From convenience to price and technology, a report from Elior UK released today offers new insight into the relationship between customers aged 18–30 – or millennials – and food, and the key factors they look for.
Catherine Roe, chief executive of Elior UK, which recently won the 2015 Cost Sector Catering Contract Caterer Award, said ‘The Millennial Eater’ report aimed to help caterers understand what makes Generation Y tick when it comes to workplace and higher education catering.
It is estimated that by 2020, millennials will make up 75% of the workforce, so understanding their eating preferences will enable caterers to tap into this growing market more effectively.
Said Roe: “Millennials – also known as Generation Y – fascinate us. They’ve been called the generation that lives to eat and the tastemakers in food, but no one has ever attempted to fully explore their relationship with food – until now, that is.
“Our research highlights five key trends that define millennials’ attitude to food, trends that will influence how the food industry meets their demands.”
Sue Honoré, a consultant at Ashridge Business School who helped analyse the results, said: “Our findings have far-reaching implications for the industry, and particularly for caterers and food providers serving millennials in their workplaces, colleges and universities.
“They need to be looking now for answers to searching questions about the future of their businesses.
“How should we adapt our offer to suit millennials’ lifestyles, expectations, habits, preferences and tastes? How can we embrace digital technology – as a marketing tool and as a part of the experience we offer? How can we support their attempts to eat more healthily? And what does the trend towards home cooking mean for our business?
“The catering industry needs to find the answers quickly, for millennials don’t stand still – they’re a fast-moving generation who won’t think twice about neglecting brands that don’t keep pace with their demands.
“One thing’s for certain, however: workplace catering is set to look very different ten years from now. Welcome to the future.”
What are the eating habits of millennials? On average, 81% eat out of home regularly, with 12% dining out on a daily basis. This means they eat out more often than any other social group, more than twice as frequently as people in the 60-plus cohort.
They also don’t stick to traditional mealtimes. They will, on average, skip breakfast at least twice a week, which presents an opportunity for caterers to quell their hunger pangs with mid-morning snacks.
Lunchtime tends to be the main break in the working day and, as such, the quality and taste of food takes on added importance.
More than two thirds, 67%, have a canteen at their place of work or study, yet just 12% currently buy lunch at work. This may be in part because workplace restaurants have to cater for all tastes and aren’t tailored to any particular age group.
So what do millennials want from the meals they buy? In terms of menu choices, sandwiches, sausage, bacon, burgers and fries top the list, but findings suggest this may simply be a factor of what’s on offer, as almost half (44%) of respondents complained about a lack of choice at their workplace, college or university.
What the report does show is that, as well as quality and great-tasting food, this generation also wants low prices, speed of service and convenience of location. These factors are their main considerations when choosing where to buy breakfast and lunch.
Carina Paine Schofield, also a research fellow at Ashridge International Business School, added: “This significant report from Elior UK goes some way to answering key questions and closing the gap between what millennials want and what the industry currently offers
“In summary, millennials expect more: more from an employer, from a food provider and from life.”
Elior UK commissioned Allegra Foodservice to conduct the survey of 1,000 18–30 year olds, 30% of whom were students, to find out what they are looking for from their work and university catering options.