How can businesses connect with this purchasing powerhouse? Millennials aren't as responsive to the TV commercials and print advertisements that worked for older generations. Instead, they want engagement.
The good news is that they're highly engaged with video. Here are three reasons why incorporating video into your marketing strategy will help you reach millennials.
1. Move millennials through the purchase process
Today, millennials consume video for more than just entertainment. They use video to learn about companies and make purchase decisions. According to a recent consumer study byAnimoto, eight out of ten millennials find video helpful when researching a product or service. In fact, they're 85% more likely than baby boomers to purchase a product or service if they can watch a video explaining it beforehand.
Video helps guide millennials through the purchase cycle. You can do so in a number of ways, like including demo videos on product pages or embedding customer testimonials on an "About Us" page. For example, online clothing retailers ASOS and Net-A-Porter include videos of models walking in clothing for sale.
Further, in the video above, New York Yoga uses video to show potential customers what it’s like to attend their classes. It's easier than ever for consumers to make purchase decisions and have intimate interactions with brands online.
2. Create buzz on social networks
Facebook, Twitter and Instagram are embracing the social video trend started by YouTube in 2005. It's apparent when you scroll through your Facebook News Feed — video has taken over.
Mark Zuckerberg says Facebook's content will be mostly video in five years. In June 2015, Facebook revealed that its users watch 4 billion video streams every day.
Video as a social medium is becoming increasingly relevant, especially among millennials. The numbers don't lie.
According to the aforementioned Animoto study, 84% of millennials follow brands or companies on Facebook, 75% follow them on YouTube and 47% follow on Twitter. Social media platforms have become a destination where millennials keep up with not only friends, but also companies and brands.
It's not passive, either; millennials are engaging with brands that use video. Animoto data reveals that 66% of millennial males and 60% of millennial females are more likely to comment on, share or like a brand on social media if it posts videos; 57% of millennial males and 58% of millennial females are likely to follow a company's social media page if it posts videos.
3. Drive results and keep millennials engaged
Nearly half of millennials consider companies that produce video content as experts on their product or service. As branded video content becomes increasingly popular, companies that capitalize on this opportunity will be seen as early adopters and interesting brands to follow.
Video doesn't just improve brand perception; it also drives results. In analyzing 2 million tweets posted over the course of a month last year, Twitter found videos boosted retweets by 28%. Liveclicker's "Video Commerce Report" revealed that companies that include video on product pages see a higher conversion rate and higher average order value.
Aside from the business advantages of video, brands need to understand that millennials simply prefer it to text. In fact, two-thirds of millennials said in an Animoto survey that they would rather watch a video from a company instead of reading text; nearly half said they only watch video on their mobile devices.
What's the big takeaway?
Millennials love being online and connected with their social networks. In that time, they're sharing photos and videos, commenting on social media posts, tweeting at brands and shopping online. As a business selling a product or service, you're doing yourself a disservice if you don't have any videos online. A simple video marketing strategy can help you meet the standards that millennials today are creating. If you're not yet using video to market to Generation Y, now's the time to start.