Under the impression most Millennials borrow money from their parents and still live at home? Think again…
According to Statistics Canada, Millennials account for 27.5% of the population and that number is only growing. With a combined estimated income of $237 billion, Millennials have become a huge driving force in today’s economy. The buying power of this group keeps increasing and shouldn’t be ignored by retailers, especially when it comes to leisure vehicle sales.
There has recently been a noticeable shift in the recreational vehicle and home market. A 2019 Recreational Property Trends survey conducted by RE/MAX Canada, confirms 56% of Millennials are currently in the market to buy a recreational property, a staggering 14% from last year.
With this emerging trend of younger age groups purchasing recreational properties, it only makes sense that this extends to recreational vehicles as well. Millennials represented 56% of the overall increase in RV sales that began in 2018. This increase also includes the snowmobile market, as 55% of snowmobilers currently fit into the 25-44 years old age bracket, proving once again their ever-increasing buying power in the leisure vehicle market.
What this means for recreational dealers
Dealerships should take note of this trend and what it means for their revenue now and in the near future. Capitalizing on these younger target groups and their rising buying potential will no doubt increase your sales. We’ve put together some helpful recommendations to guide business owners when navigating through the do’s and don’ts of millennial marketing along with some sure-fire ways to stand out from the competition.
6 Tips to optimize your millennial marketing strategy
Keep your pricing competitive. Millennials will always research prices online prior to making any purchase. This means you should do your research as well and keep your prices competitive and in line with other competing dealerships and online store pricing.
Create worthwhile experiences. Experience is big for Millennials. Why not coordinate some seasonal test drive events – even specific themes like test drives exclusively for couples. Experiencing something with their significant other or a close friend could make them a customer, but most importantly it will be something they bring up in conversation or share on social media, creating even more word of mouth.
Inspire them to spread the word. Word of mouth is key. Millennials are far more likely to purchase something if they receive a recommendation from a friend or colleague as opposed to if they just stumble upon an ad. Referral bonuses could also prove to be a worthwhile incentive for gaining further recommendations.
Make use of social media. Keep up a relevant and consistent social media presence that affirms your brand identity and the lifestyle it represents. Perhaps even align yourself with influencers whose lifestyle fits your brand and products.
Focus on communication. Reply quickly and honestly to inquiries and feedback on your website and social media outlets. Millennials want to know you care about more than just their wallets. They want you to be attentive to their needs and will be more likely to purchase something from a store or brand they feel takes an interest in them as a person.
Keep them close, even after the sale. After purchase customer service is increasingly important to millennials. The service you provide and care you put into tending to inquiries and issues after a purchase has already been made can make all the difference. Millennials are prone to leaving reviews online for business and brands that reflect their experience with the business, especially after making a purchase. Be attentive to their needs and helpful where needed to ensure a great experience and customer retention within this age group.
Keep these recommendations in mind when targeting Millennials to add great value to your brand amongst this emerging and profitable market of consumers.