Yesterday, we posted information on the spending power teens. Today, we’ll look at information concerning how teens feel about saving and spending. Teens yield a great deal of purchase power and influence. While teens are not often thought of as a group that makes wise decisions or think s about the long term, many teens are making smart decisions concerning their money.
• Just 20% of teens say they do not save money – compare this to adults, 33% of whom have no savings at all
• 25% of teens say they are saving more this year than last year
• Nearly 60% of teens say they were saving for clothes, over half said they were saving for college and almost 40% said they were saving for a car
• Three-quarters of teens said they would choose buying a new pair of shoes over 50 new MP3 downloads
• Nearly two-thirds of teens said they would choose buying a new pair of jeans over purchasing concert tickets
What Does This Mean To You?
Like all consumers, teens make spending decisions based on value. If you want to attract teen consumers, you need to design campaigns that appeal to those values. A very large percentage of teen income may be disposable, but they make smart decisions and consider the long term effect of those purchases. Loyalty programs and targeted discounts may be ways that you can ensure you get your fair share of spending from teen consumers. As we pointed out yesterday, mobile and social adoption rates are very high among teens. These are things you should include in your marketing strategies. Email and direct mail can be effective as well, but lists can be pricy. Organically created lists are much cheaper and are much more effective with teens. For more information on cultivating teen customers, please contact:
Source: Marketingvox; Rand Youth Poll;BancRate