The Millennials

much.

Chapter 1

Meet the Millennials

Don't stereotype me or my generation."

Her name is Emily. Our team was supposed to be interviewing her, but she had a knack for making us the respondents. This time she was suggesting how we approach our research project. Perhaps suggesting is not the best way to say it. She was telling us what to do.

But Emily was right. You cannot really stereotype her or anyone in her generation. In many ways this generation is the most diverse generation in America's history. More on that later.

So why spend thousands of hours researching and writing about a generation that, in some ways, defies description? In the case of Emily's generation, we readily admit that any attempt to describe their behavioral and cognitive patterns will never satisfactorily represent any one segment of the larger group. But we do believe it is helpful to understand this generation with all of its diversity and to touch on some common themes that have touched a large number of its group.

By the way, we are talking about the Millennial Generation, a group of young people whose birth years range from 1980 to 2000. This generation edged out the Boomers (aka the Baby Boomers born 1946 to 1964) to become the largest generation in America's history.

We'll talk more about the demographics of this generation later in this chapter. For now we see the sheer size of this generation, and it takes our breath away. Nearly seventy-eight million live births took place between 1980 and 2000. The Millennials are already impacting businesses, the workplace, schools, churches, and many more organizations. Frankly, if we don't learn more about this generation, we are doing them and ourselves a disservice. They are just too big to ignore.

For those of us who've been around awhile, we are familiar with all the fuss about the Boomers. That generation garnered incredible attention because of its sheer size. Companies wanted their business. Politicians wanted their votes. Schools wanted their enrollment. Churches wanted their attendance. And charities wanted their contributions.

Now a new generation has emerged, and they are slightly larger than the Boomers. We saw the impact these young people could have in the 2008 presidential election. The eighteen- to twenty-nine-year-old Millennials voted for Barack Obama by an overwhelming sixty-six to thirty-two margin. This generation spoke, and they got their president.

And the impact they are making is just beginning.

Emily is right. She was born in 1987, and she is part of a diverse generation. Still, that diversity does not mean we can't learn key facets about her age cohorts. Some things are already changing with the Millennials.

For example, the Millennials are on track to become America's most educated generation. In 2007, the first year the twenty-five- to twenty-nine-year-old age group was entirely comprised of Millennials, 30 percent had attained a college degree. That is the highest rate ever recorded for that age group.

As another example, Millennials are marrying much later, if at all. In 1970 about 44 percent of eighteen- to twenty-five-year-old Boomers were married. Today only 15 percent of Millennials in that age group are married. And the average age of first marriages has gone up from 20.8 for women in 1970 to 25.5 today. For men the average age of first marriages has increased from 23.2 to 27.5 over that same period.

One more significant change is worth noting from the Boomer generation to the Millennials. About 65 percent of young adults cohabit at least once prior to marriage, compared to just 10 percent in the 1960s.

But we are getting ahead of ourselves. We have much to unpack about the Millennial Generation in the chapters to come. For now let's take a look at our study and how we got the information for this book.

The Millennial Study

Our study was a researcher's dream in many ways. We had the incredible opportunity to hear from twelve hundred Millennials across the country. Our representative sample included American adults born between 1980 and 1991. So to be clear, our study is on the older Millennials. We did not include those born between 1992 and 2000.

How accurate is our study? At a 95 percent confidence level and a 50 percent response distribution, the potential sampling error on this national study is +/- 2.8 percentage points. Okay, we admit it. The previous statement is not very exciting unless you are a statistical nerd. Simply stated, this research is pretty accurate. You can trust the statistical validity of our work.

We tried hard to keep this study bias free at the design stage of the research instrument, to the actual survey process, and to the interpretation of the data and writing of this book. Still we realize that biases may have crept in at some points, so we want you to know just a bit about our backgrounds.

We are both evangelical Christians. Though we are unapologetic about our faith, we have tried to be objective as we asked and interpreted the questions. We realized early in this process that our beliefs represented a minority of the Millennials, and we wanted to be fair in our assessments and conclusions.

