Acumen Insights

Millennials Still Economically Cautious

The Nielsen Consumer Confidence report found 55 percent of Millennials (ages 21 to 38) still feel the U.S. is in an economic recession, causing this demographic to be careful spenders and savers. Fifty-one percent have cut down on take-away meals to save on household expenses and 48 percent spend less on new clothes. They also are saving more of their discretionary income. After covering their living expenses, putting money into savings is the top action taken by Millennials with 42 percent who say they save their extra cash. With any extra cash, 35 percent still make apparel purchases but experiences are a priority as well, with 24 percent of Millennials spending their extra money on vacations.

Millennials are savvy shoppers and avid researchers; 42 percent of them check at least four sources when trying to decide on a purchase. About a third make purchases only when they have a coupon or promotional code, and roughly 40 percent buy previously used items online to save money. Yet despite their love of a deal, 40 percent of Millennials will spend more to buy local even if it costs more. When they’re not buying from their local communities they prefer to buy American-made products, and roughly 73 percent of the total generation says buying American products is important to them.