As Generation Y enters the workforce and becomes of voting age, millennials are no longer the youngest adult generation. Still there several key traits and preferences that set them apart from the other generations and make them stand out on their own. Many business chains will either have to adapt or downsize to survive the demands of millennials in the market.
Coming out of the financial crisis millennials overall have a distrust of banks, bank branches will be a thing of the past as banks shift to the internet and rebrand digitally. According to a Business Insider survey, less than 40% of millennials visit physical bank locations and nearly 75% visit a physical bank once or less a month. Another politically motivated industry suffering is oil. Fourteen percent say they would not want to work in oil because of their image of the industry. Interestingly, millennials have less of an interest in motorcycles when they harm the environment less than cars.
Department stores are also having difficulty with millennials. Sears and Kmart are shutting down 150 stores While Macy's is shutting down 15% of their store base. Millennials are less phased by designer brand clothing and more phased by popular lines. Also in the fashion industry, handbag sales are looking to take a turn for the worse as millennials are a trendy generation.
Dine in eating restaurants are suffering. The Chicago Tribune reports in late 2017 Applebee's will close 135 locations and IHOP will close 25. Buffalo Wild Wings CEO Sally Smith wrote in a letter to investors that millennials enjoy cooking at home and that this leads to problems with sit down restaurants marketing to millennial customers. Hooters' method of marketing with attractive women as waitresses are doing little to win over millennials as sales have Stagnated up to 7% in the past 4 years.
Decreasing millennial interest in beer is trending as wine and spirits are preferred. Market insider states beer has had a30 percent decline in sales among millennials in favor of wine and spirits compared to Gen Xers. The tendency among the generation is to drink less alcohol in general compared to older generations.