Millennials Embrace High-Low Budgeting

High-Low BudgetingMillennials are savvy shoppers and are often smart about their spending. They research items before they buy them, get their friends’ opinions, find the best deals, and search for discounts or coupons. However, they’re also interested in luxury items and to make such purchases, they embrace high-low budgeting. This means, they’ll splurge on items they really want, such as a tablet or handbag, but they’ll shop at more affordable stores, make their own items, and prepare their own food in an effort to cut back on spending. According to Ypulse research among 1200 14-34-year-olds, 51% say they’re sometimes willing to splurge on luxury items, but they always buy inexpensive items to balance it out. We’ve been noticing this behavior which reflects how resourceful Millennials are and how they’ve adapted in today’s economy.

For example, technology is of huge importance to Millennials and they’re willing to buy the latest devices, which they consider crucial for entertainment and communication purposes. They’re also willing to splurge on some staple clothing items that they know they’ll get plenty of use out of. They’ll even buy designer items on occasion, however, they’re highly aware of how to do so in the most affordable way. They embrace flash deal sites like HauteLook and Gilt Groupe, where they can buy such items for less. They also pay close attention to when stores offer free or reduced shipping and when coupon codes are available. In fact, 43% say they won’t buy an item online if they can't get free shipping.

Additionally, they’re interested in designer collaborations for less such as Target for Neiman Marcus, which enable them to have a taste of luxury in an affordable way. They’ll also buy inexpensive basics at mass merchandisers such as Target or Walmart, trendy items at fast…

 
 

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Millennial News Feed

Quote of the Day: “I participated in Bikram Yoga, because I found a few YouTube tutorials on it.” –Female, 24, MN

Being featured in the (racy) lyrics of Beyoncé’s hit single “Formation” has caused Red Lobster’s sales to spike 33%. But a wave of frustration hit Twitter after the brand took too long to respond to the song, and failed to live up to expectations. One user advised,“Yo @redlobster, all you have to do is NOT f*** up. Just give the Twitter over to your highest ranking Black person under 33. Trust me.” But after eight hours Red Lobster tweeted an underwhelming: "Cheddar Bey Biscuits" has a nice ring to it,don't you think? #Formation @Beyonce.” The indecent highlights what young consumers expect from brands on social media. (MediaPostBuzzFeed)

The newly funded Stash investment app is hoping to “break down the barriers that prevent nearly three quarters of Millennials from investing.” To appeal to the risk-averse generation, the app allows users to invest as little as $5, and describes investments in easy theme-like terms, like “Clean and Green.” For the founders it’s all about setting up users for the long-term: “By lowering the minimum level of investment, enabling Millennials to invest in broad themes that they care about, and guiding them along the path toward building smart lifelong investment habits, Stash has the potential to empower an entire generation to reach their financial goals.” (Business Wire)

Fit has gone glam for Millennials—and not just in the U.S. Young Chinese women are embracing working out, and shifting traditional beauty ideals. In a 2003 survey, 1,000 working females cited an ideal body to be "an almost-emaciated, willowy physique," but social media and celebrity influence, as well as more awareness to physical health, are making strength the new goal. Women sharing their fitness journeys are becoming major influencers and creating new personal brands, and the fitness industry in China has grown 13% yearly since 2010. (Refinery29)

ESports—multi-player competitive video gaming—is expected to generate $463 million in ticket sales, merchandise, sponsorships, and advertising for 2016, and networks want a piece of the action. But can it translate to TV? TBS is premiering E-League, a 10-week eSports competition series that will stand as a true test on whether the phenomenon can “find the right balance between achieving scale and retaining its core audience of digitally forward young men.” Critics have good reason to be skeptical: ESPN2’s airing of an eSports college competition perplexed viewers, frustrated broadcasters, and scored a 0.1 Nielsen rating. (Adweek

British director Anthony Wilcox’s new action-packed thriller,Shield 5, is captivating audiences—the Instagram audience that is. The series, which currently has 30,000 followers, is being called “social cinema,” and each episode is the length of an Instagram video: just 15-seconds. Wilcox’s love for fast-turnaround projects and very low budget is what ultimately inspired him to choose the platform. There was also the potential to go viral: "If you’ve got the opportunity to show your work to a much, much bigger audience…all around the world, it might be worth trying it." (Fast Company

Quote of the Day: “I share my selfies by making it my profile picture.” —Female, 23, IL

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