meet generation edge: the newest group of consumer spenders by ian pierpoint - presented at insight...
DESCRIPTION
Meet the post-Millennials, Generation Edge—the children of Gen-X parents who’ve only known a world teetering on the brink of economic, political and environmental collapse. The Edge is reactionary, it’s the result of being forced to carve an identity out of uncertainty and complexity. Unlike their Millennial cousins, Generation Edge is more realistic, resilient and resourceful and these characteristics will have a huge impact on your business going forward. The Sound Research, www.thesoundresearch.com, a strategic research and brand consultancy, has coined the term for those born from 1995 until now – Generation Edge (www.generationedge.com). This newest group of consumers to come of age are the children of Generation X and grandchildren of Boomers. Gen-Edge stands on the edge of political and economic collapse, and the days of the self-entitlement of their older cousins, The Millennials, are no more. Gen-Edge goals and aspirations are being anchored in a new reality. These young men and women are wise beyond their years to give themselves the edge they need to face the world’s uncertain future. The Sound experts found that with parents living through a recession and no guarantee of higher education, when it comes to making it, Gen-Edge is not expecting it to be easy. They don’t mind sparing a little elbow grease to make things happen. They are stepping up to the plate and forming a unique identity out of uncertainty and complexity. They have seen 9/11, war, serial natural disasters, foreclosures, celebrity public meltdowns – all live, then again on video on demand – and lived to tweet about it. Gen-Edge ‘coolness’ comes from their ability to roll with the punches from the get-go. This new generation has got a lot of character – they are realistic, resilient and resourceful. Millennials grew up believing they were going to be the next billionaire or social media founder. Whereas, the world Gen-Edge is growing up in … well, let’s just say optimism is in short supply. Using a methodology of online engagement, video diaries and experts, The Sound determined that Gen-Edge is fast-tracking their lives – putting them well on their way to becoming one of the largest (*74 million and counting) and most influential group of consumers ever. What does this mean for advertisers and marketers? A specialist in understanding “growing up” at whatever age that happens, Ian Pierpoint of The Sound will tell you.TRANSCRIPT
EDGE THE WORLD IS ABOUT TO GET
UNDERSTANDING A NEW GENERATIONMARCH, 2013
LIVING IN A MILLENNIAL WORLD…
WHAT MAKES
THE SOUND HEADED TO UK, CANADA, AND USA TO EXPLORE THE NEXT GENERATION OF CONSUMERS…
THE YOUNGEST MILLENNIAL IS NOW 19…
A NEW GENERATION ARE COMING AND WE NEED TO UNDERSTAND THEM
MILLENNIALS RULED THE WORLD...A LARGE & INFLUENTIAL GENERATIONAL COHORT, MILLENNIALS ARE DEFINED BY CRISES AND OPPORTUNITY... AND BOOMER PARENTS
OPTIMISTIC
CONFORMIST ACHIEVEMENT
OBSESSED
TECHNOLOGYASPIRANTS
IDEALISTIC FUTURE
FOCUSED
COLLABORATIVEEXTENDED
ADOLESCENCE
BORN BETWEEN 1980 AND 1994& 76 MILLION STRONG
BORN FROM 1995 TO PRESENT
75 MILLION& COUNTING
BUYING POWER OF $312.3 BILLION & INFLUENCE $600
BILLION IN FAMILY SPENDING
AND A GENERATION VERY DIFFERENT TO
MILLENNIALS...
THE WORLD OF MARKETING, INNOVATION & RESEARCH IS
ABOUT TO CHANGE.
INTRODUCINGGENERATION EDGE...
1. WILLIAMS K. (2010) Marketing to the generations
1
WHAT’S GIVEN THIS GENERATION EDGE?CONTEXT SHAPED A NEW GENERATIONS VALUES AND ASPIRATIONS
A GENERATION BORN INTO A WORLD ON THE EDGE OF COLLAPSE... THEY IN TURN NEED EDGE TO SURVIVE
ECONOMY SOCIAL
TECHNOLOGYPOLITICAL
WHAT MAKES EDGE?THE ECONOMY
IT’S THE ECONOMY STUPIDGENERATION EDGE TEENS HAVE ONLY KNOWNRECESSION & BLEAK GROWTH…
1987 1990 1995
REAL GDP GROWTH // US ECONOMY
SOURCE: IMF
-2
0
2
4
-4
2000 2005 2010
MILLENNIAL FORMATIVE YEARS GENERATION EDGE FORMATIVE YEARSVS.
