Marketing Strategy for Millennial Buyers: Analysis and Recommendations

This report provides an in-depth analysis of marketing strategies tailored for millennial buyers, contrasting their behaviors with those of GenX. It explores the evolving influence of technology and social media on consumer purchase decisions, highlighting the shift from traditional in-store experiences to online platforms. The report examines key influencers shaping millennial buying habits, including peer recommendations and experience-based preferences, and how businesses have adapted to meet these changing demands. It also reviews the impact of social media, website reviews, and word-of-mouth on purchasing behavior. Furthermore, the report identifies gaps in existing literature and concludes with recommendations for effective marketing approaches to engage and attract millennial consumers, emphasizing the importance of digital strategies and customer-centric approaches. The report is a contribution from a student, and can be found on Desklib, a platform providing study resources.

Running head: MARKETING STRATEGY FOR MILLENNIAL BUYERS
MARKETING STRATEGY FOR MILLENNIAL BUYERS
Name of the student
Name of the university
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Table of Contents
1. Introduction..................................................................................................................................2
1.1. Background...........................................................................................................................2
1.2. Baby boomers buying behavior............................................................................................3
1.3. Change in behavior throughout the years.............................................................................4
2.Analysis........................................................................................................................................5
2.1.Factor influencers..................................................................................................................5
2.2. Changes undertaken by the businesses correlating to buying behavior of the customers....8
2.3. Influence of Social Media, Websites reviews, blogging, word-of-mouth on buying
behavior.....................................................................................................................................11
3. Literature review........................................................................................................................13
4. Literature gap.............................................................................................................................17
5. Conclusion and recommendations.............................................................................................18
5.1.Conclusion...........................................................................................................................18
5.2. Recommendations...............................................................................................................18
References......................................................................................................................................20

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Topic: Marketing strategy for millennial buyers
1. Introduction
1.1. Background
The marketing activities in an organization are specifically grounded on the different
changes in the technological environment and the buying preferences of the customers. The vivid
modifications in an organization’s marketing initiatives are reliant on the assessment of the
changing needs of the customers. According to Suntornpithug and King (2018), the modification
in the marketing operations of an organization is based on the efficient functioning of the
different systems while referring to the demand of the customers. Olga et al. (2018) stated that
marketing and promotional activities of an organization supports the same in drawing the
attention of the potential customers towards their offerings while contributing to the
enhancement of their sales volume. The increased sales volume contribute to the revenue stream
of an organization. Moreover, Hendriyani and Chan (2018) stated that apart from making the
potential customers aware, marketing communication techniques assists an organization in
gathering feedbacks on the propositions from the customers.
Therefore, the marketing communication and promotional techniques that are selected by
an organization depends on the assessment of the target audience and the manner in which the
same might be engaged in the practices. The research will take the initiative of identifying the
different changes in the buying behavior of the customers ranging from GenX to GenY and the
marketing initiatives that are undertaken by the organizations for attracting their attention
effectively. In this connection, the research will also take the initiative of analyzing the
influencers, that play a major role in shaping the decision making process of the buyers,
empowering the incremental sales target for businesses.

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1.2. Baby boomers buying behavior
Baby Boomers are the generation that were born between the years 1946 and 1966. In
Australia, the baby boomers or the GenX were born mostly in the period of post-war economic
boom (Kapferer and Michaut-Denizeau 2019). The era mostly encountered rising rates of female
participation in the educational and the workforce, resulting to the genesis of two-income
households (SanMiguel, Guercini and Sádaba 2018). Therefore, it supported their economic
stability while empowering their affordability. The higher amount of disposable income of the
baby boomers, even more than the millennial population, is specifically based on the two-income
households. However, it has been noted that the baby boomers have an inclination towards a
convenient shopping attitude which is mostly influenced by in- store shopping experiences.
Inkaew and Huang (2019) reflected on a research stated that around 84% of the baby boomers
prefer to buy from in- store facilities rather than opting for online buying platforms. The buying
preference of the GenX community largely influenced the growth of the multi- channeled
distribution systems.
Moreover, it has been noted that the GenX population prefers support and assistance from
the sales and customer support executives while making a buy of a commodity rather than going
through the online reviews. The highest amount of disposable income of the GenX contributed to
the enhancement of affordability while making purchase of utility based commodities. On the
other hand, Naumovska (2017) argued that as the first wave of baby boomers in Australia, whose
age ranged between 48 and 67 years, are nearing retirement which again affected their careless
buying behavior. The GenX population have minimal knowledge on the use of technologies and
social media platforms for identifying the suitability of the commodities while making purchase

