Pressed for time, millennial consumers look for
convenience and flexibility. They expect a seamless omnichannel experience and
look to combine online shopping, mobile apps and visits to physical stores.
While millennials use eCommerce platforms and apps to a greater extent than
previous generations, more than half of their purchases still take place in
bricks-and-mortar stores, reveals GlobalData.
Millennials, however, need an incentive to visit stores, such as an
entertaining environment, strong brands that they can identify themselves with,
and recreational facilities like in-store cafes or experiences in form of
memorable product demonstrations and trials.
As millennials have not completely ditched visiting bricks-and-mortar stores,
retailers need to deploy analytics to align their store layouts, systems and
operational processes in line with millennials’ digital maturity and
Andreas Olah, Digital Retail Analyst at GlobalData, says: “Retailers
also need to work on their social media strategies and integrate these with
loyalty programs, customer service functions, and various mobile apps, from
style advisors and games to third-party apps that provide voucher schemes. They
look to cooperate with strong brands that are popular with millennials.”
Millennials and post-millennials primarily use mobile devices including
smartphones and tablets, besides wearables such as smartwatches and augmented
reality devices to interact with retailers and purchase products. Since they
use these devices at home, work, on the bus and when visiting physical stores,
retailers need to detect their location and provide store or aisle-specific
content and notifications to encourage interaction and purchases, says GlobalData.
Retailers can also use various geo-fencing and tracking tools such as Light
Fidelity (Li-Fi), which detects shoppers’ location by sending light signals to
their smartphones’ camera, in addition to more traditional ways like relying on
Wi-Fi hotspots and mobile phone providers’ data.
“While some millennials may object to being tracked and value data
protection, the majority are happy to share at least some data if they get
something valuable in return, such as greater personalisation, more convenient wayfinding,
special offers, and the ability to complete multi-channel purchasing journeys
in stores,” adds Olah.