U.S. Army Recruiting Command

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U.S. Army Recruiting Command
Army BOSS Conference 13 October 2001
Youth Market Overview
CPT Dixon D. Dykman
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Agenda

• Demographics
• United States
• Army
• Psychographics / Generational Overview
• Lifestyle Segmentation
• Summary

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Youth Demographics
Source Woods Poole
17-21 Yr. Old Total Population
Population In Millions

• Youth Population Growing
• By 2050, non-Hispanic Whites will be 54 of the
  population (now 74)
• Hispanics are the largest National minority group

2001 Ethnicity 17-21 Yr. Olds
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Demographic Profile FY00 RA Applicant
Demographic/Production

• Male (78)
• White (61.4)
• African Am (23.5)
• Hispanic (10.4)
• API/Other (4.7)
• Single (83.2)
• HS Seniors (26)
• Median Age - 19.4 yr
• Education - 12.15 yr
• TSC I-IIIA (65.8)
• Average AFQT 58.02
• Term - 3.73 yr
• DEP - 2.1 mo
• 8.7 ACF takers
• 0.15 LRP

based upon Command Volume NPS contracts
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ARMY DEMOGRAPHICS FY00as of September 15, 2000
Note 67 of the Enlisted Population is Less
than 30 years old.
Source ODCSPER, Human Resources Directorate
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Psychographics
The use of psychological, sociological, and
anthropological factors, self-concept, and
lifestyle to determine how the market is
segmented by propensity of groups within the
market - and their reasons - to make a particular
decision about a product, person, or ideology
Market Segmentation by Emanual Demby
More Simply Attitudinal Market Research - What
they think and how they act.
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Generational Differences

• Generation (or cohort)
• A linking arising out of shared formative
  experiences, often measured by Birth Year
• Members of a generation are joined by similar
  physical and social demands, responsibilities,
  and needs as they advance through different
  lifestages
• Different starting points - Each generation goes
  through its formative years experiencing a unique
  set of economic, political, and social events.
  These events impact the expectations, ambitions,
  and life skills of a particular cohort.
• Different adaptations - Each generation defines a
  new way of confronting the challenges associated
  with each life stage.

Source Yankelovich, 2001
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One Theory

• Repeating 90 year cycle consisting of 4
  generational types
• Civic Dominant--focus on others
• Adaptive Recessive--conformists
• Idealists Dominant--focus on self
• Reactive Recessive--alienated risk-takers
• Each succeeding generation fills a gap created by
  the death of the oldest generation and corrects
  deficiencies it sees in the preceding generation

Source Howe and Strauss
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Generational Overview

• WWII Generation (1901 - 1924)
• Silent (1925 - 1942)
• Baby Boom (1943 - 1960)
• X (1961 - 1981)
• Millennial (1982 - 2002)
• Boundries are Fuzzy

Source Howe and Strauss
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WWII Generation(WWII Vets)

• Type Civic (Dominant)
• Born 1901 - 1924
• 16 Million
• Survivors of the Depression and two world wars
• Conservative spenders
• Civic-Minded
• Core Values
• Hard Work Self-Sacrifice Teamwork
• Conformity Authority Victory

Source Howe and Strauss
Source Yankelovich, 2001
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Silent(Korea Vets)

• Type Adaptive(Recessive)
• Born 1925 - 1942
• 35 Million
• Survived the Depression and WWII, but too young
  to be heroes
• Conformists
• Raised Families at a young age
• Grandparents of the Millennials
• Involved in civic life and extended family in bid
  to recapture lost youth

Source Howe and Strauss
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Baby Boom(Vietnam Vets / Senior Army Leadership)

• Type Idealist (Dominant)
• Born 1943 - 1960
• 76 Million
• Unapologetic consumers
• Newly liberated parents with high disposable
  income
• Value-driven despite indulgences
• Fearful of words relating to aging
• Core Values
• Individuality Self-Absorption Perpetual Youth
• Idealism Activism I win you lose

Source Howe and Strauss
Source Yankelovich, 2001
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Gen X(Desert Storm Vets / Mid-Grade Leadership)

