Millennials are one of the largest generations in history, and they’re hitting their prime spending years. These are the industries that stand to benefit the most.
But now, Generation Y (Under 20, or born in the year 2000 or later) is entering its prime spending years — and it’s set to receive $30T in wealth from baby boomers and Gen X.
This transfer of wealth has already begun transforming a range of industries. Some industries benefiting from millennials’ increased spending power, such as travel, reflect well-worn Gen Y tropes like the general preference for “experiences” over objects. Others, like car ownership and camping, show that many of the claims about millennials’ different spending habits are overblown, and that significant continuities exist between Gen Y and their parents and grandparents.
However, these industries won’t thrive unchanged.
The companies that will come out on top are those that are reorganizing and reprioritizing around Generation Y. This means they’re embracing changing preferences to offer more sustainability, affordability, and flexibility in their products and services. They’re also embracing new technology and the unprecedented discoverability and customer connections it allows.
We dive into some of the industries — from frozen foods and fast casual dining to micromobility and personal finance apps — that could massively benefit from the rise of Generation Y.