Marketing to millennials is the new hot topic for every travel and hotel business. As of yet, it may seem impossible to tell whether it’s worth the effort to cater to this new, digitally-fluent generation. Young travellers in their twenties and thirties will soon become some of the biggest hospitality spenders. How can venues, from budget to luxury hotels, rethink their marketing strategies in order to respond to this change?
Who should you cater to? Millennials or established customers?
For many businesses it may seem like this question requires them to balance the potential loss of older customers with the potential for new ones. With two billion millennials across the globe, they’re set to account for $1.4 trillion of global spending by 2020. This is a reminder that they are now the generation with the highest spending power and the largest set of corporate travellers.
Despite this, millennials are universally known for their lack of brand loyalty. The average business will enjoy little to no returns on efforts to establish loyal millennial customers through traditional advertising methods. Instead, marketing to millennials must find a way to incorporate their enjoyment of new things with their tendency to book things, travel in particular, at the very last minute. The answer to this lies in your brand ethic. Millennials care more than any other generation about whether their values align with those of a business. Marketing to millennials through their sense of meaningfulness will often receive a better response than sheer advertisement volume.
How marketing to millennials reaches beyond just their generation:
The millennial mindset may seem hard to pin down, but it’s easy to see how they influence other generations. Millennials are perhaps the first generation to teach their parents alternative spending habits. Alongside this, many of the elder generation emulate the curiosity and tech-savvy nature of millennials. In light of this, hotels should avoid trying to appeal to everyone. Instead of spreading their efforts thinly, travel businesses should cater to the needs of a particular group. The shared group experience of a hotel or travel venue is most positive when the travellers have a shared set of values or interests.
How should you market to millennials?
What is innovative now will soon become traditional. Attracting the sons and daughters of existing customers to your business can establish a millennial brand loyalty which will last. Businesses which use social media, for example, can showcase the products which appeal to older audiences in a way which draws millennials in too. Although the venue or experience may not change, the marketing and branding tone can.
Establishing a brand culture online allows businesses to build on what they have already. Millennials are incredibly diverse, and their behavioural and spending patterns can vary wildly depending on location, age and interest. As the younger generation approaches 30% of all global retail spending power, it may be time to rethink how your business can appeal to an established niche. Re-thinking marketing to millennials may mean pinning down a whole generation of travellers notorious for their fickle spending habits.
How does Swayy successfully market to millennials?
Influencer marketing is another buzzword commonly bounced around the hotel and travel industry these days. Through Swayy, businesses can harness one of the easiest methods for appealing to millennials: Instagram influencers. Swayy provides an end-to-end solution, enabling venues to find, hire and establish long-term relationships with both micro and macro-influencers. For more information, check out our analysis of hotel marketing pain points for more on how we tackle any trepidations you may have about influencer marketing.