Survey: Millennial consumers buck traditional trends

Millennial consumers — born between 1982 and 1995 — are a huge demographic that trails other generations on traditional life milestones, according to research from Numerator.

Using data from verified purchases, Numerator estimates that 46% of millennials fell behind other age demographics for milestones like owning a home. The data indicates 45% of millennials are not homeowners.

Just because they are not homeowners does not mean they are not spending. The average millennial household spends $22,298 annually in stores, making around 683 shopping trips a year, and spending $33 per trip, Numerator reports.

Millennials do 14% of their spending with Walmart, higher than the 12% Amazon gets or the 7% Costco garners. Target, which typically does well with Generation X consumers, only gets 5% of the millennial spend. National grocery chain Kroger indexes at just 4% of the generation’s grocery spend.

The generation is not like their parents in many respects, and they spend more with niche brands like Honest Tea, Munchkin, Zak Designs, Zarbee’s, and the Honest Co., Numerator reports. This generation is also one of the most diverse within the U.S., with 54% identifying as white, 21% Hispanic, 13% Black, and 10% Asian.

Millennials also are among the most educated generation in the U.S., with roughly 40% having a bachelor’s degree, above 24% of baby boomers (ages 61 to 79) and 33% of Gen X (ages 45 to 60). Roughly 50% of millennials prefer to live in urban areas, above 35% of Gen X and just under 20% of baby boomers.

Numerator reports that 44% of millennials are middle-income earners with annual household incomes between $40,000 and $125,000. The generation holds about 4% of the U.S. wealth, below 9% held by Gen X and 21% of baby boomers.

Roughly 80% of millennials are also more likely to occasionally try new brands, the highest among any other generation. Capital One reports that millennials spend a smaller portion of their income on consumer products and services than any other generation. The average total consumer spending, including housing, among millennials amounts to $81,589 per year or 83.4% of their income after taxes.

Millennial retail spending represents 38.3% of their total consumer spending and 31.9% of their income after taxes. Millennials head 26% of U.S. households and spend an average of $22,298 per household annually on retail and food service.