Did you know that Millennials (those born between 1980-2000s) are the fastest growing consumer group? Wondering how to appeal to them? The answer is customer reviews! Read below to find out why:
1.Millennials and customer reviews
The company Charles Schwab conducted research where they compared Millennials to Generation X (those born between 1960-80) and Baby Boomers (born between 1940-60). The results showed that Millennials are more likely to spend higher amounts and to purchase more often tech gadgets, clothing and experiences. Therefore, Millennials are a customer segment which companies need to address if they want to succeed!
However, what is so special about Millennials and customer reviews? Well, Millennials are the first generation which has grown up with the Internet. Therefore, they are much more accustomed to using the Internet for everyday activities. In fact, anything from restaurants and bars to professors in universities, doctors, lawyers and other professionals has reviews and a star rating.
According to Adweek, 93% of all Millennials read reviews before making a purchase and 77% trust them! Both these percentages are higher compared to other age segments. What is more, a study by Medallia found out that “online reviews” is the third largest purchasing factor (50%) for Millennials, after “personal experience” (75%) and “recommendations from friends and family” (56%).
Another reason why customer reviews are so popular with Millennials is because they spend so much time on social media. There they witness plenty of social media reviews from their peers. In addition, Millennials no longer trust brands and statements from “experts”, but would rather read about the experiences of other, regular customers like themselves.
Finally, Millennials not only read many more reviews before making a purchase, but they also write more reviews. For example, Medallia found out that depending on the type of experience, Millennials are anywhere between twice (holiday) to five times (bank) more likely to write a public review than Baby Boomers. In fact, Millennials are much more likely to become your brand ambassadors once you give them enough reasons to be loyal to your company.
2. How to appeal to Millennials?
These are some important steps any company needs to undertake to appeal to Millenials:
- Being mobile-friendly: did you know that more than 85% of all Millennials use smartphones? Therefore, you need to make sure that your company has a mobile-friendly website. Your website needs to clearly display positive reviews other customers have left you. This will attract many walk-ins in your business or store!
- Reviews, photos and videos: encourage your customers to leave you reviews on your website, as well as on social media. Reason being that according to Medallia, the average Millennial has 3x more friends on Facebook and 4x more followers on Instagram than the average Baby Boomer. Therefore, their reviews and comments will reach a wider audience. In addition, those reviews act as a form of “social proof” for other customers and make your company look more trustworthy and reliable.
- Engage in conversations: this is an important aspect of creating lasting customer relations! You need to engage your customers in interesting conversations, read their reviews and questions. In addition, reply as soon as possible to their comments and show that you care about and value their opinions. Most importantly, use their feedback to adapt and improve your products and services!
- Be transparent: Millennials appreciate brands which don’t claim to be perfect but take responsibility for any mistakes or blunders they might have done. Therefore, be open with your customers and apologize when you have done a mistake. Read here to find out why a perfect 5-star rating is not always the best.
- Be socially responsible: Millennials highly value when a company is socially responsible and cares deeply about a worthy cause, even if this means higher prices of their products.
By understanding Millennials better, you can reach new customers and more markets!