Where Millennial Parents Are Shopping for Their Kids—and Why

Millennial research, Millennial insight, Millennial marketing, Gen Z research, Gen Z marketing, Gen Z insight, youth research, youth marketing

Millennial parents’ spending power is only growing year to year, and they’re already an influential consumer group—with distinctive preferences. So where are they going to buy products for their families? We asked, and have their top store ranking…

Last year, we told you to recalibrate your expectations for Millennial spending habits in anticipation of one big change many of them are about to face: parenthood.  As time goes by, that advice is only becoming more true. As a generation, Millennials control a massive chunk of change. In 2017, Millennials spent an estimated $200 billion, and Forbes predicts that in 2018 they will have the most spending power of any generation. With so many of them on the path to parenthood, a large portion of this cash will likely be spent on their kids. According to data from Crowdtap, about 80% of 18-to-35-year-olds are on track to become parents in the next decade, and in 2015, 90% of children were born to a Millennial mom. According to Ypulse’s own data, 23% of Millennials are already parents. And only 12% of 18-35-year-olds report no interest in having children, leaving 65% who are planning on having kids in the future or are actively trying—a massive demographic with huge spending power. As Advertising Age put it, Millennial moms may have “the greatest lifetime monetary value of any consumer segment in the history of marketing.” (And don’t forget about dads!)

We’ve already seen hints that their family spending has the power to start trends and shift industries. Just one example: FoodDIVE reports that Millennial parents are giving organic products a major boost, and for the first time, baby food was ranked as the top category where consumers thought it was “extremely important” to buy organic. So where are they spending their influential money? In


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The Newsfeed

"I play [games] constantly until 4 in the morning. When I’m not on my game I’m checking my phone. And the whole time I’m doing all of that my desktop is on the internet.”—Male, 22, OH

Twitch is airing every episode of Mister Rogers’ Neighborhood, in celebration of the late Fred Rogers’ 90th birthday and the show’s 50th anniversary. The esports streaming service is expanding to nostalgia entertainment (which young viewers can’t get enough of), but they have a unique twist. The show will be available for co-viewing, with popular Twitch streamers chiming in from time to time. (Mashable)

Over one-third of 18-34-year-olds have stopped using a brand after hearing negative news about them, more than any other generation. Among the brands that most consumers said they gave up on were Wells Fargo, Target, Papa John’s, and Uber. However, Critical Mix and kNOW also found that young consumers are more willing to forgive a brand for bad press: While only 30% of consumers overall would use a brand again after a scandal, 41% of 25-34-year-olds would. (MediaPost)

Alamo Drafthouse is bringing back VHS—offering free rentals for Millennials that wax nostalgic for analog products. Their first store, Video Vortex, is opening in North Carolina. Not only are they “fostering a movie-loving community” with the extensive gratis collection of 75,000 titles, but they’re making money off of the added “beer, food, and merchandise.” No VHS player? No problem. They’re renting those as well. (BoingBoingEW)

Researchers were surprised to find Gen Z students were “relieved” to ditch their smartphones for a few weeks. Screen Education’s study of 62 12-16-year-olds found that 92% thought “it was beneficial” to disconnect from their smartphones while they were at camp. And even though 41% admitted they felt frustrated at times, 35% were able to cut down their use after camp and 17% convinced a friend to curb their time spent on smartphones, too. (PR Newswire)

Beauty brands love augmented reality, but an app can’t replace in-store experience. Not only did Ypulse found time and again that young consumers expect Experiencification and flock to marketing activations (like pop-ups), but brick-and-mortar locations build loyalty. People think they’re scamming Sephora when they re-do their makeup gratis, but that time-spent-in-store is really “turning the ‘scammers’ into buyers.” (Quartzy)

"I love my smart phone. It is just like my best friend [and] I just can't do without my smartphone...”—Male, 27, CA

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