“IT’S REALLY HARD FOR PEOPLE IN MY GENERATION NOT TO FEEL COMPLETELY DEFEATED BY THIS
ECONOMY.”UNEMPLOYED COLLEGE GRAD// BLOGGER LANCE FULLER, 26 NEW YORK TIMES // 18 DECEMBER 2012
POSITIVE GROWTH
NEGATIVE GROWTH
IT’S THE ECONOMY STUPID
A COFFEE SHOP IN THE UK HAD 1,700 APPLICANTS FOR EIGHT JOBS—OR 212 APPLICATIONS FOR EACH
POSITIONDaily Mail // February 19, 2012
GENERATION EDGE ARE HAVING TO GROW UP FAST ANDBE REALISTIC ABOUT THEIR FUTURE
"AFTER 16 YEARS OF ECONOMIC PROSPERITY, THEPROBABILITY IS THIS GENERATION WILL HAVE EXPERIENCED QUITE SIGNIFICANT ECONOMIC
TURMOIL BEFORE THEY GET TO ADULTHOOD AND IT’S GOING TO MAKE THEM A LITTLE MORE
MEASURED, RESERVED AND CONSERVATIVE."BERNARD SALT, KPMG DEMOGRAPHER
ECONOMIC IMPACT ON EDGEUNLIKE MILLENNIALS, GENERATION EDGE ARE BEING FORCED TO THINK OF ALTERNATIVE WAYS OF MAKING IT IN THE WORLD… MAKING THEM RESOURCEFUL
“WHERE PREVIOUS GENERATIONS HAD TO RELY ON A PARENT OR TEACHER OR SUPERVISOR TO EXPLAIN SOMETHING, THIS GENERATION ISN'T
BOUND BY THOSE CONSTRAINTS AND CAN ACCESS THE INFO THEY NEED WHEN THEY NEED
IT AND GET TO WORK.”MARKETING TO THE GENERATIONS // K.WILLIAMS // 2010
WHAT MAKES EDGE?UNIQUE PARENTING &EDUCATIONAL CONTEXT
PARENTING MATTERS
“I WANT MY CHILDREN TO BELIEVE IN
THEMSELVES, ACHIEVE GREAT THINGS... AND
I’LL BE THERE TOHELP THEM ALL THE
WAY”BOOMER PARENT
“I DON’T EXPECT LIFE TO BE EASY FOR HIM,
BUT I THINK I’VE GIVEN HIM
THE TOOLS; THE REST IS UP TO HIM”
GEN-X PARENTS
VS.
UNLIKE MILLENNIALS AND THEIR OPTIMISTIC BOOMERPARENTS, GENERATION EDGE ARE BEING RAISED BY GEN-X
GEN-X PARENTS ARE
CYNICAL, CHALLENGING, & PREPARING
BOOMERPARENTS ARE OPTIMISTIC,
EMPOWERING, & HELICOPERTING
SCHOOLING FOR LIFEGEN-EDGE HAVE BEEN BROUGHT UP IN AN EDUCATIONAL SYSTEM THAT EMPHASIZES THE PRACTICAL VS. THEORETICAL. EXPECT CALLS FOR EVEN MORE REFORM TO READY THEM FOR THE ‘REAL’ WORLD…
“IT IS NO SECRET THIS SYSTEM OF STANDARDIZED TESTING IS TURNING US INTO MINDLESS DRONES. A STUDENT CAN BE VERY BOOK SMART AND PASS THEIR MCAT. BUT DOES THIS MEAN THEY HAVE
WHAT IT TAKES TO SAVE A LIFE?
