New research on Gen Y conducted by Roy Morgan Research highlights some crucial attitudes held by this younger generation that make them such an appealing target for retailers in today's economic climate.

It is generally thought that Gen Y (the generation aged in their 20s or early 30s in 2009) are very different in their behaviour to older generations such as Gen X (30s to early 40s) or the Baby Boomers (late 40s through to early 60s).

Attitudes towards shopping expressed by Gen Y customers in Roy Morgan's Single Source survey support this view, with Gen Y much more likely to "enjoy clothes shopping" (Gen Y 55%, Baby Boomers 34%) and to say they were "born to shop" (Gen Y 22%, Baby Boomers 10%). Gen Y shoppers are also “more likely to buy a product because of the label" (Gen Y 34%, Baby Boomers 18%). Gen Y are less concerned than their older counterparts about buying Australian "I try to buy Australian made products" (Gen Y 58%, Baby Boomers 79%).

Some stores have focused very strongly on the Gen Y market. Of stores covered in the survey, Sportsgirl has the strongest Gen Y profile - the majority of its customers (59.4%) being Gen Y, followed by Starbucks (49.7%) and Jeans West (45.5%). Sportsgirl also tops the list for satisfaction with 92.8% of its Gen Y customers satisfied.

Myer rates as the 25th highest level of Gen Y at 25.8%, while David Jones rates at 33rd, with 22.6% of its customers from Gen Y. Both stores have similar levels of satisfaction among their Gen Y customers: Myer 88.5%, David Jones 88.4%.

"Gen Y are a very attractive and lucrative market for Myer and other retailers given their combination of high consumer confidence and love of shopping. The key to winning high customer loyalty among Gen Y will be the ability to achieve a higher level of satisfaction than the competitors. At present Sportsgirl holds top position for both Gen Y customer profile and satisfaction" says Michele Levine, Chief Executive, Roy Morgan Research.

"Given their attraction to brands, and love of shopping, the 'experience' is crucial. Retailers need to not only attract Gen Y into their store they must also provide the right experience - including brands, enjoyment, and new and different products - to ensure satisfaction and repeat visitation."
 

Preparing for Workplacement in the Hospitality Industry

This is a resource available as a PowerPoint presentation that has been extremely well received and used Australia wide by teachers and careers advisers in High Schools, and both Public and Private Training Providers.  Restaurant & Catering Australia have updated the presentation and made the data current for 2009, along with inserting a couple of video clips into the presentation.  The updated presentation is now available free of charge for anyone who would like a copy.  As the presentation now includes links to videos, we are no longer able to send it by email, but will instead mail a CD to those who would like a copy.  Please send any requests through to karenj@restaurantcater.asn.au.
  

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