Monthly Archives

January 2017

Millennials Prefer Texting with Businesses

By | Acumen Insights

Research conducted by Open Market surveyed 500 Millennials aged 18 to 34 to examine their texting habits, particularly when it comes to businesses. Millennials are huge texters. Approximately 72 percent of them text 10 or more times a day. Eighty-three percent open texts messages within 90 seconds of receiving them.

In terms of communicating with businesses, Millennials have a strong preference for texting. It was the number one preferred channel for notifications from businesses. Email was a close second and voice calling was a distance third. Although Millennials prefer texts, on average, they only receive zero to five text messages from businesses a week. About 20 percent noted that they never receive texts from businesses at all. Approximately 60 percent of Millennials prefer text engagement with companies because it is convenient, fast, and simple to use.

There are various types of texts in which Millennials prefer to receive from businesses. They like to receive appointment reminders (62 percent), delivery notifications (59 percent), and payment reminders (48 percent) via text. Interestingly, more than twice as many Millennials (42 percent) prefer to receive fraud alerts via text than they are currently receiving (19 percent) from their financial service providers. In addition, 80 percent of Millennials prefer to text a company’s 1-800 customer service line versus waiting on hold.

Millennial Men Myths Busted

By | Acumen Insights

The majority of research has focused on millennial women. Knowledge on millennial males has primarily come from old stereotypes. However, today’s male differs greatly from his predecessors. Research conducted by Viacom on 14- to 24-year-olds highlighted four myths about millennial males and how they are highly inaccurate.

Myth #1: Millennial males don’t care about their appearance on social media.

Getting the perfect selfie is not just something millennial women aspire for. In fact, seven out of ten males care just as much as women do about the images they post of themselves on social media. With certain celebrities like Kanye West and Drake, who make it acceptable for a man to be fashionable, this generation of men are encouraged to show off their personal styles.

Myth #2: He’s not into happily-ever-after.

Millennial males have less of the male macho personality—especially when it comes to marriage. They are comfortable showing their sensitive sides. Thirteen percent of the men surveyed were already married. In addition, 63 percent said they would like to get married someday.

Myth #3: They’re unambitious beta males.

The stereotype of this generation is that they do not have jobs; instead, they are ‘hustlers’. The research revealed that this is not the case at all. Millennial males aspire to have well-paying jobs. In fact, 84 percent of them said they wanted to make a lot of money. Many are utilizing their skills in the gig economy by freelancing. They use Facebook both as a storefront and marketing channel. Many (58 percent) millennial males work very hard because they feel they are at a disadvantage since they came of age during the recession.

Myth #4: Being the breadwinner is a given. 

Millennial men do not believe that women should stay at home and just take care of children. Instead, they find an ambitious woman to be very attractive. They absolutely do not mind a woman working and bringing in income as well. In fact, 88 percent said they felt comfortable with their significant other making more money than they do. These men are not necessarily house-husband. They are go-getters as well. The alpha/beta distinction has become non-existent with this generation.

Generations Differ In What They Want In a Home

By | Acumen Insights

The housing market has many active shoppers from all generations. Realtor.com’s September Home Shoppers Survey revealed that the generations differ greatly in what they look for in a home. Older Millennials, age 25 to 34, account for the largest portion of active home shoppers at 33 percent. Approximately 74 percent of these individuals are first-time buyers. Millennials tend to be family and investment focused. Their primary motivations for purchasing a home include: being tired of current living arrangements, getting married/moving in with partners, increase in family size, and the desire to live closer to good schools. Approximately 34 percent prefer attached properties—the highest percentage to prefer such properties across all groups. Their top requirements for a home include: a safer neighborhood, larger yard/lot, and good schools. The largest obstacle for this age group is the down payment, with 32 percent reporting not having the funds for it.

The youngest of Generation X, those aged 35 to 44, make up 23 percent of all active shoppers. Approximately 45 percent are first-time home-buyers. This group places most emphasis on their family and children’s needs and they highly value privacy. Their motivations for home purchase include: being tired of their current home, change in family circumstances, and favorable home prices. About 63 percent of this demographic group prefers single-family detached homes. In terms of desired features, they would like: larger yard/lot, proximity to good schools, more living space, and quality of construction. They are the only group that prefers outlying suburbs slightly more than suburban areas closer to the urban core.