AND NO, THROWING A FEW iPADS IN THE MIX ISN’T GOING TO CUT IT“
BEHSHID BEHROUZI, Gr. 10 Student, TEDX WINCHESTER TEACHERS, 2013
WHAT MAKES EDGE?INSTITUTIONAL COLLAPSE
INSTITUTIONAL TRUST COLLAPSE
THE TARP BILL SAW $475 BILLION PAID TO BANKS, INSURANCE
COMPANIES AND CORPORATIONS
US CAR INDUSTRY RECEIVED $24.9 BILLION DOLLAR
BAILOUT
BILLIONS PAID IN BONUSES TO BANKERS SINCE BAILOUT
FACEBOOK PAID NO INCOME & FEDERAL TAXES IN 2012
DESPITE HUGE PROFITS AND RECEIVED $429 MILLION
REFUND
OVER 25 MILLION HOMES REPOSSESSED OR FORECLOSED
ON SINCE 2007
7 MILLION JOBS LOST DURING RECESSION (US)
MEDIAN HOUSEHOLD INCOME HAS DROPPED 8.2% SINCE 2009
GLOBAL INCOME TAX RATES HAVE BEEN INCREASING
SINCE 2008
“I THINK WHAT PEOPLE OFTEN FORGET IS THIS ALL HAPPENED BEFORE. MY GENERATION [GEN-X] NEVER HAD IT EASY—WE GREW UP IN TOUGH TIMES TOO ...
BUT WE SURVIVED AND SO WILL OUR KIDS.Parent OF GEN-EDGE // CHICAGO // Ethnography Interview
“THEM”
“US”VS
UNLIKE MILLENNIALS, GENERATION EDGE AREN’T CONFORMIST AND ACTIVELY CHALLENGE INSTITUTIONS & BRANDS … THEY’RE FOCUSED REFORMISTS
“DURING OCCUPY WALL STREET A BROOKLYN MOTHER ORGANIZED A SLEEPOVER FOR MORE
THAN 80 PARENTS AND THEIR CHILDREN. MANY BELIEVED THEY MUST SEIZE THIS "TEACHABLE MOMENT" TO EDUCATE THEIR KIDS ON INCOME
EQUALITY AND THE RIGHT TO PROTEST.” CNN BLOG // APRIL, 2012
INSTITUTIONAL TRUST COLLAPSE IMPACT ON EDGE
WHAT MAKES EDGE?TECHNOLOGY
TECHNOLOGY IS A TOOLFOR GENERATION EDGE, TECHNOLOGY JUST IS…THEY‘VE NEVER KNOWN A WORLD WITHOUT IT AND INNOVATION IS EXPECTED
"TECHNOLOGY DOESN'T MAKE ME WHO I AM, IT LETS ME BE WHO I AM."
JILL // 16, CHICAGO // SOUNDING BOARD PARTICIPANT
“I AM BETTING THAT THE POST-MILLENNIALS WILL NOT BE
AS ENAMOURED WITH TECHNOLOGY, MULTI-TASKING, COLLABORATION, SELF-PROMOTION AND
OTHER TRAITSWE IDENTIFY WITH KIDS TODAY.”
ROB SALKOWITZ, AUTHOR OF GENERATION BLEND & YOUNG WORLD RISING
WHAT’S COMING?
A NEW & DIFFERENT GENERATION
IDEALISTIC
CONFORMIST
ACHIEVEMENT OBSESSED
TECHNOLOGY ASPIRANTS
FUTURE FOCUSED
COLLABORATIVE
EXTENDED ADOLESCENCE
REALISTIC
REFORMIST
ACHIEVEMENT REDEFINED
TECHNOLOGY USERS
NOW FOCUSED
INDIVIDUAL
ACCELERATED ADULTHOOD
MILLENNIAL GENERATION EDGE
ENTITLED HARD WORKING
VS.
WHAT DOES THIS MEANFOR BRANDS?
WHAT THIS MEANS FOR BRANDSCONNECTING WITH GENERATION EDGE WILL BE VERY DIFFERENT TO MILLENNIALS...
“MARKETING TO MILLENNIALS RESULTED IN ANENDLESS QUEST FOR BRAND AUTHENTICITY.
GENERATION EDGE WILL BE ENGAGED BYANOTHER ‘A’ WORD. The ALTERNATIVE.”
IAN PIERPOINT, PRESIDENT THE SOUND
THE BRANDS THAT WILL THRIVE WILL BE THE BRANDS THAT APPLY EDGE TO THEIR STRATEGY.
THE WORLD IS ABOUT TO CHANGE…
DOES YOUR POSITIONING ALIGN WITH EDGE’S ALTERNATIVE
ASPIRATIONS?
DOES YOUR INNOVATION STRATEGYMEET EDGE’S NEED TO SURVIVE?
DOES YOUR COMMUNICATION HAVE ENOUGH EDGE TO GET NOTICED?
THE WORLD IS ABOUT TO GET EDGE:
UNDERSTANDING A NEW GENERATION
THE SOUND PARTNERSHIP STUDY // MARCH 2013www.thesoundresearch.com