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decisions. Therefore, the GenX population mostly depends on the experience that are shared by
their friends and relatives as their influencers for backing their purchase decisions.
However, a research conducted by Perera and Perera (2016) reflected that 12% of the
baby boomers make their purchase intent on recommendations made by friends or relatives.
Therefore, it might be stated that the buying behavior of the baby boomer communities in
Australia are mainly dependent on the convenient shopping experience and the legitimacy of the
price. The layout of the store and the convenient finding options for the commodities attract the
attention of the GenX population. In this relation, the baby boomers expect extensive assistance
from the sales assistants and customer care executives. Silvia (2019) stated that more than 62%
of the GenX population expects a convenient shopping experience and only 37% of the GenX
population likes to go around a store for supporting their purchase intents. Therefore, it might be
noted that the GenX population prefers to select their commodities from the in- store facilities
while expecting convenient buying options.
1.3. Change in behavior throughout the years
The change in the buying behavior of the consumers from the GenX to the Millennial or
GenY population specifically rested on the improvements in different technologies. The
development of the IT (Information Technology) systems and the IoT (Internet of Things)
created an ambience for the tech savvy population. Moreover, the changing lifestyle of the
millennial population made a huge contribution to the change in the buying preferences.
According to Sheikh, Shahzad and Ishak (2016), around 40.7% of the millennial population
prefers buying from different online buying platforms at least once a week. The fast paced
lifestyle of the people resulted to an imbalance in the work- life balance. It restricted the
capability of the population in taking time to shop their required commodities from the stores.

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Moreover, the development of the e- commerce also influenced the online buying
behavior among the people. The major point of difference between the GenX and GenY
population is based on their preferences of the commodities and the use of social and different
other digital media platforms. The GenX population mostly preferred elegance based products
that would help them in showing off their social status (Berger 2018). However, the transition in
the buying behavior of the customers from GenX to GenY is based on the changed preference to
towards the experience based propositions. On the other hand, the development of the social
media platforms along with e- commerce backed the buyer’s decision making, specifically the
GenY communities.
The fast paced lifestyle of the people specifically backed the convenient shopping
behavior of the GenY customers. It has been noted that around 36.8% of the GenY population
shops through a mobile phone at least once in a week (Min et al. 2019). Therefore, it might be
noted that the inclination of the millennial population towards the use of technologies for making
a buy of the commodities and the transition from the choice of eloquence based propositions to
the experience based offerings influenced the change in the buying patterns over the years.
Moreover, the fast paced lifestyle of the people and the technological innovations mostly
influenced the transition of buying patterns of the customers.
2.Analysis
2.1.Factor influencers
The changes in the buying preferences of the customers, over the years, critically
administered the different modifications in the organizational operations. The key changes in the
organizational operations are based on the assessment of the current needs of the customers.
Chaney, Touzani and Ben Slimane (2017) opined that there are influencers that might affect the

