<img height="1" width="1" style="display:none;" alt="" src="https://dc.ads.linkedin.com/collect/?pid=238977&amp;fmt=gif">

Millennial Loyalty Statistics: The Ultimate Collection

By Brandon Carter | Updated on Oct 16, 2017 5:45:00 AM

 

Everyone wants to get in on Millennials and their precious dollars, but how? How do you connect with a group that knows marketing when they see it and shies away from (most of) it? What can be done now to create lifetime loyalty?

To help provide some perspective, we've compiled a gathering of statistics on Gen Y loyalty and brand preferences.

We've focused on US-based research from the past 2-3 years, though there are exceptions. We'll add more as data becomes available, and feel free to tip us off to anything we've missed.

Here's what we know for sure now:

  1. They're heavily influenced by their peers and online networks
  2. The criteria they evaluate brands with is different from other generations, and leans heavily toward price and corporate social responsibility behavior
  3. They expect brands to be open to their voices and exhibit a willingness to change.

 

Millennial Loyalty Statistics

  • 63% of Gen Z and Millennials agree they have many choices of where to shop, so a brand must show them loyalty to earn their business (Alliance Data)
  • 30% of Millennials say they feel loyal to brands (InMoment)
  • Millennials are more likely than other generations to remain loyal to a brand because of its loyalty rewards (22%) and its company reputation or philosophy (15%) (Yes Lifecycle Marketing)
  • Millennials are more likely than any other generation to say their loyalty to a brand has influenced their most recent purchase (70%) (Yes Lifecycle Marketing)
  • 15% of Millennials say points influenced their most recent purchase (Yes Lifecycle Marketing)
  • Prices would have to be at least 10% lower to get millennials to switch from one major retailer to a competitor (Dinesh Gauri)
  • 52% of millennials said they’d switch from one major retailer to another for discounts of 15% or more and 7% wouldn’t switch (Dinesh Gauri)
  • Personalization is a higher priority for driving loyalty for Millennials (52%)(Rare)
  • Fun is an important loyalty driver with 60% of Millennials (Rare)
  • Value for money is a more important loyalty driver for Baby Boomers (70%) and Gen X (70%) than it is for Millennials (65%) and Gen K (61%) (Rare)
  • 80% of Millennials find points or rewards for purchases made in-store, on a website or mobile device appealing, as well as the ability to choose among several types of rewards (81%), and opportunities to earn bonuses by doing some specified activity (81%) (Nielson)
  • 55% of millennials say that some type of reward card would keep them most engaged, compared to 47% of baby boomers (Hawk Incentives)
  • 65% of millennials say they prefer digital rewards versus 45% of boomers (Hawk Incentives)
  • Gen Z is almost 50% more likely than Millennials to write a product review in exchange for points (CrowdTwist)
  • 67% of U.S. consumers surveyed, ages 18-24, would like to receive immediately redeemable discounts pushed to their phones while in-store (Mood Media)
  • Nearly 40% of "digital native" Millennials rely on mobile apps to track and redeem their rewards, while across all age groups, the use of plastic membership cards dropped by 4% during 2016 (Excentus)
  • 56% of Millennials say they shop at their favorite retailer because their prices are good, brand affinity (33%), reliable delivery (25%), and an easy-to-use website or mobile site (23%) (PWC)
  • 66.3% of Millennials indicate they are more likely to shop from stores where they are part of the loyalty program vs. only 33.3% of baby boomers (Aruba)
  • 40.7% of baby boomers indicated that price was more important than a loyalty program vs 22.5% of Millennials (Aruba)
  • 48% of Millennials say product discounts are among their three most valued benefits, followed by rebates & cash back (41%), free products (33%) and free shipping (32%) (Nielson)
  • More Boomers (44%) and Gen Xers (34%) than millennials (18%) say their top choice for an exclusive offer would be 25% off a one-time purchase (Kelton)
  • More Millennials than Gen Xers (24% vs. 17%) would choose free shipping as their top choice for an exclusive offer (Kelton)
  • Fewer boomers than millennials are extremely willing to share their social security information (1% vs. 14%), credit card information (3% vs. 14%), or mobile phone number (12% vs. 27%) to be verified for an exclusive offer (Kelton)
  • Millennials are twice as likely as Gen X (48% vs. 23%) to have wrongfully redeemed an exclusive offer not meant for them, and nearly seven times as likely as boomers (7%) (Kelton)
  • About 50% of all millennials say limited time offers are very enticing and something that they are on the lookout for (Coca-Cola)
  • Millennials are 1.75x more likely than Boomers to say they’d like to be brand-loyal (Facebook)
  • 25% of Millennials are fully engaged customers (Gallup)
  • 45.1% of Millennials use coupons and loyalty points to save money (CCG Consulting)
  • 80% of millennials said they used coupon codes when shopping online (CouponFollow)
