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Understanding the New Market: NSAA's Millennial Study

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Understanding the New Market: NSAA's Millennial Study Understanding the New Market: NSAA’s Millennial Study 2015 ISKINY – PSAA Expo Lake Placid Conference Center September 22nd, 2015 Before we begin, some ground rules. Don’t Confuse Societal Trends with Generational Trends Don’t Life Stage Differences for with Generational Differences And remember, this is more about us than them What’s all the fuss? The Birth of the Teenager in the 20th Century The 21st Century Brings the Concept of the “Emerging Adult” Five Milestones: • Completing School • Leaving Home • Becoming Financially Independent • Marrying • Having a Child In the recent past the majority had hit all of these goals by age 30, today very few have reached these goals by age 30, nor would some find it desirable to do so. Millennials: • Born after 1980. • Currently age 35 and under. • 18-35 year olds are 24.5% of population. Size of Age Range in 2004 vs. 2014 30 2004 Over 9M more people 25.5 25 2014 in this age category 23.0 than in 2004 21.7 20 17.9 17.9 15.9 15 12.4 13.2 10 Population (in (in millions) Population 5 0 18 to 20 21 to 24 25 to 29 30 to 35 Age Range: Size of Cohort Accounted for by Age Group and Percent Non- White, Non-hispanic within Age Group: 2014 50% 50% 44% 44% 45% 43% 42% 45% 40% 40% Percent of Current Cohort 35% Percent Non-White or Hispanic 33% 35% 30% 28% 30% Waiting for 2042 25% 23% 25% 20% 20% 17% Percent Minority Percent Percent of Cohort Percent 15% 15% 10% 10% 5% 5% 0% 0% 18 to 20 21 to 24 25 to 29 30 to 35 Age Group: Percent of Total Population in 2014 9% 8.0% 8% Overall 24.5% of Total U.S. Population 7% A sizable chunk 6.8% are hitting family 6% building years. 5.6% 5% 4.1% 4% 3% 2% Percent of Total U.S. Population in 2014 in Population U.S. Total of Percent 1% 0% 18 to 20 21 to 24 25 to 29 30 to 35 Age Group: Some General Observations that Hold Up: Key Findings from Neilsen’s 2014 “Millennials – Breaking the Myths” Report • Diverse, Expressive and Optimistic • Driving a Social Movement Back to the Cities • Struggling, But They Have an Entrepreneurial Spirit Some General Observations that Hold Up: Key Findings from Neilsen’s 2014 “Millennials – Breaking the Myths” Report • Deal Shoppers and Desire Authenticity • Connected and Want the Personal Touch Link to the full report: http://www.nielsen.com/us/en/insights/reports/2014/millennials-breaking-the-myths.html Top Markets for Millennials vs. Boomers Greater Concentration of Millennials in the Western U.S. Wealth (Income Producing Assets) by Generation Over 70% of high net worth individuals are baby boomers or silent generation. Top Markets for Wealthy Millennials vs. Boomers The geography of wealth shows fewer age differences. Hold on, why do we care again? Number of Active Snowsports Participants by Age Cohort: 1996/97 to 2014/15 5,000 Millenials (15-33) Gen X (34-49) BB2 (50-59) BB1 (60-69) 4,500 Pre-boom (70+) 4,116 4,000 3,284 3,500 3,095 3,000 2,500 1,942 2,000 1,563 1,305 1,500 1,420 1,000 Number of Active Participants (in thousands) 511 553 500 126 - Season No significant change in the number of Millennials or Gen X participants in 6 seasons. Average Total Number of Days Skied/Snowboarded by Cohort: 1996/97 to 2014/15 Millenials (15-33) Gen X (34-49) BB2 (50-59) BB1 (60-69) 10.6 11.0 Pre-boom (70+) TOTAL 9.8 10.0 9.4 9.5 9.3 9.3 9.1 9.2 9.1 9.2 9.2 9.1 9.0 8.9 9.0 8.9 8.7 9.0 8.5 8.6 8.4 8.3 8.2 8.2 7.9 7.8 7.7 7.8 8.0 7.5 7.1 7.1 6.8 6.9 6.9 6.9 6.6 6.6 7.0 6.5 6.4 6.3 6.3 6.2 6.3 6.2 6.1 6.0 6.0 5.9 6.0 6.0 5.9 5.7 6.0 5.7 5.65.7 5.7 5.6 5.6 5.6 5.6 5.6 5.6 5.5 5.4 5.5 5.5 5.5 5.5 5.5 5.7 5.3 5.4 5.35.4 5.4 Average Total Days Skied/Snowboarded 5.2 5.6 5.5 5.2 5.4 5.0 5.3 5.3 5.3 5.2 5.2 5.2 5.2 5.4 5.5 5.3 5.1 5.0 5.35.1 5.0 5.0 5.0 5.1 4.9 4.9 5.1 5.2 5.1 5.2 4.9 5.1 5.0 5.0 4.8 4.8 4.9 4.9 4.8 4.7 4.0 Season Millennials are skiing/snowboarding at significantly lower frequency than older generations. NSAA Millennial Study - 2015 A comprehensive examination on the state of the Millennial market in the U.S. • Qualitative one-on-one interviews in select markets across the U.S. • National in-depth surveys of both Millennial participants and non-participants, and families and singles. NSAA Millennial Study – 2015 | n=2,215 Designed to provide statistically meaningful clusters of key potential visitor segments Key Respondent Characteristics by Snow Sports Status 70% Skier/Snowboarder 62% 