How Are Millennials Shopping and Paying?

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Although 83% of American households still pay for cable television, that percentage is much lower among millennials. Forgoing cable and instead opting for cord-cutting services like Netflix, Hulu or Sling TV is just one example of how this generation is behaving differently than others. While there’s currently no consensus on exact start and end dates for this generation, most definitions of millennials fall into the span of birth years ranging from the early 1980s to around 2000.

Given that the majority of US households still have a cable TV subscription, why are cable companies pouring billions of dollars into new media outlets and initiatives? The simple answer is those companies recognize that millennials are already a significant influence on consumption patterns and will only continue to increase over time. It’s the same reason that businesses across numerous other industries are paying close attention to how this generation is shopping and paying.

The Ways Millennials Are Shopping and Paying

Not every member of the millennial generation had access to the Internet from the start of childhood. But that doesn’t change the fact that the Internet plays a huge role in the daily lives of millennials. As a generation that grew into the Internet, millennials default to the Internet for everything from news to shopping. An increasing amount of this online activity is taking place on smartphones.

Research from Nielsen shows that 85% of millennials own a smartphone. Another interesting statistic that ties in directly with millennials’ smartphone usage is the fact that 40% “would give up cash completely.” So what exactly does this mean for businesses that want to target millennials as effectively as possible? It means a few things, which we’re going to cover right now

3 Things Businesses Can Do to Appeal to Millennials

The first thing every business should do is accept credit cards. The most common reason businesses don’t want to accept credit cards is they think it’s going to cost them too much in fees. The good news is as long as you choose from our list of recommended credit card processors, you can pay a fair rate and avoid missing out on potential millennial customers who don’t carry cash.

The second thing your business should do is establish and maintain a strong online presence. Not only do you want to have a website, but it’s important to ensure that it’s easy to use and access on mobile devices. And if you plan on selling online, make sure you choose a processor that will make it easy for you to accept those payments. Taking this step can allow you to open up your business to a much wider pool of potential customers.

Finally, although millennials are using things like Apple Pay, most members of this generation aren’t using cutting-edge payment technology. As long as you have a credit card processor that covers the basics of online and mobile payments, you don’t need to stress about being an early adopter of every single new payment technology.

Posted on Wednesday, May 4th, 2016