  • 84% of Millennials and 80% of adults with household incomes of $60k+ are more likely to use mobile payments if loyalty rewards and discounts are automatically applied (Urban Airship)
  • When choosing an airport, Millennials (41%) are much more influenced by airport loyalty programs than Baby Boomers (31%) (ICLP)
  • It is most important to Millennials (76%) that stores carry goods that cater to the local community (Berkeley Research Group)
  • 70% of Gen Z, 64% of Gen X and 63% of Millennials expect to receive personalized recommendations via an app while browsing in-store (CrowdTwist)
  • 42% of Millennials, 37% of Gen X consumers, 33% of Gen Z, 29% of Baby Boomers and 23% of the Silent Generation have purchased something that was recommended to them by a brand in the past six months (CrowdTwist)
  • 46% of Gen Z consumers and 55% of Millennials are willing to share their data in exchange for personalized experiences (CrowdTwist)
  • 67% of savvy millennial and gen x shoppers reported they would give retailers and brands more information about themselves to gain access to a more personalized shopping experience, and 53% admitted it would help that seller earn their loyalty (RetailMeNot)
  • 67% of savvy millennial and gen x shoppers say they enjoy personalized email reminders from brands and retailers that highlight previously viewed products, and may also contain personalized offers (RetailMeNot)
  • 76% of savvy millennial and gen x shoppers say an offer or discount is the largest factor in their purchase decisions (RetailMeNot)
  • When music is partnered with visuals and scent to create a branded in-store atmosphere, 72% of U.S. consumers surveyed, ages 18-24, say they’re more likely to revisit (Mood Media)
  • 28% of Millennials have participated in a boycott (Buzz Marketing Group)
  • Once they find a company/product they like, 80% of Millennials will keep coming back (Edelman)
  • Price has the greatest influence on Millennials’ purchase decisions above all other factors, including product quality, brand, store and availability (Blackhawk Network)
  • 36% of Baby Boomers, 36% of Millennials and 41% of Gen X say price is the most important factor when making a purchase (First Insight)
  • Millennials are generally more satisfied consumers than Boomers (JD Power)
  • Millennials are substantially more likely than Boomers to reuse a product or service after a problem is resolved (JD Power)
  • Fast and direct communications about an order is the number one factor in winning the loyalty of millennials and baby boomers (Narvar)
  • Millennials are most likely to make a purchase decision based on value for money—across virtually every product category (JD Power)
  • 75% of Millennials will remain loyal to a hotel brand even if they lost all reward points (Internet Marketing)
  • 16% of Gen Z’s shop at a single store for clothing/fashion compared with 26% of older millennials (Accenture)
  • 19% of Gen Z’s shop at a single store for health and beauty items compared with 34% of older millennials (Accenture)
  • Fewer than 38% of Gen Z’s shop at a single place for groceries compared with 55% of older millennials (Accenture)
  • 38% of millennials and 32% of pre-millennials (18-24) note they are more loyal to hotel brands than before (Oracle Hospitality)
  • 29% of millennials plan to sign up to every hotel loyalty program while baby boomers are more discerning with 40% noting they will only sign up to select, relevant programs (Oracle Hospitality)
  • 56% of Millennial parents use at least one grocery-related app and manage their busy lives with a variety of mobile apps to find in-store items, coupons, sales recipes or product review (FMI)
  • 90% of Millennials engage with a supermarket or grocery store through rewards cards or accounts (FMI)
  • 95% of Gen Xers, 94% of Baby Boomers and 90% of Millennials are most loyal to food and beverage retailers, selecting them based on product brand (ICSC)
  • 44% of millennial parents claim to only shop brands and retailers that reflect their social or political values, making them twice as likely as other parents (23%) and three times as likely as millennial non-parents (15%) to do so (NRF)
  • 61% of millennial parents will shop somewhere else if they become dissatisfied compared to 44% of millennial non-parents (NRF)
  • 54% of millennial parents identify as very loyal to the brands and retailers they shop compared to 40% of other parents and 31% of millennial non-parents (NRF)
  • 64% of millennial parents are more likely than other parents (54%) and millennial non-parents (49%) to typically shop first at a brand or retailer they are loyal to before looking elsewhere (NRF)
  • 52% of millennial parents are more likely than other parents (53%) and young non-parents (22%) to purchase from a brand or retailer they are loyal to even if there is a more convenient option at their disposal (NRF)
  • 49% of millennial parents will choose to buy from a brand or retailer they’re loyal to even if there’s a cheaper option available, a rate that compares favorably to other parents (30%) and millennial non-parents (19%) (NRF)
  • 46% of millennial parents are loyal to at least 5 brands and 32% of millennial non-parents claim that many brand loyalties (NRF)