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buying behavior of the customers. The change in the influencers can be accredited to the
modifications in the digital technologies and the era of information systems. The factors that
influenced the buying preferences of the baby boomers were specifically based on the
recommendation made by the relatives or peers. In a research project Kumar, Lahiri and Dogan
(2018) noted that more than 47% of the purchases made by the baby boomers heeded to the
recommendations that are made by the peers while choosing a brand. Moreover, the buying
preference of the baby boomers mostly relied on the elegance of the commodity which they
might be able to show off for gaining a sustainable social status. The extensive knowledge on
price of a commodity and the price sensitivity of the baby boomers were influential factors that
guided the purchase intents.
According to Berraies, Ben Yahia and Hannachi (2017), the pricing elements plays an
influential role in backing the sales volume and affordability of the customers. It has been
noticed that most of the baby boomers are price sensitive customers whose buying preferences
are affected through the price of the offerings. Therefore, the price of the commodities played an
influential role in backing the purchase intent of the baby boomers. Moreover, the baby boomers
mostly expected support from the organizations while making their purchase intents. Grodzki,
Powers and Burnstine (2018) stated that most of the organizations took the initiative of recruiting
customer care agents with the purpose of improving the quality of the operations while providing
the clients with assistance while making a buying decision. The behavior of the customer care
executives of an organization and the layout of the store might be thereby taken as influencers
for the baby boomer community of customers (Lukina 2016). From previous research
assessments it has been found that the baby boomers prefer buying the commodities from stores

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rather than purchasing online. In this connection, the layout of the store and the behavior of the
staffs mostly influenced the buying behavior and loyalty of the baby boomers.
On the other hand, the millennial population are more inclined towards experience based
buying. Yan et al. (2019) opined that around 40.7% of the millennial population, around the
world, are more inclined towards online buying preferences. The inclination of the customers
towards online buying has increased the scope of marketing and selling for the organizations.
The primary motivators or influencers for the millennial population are the social and digital
media platforms through which they assess the reviews made by the community members. The
experience based buying activities and the tech savvy nature of the generation are the major
motivators that influence the buying decision. Moreno, Carreón and Moreno (2016) noted that
the technological innovations in the business industries and the growing expectation of the
millennial buyers towards experience based buying related activities are shaping the activities of
the marketing agents.
The fast paced lifestyle of the millennial population and their preoccupation in different
other activities reduced their time for convenience shopping or an in- store experience (Chivandi,
Samuel and Muchie 2019). Moreover, the increased development of the social or digital media
platforms have greatly supported changes in the organizational constructs. It has improved the
rate of operations of the venture while operating in the different markets. The tech savvy
generation specifically encourages online buying based on increased customer support provided
by the businesses. Kakkar and Nayak (2019) reflected that the technological influencers brought
about significant changes in the buying behavior of the customers over the years. Therefore, the
fast paced lifestyle and the inclination of the millennial population towards online buying
significantly changed the market scenario. The digitalization and usage of social media platforms

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greatly supported the change in the buying preferences of the tech savvy generation, millennial
(Dabija and Lung 2018).
2.2. Changes undertaken by the businesses correlating to buying behavior of the customers
The changes in the buying behavior and purchase intent of the customers have mandated
alterations in the marketing procedures that are initiated by the businesses. Hall, Towers and
Shaw (2017) stated that the businesses are established with the purpose of adhering to the
requirements of the customers. In this connection, most of the business decisions rely on the
customer- centric approaches that are implemented by the same. The development of service or
product propositions made by an organization are reliant on the assessment of needs of the
customers. Dabija, Bejan and Tipi (2018) portrayed in a research that the visible changes in the
strategizing related activities of an organization are reliant on the differences in customer needs.
It has been noted that most of the organizations take the initiative of following a multi-
channeled distribution model.
The multi- channeled distribution model aimed at attracting the attention of both the
millennial and the baby boomer communities. The use of digital, social and physical stores
enabled the businesses in improving the sales volume of the same while operating in the different
markets. According to Fuentes Fernández, Vriesekoop and Urbano (2017), the customer centric
marketing operations of an organization permits a venture in improving the rate sales volume
through increased involvement of the customers. Therefore, most of the organizations considered
the initiation of customer centric approach while proposing their offerings to the end users while
optimizing the process scaling.
The organizations developed the initiative of improving the design of the store layouts
with the purpose of maintaining the effectiveness of the operations. In this connection, the