• Type Reactive (Recessive)
• Born 1961 - 1981
• Parents are Silent and Boomers
• 93 Million
• 11 Percent Immigrant

Source Howe and Strauss
Source Yankelovich, 2001
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Xer Facts

• Most Aborted Generation in History
• Abortion Rate climbed 80between 73 and 79
• High Parental Divorce Rate
• Confusing Family Structure
• 56 Two Parent Household
• 19 One Parent Household
• 11 Stepparent
• One in Five had Half siblings

Source Howe and Strauss
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Xer Facts(Continued)

• Working Mothers
• Between 1960 and 1980 proportion of working
  mothers with children under 5 rose from 20 to 47
  percent
• Number of Latchkey children doubled
• College completion rates declining
• Boomer class of 1972 - 58 percent
• Xer class of 1980 - 37 percent
• Xer men prefer military service to civilian
  public service by 2-to-1

Source Howe and Strauss
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Xer Attitudes/Attributes

• Cynical and media-savvy
• Once rebellious, now a big economic force
• Alienated, Edgy
• Worst reputation of any generation (by the other
  generations)
• Self-reliant
• Independent
• Pragmatic
• Risk Takers
• Entrepreneurial

Source Howe and Strauss Source Yankelovich,
2001
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Millennial Generation(New Recruits)

• Type Civic (Dominant)
• Born 1982 - 2002(?) Age 19 and younger
• Parents are mostly Boomers (90)
• 76 Million now
• Outnumber Xers by 2002.
• One in Five has an Immigrant Parent

Source Howe and Strauss
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Millennial Self-View

• Optimistic
• 9 in 10 say they are Happy, confident, and
  positive
• Decreasing worry about violence, sex, or drugs
• Suicide rates falling
• Believe growing up easier for them then their
  parents
• Team Players
• Gravitating to group activities
• Believe Selfishness is a major cause of
  problems in the country
• Believe in their own collective power

Source Howe and Strauss
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Millennial Self View(Continued)

• Accept Authority
• Identify with their parents (current) values
• Trust and feel close to their parents
• Half report trust in the government
• Half believe that a lack of parental discipline
  is a major social problem
• Majority favor tougher rules against misbehavior
  in the classroom and society at large
• Follow Rules
• Declining Youth Crime rates
• Declining Teen Pregnancy and Abortion Rates

Source Howe and Strauss
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Other Millennial Characteristics

• Confident
• High levels of trust and optimism
• Equate good news for themselves with good news
  for the country
• Boast of their generations power and potential
• Team-Oriented
• Soccer and other team sports, group learning,
  school uniforms fostering strong team instincts
  and tight peer bonds
• Achieving
• Accountable to higher school standards
• On track to be the best-educated in history

Source Howe and Strauss
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Other Millennial Characteristics(Continued)

• Pressured
• Pushed to study hard, avoid personal risks, and
  take advantage of collective opportunities
  offered
• Feel pressure to excel
• Conventional
• Take pride in improving their behavior
• Comfortable with their parents values
• Support the idea that social rules can help
• Special
• Older generations have inculcated the sense that
  they are vital to the nation

Source Howe and Strauss
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Another View Echo-Boomer / GenY

• Core values and attitudes still in development
• Absence of War
• Surging economy
• Technological advancement
• Similar values of GenX, but more intense
• Stressed Out - Worry about finances, jobs,
  health, violence
• Self-Reliant - Describe themselves as confident,
  leaders, individualistic
• Technology Oriented- View computers as basic
  equipment, technology constant in childrens
  lives
• Family Oriented - Trusting of parents,
  government, and institutions
• Embracing Diversity - Proud of own background,
  non-prejudicial of others

Source Yankelovich, 2001
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Echo-Boomers/Generation Y
Millennials
or

• Confident - High levels of trust and optimism
• Team Oriented - Strong team instincts and tight
  peer bonds
• Achieving - On track to be the best-educated/behav
  ed adults in history
• Conventional - Support the idea that social rules
  help
• Pressured - Pushed to study hard and excel
• Special - Viewed as vital to the nation and their
  parents sense of purpose
• Sheltered - Focus of the most sweeping youth
  safety movement