Millennials and Loyalty Programs

  • Millennials are members in an average of 6.5 loyalty programs, higher than the overall average of 6.2 programs (Hawk Incentives)
  • Millennials report being active in 4.2 loyalty programs, also more than the 3.9 programs in which all consumers said they were active (Hawk Incentives)
  • Over 70% of Millennials and Pre-millennials were members of loyalty programs vs. less than 20% among Baby Boomers (Oracle)
  • 36% of Gen Z above age 18 and 22% of Millennials participate in one or zero loyalty programs (Kobie Marketing)
  • 28% of millennials consider convenience when deciding whether to join a loyalty program and 78% look for discounts (Kobie)
  • 45% of Millennials don’t join a loyalty program because it requires too many purchases to earn rewards (Kobie Marketing)
  • 39% of Millennials don’t join a loyalty program because they would have to pay some kind of fee (Kobie Marketing)
  • 34% of Millennials don’t join a loyalty program because the enrollment process is too long (Kobie Marketing)
  • 41% of millennials belong to an online retailer loyalty program versus 29% of Gen X and 25% of boomers (Hawk Incentives)
  • 82% of millennials would be interested in redeeming loyalty points for a gift card or prepaid reward card (Hawk Incentives)
  • 63.1% of Millennials and 61.3% of Gen X view loyalty programs as important to them (AlixPartners)
  • 63% of Gen Z participates in at least one loyalty program, whereas 71% of Millennials do (CrowdTwist)
  • 79% of both Millennials and Gen Xers want a strong loyalty or discount program, while just 74% of Baby Boomers and 66% of seniors feel the same (IRI)
  • 72% of Gen Z and Gen X, 68% of Millennials, 56% of Baby Boomers and 42% of those born in 1945 or earlier said they could be persuaded to choose one brand over another due to the presence of a loyalty program (CrowdTwist)
  • 64% of Gen Z and Millennials could be persuaded to shop with a brand if they have a loyalty program (CrowdTwist)
  • Loyalty programs have a higher influence on Gen Z and Millennial consumer spend than on Boomers (66% vs 58%) (Bond
  • Boomers tend to be more satisfied with their loyalty programs (49%) compared with Millennials and Gen Z (30%) (Bond
  • 11% of millennials actively engage with all the loyalty programs to which they are members (CodeBroker)
  • 97% of millennials say they would actively engage with loyalty programs if they could access their rewards information from their smartphones (CodeBroker)
  • 28% of millennials want to access loyalty programs via a text link on their smartphone (CodeBroker)
  • Willingness to pay for enhanced benefits is significantly higher among Gen Z (47%) and Millennials (46%), as well as households with children (44%) and early technology adopters (69%) (Bond)
  • 73% of Millennials and 48% of Gen Z said they are influenced to purchase based on loyalty programs (Lab42)
  • 40% of millennials want to track/redeem rewards on an app (Software Advice)
  • 56% of Millennials wanted to use apps as the preferred medium for restaurant loyalty programs, and 50% of Gen Xers agreed (Oracle Hospitality)
  • 41% of Millennials claim they would be encouraged to spend with a brand that has a loyalty program (ICLP)
  • 37% of millennials prefer receiving discounts for their loyalty program reward (software Advice)
  • Millennials are most incentivized to join a loyalty program based on how quickly rewards accrue (51%) and the variety of rewards available (38%) (Software Advice)