Millennials represent a more diverse group than do any previous American generations. Respondents in this study were a demographically representative sample of U.S. Millennials in all of their diversity. Whites are still a majority at 61 percent, but that number is lower than previous generations. African-Americans accounted for 14 percent of our sample, Hispanics, 19 percent; Asians, 5 percent; and mixed, 1 percent.

Gender representation was very balanced. Males accounted for 51 percent of the respondents, and females accounted for 49 percent. The percentage of respondents from each birth year, 1980 to 1991, ranged from 8 percent to 10 percent, with the exception of the birth years 1990 and 1991, where the percentage was 7 percent and 4 percent respectively. Again our point is to demonstrate the balance and valid representation of the sample.

Matters such as education, income, and geographical distribution reflect similar distribution of the entire generation. We could belabor all these points and bore you to death. We do want you to have confidence in our study.

Respondents were asked a series of questions with most of them requiring an objective response. Some of the questions, however, were open-ended, and the Millennial was able to go any direction he or she desired. That part of the study, though difficult to capture in percentages and trends, included some of the most fascinating and fun work of this project. You will hear many of the comments of the Millennials throughout this book. Most of them were not shy!

Our research team began the process by deciding what we wanted to hear from the Millennials. Some of the questions represent the perspectives of the old man (Thom), while others reflect the younger view of the Millennial coauthor (Jess). Others had input as well.

Some of the categories where we asked questions include:

• What's really important in your life? What truly matters?

• What is your attitude about the environment? Are you really as green as the anecdotal information suggests?

• What are your attitudes about money and other financial matters? Do you have plans for you own finances?

• What types of work environment do you like or not like? How do you choose a job?

• Are you optimistic or pessimistic about the future? How will you impact the future world in which you will live?

• To whom do you turn for guidance? Are you more likely to be a loner or to seek help?

• What are your views on leadership? How do you view leaders today?

• What are your attitudes about marriage? How important is family to you?

• How important are other relationships such as friends and coworkers?

• What technology tools do you like and use? How involved are you in social media?

• What are your spiritual views? How often are you involved in spiritual activities?

The journey to learn more about this generation was fascinating. At many points in the study, we were greatly encouraged. The Millennials are a generation that has hope for the future. Indeed, they are a generation that, as a whole, wants to make a positive difference for the future. Nearly nine out of ten respondents indicated that they feel responsible to make a difference in this world.

They are the Millennial Generation, the largest generation in America's history. Before we delve more fully into the facts, hopes, dreams, and attitudes of this generation, let's take a brief excursion into the previous generations. The Millennials are, as the name states, the generation to take us into a new century and a new millennium. The previous century, however, was populated largely by four other generations: the G.I. Generation; the Silent Generation; the Boomers; and Generation X.

The Generations Before

Emily shared with us some of her dreams and aspirations. I really plan to make some contribution to this world in my lifetime. I don't care if I rise to the top of an organization or become a political power broker, she said. I just want to make a contribution.

This attitude is pervasive among the Millennials. The young men and women we surveyed are, as a rule, not focusing as much on self as they are on how they can make a difference. This one insight has enormous implications. They are the largest generation in America's history, and they want to make a contribution. Compare this attitude with that of the Boomers, a huge generation only slightly smaller than the Millennials. The Boomers have been largely self-absorbed and narcissistic. Imagine the change our nation could experience if the dominant attitude in America shifts from entitled to giving.

But let's back up even farther than the Boomer Generation and get a glimpse of all the generations that shaped our nation. First, look at the relative population size of each of the generations:

As we will note later, generations can be defined in a number of ways. Although we don't reject other definitions, our primary determination of a generation was demographic. We simply looked at the pattern of live births, with no one generation exceeding twenty-one years in length.

Let's take the much-discussed Boomer Generation as an example. The number of live births spiked significantly from 1945 to 1946 reaching over three million (3.4 million) for the first time in our nation's history. Thus the boom began in 1946. Live births peaked above four million from 1954 to 1964, but then dropped dramatically in 1965 to 3.7 million. Thus the boom ended and a new generation, Gen X, began.

