The premise of generational marketing is that each generation assumes a characteristic set of values and behaviors. While it’s not everything you need to know to market effectively, it provides a cultural foundation and helps avoid the ego-centric mistake of thinking other generations are just like you, only younger or older.

While Millennials are socially more liberal than other generations, their values are fairly traditional.

(For more on this see earlier posts, “Millennial Values: Back to the Future?” and “Millennials More Upright than Kids 20 Years Ago“.)

They value family, personal connection, and loyalty.

They seek out the genuine and are repulsed by phony.

They are famously optimistic and believe in the possibility of change.

They advocate for the environment and social justice.

They treasure tolerance and diversity, teamwork and balance.

They seek spirituality and are open to the possibility of the divine.

There’s nothing revolutionary here, I could be describing my grandmother’s generation. It would be very easy to be fooled into thinking nothing’s changed because what has changed is not the content but the dedication to those values.

Millennials can be defined both by their strongly held values and their strong intention to live by them. Generation Y is passionate about making a difference in the world. This is a common thread through dozens of values studies conducted globally.

It’s easy to dismiss their “unwavering commitment as still too young to understand the harsh realities of compromise/capitulation”, as suggested by my Twitter friend, J. Maureen Henderson. And it’s true that their values are not that evident, at least so far, in their shopping, voting and volunteer behavior. Most Gen Y buy green products when it suits them and volunteer rates are no higher for Gen Y than Gen X. They did not turn out to vote in Massachusetts last month.

Certainly, time will tell. They will either be a generation remarkable for its accomplishments, or one that is notable for its disillusionment.

Personally I think that disillusionment is unlikely. Young adults understand that ‘not everyone grows up to be Gandhi’. Leading a purposeful, life consistent with one’s values is reward enough as Henderson suggests in her Brazen Careerist blog post, “You’re Not Going to Change the World, and That’s Okay.”

“Those of us who grew up as part of the middle-class North American majority learned that we could be anything we wanted, but somewhere along the way, we got it twisted around in our heads that we had to be everything the world wanted/needed in order to be successful. Money wasn’t enough, nor was the love of family and friends, we wanted to matter, to make a difference, to prove ourselves, even if we couldn’t define exactly what this entailed. …..The desire not to hide our individual lights under a bushel is a laudable one, but not everyone is going to be a game changer. And there’s no shame or failure or inadequacy in working an “ordinary” job, in leading a quiet life, in surrounding yourself with a handful of close friends and family. In fact, those are the lives most of us end up with, with the smarter of us realizing that they’re every bit as meaningful as the marquee existences we feel we ought to aspire to.”

For marketers, whether or not Gen Y does or does not change the world doesn’t matter. Values representing the overriding, governing motivations for decision-making, and they matter a lot.

A deep understanding of values is critical to creating desirable products and meaningful communication. Employers who take Millennials seriously will be more attractive to the best and brightest. Marketers who take Millennial values seriously are better positioned to win with the consumer of the future.

*Carol Phillips is the president and founder of the brand strategy consulting firm “Brand Amplitude.” She is also a Professor at the prestigious University of Notre Dame. Carol began her career as a market researcher and strategic planner at Leo Burnett. Later, as an Account Director, she led agency teams at four different agencies – Y&R, Leo Burnett, Mullen and JWT – for a variety of clients including Sprint, Nextel, Ameritech, Heinz, 7UP, and Philip Morris. She blogs at www.millennialmarketing.com.

By Carol Phillips*

Youth marketing has traditionally been about understanding what the ‘cool kids want’ and then translating those insights and trends to influence the broader youth market.

Yet in an age where everyone who wants a voice can have one, is the idea of ‘influential trendsetters’ as relevant?

I love this graphic (click here) because it laughs at the whole idea that anything is particularly hip, or unhip.  One recent blog hilariously suggested that ”Eighties Nerds are Contemporary Hipsters“.

Today’s hipster can take many forms. Outlaw Consulting, a leading expert on understanding trendsetting youth for companies like Levi’s, Diageo and Nike, features this quote on their web site’s home page:

“Everyone wants to be a hipster, which makes being a hipster tricky and nearly obsolete.”

In a recent interview, Outlaw’s President, Barbara Bylenga had this to say about what makes Gen Y different from earlier generations.

BYLENGA: “Millennials, or Gen Ys, are definitely different. They seem to feel more empowered – and more entitled– than any generation before them. They have an innate team orientation that makes them excellent collaborators. And the ideas about issues like marriage and career are radically different. Their “American dream” isn’t about the picket fence; it’s a flexible freelance career and a life defined by passion. … Gen Ys see themselves as change-makers. But they’re also busy trying to have a middle-class life, so their protests take different form than youth protests of the past. They see corporation’s as having lots of power but little heart, and they try to create change by using their dollars. The “aha” for corporations is to recognize that values and authenticity are important to this generation — and that directly affects how they spend. American Apparel, for example, has been totally embraced by youth because of its labor practices. Shopping there make them feel like they’re spending money in the right place. Companies that really “walk their talk” about core values will be endeared. If you want to be relevant to Gen Ys, you need to understand their mindset.”

Today’s social currency seems to have more to do with being ‘authentic’ than with being avant garde.

According to Outlaw Consulting’s brand report, some brands, like Converse’s Chuck Taylor shoes, are cool because they’re grounded in the past. Others, like Apple and Nike are cool for the opposite reason: they embody change and constantly reach towards the future. But there is a third category of cool brands, those that appeal to Millennials’ inner nerd. Pop culture has celebrated the nerd/geek culture for many years (Napoleon Dynamite, Jimmy Neutron, Sand Lot). Millennials are not afraid to admit to a dorky side and they admire brands that can do the same. According to Outlaw, Trader Joe’s, Jet Blue and In N Out Burger have won the love of Millennial trendsetters simply by being their quirky selves, doing things they own way and never apologizing: “(Trader Joe’s employees) wear these tacky Hawaiian shirts and publish that ridiculous newsletter. But it’s their own style. And it’s so much more inviting than the normal rigid grocery store.”

In short, the very definition of ‘coolness’ seems to have shifted.
In focus groups, Gen Y tells us that the cool kids today are the ‘DOERS’ — the ones who are fixing, leading, changing, advocating, entrepreneuring in order to make a difference in the world. When you stop to think about it, that ’s a radical shift….being influential by actually influencing something!

*Carol Phillips is the president and founder of the brand strategy consulting firm “Brand Amplitude.” She is also a Professor at the prestigious University of Notre Dame. Carol began her career as a market researcher and strategic planner at Leo Burnett. Later, as an Account Director, she led agency teams at four different agencies – Y&R, Leo Burnett, Mullen and JWT – for a variety of clients including Sprint, Nextel, Ameritech, Heinz, 7UP, and Philip Morris. She blogs at www.millennialmarketing.com.