  • 50% of millennials stated they quit a program because rewards took too long to accrue (Software Advice)
  • 29% of Millennials rated “too many programs to keep track of” as one of their top three things they dislike about rewards programs vs. 17% of Gen X’ers and 20% of Boomers (Vantiv)
  • 33% of Millennials dislike rewards programs because there are too many cards to carry (Vantiv)
  • 53% of young Millennials said reward programs are rigged, a 29% increase over the general population (Colloquy)
  • 37% of older Millennials said reward programs are rigged (Colloquy)
  • Millennials are more likely to belong to a food and beverage loyalty program than the total population: Millennials 46%, total survey was 36% (Hawk Incentives)
  • 44% of millennials and 44% of pre-millennials (18-24) say they are more loyal to restaurant brands than before (Oracle Hospitality)
  • 30% of millennials plan to sign up for every restaurant loyalty program, while 48% of baby boomers say they will only enroll in select, relevant programs (Oracle Hospitality)
  • 40% of millennials prefer to use an app to identify themselves as loyalty members (Software Advice)
  • 96% of millennials are using restaurant loyalty programs (Software Advice)
  • 59% of millennials quit restaurant loyalty programs because rewards “aren’t valuable enough” (Software Advice)
  • 30% of millennials prefer earning points based on the money they spend at the restaurant (Software Advice)
  • 68% of Millennials will remain loyal to a program that offers them the most rewards (Internet Marketing)
  • 41% of Millennials joined a travel loyalty program because it was easy to use (Internet Marketing)
  • 52% of millennials want to use their mobile devices to take advantage of loyalty programs offered by restaurants, bars and coffee shops (Oracle)
  • 69% of Millennials belong to a retail loyalty program and 70% of those are happy with the program (Blackhawk Network)
  • 47.6% of Millennial shoppers say they feel most valued by retailers who reward them with loyalty points (Cue Connect)
  • 55% of Millennials and 38% of Gen-Xers express a preference for surprise and delight tactics in loyalty programs (HelloWorld)
  • 40% of Millennials approve of loyalty programs that are fun and interactive (HelloWorld)
  • 81% of Millennials favor loyalty programs that do more than offer rewards for purchase (HelloWorld)
  • 40% of Millennials believe loyalty programs should offer interactive games (HelloWorld)
  • Among millennials, who are expected to spend more than $200 billion annually by 2017, negative sentiment towards loyalty programs stood at 85% (Cap Gemini
  • 85% of Millennial social media sentiment toward loyalty programs is negative (Cap Gemini)
  • 36% of Millennials have accessed a coupon/promotional code on their mobile/smartphone whilst in-store vs. 26% of other age groups, and 23% of Millennials have accessed loyalty/rewards programs in-store vs. 18% of other age groups (PWC)
  • 53% of Americans, including 62% of Millennials, say saving money will be on their list of New Year’s resolutions (Varo Money)
  • 39% of Millennials agree: “I don’t think it’s worthwhile to sign up for loyalty programs” (ADARA)
  • Millennials are 2.2 times more willing than boomers to pay a premium for products and services if they can also earn loyalty and reward points (Bond)
  • 59% of Millennials value loyalty programs that offer special services like concierge (Bond)
  • 48% of Millennials report loyalty programs are important when booking flights and 51% say they use them when booking hotels (Diamond Resorts)

