The Millennial generation includes those ages 18-34. Here's what we know about the generation: they love texting, hate talking on the phone, and they don't drive as much as older demographics do. The most important thing we know about Millennials is that they look at convenience stores as a destination for quality food at a low price.
According to USA Today, convenience stores are almost as important to Millennials as fast-casual restaurants when it comes to food and beverages. They also state that Millennials are more likely to stop and buy items at convenience stores than any other age group, aiming that the future of convenience stores is food - not fuel.
As fast-casual restaurants, such as Chipotle, raise prices, c-stores gain opportunity to come ahead in the targeting of Millennials. So, although Millennials drive less than other generation and c-stores won't gain much from fuel sales to them, they can gain profit from foodservice and beverage sales.
Here are 7 stats about Millennials and why your convenience store should care.
When it comes to the economy....
1. The average Millennial carries $45,000 worth of debt. (PNC Financial Services)
2. Only 6 in 10 Millennials have a job - and half are only part-time. (Harvard University)
3. The median salary for Millennials is $39,700. (Millennial Branding/PayScale)
For these reasons, convenience stores are the perfect match for Millennials. When the budget is tight, c-stores can offer quality selections for a cheap price.
4. By 2015, their annual spending is expected to be $2.45 trillion and by 2018, they will surpass Boomers in spending power at $3.39 trillion. (Oracle)
They are the fastest growing generation and will be the majority in the future. Targeting them now and keeping them around is a smart decision for business owners.
As world citizens....
5. 89% of Millennials expressed a stronger likelihood that buy from companies that supported solutions to specific social issues. (Brookings)
Taking a stand on a social issue can help you target Millennials. For example, offering environmentally-friendly alternatives to packaging can give them a reason to return.
When it comes to loyalty....
6. 77% participate in loyalty rewards programs. (Aimia)
Once you get them into your store, you can keep them coming back. When they stop in to redeem rewards, they are likely to purchase additional items. This is especially true due to the fact that they are known as more impulse buyers.
Why Does This Matter for Convenience Stores?
7. Convenience stores accounted for 11% of Millennial food and beverage stops in 2014 - with this number continuing to grow. (USA Today)
If you aren't targeting Millennials, your convenience store could be missing out on a huge profit. Get them in your store and coming back with a loyalty program. As already stated, a vast majority of Millennials participate in loyalty rewards programs. Offer a loyalty program to attract and retain Millennial consumers.