Older Gen X and younger Baby Boomers, aged 45 to 54, account for 17 percent of active home shoppers. About 31 percent of them are first-time buyers. This age group is most concerned with interest rates. Seventeen percent of them consider low interest rates as their top motivator for purchasing a home. They prefer single-family detached homes and desire properties with high quality construction, larger yard/lot space, and safe neighborhoods. This generation is where there is a shift in preference of privacy over family needs.

Today’s Women Still Experience Gender Disparities in the Workplace

By | Acumen Insights

A joint study by LeanIn.Org and McKinsey & Company surveyed 34,000 employees from 39 different companies. The study found that women are still underrepresented at every level of organizations, with most disparity at higher levels. For example, the c-suite levels of these organizations were comprised of 81 percent men and 19 percent women. The SVP levels were comprised of 76 percent men and 24 percent women.

Women are not only poorly represented at various levels of the workforce, but they also experience disparities within it. For instance, women are less likely to be promoted to manager, so fewer end up on the path to leadership. Promotion rates are significantly lower for women compared to men. For every 100 women promoted, 130 men are promoted.

Women are also less likely to have access to senior leaders. Women report fewer interactions with senior leaders than their male counterparts. Fifty-one percent of women in senior management reported that they interacted with a company leader at least once a week, versus 62 percent of men. Women were also less likely to report that a senior leader outside of their direct management chain helped them get a promotion or challenging new assignment.

In terms of feedback, women are less likely to receive it than men. Women ask for informal feedback just as much as men. However, they receive it less frequently. Women were 20 percent less likely than men to report that their manager frequently gives them feedback that helps to improve their performance.

Finally, although women negotiate as often as men, they often receive pushback when they do. Women who negotiate are 30 percent more likely than men who negotiate to receive feedback that they are “intimidating,” “too aggressive,” or “bossy”. In addition, they are 67 percent more likely than women who do not negotiate to receive the same type of negative feedback.

Millennial Entrepreneurs Define Success by Work-Life Balance

By | Acumen Insights

A study by Xero as reported in Business News Daily found that young business owners do not define success by the amount of money they make.  Rather, they value work-life balance and flexibility. Seventy-nine percent of millennial small business owners reported measuring their success in terms of a healthy balance between their personal and professional lives and a flexible work environment. Further, 67 percent said that having a schedule that enables them to travel and pursue personal interests is pivotal in having a successful business.

Millennial small business owners are optimistic about their business success because of various factors. Sixty percent of those surveys reported having a loyal customer base. Further, 57 percent reported increased revenue. Additionally, 31 percent claimed that their profits were on the rise.

Young business owners are the forefront when it comes to using the cloud and social media to run their business. Compared to one-fifth of baby boomers, one-third of millennial entrepreneurs reported running the majority of their business functions in the cloud. Millennial business owners also tend to use social media, such as Facebook and Twitter, to communicate with their customers. In fact, approximately 60 percent of those surveyed noted that social media was their primary channel to communicate one-on-one with customers.

Millennials Prefer Snapchat Over Instagram

By | Acumen Insights

A survey by Adweek commissioned by Survata found that Millennials (age 13-34) prefer Snapchat over Instagram. When asked if they could only have one app, what they would choose, 51 percent said Snapchat while 49 percent said Instagram. Sixty-four percent of respondents thought Snapchat was “cooler” versus 36 percent who felt Instagram was “cooler”. When asked which app has better features, 67 percent said Snapchat, whereas 33 percent said Instagram.

Although Snapchat is more popular among Millennials, Instagram appears to be better for advertising purposes. Respondents reported seeing more ads on Instagram than on Snapchat. Six percent of respondents reported seeing 50 ads on Instagram, while 5 percent reported seeing this same amount on Snapchat. Fourteen percent reported seeing 20 ads on Instagram, while 8 percent reported seeing this number on Snapchat. And finally, 24 percent of Millennials said they saw 10 ads on Instagram, while 17 percent said this number on Snapchat.