• Pragmatic - Stress the importance of determining
  meaning, truth, or value
• Tolerant - Strong belief in an individuals right
  to personal freedom
• Self-sufficient - Prefer to create their own
  options
• Entrepreneurial - My Way is the best way,
  believe they have the best solutions
• Savvy - Intelligent, understanding

SourceYankelovich
Amongst democratic nations, each new
generation is a new people -Alexis de
Tocqueville
SourceHowe Strauss
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Millennial vs. Xer

• USAREC defined prime market 17-21 Years Old
• Half GenX, Half Millennial
• Projected FY01 Recruits
• Millennial - 54 (17-19 year olds)
• GenX - 46 (20-31 year olds)
• By 2003 Millennial Generation will make up the
  entire prime market.
• Current Army composition
• Enlisted
• Millennials - 21
• GenX - 76
• Officer
• Millennials - 0
• GenX - 74
• Boomer - 26

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Lifestyle/Household SegmentationMicro Vision 50

• Ties Demographics and Psychographics.
• Specifies who the market is.
• Determines where they are they located (zip4).
• Classifies their purchasing trends.
• Identifies Leisure and Recreation Activities.

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Top MicroVision-50 Segments (Contracts)
MV38 Rustic Homesteaders
MV16 Country Home Families

• 11.5 Army accessions.
• 9 U.S. Population.
• Rural households containing married middle-aged
  adults with older children.
• Little education beyond high school.
• Low income, blue collar occupations.
• Children likely to be 10 to 17 years old.
• Likely to own a rifle, shotgun, or handgun,
  hunt, fish, drive a regular size pick-up truck,
  perform own maintenance on vehicle, and listen to
  country music radio stations.

• 7 Army accessions.
• 6.5 U.S. Population.
• Married Families with children.
• Located in rural areas.
• Predominantly white households.
• Blue collar with little or no education following
  high school.
• Enjoy camping, hunting, boats, and rifles, and
  read hunting and fishing magazines, more likely
  to own a motor home.
• Heat their homes with wood stoves.

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Top MicroVision-50 Segments (Contracts)
MV18 White Picket Fences
MV25 Bedrock America

• 7.8 of Army accessions.
• 5 of U.S. population.
• Suburban families with one or two children.
• Blue collar occupations with incomes around the
  national average.
• Slightly higher than average share of households
  with two or more workers.
• Live in the Midwest and West.
• Often refer to the Yellow Pages.
• Like to bowl, play softball, volleyball, basket
  ball, go camping and order meals to be delivered.

• 5.3 of Army accessions
• 4.0 of U.S. population
• Families with children age 5-17 located in rural
  areas.
• Low income and low education levels.
• Homeowners of single detached units or mobile
  homes with low property value.
• Predominantly blue-collar occupations
• Likely to own a Chevrolet and watch The Nashville
  Network
• Spend time hunting, fishing, working on cars

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Top MicroVision-50 Segments (Currently Serving)
MV34 Books and New Recruits
MV17 Stars and Stripes

• 0.49 of U.S. Population
• 13.0 of Armed Forces
• College students and military personnel
• Young, single adults living in rental or group
  housing.
• Above average education, medium-low income.
• Into sports Skiing, tennis, billiards,
  running/jogging, aerobics, volleyball, bowling.
• Like Camping, hunting, backpacking, fishing.

• 2.5 of U.S. Population.
• 8.8 of Armed Forces.
• Young families in urban and suburban areas.
• Incomes at the national average, work in blue
  collar occupations.
• More likely to have attended collage, less likely
  to have completed.
• Likely to perform their own vehicle maintenance.
• Like Mexican food.

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Summary

• Youth value an education and are pressured to
  attend college
• Leisure activities tend to revolve around sports
• Basketball
• Volleyball
• Golf
• Racket ball
• Weight lifting
• New recruits and young soldiers tend to enjoy
  out-door activities
• Camping
• Hunting
• Fishing
• Running/Jogging