons.

Saving With Software

2017 2019

Digital tools, such as browser extensions, that allow users to save money while shopping online have become increasingly popular. 44% of Millennials “sometimes” or “often” utilize such tools, compared to just 21% in 2017.


13% 14%

7%

17%

28%

16%

Rarely Sometimes Often

Money-Saving Tools And Extensions

2017 2019


95% OF MILLENNIALS SEARCH FOR A COUPON BEFORE MAKING A PURCHASE AND ARE

WILLING TO SPEND MORE TIME DOING SO.

70% of Millennials follow brands on social media – a 30% increase from 2017.


43%

57%

30%

70%

I do not follow brands on social media. I follow brands on social media.

Social Media Following

2017 2019

Of the 70% of Millennials who do follow brands on social media, more than half do so to receive cost-saving offers and incentives.


54%

41%

6%

Get early access to the bestdeals and discounts

Learn about the latest trendsand products

Participate in their community

Saving Through Social

While mobile shopping as experienced a surge in the past 18 months, the majority of Millennials still prefer to receive coupons via email.


54%

23%

12%

10%

2%

Email

Mobile app

Text message

Postal mail

Chatbot

Delivery Of Discounts


73% OF MILLENNIALS WOULD TRY A PRODUCT FROM A COMPETITOR OF THEIR FAVORITE

BRAND FOR A 20-40% DISCOUNT

With online shopping finally surpassing brick-

and-mortar in popularity and mobile

transactions at a record high, it’s clear that

Millennials are moving towards an entirely

digital shopping experience.

Retailers, like Amazon, recognize that they can

earn market share and mindshare by

embracing a few core principles: speed,

convenience, and savings.

Our data suggests that Millennials have

evolved to become fully empowered

shoppers—the result of which has created a

consumer who sees discounting not as a perk

but as an expectation that brands must fulfill

throughout the customer journey.


FINAL THOUGHTS

CouponFollow is a real-time coupon code

search engine and directory that helps millions

of consumers save money each month.

Started in 2009 by Marc Mezzacca,

CouponFollow scours the Internet for the latest

discounts and offers, delivering them to a

global audience of engaged shoppers on the

web and through their browser extension

Cently.

Learn more at: www.couponfollow.com


Michael Parrish DuDellChief Strategy Officer

Named “one of nation’s leading Millennial voices” by

IBM, Michael is a noted industry expert and media

commentator.

Marc MezzaccaFounder

A trailblazer in the online coupon space, Marc has been

helping consumers save money for over a decade.

Pierre WooldridgeHead of Product

Recognized for his ability to design and build celebrated products, Pierre’s work has

garnered international praise.

TEAM


Millennial Shopping Report 2019

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