Yes, he speaks Spanish. Don’t ask.
Everyone knows that no one pays for media anymore and that the only way to reach “Facebook is dead to us” teens and Millennials is through the hottest new networks, right?
A new study by consultancy Deloitte suggests that the younger generation, which allegedly has no money to spend on “content,” will actually spend quite a bit of money on said content in 2015.
The big conclusion: Americans and Canadians aged 18-34 will spend an estimated $62 billion on media in 2015 — and that number is significantly higher than the total amount spent on digital advertising in these two countries.
Yes, it’s true that young folks “are spending less on traditional media than they did in the past, and less than older generations,” but they do have money and they do choose to spend a good chunk of it on everything from video games to old-school newspapers and magazines. Here’s the graph you need to see:
Most of the cash spent by this demographic goes toward their cable and Internet subscriptions. Still, as Deloitte notes in its report:
- One in six Millennials, “or over 12 million,” will subscribe to a print paper or magazine in 2015, spending an average of $20
- Millennials will provide approximately 10 percent of traditional papers’ revenue totals in 2015
- That total does not include newsstand sales or digital subscriptions, meaning that the overall spend will be higher
Other findings from the survey, which drew data from a dizzying range of sources:
- Pay TV (whatever that may mean) will be both the biggest spend and the biggest source of growth in 2015
- Millennials will, despite reports to the contrary, continue paying to see movies in theaters, spending an average of $75 this year
- This group will spend almost as much on books as they will on those movies
The point, for PR, is that young people continue to place such a premium value on original content that they’re willing to (gasp!) pay for it out of their own pockets.
The sky may well be falling on traditional journalism and the people behind it, but in 2015 members of the Internet generation will fork over billions in hard-earned cash for all sorts of media — including the old-school paper kind.