How Restaurants Can Cater To Gen Y

Dining OutMillennials may be the most social generation, but due to the difficult economy, they’re dining out less. According to the NPD Group, 18-34-year-olds are eating at restaurants about once a week less than young people did in 2007, which has left many restaurants worried about how to target young consumers. However, several companies have accepted this challenge and are adopting approaches to meet Millennials’ tastes, as well as the current food trends. Take a look at their strategies below and our insights on how restaurants can reach Gen Y.

Make Dining A Social Activity

Several months ago, Applebee’s announced that it will expand its nightlife and entertainment offerings in an effort to reach Millennials. The family-friendly chain will transform into “Club Applebee’s” after 10pm with half-priced drinks, dance music, karaoke, “Girls Night Out” events, and more lasting until 2am. By making the dining experience a fun event that they’d want to attend with their friends, restaurants can capture Millennials’ attention.

Moreover, Darden Restaurants, which owns chains including Olive Garden and Red Lobster, recently announced that it’s focusing on a next generation of restaurants including Capital Grille, Seasons 52, and Yard House. These restaurants offer a wide selection of drinks, live music, and unique flavors to appeal to young adults.

Additionally, by making the setting of a restaurant more social with lounges for example, and offering more dishes that can be shared, eateries can place emphasis on the social experience, which young people crave.

Tell Your Brand’s Story

In general, Millennials care about companies with a clear message and ones that they can form an emotional connection with. This is especially the case with restaurants since consumers of all ages want to…

 
 

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The Newsfeed

Quote of the Day: “My favorite brand on social media is Complex, because it's more of an online network that reports on urban culture.”

—Male, 23, MI

Luxury watch brands are innovating to cater to what could be their biggest opportunity: Generation Z. A September 2016 survey from Mintel found one in five 16-24-year-olds reported they were thinking of buying a watch “in the coming months,” and that “the young are the biggest buyers of all age groups.” As a result, watch brands are taking marketing online. Omega says that social media is not part of their marketing strategy but “the way [they] communicate.” (Financial Times)  

A group of moms is making hijabs for Barbie to battle Islamophobia. Created through a partnership with the non-profit For Good, Hello Hijab sells $6 handmade headscarves for dolls, available April 1st, along with a card explaining what the accessory is. As one founder explains, the aim is for a more inclusive generation: “They will see it as a kind memory from their playtime, and then they will grow into a kinder generation…used to playing with dolls that look different to them.” Profits from the new doll accessory will go to support multicultural communities. (RT)

Netflix is winning the “steaming wars”—at least on home TV sets. comScore’s analysis into video streamed over Wi-Fi to televisions in U.S. homes found Netflix’s penetration is around 40%, while YouTube, the next most-used service, was less than 30%. Both Amazon and Hulu are far behind at below 20%, but the latter was found to have engagement rates on par with Netflix: “People who do use [them] use [them] a lot…Both services engage their users for more than 25 hours a month.” (Recode)

Chipotle wants to "slyly” promote kids’ healthy food habits with an unbranded video series. RAD Lands, available for purchase on iTunes, follows “the Cultivators” as they try to save the galaxy’s animals and plants, and features cooking segments with celebrity chefs and musical appearances by the likes of Biz Markie and Wayne Coyne of the Flaming Lips. Described as an “entertainment Trojan horse,” the series is all about educating the next generation while also making a play to win back consumers after the brand’s food-related illness issue. (Ad Age

Airbnb is launching Aibiying, a new brand to target Chinese Millennials. The company’s research has shown an increase of 142% of travel out of China in 2016, and 80% of their users in the country are under 35. The young travelers are also a “lucrative market” according to one expert: "Chinese Millennials are likely to travel farther afield -- and to spend more while traveling—as their disposable incomes and appetite for adventure grow." Aibiying, which translates to "Welcome each other with love,” will include the brand’s latest “Trips” and “Experiences” features. (Inc.

Quote of the Day: “Budweiser ads are memorable because they pull at the heart strings with the horses and dogs.”—Female, 22, CA

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