Nielsen Unveils Study on The Purchasing Power and Influence of the Multicultural Millennial

The multicultural Millennial population consists of almost half of the Millennial generation (42 percent) and represents local markets that drive 47 percent of the total U.S. gross domestic product. In "Multicultural Millennials: The Multiplier Effect," Nielsen explores key aspects of this population, including demographic information and trends, analysis of their choices of home cities, and how culture, food and technology are essential points of entry for reaching this generation.

Spending more than $65 billion each year and influencing upward of $1 trillion in total consumer spending, multicultural Millennials are bridging the gaps between their birth culture, their own children and mainstream society. Most multicultural Millennials are fully ambicultural, shifting from what was once a dominant family-based culture to a posture that blends a variety of cultures into a new mainstream. The profound influence on their peers as well as on both younger and older generations—deemed the "multiplier effect"—can be harnessed as marketers and advertisers to make efforts to expand their market share.

"In addition to the influence they command on their more non-Hispanic white peers, there is another reason marketers and advertisers should be interested in multicultural Millennials: many of them are first generation professionals who are in prime acquisition mode," says Courtney Jones, vice president of multicultural growth and strategy at Nielsen. "A growing disposable income among multicultural Millennials is a ripe opportunity for companies that court them and make an effort to cultivate and earn their business."

Key highlights from the report include:

When exploring the top consumer categories that multicultural Millennials purchase: African American Millennials spend more than average on ethnic hair and beauty products (80 percent share); Asian American Millennials spend more on skin care preparations (10 percent share) than the average consumer; and Hispanic Millennials spend more on dried vegetables and grains (10 percent share) compared to the average consumer. 

Multicultural Millennials who are active on their mobile devices spend over $65 billion per year—with an increasing majority of those dollars being spent online—and influence more than $1 trillion in total CPG and entertainment spending. Nearly half use their mobile devices to compare prices and browse when shopping, and almost 80 percent agree that the internet is a great place to buy products—which is easier for that generation to do since they maintain and value their connection to the internet during the entire day.

For additional insights, Nielsen's Multicultural Millennial: The Multiplier Effect LITE report can be downloaded. For more detail and expanded data and information, Nielsen's Multicultural Millennial: The Multiplier Effect Full Report can be purchased in the Nielsen Store.