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organizations undertook the initiative of conducting market research for identifying the general
needs of the customers and thereby design their propositions for maximizing the value of the
propositions. Moreover, Khan and Iftikhar (2017) opined that the assessment of the customer
behavior enabled the organization in gaining access to the different changes as per the needs of
the venture. The modifications in the organizational operations are reliant on the assessment of
the buying intent of the customers while strategizing on the different operational processes.
The organizations also undertook the initiative of improving their online presence
through effective digital and social media campaigning. The digital and social media
campaigning assisted the businesses in drawing the attention of the target audience while
maximizing the sales volume. Fulgoni (2018) stated that the improved online presence of an
organization in creased the viability of the organizations in gaining a competitive edge while
operating in the different markets. The assessment of the buying behavior of the customers
empowers a business in strategizing on the resource based needs and the process flow while
operating as per the changing buying patterns of the customers.
The organizations also took the initiative of improving the staff behavior for increasing
the customer assistance related activities. It has been noted that the customers expect increased
assistance from the sales team and customer assistance executives. Slootweg and Rowson (2018)
stated that the improvements in the customer experience enables an organization in empowering
its sustenance. Most of the organizations have taken the initiative of making pricing
considerations with the purpose of adhering to the changing needs of the customers. The
behavioral Pattern of the customers, the affordability, the changing market demand trends and
the experience based buying habits of the customers forced alterations in the business processes.

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The training of the staff members and the recruitment of skilled or semi- skilled staffs are one of
the most important changes that are made by the business.
Kulle and Hellsten (2017) stated that the organizations have considered the initiative of
providing the staffs with efficient training programs with the purpose of increasing the rate of
satisfaction among the target customers. Moreover, the organizations have taken the initiative of
developing sound communication between the R&D department and the customers for
empowering the rate of innovations in the business models. According to Samiee and Chirapanda
(2019), innovativeness in the business model of an organization permits the same in increasing
the profitability while adhering to the current needs of the customers. The continuous
innovations that are undertaken by the organizations are reliant on the effective functioning of
the systems as per the needs of the venture. The development of the R&D departments in
accordance with the changing buying behavior of the customers permitted the businesses in
initiating re- engineering processes.
According to Micu et al. (2017), the marketing and process re- engineering related
procedures of an organization is generally initiated by an organization on the basis of different
customer centric needs. The assessment of the customer centric needs and changing buying
preferences allows an organization in increasing the viability of the operations in accordance
with the strategic aims of the business. However, Ghose, Li and Liu (2019) stated that
misinterpretation of the needs of the customers might affect the competency of the organizations
while retaining the loyalty of the customers. Therefore, the market assessments that are
conducted by the organizations in the form of surveys supported the same in developing different
propositions while adhering to the changing preferences and buying behavior of the customers.

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2.3. Influence of Social Media, Websites reviews, blogging, word-of-mouth on buying
behavior
The influencers like social media platforms, websites, blogging and reviews enable an
organization in drawing the attention of potential customers towards the propositions that are
made by the businesses. Quatse and Wasserman (2020) stated that the social media and
different other digital media platforms play an inactive role as an influencer to the buying intent
of the customers. Social media platforms like Facebook, Twitter and Instagram works efficiently
in creating an impression of an idea in the minds of the customers relating to a proposition that is
being made by the organizations. Moreover, the extensive use of social media platforms enable
the organizations in improving the rate of customer awareness in the different processes.
According to a statistics in a research of Harmeling et al. (2017), 16.4% of the baby
boomers undertake online shopping activities and more than 36.8% of the millennial population
are indulged in mobile purchases. Therefore, the organizations took the initiative of maintaining
their global presence through the utilization of different social or digital media platforms. It has
been noted that most of the millennial population are engaged in buying commodities after
assessing the reviews that are made by the other customers. In this connection, the organizations
have taken the initiative of improving the social media presence while increasing the customer
support related operations. Kunz et al. (2017) stated that the social media platforms work
effectively in establishing sound communication between the organization and its customers. On
the other hand, Windler et al. (2017) opined that the continuous presence of an organization in
the social media platforms supports an organization creating a permanent impression in the
minds of the customers. The continuous presence of the organization in the social media