When asked about seeing specific ads, more respondents recalled seeing them on Instagram than on Snapchat. On Instagram, 37 percent reported seeing specific ads, while 63 percent did not. On Snapchat, only 26 percent of respondents reported seeing specific ads, whereas 74 percent did not.

Affluent Millennials Spend Most Time Online

By | Acumen Insights

Research by Ipsos as reported in eMarketer found that of individuals from all income levels, the affluent spend the most amount of time on the internet on a regular basis. And among the affluent, Millennials spend the most time online in comparison to other groups. For instance, affluent millennials spend approximately twice as much time online as seniors with the same income level. Millennials with a household income of approximately $100,000 spend 53 hours online weekly, more than any other age group. For the sake of comparison, the average adult in the United States spends a total of five hours and 42 minutes online daily, two hours 49 minutes via desktop/laptop and two hours 30 minutes on smartphone/mobile. Affluent millennial internet users spend a total of 7.5 hours online each day, more than their counterparts Gen Xers (6.5 hours), baby boomers (5.3), and seniors (4 hours).

The research found that mobile activities were popular among the affluent. The two most popular activities were sending and receiving emails (72 percent) and using apps (72 percent). Other popular smartphone activities among this group included: checking the weather (69 percent), looking up directions or maps (69 percent), and taking/sending/receiving/posting pictures (58 percent).

All-Natural Beauty Products Most Popular Among Millennials

By | Acumen Insights

According to a survey by Kari Gran, of all the age groups, millennial women are most likely to see importance of choosing all-natural beauty products. Specifically, 73 percent of Millennials feel that all-natural beauty products are important. When considering other age groups, 59 percent of 35-44 year olds, 56 percent of 45-54 year olds, 51 percent of 55-64 year olds and 54 percent of 65+ year olds find importance in these types of products. Approximately two in three millennial women read beauty product ingredient labels prior to making a purchase to avoid toxic ingredients and chemicals.

All-natural beauty products are so important to Millennials that of all age groups, they are more likely to only purchase such products. For example, 27 percent of Millennials said they only purchase all-natural skin care products, whereas 24 percent of 35-44 year olds, 20 percent of 45-54 year olds, 18 percent of 55-64 year olds, and 24 percent of 65+ year olds said this. Similarly, 26 percent of Millennials said they only purchase all-natural hair care products, whereas 22 percent of 35-44 year, 17 percent of 45-54 year olds, 14% of 55-64 year olds, and 19 percent of 65+ year olds said the same. Similar trends appeared for all-natural sunscreen and nail products.

When looking at future purchasing behavior, Millennials are also ahead. Nearly 1 in 2 Millennials (48 percent) said they planned to buy more all-natural beauty products, compared to women ages 35-44 (35 percent), 45-54 (29 percent), 55-64 (35 percent) and 65+ (21 percent). Of all the age groups, Millennials were the most likely to report they will purchase more all-natural beauty products in the next two years across various categories including: skin care (47 percent), hair care (46 percent), makeup (37 percent), sunscreen (31 percent), and nail care (26 percent).

Millennials Have Big Appetites for Video but Little Patience

By | Acumen Insights

Millennials have large appetites for video content. According to a TiVO survey, this generation spent at least six hours a day consuming video. Approximately 91 percent of Millennials pay for at least one subscription streaming service. On average, Millennials own three streaming devices and subscribe to 2.7 paid streaming services. Seventy-three percent own home streaming devices. Due to the number of services and devices that Millennials have, they spend about 32 minutes daily searching for video.

Because Millennials are huge consumers, they have high expectations when it comes to video. About 53 percent of them reported wanting viewing recommendations. Additionally, 55 percent would pay to simplify search across platforms. Millennials also prefer having the option to use voice commands, with 43 percent of them using this technology. In contrast, only eight percent of Boomers felt comfortable with voice command technology.

In comparison to Boomers, Millennials are far less patient when it comes to video viewing. Forty-six percent reported feeling frustrated when they could not easily find and access things they wanted to watch. Only 20 percent of Boomers reported feeling frustrated in this situation.  As a result of this impatience, 54% of Millennials have show dumped, given up on a show they liked because it was too difficult to access the content. Only 17 percent of Boomers reported doing this.