Millennials and Brand Selection

  • 59% of millennials use gift cards or egifts for brands or stores they are loyal to vs. 43% of Gen Xers and 32% of Baby Boomers (Blackhawk Network)
  • 55% of older millennials said they rarely purchase something different if they like a brand, and 53% of younger millennials and 51% of Gen Z said the same thing (Alliance Data)
  • 55% of millennials signed up for the reward and/or loyalty program for a brand or store that they are loyal to vs. 41% of Gen Xers and 36% of Baby Boomers (Blackhawk Network)
  • 52% of millennials used targeted offers from a brand or store that they are loyal to vs. 43% of Gen Xers and 31% of Baby Boomers (Blackhawk Network)
  • 53% of millennials have used a mobile app for a brand or store they are loyal to vs. 27% of Baby Boomers and 39% of Gen Xers (Blackhawk Network)
  • 32% of millennials have purchased or used prepaid offers for brands or stores they are loyal to vs. 19% of Gen Xers and 7% of Baby Boomers (Blackhawk Network)
  • 23% of millennial consumers say they have a relationship with brands (Edelman)
  • Millennials are more brand-loyal than any other age group (American Express)
  • Twice as many Millennials as Baby Boomers indicated they’d search for and even purchase a brand’s products online 70% of the time or more after learning there was no physical location near them (Euclid)
  • 41% of millennial shoppers would search for or purchase a retailer’s products online 70% of the time or more (Euclid)
  • 19% of millennials in the U.S. describe their purchase tendencies as loyal to specific brands and largely buying from them repeatedly (Morning Consult)
  • 48% of millennials in the U.S. usually consider alternatives despite some brand preferences when it comes to their purchase tendencies and 28% don’t pay attention to brands (Morning Consult)
  • 58% of Millennials say they will buy the same brand of products no matter what (ICSC)
  • 69% of millennials (ages 18-34) indicate they always or often choose the same brand when making a major purchase vs 58% of Gen-Xers (ages 35-54) and 56% of Boomers (ages 55+) (TD Bank)
  • 62% of Millennials said they tended to only ever buy a preferred brand, compared to just 54% of the wider population (American Express)
  • 48% of Millennials expect brands to customize offers to suit their needs, and 39% will go out of their way to use a customized offer vs. 32% of other age groups (American Express)
  • 6.5% of millennials considered themselves brand loyal, and those who prefer personalized communications have a 28% higher brand loyalty than those who do not (SmarterHO)
  • 65% of Millennials appreciate staff armed with personalization info (InMoment)
  • 52% of Millennials, 48% of Gen X and 35% of Baby Boomers feel it’s important that their values align with the brands they like (Euclid)
  • A brand’s alignment with personal values is important to 52% of millennials, 48% of Gen X and 35% of baby boomers (Euclid)
  • 68% of Baby Boomers, 54% of Millennials and 59% of Gen X indicate products are equally as important as the brand’s values to their perception of the brand (Euclid)
  • 70% of millennials would buy less from a brand they’re loyal to if they found out that the brand doesn’t pay their employees well, and 69% would buy less if they learned the brand relies on unethical labor practices (Morning Consult)
  • Two-thirds of millennials would be less likely to buy from a brand they are loyal to were they to discover that the CEO makes a lot of money while the average employee makes little (Morning Consult)
  • 72% of millennials said they’d like a company either much more (51%) or somewhat more (21%) if they found out that it paid its employees well (Morning Consult)
  • 35% of Millennials and 24% of Gen X say brands being overly political is important to their perception of the brand, while 56% of Baby Boomers say it is not important to their perception (Euclid)
  • 66% of baby boomers, 50% of Gen X and 33% of millennials consider “American-made” products to be a positive contributor to a brand’s perception (Euclid)
  • 84% of US Millennials prioritize price over airlines when choosing a flight (ADARA)
  • 66% of Millennials learn about brands and products through social networking (Ipsos)
  • 61% of Millennials have ditched one of their favorite brands for another (GT Nexus)
  • 67% of U.S. Millennials admit to having switched one of their favorite brands in the last 12 months (GT Nexus)
  • The lack of a strong social media presence (9%), the lack of a mobile app (7%) or the lack of a cool website (7%) don’t compel millennials to turn on their favorite brands (GT Nexus)
  • 6% of Millennials cited absence of social media or a poor website experience as reason for switching brands (GT Nexus)
  • 5% of Millennials cited the lack of a mobile app as reason for switching brands (GT Nexus)
  • 40% of Millennials cited product quality or the unavailability of a brand in-store or online as primary reasons for dumping a brand for a competitor (GT Nexus)
  • 47% of Millennials cited the importance of providing ethically sourced and environmentally-friendly products as reasons for switching apparel brands (GT Nexus)
  • 76% of Gen Z and Millennials only give brands two to three chances before they stop shopping them (Alliance Data)
  • 74% of Millennials would switch to a different retailer if they had poor customer service (ICSC)
  • 68% of millennials cited reliability and durability as having the biggest influence on loyalty (Morning Consult)
  • 54% of millennials cited high quality given the price as important contributors to brand loyalty (Morning Consult)
  • When asked to associate a variety of terms with the brands they are loyal to, Millennials were most likely to associate well priced given the quality (85%), reliable (81%) and high quality (80%) (Morning Consult)
  • 50% of millennials said that positive customer service interactions with a brand are very important in contributing to their brand loyalty (Morning Consult)
  • 74% of millennials said that poor customer service would make them less likely to purchase products from a brand they’re loyal to (Morning Consult)
  • Millennials were willing to spend up to 21% more with companies for great service (American Express)
  • 84% of Millennials say businesses are meeting or exceeding expectations (American Express)
  • 65% of Millennials have abandoned an in-store purchase due to information found on their smartphone while shopping (eMarketer)
  • Millennial travelers check 10 online sources before making a travel purchase, and 24% check online reviews (Deloitte)

