The Top 10 Millennial Brands [Charts]
The Top 10 Millennial Brands [Charts]
Tech continues to ascend the ranks, displacing traditional retail brands
The Chart of the Week is a weekly Visual Capitalist feature on Fridays.
The market for U.S. millennials is expected to blossom to $1.4 trillion by 2020, according to international consulting firm Accenture. While this generation of digital natives is already a primary marketing target today, in the upcoming years millennials will make up a hefty 30% of all retail spending in the country.
However, millennials are complex and notoriously difficult to read, even for professional marketers. With values that seem to contradict one another, it’s a challenge for companies to successfully gain market share with this audience.
As millennials mature, researchers are gaining ground on the needs and wants of this generation. This week’s Chart of the Week shares data from a comprehensive survey of 3,500 millennials that were asked, without any prompt, about their favorite brands over the past three years. The results, which can be found in deeper depth here, help give us some insight as to what millennials look for in a brand.
Tech Brand Disparity
It’s likely that no one will be surprised to learn that tech brands are among the best polling for millennials.
Apple claimed the top spot in the shortlist of the Top 10 millennial brands, while Samsung, Microsoft, Sony, Amazon, and Google all helped to round out the group.
That said, what did surprise is the lack of showing by other prominent technology brands. Facebook, a company that reaches more than a billion people every day, came in at an extremely disappointing 65th place. That’s behind companies such as LG (20), Dell (28), HP (36), HTC (48), ASUS (52) and eBay (53). It’s even behind dreaded telecom companies like Verizon (61) and AT&T (62).
Meanwhile, Twitter, IBM, Intel, Paypal, and LinkedIn didn’t even register on the Top 100 radar.
Why are some tech brands rocketing up the rankings, while others are falling flat?
Some, but not others?
According to Moosylvania, the researchers behind the survey, there was a major commonality between the top brands for millennials.
They found that millennial cohorts prefer fun and entertaining content to news and information in their social media feeds by a margin of six-to-one. Norty Cohen, CEO of Moosylvania, elaborated on this:
Entertainment provides a natural opportunity for a brand to connect as shareable content. These cohorts are marketing themselves, and when a brand doesn’t take itself too seriously but instead provides fun that can be shared, it works.
Could Facebook be the destroyer of fun, by monetizing people’s news feeds? Are IBM and LinkedIn too “businessy” to poke fun at themselves? Perhaps Paypal is too financial – a damning trait, since not a single Top 100 brand was a bank or financial institution.
This may explain why a higher degree of millennials are happy to leave traditional and boring financial institutions in the dust. In a previous chart, we showed 49% of millennials are much more open to engaging tech companies for financial services, while only 16% of people of other generations feel the same. It may also be a problem that rising fintech companies such as Venmo, Lending Club, Nutmeg, and others can solve.
Charting Revenue: How The New York Times Makes Money
This graphic tracks the New York Times’ revenue streams over the past two decades, identifying its transition from advertising to subscription-reliant.
When it comes to quality and accessible content, whether it be entertainment or news, consumers are often willing to pay for it.
Similar to the the precedent set by the music industry, many news outlets have also been figuring out how to transition into a paid digital monetization model. Over the past decade or so, The New York Times (NY Times)—one of the world’s most iconic and widely read news organizations—has been transforming its revenue model to fit this trend.
This chart from creator Trendline uses annual reports from the The New York Times Company to visualize how this seemingly simple transition helped the organization adapt to the digital era.
The New York Times’ Revenue Transition
The NY Times has always been one of the world’s most-widely circulated papers. Before the launch of its digital subscription model, it earned half its revenue from print and online advertisements.
The rest of its income came in through circulation and other avenues including licensing, referrals, commercial printing, events, and so on. But after annual revenues dropped by more than $500 million from 2006 to 2010, something had to change.
|NY Revenue By Year||Print Circulation||Digital Subscription||Advertising||Other||Total|
In 2011, the NY Times launched its new digital subscription model and put some of its online articles behind a paywall. It bet that consumers would be willing to pay for quality content.
And while it faced a rocky start, with revenue through print circulation and advertising slowly dwindling and some consumers frustrated that once-available content was now paywalled, its income through digital subscriptions began to climb.
After digital subscription revenues first launched in 2011, they totaled to $47 million of revenue in their first year. By 2022 they had climbed to $979 million and accounted for 42% of total revenue.
Why Are Readers Paying for News?
More than half of U.S. adults subscribe to the news in some format. That (perhaps surprisingly) includes around four out of 10 adults under the age of 35.
One of the main reasons cited for this was the consistency of publications in covering a variety of news topics.
And given the NY Times’ popularity, it’s no surprise that it recently ranked as the most popular news subscription.
Money4 weeks ago
Visualizing the Assets and Liabilities of U.S. Banks
Wealth2 weeks ago
Ranked: The World’s Top 50 Endowment Funds
Markets4 weeks ago
Visualized: Real Interest Rates by Country
Markets2 weeks ago
Charting the Rise of America’s Debt Ceiling
Money3 weeks ago
Comparing the Speed of Interest Rate Hikes (1988-2023)
Maps2 weeks ago
Ranked: The Cities with the Most Skyscrapers in 2023
War3 weeks ago
Map Explainer: Sudan
Urbanization1 week ago
Ranked: The World’s Biggest Steel Producers, by Country