Millennials are running businesses, getting married, having kids, buying houses — and ordering way more Ubers and pricey coffees than we Boomers or Gen Xers ever did!
This excellent and insightful report comes to us from Global X, an ETF-focused investment firm. Highly recommend checking them out – their research is strong.
Here are the 10 biggest takeaways:
Millennials are well-educated: 40% have a bachelor’s degree or greater, compared to 29% of Gen Xers and 25% of Baby Boomers.
They’re about to overtake Boomers in the labor force: Millennials are currently 35% of the labor force but will represent 75% of US workers by 2030.
They’re making money: the median adjusted income in a household headed by a Millennial was $69,000 in 2017 – a higher figure than for nearly every other year on record for people aged 22 to 37. And they will be inheriting an estimated $30 trillion in wealth from the Baby Boomer generation.
They’re settling down: 40% now own a house vs. 26% in 2016; 38% are now married vs. 27% in 2016, 40% of Millennial women had children as of 2018.
They’re online shoppers: In 2019, 60% of their purchases are made online, up from 47% two years ago.
They’re cord-cutters: 88% of Millennials subscribe to a streaming service vs. 51% who have a cable subscription.
They’re trying to eat healthily: one-quarter of 25-to-34 years old Americans say they are vegans or vegetarians, causing The Economist to call 2019 “The year of the vegan.”
They’ve made athleisure the largest apparel category: despite the slowdown in the overall apparel market, companies such as Nike and Lululemon continue to ride the wellness wave via athleisure wear, a segment that is expected to reach $355 billion by 2021 up from $290 billion in 2017.
Technology to pay: their cell phones have become their credit card, their wallet, and their overall bank. 75% have used online or mobile payments compared to only 51% of Boomers.
Travel is a priority: compared to other generations, Millennials value their vacations more highly, with one-third willing to pay $5,000 or more for a trip.
The most significant difference I see between Millennials vs. Gen X or Boomers is that they have grown up looking at the world through the prism of technology. In terms of prioritizing experiences or making health a priority, I don’t see significant differences between the generations.
That said, Millennials are becoming a massive force in the economy because of their numbers, their education, and their skill sets, especially as it relates to technology.
Companies that understand their spending habits and preferences will be the most well-positioned to benefit from this major consumer and culture shift.