Millennials Turn to Money-Saving Shopping Behaviors

As millennials age (now spanning ages 25-40), their core values have evolved, with convenience, personalization and sustainability weighing more on their minds. In a report from GWI, research shows a 16% increase in the last two years in millennials wanting brands to be inclusive — and they’re more loyal to companies who prioritize social responsibility as well. In fact, 23% of millennials are more likely to say the brands they buy reflect their values, and they’re willing to spend extra to do so, research shows.

Based on current trends, inflation may cause millennials’ purchase behavior to actually be more practicality-minded and less values-driven.

“To take the environment as an example, our data shows that year-on-year the number who advocate based on behalf of the environment has dropped 18%, and the number who support environmental causes has dropped 9%,” Chris Beer, GWI’s data journalist, told Retail Leader Pro. “And we’re seeing more millennials saying that things like public service, supporting good causes and supporting the U.S. are less important to them — all signs they’re more focused on their own personal security. We see signs of this in their purchase behavior as well, with consumers in this age group sacrificing those value-based premiums; for example, the number who don’t buy any organic products is up 16%.” 

Millennials’ focus currently is on money-saving. Where millennials do buy in accordance with their values, increasingly a cost-cutting element is associated with it, such as the number buying seasonal produce, which is up 12% year-on-year, Beer said.

Experience with Economic Uncertainty

In early 2021, financial optimism and daringness peaked in the U.S. Now that life is getting more expensive, this trend has reversed. In the last year, consumer confidence among millennials has dropped 27%, GWI reports.