Millennials as Brand Advocates

  • 77% of consumers and 60% of millennials say they’ve held relationships with specific brands for 10+ years (InMoment)
  • 61% of loyal customers go out of their way to buy from specific brands and 60% will make more frequent purchases (70% for millennials) and 50% will purchase more products (InMoment)
  • 59% of millennials like their favorite brands on Facebook (Moosylvania)
  • 47% of millennial women know their favorite brand’s origin story, 41% know who founded the brand and 40% follow the founder or someone affiliated with their top brands on social media (Merkle and Levo
  • 57% of millennial women say that their purchase decisions are driven by a brand’s values and stance on issues that are important to them (Merkle and Levo
  • Comments, customer ratings and reviews influence purchase decision for 84% of millennial women, and 62% report trying a brand based on recommendations from an influencer (Merkle and Levo
  • 81% of millennial women think brands are designing products with their needs in mind, and 70% think brands listen and respond to their needs (Merkle and Levo
  • The top 60% of millennial women spenders are 19% more likely to spend during a specific time frame and will spend 25% more than other segments of the U.S. population with the same spend rankings (Merkle and Levo)
  • 57% of millennials tell their friends about their favorite brands (Moosylvania)
  • 44% of millennials "show off" their purchases from their favorite brands (Moosylvania)
  • 66% of Millennials learn about brands and products through social networking (Ipsos)

Millennial BANK & FINANCIAL STATISTICS

  • 8% of Millennials cite rewards as a primary draw to use credit cards (Facebook)
  • 8% of Millennials trust financial institutions (Facebook)
  • 45% of Millennials say they would switch banks, credit cards or brokerage accounts if a better option came along (Facebook)
  • 30% of Millennials want to feel rewarded for their loyalty to a financial institution (Facebook)
  • Millennials ages 25-34 are 2-3 times more likely to close all accounts with their primary financial institution than people in other age groups (FICO)
  • Millennials are 2 times more likely this year than last year to close all accounts and switch banks (FICO)
  • 45% of Millennials ages 25-34 and 36% of Millennials ages 18-24 cited high fees as a reason for switching banks (FICO)
  • A negative experience related to a missed payment was the number 2 reason for Millennials ages 25-34 to switch banks (FICO)
  • Inconvenient branch locations and too few ATMs tied as the number 3 reason Millennials ages 25-34 switch banks (FICO)
  • 59% of Millennials said they were very or somewhat likely to leave their bank over a false decline vs. 21% of seniors (Iovation)
  • Younger Millennials reported switching banks due to a negative fraud-related experience (FICO)
  • 16% of Millennials ages 25-34 are considering opening an everyday banking product with an online-only bank within the next year (FICO)

 

New Call-to-action

2016 loyalty stats

Topics: customer loyalty

Written by: Brandon Carter

Brandon is a former writer and marketer for Access Development. He's a frequent blogger on customer and employee engagement & loyalty, consumer trends, and branding. Connect with him on LinkedIn or Twitter at @bscarter

Comments