The French Millennial Consumer
Accounting for one-third of the global working population, Millennials behave very differently to previous cohorts of under-35s. Their relationship with digital technology and values are clearly reflected in their purchasing, which retailers and manufacturers need to adapt to. With 21% of households falling into the under-35s category, Kantar Worldpanel France has taken a deeper look into what differentiates Millennials in terms of their FMCG purchases.
Representing 19% of the sales revenue for FMCG goods, Millennials spend less than older age groups. The under-35s have always consumed less than the population average but Millennials consume less than previous generations and shop less - 80 purchases per year which contrasts with the 100 plus made by the other age groups. One reason for not shopping as often is because this group eats out more, even when they have children, this accounts for around one-third of their consumption.
Having grown-up in a time of recession, Millennials pay much more attention to their budgets than previous generations. They like brands, but are pragmatic, with 68% of them considering there to be no difference in quality between manufacturers and private label brands. They are also willingly influenced by promotions.
“The salient point about this generation is their relationship with recommendations”, explains Gaïdic d’Albronn, Consumer Insights Director France. “46% of them often recommend products to their friends.”
Flowing from specialist outlets to hypermarkets and local channels, under-35s are omnichannel shoppers. Almost half buy their FMCG products online (44%) and this represents 10% of their expenditure.
The Millennial shopping trolleys covers many possibly contradictory elements such as pleasure, health. nostalgia and practicality. Cravings for sugary products have increased compared to the under-35s of 2001, while nostalgia compels Millennials to buy brands from their childhood. For practicality, they prefer to use component products, for example pastry bases and cooking aids, to save time rather than ready-made meals. With a focus on health, the significance of organic products for this group is huge and they are prepared to pay more for them. The success of plant-based drinks, semolina and other cereals, compotes and herbal teas, really demonstrates the Millennials’ quest for authenticity. "Honest" brands such as Michel et Augustin, Innocent and Les 2 Vaches, are particularly popular for the under-35s, who appreciate their originality.
One thing that we always observe is that the arrival of children into the household significantly changes shopping habits. As the Millennial household grows up, we see this continue with 38% now including children. The key changes here are driven by a tighter budget and less time so we see that promotions, own brands and convenience foods become more prevalent while the purchase of organic good reduces.
Representing 19% of the sales revenue for FMCG goods, Millennials spend less than older age groups