How Are Millennials’ Financial Mindset Impacting the Evolution of Retail?
December 7, 2017 by CouponFollow
NEW YORK, Dec. 5, 2017 /PRNewswire/ — Millennials now account for 28% of all daily per-person consumer spending and, in just two years, are expected to contribute nearly $1 trillion to the US economy, according to Gallup. Y
Yet, despite the generation’s obvious market power, they lack sufficient savings and feel apprehensive about their current financial position. CouponFollow, a leading coupon code destination, is announcing today the results of its year-end Millennial Money Report. The report takes a closer look at the shopping, spending and saving habits of Americans between the ages of 20-35, and the impact those choices have on the evolution of commerce and the future of retail.
“Millennials are poised to become the most influential shoppers in America, and brands are eager to gain their attention and loyalty,” says Michael Parrish DuDell, Chief Strategy Officer at CouponFollow. “Our data highlights some very clear and compelling shopping trends that retailers can leverage to better serve this often misunderstood generation of empowered consumers.”
Key survey findings include:
67% of Millennials believe their financial situation will improve in 2018—only 5% predict it will decline
45% of Millennials currently have less than $500 in savings and only 31% have enough saved to cover an emergency expense
61% of Millennials made 5 or less purchases from a shopping mall in 2017
84% of Millennials use coupon codes when shopping online, with 76% willing to wait for a coupon or discount before making a big purchase
58% of Millennials report having less than $500 in credit card debt—substantially lower than the national average
Excerpts from the Millennial Money report
Nearly half (45%) of Millennials have less than $500 in savings—just 22% have saved more than $5,000:
• 24% have no money in savings
• 21% have $1-$499 in savings
• 12% have $500-$999 in savings
• 21% have $1,000-$4,999 in savings
• 7% have $5,000-$9,999 in savings
• 15% have $10,000 or more in savings
Only 31% of Millennials have enough money in savings to cover an emergency expense—a number that dips to 23% if one’s annual household:
• 33% of males have enough savings to cover an emergency expense
• 28% of females have enough savings to cover an emergency expense
• 31% of those between ages 20-29 have enough savings to cover an emergency expense
• 31% of those between ages 30-35 have enough savings to cover an emergency expense
• 23% of those with a household income under $50,000 have enough savings to cover an emergency expense
• 43% of those with a household income over $50,000 have enough savings to cover an emergency expense
Millennials appear to be cautious about overspending. 58% of the generation have less than $500 in credit card debt—substantially lower than the national average:
• 53% have no student loan debt
• 11% have $1-$5,999 in student loan debt
• 5% have $6,000-$9,999 in student loan debt
• 10% have $10,000-$19,999 in student loan debt
• 7% have $20,000-$29,999 in student loan debt
• 14% have $30,000 or more in student loan debt
Debt continues to be a significant area of concern for Millennials. Nearly one third (30%) believe they have a low amount of total debt relative to their current income:
• 32% of males report having a low amount of debt relative to income
• 28% of females report having a low amount of debt relative to income
• 32% of those between ages 20-29 report having a low amount of debt relative to income
• 28% of those between ages 30-35 report having a low amount of debt relative to income
• 25% of those with a household income under $50,000 report having a low amount of debt relative to income
• 39% of those with a household income over $50,000 report having a low amount of debt relative to income
CouponFollow surveyed 1,006 American Millennials between 20-35 years old from a wide array of U.S. states, across a broad economic scope.
To download the full report, visit couponfollow.com/research.
About CouponFollow:
CouponFollow is a real-time coupon code search engine and directory that helps millions of consumers save money each month. Started in 2009 by Marc Mezzacca, CouponFollow scours the Internet for the latest discounts and offers, delivering them to a global audience of engaged shoppers on the web and through their browser extension Cently. Learn more at: www.couponfollow.com
