Millennials are notorious for holding tightly to their purse strings, but researchers have found that the way to reach them is through the "go-out economy." After all, 78% of Millennials spend money on live experiences, and more brands are developing business models based on people leaving their home and going outdoors and experiencing "moment in time" events.
The shift of consumer spending towards experiences isn't just a Millennial thing. The "go-out" economy has transformed consumer spending and the advertising industry. This is because of consumers' changing relationship to social media. People want to show where they've been and who they've seen, not what they have "bought." I mean, if you weren't Instagramming your time at Coachella, were you even really there?
But events and experiences aren't just status symbols. In fact, researchers at San Francisco State University found that there's a direct relationship between the extension of happiness and spending money on events or experiences. You can carry experiences with you for a lifetime, whereas buying an object brings fleeting moments of happiness.
So how can you make the most of this #nomad trend? Which brands are taking advantage of the go-out economy?
Your Best Memories are Made Courtside
Seventy percent of consumers spend discretionary income on movie tickets, sporting events, museums and concerts. There is a huge opportunity for sports teams, media companies and event sponsors who create experiences to connect with their audience through OOH, and give them something to remember.
For example, one of the advantages of OOH is geo-targeting and the ability to display your message to your specific audience. That's why we are so impressed with this campaign by the Kansas City Royals that helps inspire hometown pride while getting sports fans off their couch to watch their team win another championship IRL.
Similarly, SeatGeek's OOH campaign premiered in Times Square, the epicenter of where theater geeks and movie buffs will see their message. For brands focusing on the go-out economy, it's all about location, location, location.
Forget Staycations and Enjoy Stateside Travel
The travel industry is expecting to see a 33% increase in consumer leisure travel in 2018. At the same time, the travel industry's ad spend is expected to skyrocket to $7.27 billion by 2019. When it comes to consumer trends, staycations are out and travel is definitely in.
When creating an effective OOH tourism campaign, it's all about defying consumer expectations. We loved the idea behind New Orleans' campaign "Leave with a story, not a souvenir." -- because who wants Mardi Gras beads rather than the bragging rights of spending a week in the French Quarter? Meanwhile, OOH also gives the tourist industry an opportunity to rebrand.
South Dakota's "Great faces. Great places." campaign takes its rugged reputation and transforms South Dakota into an untouched, beautiful destination for adventure seekers. Who wouldn't want to see themselves against the night sky as their backdrop?
Don't Leave the Kids at Home: By Land or By Sea
Parents are leading the way when it comes to spending more time and money on experiences. Did you know that modern parents are spending, on average, twice as much time with their kids as parents were 50 years ago? Instead of "me-time," parents are trying to find more experiences that the whole family can enjoy together.
The family entertainment industry is expected show a $17 billion increase in revenue this year. The Florida Aquarium and Kansas City Zoo both ran fully integrated campaigns across social media and OOH to make sure that parents and kids saw their message and engaged with their brands. Visitors even took photos of themselves in front of these billboards. The brands saw over 1.8 million mentions across their social media platforms.
As summer approaches, there are more opportunities for brands to connect with their audience. The "go-out economy" doesn't only affect one demographic, it spans generations, parents and kids, and has the power to bring people together. Through geo-targeting, stunning visuals and cross-channel marketing campaigns that leverage OOH, marketers can transform the trend of the "go-out economy">