With that definition in mind, let's look at the five generations of the twentieth century. Of course, we recognize that the Millennials take us into the twenty-first century and into a new millennium.

G.I. Generation. The fairly stable population of this generation was most affected by two events: the Great Depression and World War II. The latter event gave the generation their name.

The members of this generation are some of the most powerful people our nation has known. They are the first full generation to enjoy the benefits of Social Security, yet their affluence was set even without Social Security.

This generation includes nearly sixty million men and women, though the majority of them are no longer living. For most of their lives, the G.I. Generation benefited from an expanding economy, rising real estate values, and generous government programs. Interestingly, their wealth has not depended on lengthy education. A high school education was sufficient to find a good-paying, secure job with good benefits in their early years. Because they typically had a lower level of education than successor generations, their perspectives on life tended to be shaped differently from the younger population.

Silent Generation. The generation born from 1925 to 1945 got a bad deal with its name. They were called the Silent Generation because few of its members held high-profile business or political positions at the time of its naming. For example, no United States president has come from this generation. However, not as many demographers call them the Silent Generation today. They eventually became leaders of major corporations, and many came into powerful positions of governmental and political leadership. Some decided to call this generation the Swing Generation because they were caught between two potent and influential generations: the G.I. Generation and the Boomer Generation. Some of the generation swing toward the more casual lifestyle commonplace with the Boomers; others swing to the more conservative perspectives of their G.I. Generation elders.

Not only did this generation ultimately have influence; they also had considerable affluence. Competition for first entry-level, then middle-management, and then upper-management positions was not as intense for the G.I. Generation. The supply of positions available was high for the number in the generation. Some demographers have even suggested that, with the present economic scenario, this group may be the last generation to enjoy affluence in their retirement years.

Boomer Generation. They have been commonly called the Baby Boomers, those born between 1946 and 1964. Until the Millennials, this generation was the largest in America's history. In many ways the Boomers are the most discussed, most marketed, and most debated generation ever. Their sheer size caught the attention of businesses, schools, the media, churches, and other organizations for decades. Whatever this generation did, many would follow. They are the generation that brought us bell-bottom pants and minivans. They pressed the nation for housing and jobs. Now the United States will have to cope with the Boomers' demands for Social Security benefits.

The majority of the Boomers were raised by stay-at-home mothers who were younger than mothers with children at home today. They are the Woodstock and the Vietnam generation that believed their way was the way. In the 1960s the Boomers were countercultural and antiauthoritarian. That self-centered, independent spirit became a self-centered, materialistic spirit in the 1980s. By the decade of the nineties, the importance of the Boomers became apparent in the growth of New Age spiritualism and the self-help movement.

By 1995 three out of ten living Americans were Boomers. No generation had its own generational literary genre until the Boomers. Hundreds of books have been written on the generation, and the writing continues today.

Gen X. They were originally called the Buster Generation because of the dramatic decline in live births from their predecessor generation. In 1965, the first year of the baby bust, live births dropped below 3.8 million. The number of births had been over four million since 1954. The trend continued until 1980 when live births once again began a significant upturn.

Generation X or, more commonly Gen X, is the label that stuck. This name came from a nondescript novel by Douglas Coupland. Though most of the generation members really don't like any of the names, Gen X is the label of choice for the rest of the population.

Gen X members are sometimes called slackers, supposedly because of their poor work ethic. But the critics are typically condescending Boomers who really don't have their facts straight. This generation is no less diligent than any previous generation, especially the Boomers. Those in this generation are also sometimes stereotyped as pessimists, perhaps with reason. From an economic viewpoint Gen X entered the job market during difficult times. It is hardly surprising that they are both cautious and pessimistic about their long-term financial prospects.

And Now the Millennials

If Americans had an unusual fascination with the large Boomer population, it will be matched, if not exceeded, with their focus on the Millennials. Because of the comparable size of the two generations, the parallels between the two population groups are already remarkable.

