• by Ross Fadner , October 23, 2003

Generation Y has proven a tough nut to crack for marketers. Not only are members of this generation typically skeptical of marketing, but their attitudes and behaviors run contrary to Generation X, and even more so to the Baby Boomer mindset. Research abounds for this demographic. Whole conferences are organized around the topic and market research companies devote a significant amount of their resources toward understanding and defining this elusive market.

The most recent entry into the Gen Y trend watch is brand planning think tank scenarioDNA, which in January will launch a quarterly tracking report entitled "Ignite! Youth," focusing on the media habits of consumers between the ages of 14-24.

Not surprisingly, the report will heavily address digital media and non- traditional marketing options, as it almost goes without saying nowadays that Millenials are using the Internet and in some instances their cell phones as their primary media hub. That said, early reports show that these young consumers take media more for granted, have higher expectations for it, and are also among its biggest critics.

Preliminary findings that scenarioDNA provided MediaDailyNews show Millenials are not just a phenomenon, but a new consumer force to be reckoned with. They generally go with the undercurrent, and look to their peers more than anyone for guidance and recommendations. "Marketers need to reach the Gen Y leaders to pull the masses," says Tim Stock, managing director and co-author of the study. "For example, in the U.K., soccer hooligans are recruiting their peers online and then organizing them via text messaging."

What implications such actions might have for marketers may not be immediately clear, but Marie Tupot, director of the Ignite! Youth project, notes blurring of media channels and avenues also is manifesting among Millenials. She underlines how specialized they have become, placing a premium on effective targeting.

"Used to be you had to be omnipresent-on TV, print, online. Not true for Gen Y, but they do demand you hit the right channel," explains Tupot. The question, of course, is 'which channel, because teens generally don't favor one over the other. They are comfortable with each medium and open to seeing content on non-traditional channels like the Internet and mobile phones.

A good example of this is kind of targeting is a new Pioneer Electronics online campaign geared toward a segment of 16-24 year old males known as "tuners" - young males who put significant investments in upgraded parts and electronics for their cars. The campaign features a Car Customization Guide designed to help them build their dream system.

The study also suggests that Millenials prefer such options to TV, citing Nielsen research, which shows that 1.5 million fewer males 18-24 are watching TV this fall. It also mentions the rise of video gaming at the expense of the TV market, implying that advertisers will want to explore new channels for reaching this rapidly expanding market.

It may seem redundant to say young people are demonstrating an advanced technological involvement versus previous generations, but evidence proposes this might be directly related to the counter-culture connotation still attached to the Internet. Millenials don't want to be force-fed anything, and they prefer, unlike previous generations, to be in control of their media environment, something the Internet certainly affords them.

The study mentions that some major companies are beginning to shy away from in-your-face branding. For example, MTV is opting for niche content provider Smoke over Hearst Magazines for the launch of its new print magazine spin- off. Smoke offers more flexibility for what will need to be an evolving publication.

Also, while 60% of Millenials go to the movies at least once a month, 41% go to see independent films several times a year. They also cite the Internet and their friends over TV and outdoor advertising as their deciding factors in choosing films.

According to Yahoo! data from "Born to be Wired," a young person is faced with a universe full of media: 200+ cable networks, 5,500 consumer magazines, 10,500 radio stations, 30 million websites, and 122,000 newly published books each year. While adults may feel this to be an overwhelming, fragmented media landscape, young adults feel empowered by it and able to multi-task far more than older generations. The scenarioDNA data shows 57.4% of young adults watch TV while they are online and 27.3% have voted in televised events via text messaging.

This year will go down in history as the first in which Internet usage exceeded television viewership among a single generation of consumers. That trend will likely continue, and the marketing industry will have to change their communications approach to successfully reach younger generations.