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Because if you don't market to them, someone else will. Historically, financial institutions have placed little emphasis on reaching out to young adults, thereby losing potential life-long customers. Between 18-25, young adults typically engage in many of their "first" major money decisions - they get their first credit card, auto loan and student loan. This demographic is the future. Don't miss the chance to turn a costly teenager into a profitable, loyal, life-long relationship.
Over 40 Million Strong & Growing
Teens and Young Adults comprise almost 15% of the U.S. population, or about 42 million people. In 1970, when today’s Baby Boomers were the same age, they numbered about 38 million, or 19% of the population then. Just as Baby Boomers are a large cohort that have made a great impact on societal trends and values, so too will today’s Young Adults.
They are growing in numbers.
- This population has increased steadily since 1992, as children of Baby
Boomers have entered their teen years. Teen Research Unlimited, 2003
They have strong discretionary spending power.
- Young Adults and Teens spent an estimated $217 billion during 2001,
$17 billion more than the previous year. Teen Research Unlimited, 2002
They have tremendous influence on family spending.
- Teenagers alone influence $324 billion in spending annually. Jupiter
Communications, 2001
They are trendsetters for future online financial services.
- More than one-third of the 16-22 year-olds will buy online this year,
spending $4.5 billion. By 2004, a clear majority will shop online,
compared with 46% of adults. Forrester Research, 2002
What’s The Message? Who Wants to be a Millionaire?
Today’s Young Adults are bombarded with messages telling
them that being a “millionaire” is the answer. The hit hip-hop
album by 50 Cent is titled - Get rich or die tryin’. Television
shows like “Who Wants to be a Millionaire?” and “Joe Millionaire” fill
the airwaves and Pepsi’s Billion Dollar Giveaway drives the
importance of money into their minds.
Understanding Money - myth or reality?
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51% of Young Adults aged 18-29 think they will have over $1 million in
assets at some point in their life. The Gallup Organization, 2003
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Young Adults appear to feel empowered with information to make
decisions about their finances as 69% claim to be confident in their
own ability to plan for their financial future. State of America’s Financial
Education Report, 2003
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At least 6 out of 10 Young Adults anticipate that in 5 years they will be
comfortable financially, and the rest feel that they will be doing okay.
State of America’s Financial Education Report, 2003
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More than 8 in 10 young people are at least thinking about establishing
financial goals, budgeting or saving for a major purchase while 52%
expect to take an active interest in becoming financially literate. State of
America’s Financial Education Report, 2003
The facts show a different story - Young Adults do not
understand basic money concepts.
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In 2002, only 31.9% of high school seniors taking financial literacy tests
administered by the JumpStart Coalition passed,a further decline from
the 40.9% that passed in 2000. JumpStart Coalition, 2002
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College age credit card holders are diving deeper into debt with high
balances ranging between $3,000 and $7,000, up 61% since 2000.
Nellie Mae, April 2002
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Stock ownership among college age individuals is down significantly.
Only 15.3% of those surveyed owned stock in 2002, compared to 20.7%
in 2001 and 25% in 2000. unior Achievement, 2003
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This year more than 150,000 Teenagers will declare bankruptcy, one
every four minutes. International Herald Tribune, 2003
Click Here to contact brass today to see how we can help you connect with Generation Y.
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