BOSTON -- Ask anyone other than a millennial what their favorite QSR brand is, and the chances they answer Chick-fil-A are high. Ask a Gen Y-er and they're more likely to say Chipotle. In fact, compare the top 20 rankings for Gen Y-ers and all other generations, and rarely will the two match.
Why should you care? It seems Gen Y punches far above its weight when it comes to engagement with favorite brands. Nearly 20% of millennials purchase from a QSR almost every other day. By comparison, less than half as many baby boomers visit QSRs as frequently.
Such were the findings from a recent survey by Boston-based consultancy L.E.K. The firm surveyed 1,300 U.S. consumers about their brand preferences and the factors that influence them, and found Gen Y consumers (ages 16-24) valued distinctly different qualities than other generations.
Key findings include:
- More than 40% of Gen Y consumers report their meal and snack selections are influenced by friends, twice the level of any other age group.
- Chipotle, Panda Express, Dunkin' Donuts and Chick-fil-A are Gen Y's top 4 QSR choices, respectively. Other generations also ranked these restaurants highly (though in different order) for their combo of appetizing food, value and convenience.
- Gen Y is less concerned with healthy and quality ingredients than other generations. Subway and Boston Market fall out of Gen Y's top-10 favorites for this reason.
- Gen Y is the generation most passionate about their QSR choices. They ranked their preferred brands on average 12% higher than any other generation in L.E.K.'s Choice Conversion Score (CCS), a ranking that measures the strength of a brand's connections with what consumers are seeking.
Add to this the fact that Gen Y's purchasing power and foodservice spend will only grow with age, and the argument for courting Gen Y-ers is pretty compelling.
Following are the traits Gen Y consumers place upon their favorite brands. Think about how you can better deliver these attributes in your operation:
- Placing greater value on "pleasant experience" and ability to "socialize."
- Considering amenities such as Wi-Fi more important.
- Viewing high-quality ingredients as less important.
- Having a greater need to feel "comfortable being seen" in a specific QSR.
- Evaluating many factors in deciding among QSRs, whereas other consumers consider a narrower set of attributes.
For more commentary on the study from Jon Weber, vice president and head of L.E.K. Consulting's restaurant practice, watch for the October issue of Fare magazine.
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