60% Non-Skier/Snowboarder 57% 56% 50% 52% 50% 43% 40% 38% 38% 36% 34% 32% 30% 25% 21% Percent Responding Percent 20% 17% 14% 12% 9% 10% 5% 0% $150,000 $100,000 $50,000 Under Yes No 30 to 35 25 to 29 21 to 24 or above to to $50,000 $149,999 $99,999 What is your annual pre-tax household income? Children Present in Home? Age Group: Millennials who currently ski tend to be more affluent and less likely to have kids. NSAA Millennial Study - 2015 Probed a variety of topics related to snow sports participation, travel, and demographics Available Vacation Days by Age Group 40% 21 to 24 25 to 29 30 to 35 36% 35% 30% 30% 27% 26% 25% 24% 25% 25% 21% 20% 17% 18% 18% 15% 14% Percent Responding Percent 10% 8% 7% 5% 4% 0% None One week Two weeks Three weeks More than three weeks How many vacation days are you able to take during the calendar year? Vacation time available but among more affluent some reluctance to take it. NSAA Millennial Study - 2015 Also examined lifestyle and attitudinal information that could help craft meaningful strategies for outreach Skier/Snowboarder Non-Skier/Snowboarder Republican, Republican, 22.7% 26.0% Independent, Independent, 40.9% 45.3% Democrat, Democrat, 32.0% 33.1% Less affiliated with party politics than any generation. Percent Identifying with Descriptor (%8 through 10=Perfect Description of Me) by Participation in Skiing/Snowboarding 60% Skier/Snowboarder Not a Skier/Snowboarder 56% 49% 50% 50% 48% 47% 46% 43% 42% 41% 40% 39% 40% 36% 37% 32% 32% 31% 29% 28% 30% 27% 22% 20% 10% Percent Responding 8 to 10='Perfect Description Me'Description of 10='Perfect8 to Percent Responding 0% Source: 2015 NSAA Millennial Study Millennial skiers are socially liberal, non-religious foodies with a concern for the environment. Profile: 27 year old Social media use… Employed Full time Profile: 24 year old Technology use… Employed Full time Initial impressions of skiing from non- skiers/snowboarders Initial impressions of snowboarding from non- skiers/snowboarders Profile: 27 year old As a non-skier, what is your Employed Full time impression of skiing… Initial impressions of “resort” Initial impressions of “ski resort” Reaction to “resort”… If Child(ren) are of Age, Do They Ski or Snowboard by Snow Sports Status 100% 90% 86% 79% 80% Yes No 70% If they have a past history 60% of skiing/snowboarding, 50% when they have kids we get that family. 40% Percent Responding Percent 30% 21% 20% 14% 10% 0% Skier/Snowboarder Non-Skier/Snowboarder Age at Which Child Introduced to Skiing/Snowboarding 16% 15% Interested in starting their kids young. Avg.=8.1 14% 12% 12% 11% 11% 11% 11% 10% 8% 7% 6% 6% 6% 5% 4% Percent Responding Percent 4% 2% 0% 4 5 6 7 8 9 10 11 12 13 14 years years years years years years years years years years years old old old old old old old old old old old or older On What Type of Equipment Did You Start Them? by Parent's Primary Equipment Type 100% What type of equipment did you start them on? Skis 90% 86% What type of equipment did you start them on? Snowboard 80% 70% Most are starting 68% 67% 60% their kids on skis. 50% 40% 32% 33% Percent Responding Percent 30% 20% 14% 10% 0% Skier Snowboarder Overall Parent's Primary Equipment Type Type of Equipment Child Uses Today by Type of Equipment First Used 100% 90% Skis Snowboard 80% 75% 75% 70% These flows across 60% sports would indicate that snowboarding has 50% a very leaky bucket. 40% 30% 25% Percent Respondingg Percent 25% 20% 10% 0% Skis Snowboard What type of equipment did you start them on? Do you think in the future you might consider introducing your children to downhill skiing or snowboarding? by Snow Sports Status 100% 100% 90% Yes No 80% 67% 70% Even non- 60% skiers/snowboard 50% ers are interested in potentially 40% introducing their 33% 30% kids to the sport Percent Responding Percent 20% 10% 0% Skier/Snowboarder Non-Skier/Snowboarder Things that Might Prevent You from Introducing Your Child to Skiing/Snowboarding by Snow Sports Status 60% Skier/Snowboarder 50% Non-Skier/Snowboarder 50% 49% 45% 40% 36%36% 34% 35% 32% 30% 29% 30% 30% 28% 25% 23% Percent Responding Percent 20% 19% 16% 16% 9% 10% 9% 4% 0% Cost of lessons Cost of Live too far Lack of interest Lack of Lack of time Cost of Not familiar Child's school Child's equipment away from a on the part of necessary transportation with resorts obligations participation in rental resort the child apparel/gear to the resort nearby organized sports Among current participants, lack of interest and time pressures are the big barriers.
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