As the Boomers shaped so much of the American culture for most of the last half of the twentieth century, so the Millennials will for the first half of the twenty-first century. They will be the dominant adult population during that period, and thus many organizations will seek to win their favor. Indeed, some organizations are already getting that message today and responding accordingly. The Millennials will be moving into positions of power and influence as this new millennium progresses.

It will be fascinating to see how individuals and organizations will respond. We will likely see the same preoccupation with this generation as with the Boomer Generation. It thus behooves us to learn as much about the Millennials as we can at this stage. Such is the purpose of this book.

Understanding the Millennial Years

Some have a misperception that generational studies are clearly defined. Everyone agrees, some surmise, on the generational names and generational years. Such is simply not the case. The matter of the generational span seems to have the most variations. What determines the birth-year range of the Millennials, Gen X, Boomers, and others?

We have found that the variation of claims for generational span tends to fall into one of two categories. The first is the number of live births per year, a simple demographic pattern. For example, in 1946 the number of live births spiked dramatically and continued to 1964. Thus our nation experienced a baby boom, and the Boomer Generation took hold. The second category for defining generational years is grouping people according to common historical experiences and behavior.

The reality is that most generational studies use both categories, though they may emphasize one factor over another. Since we are both somewhat statistical nerds (Okay, Thom admits it, and Jess isn't so sure), we tend to lean more toward a pure demographic definition for the Millennial Generation. In other words, we are more likely to look for some pattern in the number of live births by year.

In the case of the Millennials, there was a clear spike in the number of live births in 1980. In fact the number of live births per year had been well below 3.5 million since 1972 until the spike occurred. Then in 1980 live births soared not only above 3.5 million but also above 3.6 million. A new boom had begun.

This second baby boom continued to grow and stabilized around four million live births per year from 1989 to 2000. The baby boom was not really over in 2000, but most demographers do not take a generation beyond twenty to twenty-one years. Beyond that time the possibility of common experiences and behavior tend to diminish.

Forgive us if this excursion caused you to yawn. We simply wanted to be clear on why we chose 1980 to 2000 as the generational years for the Millennials. Others do have some variation from us, but we are all fairly close in our assumptions.

What's in a Generational Name?

Typically a generational name goes through several variations before one tends to stick. That was certainly true with the Millennials. In fact Thom attempted to be one of the first to name this generation with his book The Bridger Generation. The term bridger means that this generation will be a bridge from one millennium to the next. In fact, Thom even attempted to name the four successive generations alliteratively: Builders, Boomers, Busters, and Bridgers. Jess found it humorous that Thom was not successful in any of these endeavors.

But Thom was not the only one whose generational name did not stick. There have been a number of other attempts. Several failed names fall into the category of connection with another generation. Generation Y and Generation XX attempted to connect the Millennials with Gen X. And Echo Boom and Boomer Babies obviously attempted a connection to the Boomer generation.

It would seem that these naming attempts were unsuccessful because many of the Millennials want their generation's name to stand on its own. We are not an extension of another generation, Archie told us. We are really different from either Gen X or the Boomers. Don't try to stick us with a name that reflects our dependence on either one of those messed-up groups.

Archie obviously was not thrilled with his two predecessor generations.

Generation Tech did not stick either. Shonda, born in 1986, speaks to that name. Good grief. We don't want to be identified with just technology. See how the Boomers would react if you called them Generation Television.

Good point.

Still other attempts failed. Generation Next was one. What a stupid name, Hank exclaimed. You could name every new generation with that name. Yet other unsuccessful labels include Generation 2000 and Generation.com.

The Millennials as a name for this generation stuck. Why and how did this name rise to the top? Our honest response is that we don't know. We do have our theories though. The Millennials themselves seem to like this name. At least they are not negative about it.

Probably the best explanation is related to an understanding of the millennial event. As its name indicates, a new millennium happens only once in a thousand years. The turning of this calendar day