Mayo is having a moment.Shoshy Ciment/Business Insider
- Millennials have been blamed for the decline of a number of industries, including beer, golf, and even napkins.
- But the coronavirus pandemic has changed spending habits for many, meaning that previously neglected products are starting to see a comeback.
- Sales of cereal, beer, and canned tuna are all on the rise.
Millennials and their spending habits have been accused of killing everything from the idea of the starter home to mayonnaise.
There are many reasons millennials' preferences differ from those of past generations — for the most part, they entered the job market during the last recession, and many have student loan debt to contend with.
But as the US continues to weather the coronavirus pandemic, many consumers have shifted their spending to make up for the changes in their lifestyle. That includes millennials, who appear to be making certain purchases they weren't before the pandemic hit.
Here are some things that are making a comeback after being killed by millennials:
Starter homes
Rich Pedroncelli/AP
Record-low interest rates, coupled with ongoing work-from-home policies, are driving many millennials to consider buying their first house.
According to The New York Times, mortgage applications have soared to their highest levels since the 2008 housing crisis.
Plenty of first-time buyers are taking advantage, too — that is, first-time buyers whose budgets haven't been too impacted by the pandemic, high rents, or student loan payments. The latter two factors have previously been blamed for millennials' killing of homeownership.
Beer
A man holds a pint of lager in a pub on February 28, 2020 in Cardiff, Wales. A new law setting a minimum alcohol price will come into force on March 2 under Welsh Government plans.
Matthew Horwood/Getty Images
According to IRI data cited by Planet Money, overall beer sales at stores were up 27.5% in the weeks between early March and late June, compared to the same period last year.
The increase could largely be attributed to closures of restaurants, bars, and taprooms across the country this spring. Still, according to IRI's data, sales of beer at stores are up across the board, including cheap beer, imports, and craft.
Millennials were previously blamed for killing the beer industry, as data indicated that the generation preferred wine and spirits to beer and were drinking less alcohol than previous generations.
Cooking
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In a report released in 2018, UBS analysts discussed the growth of meal delivery and speculated that millennials' consumption habits could eventually kill the kitchen.
"There could be a scenario where by 2030 most meals currently cooked at home are instead ordered online and delivered from either restaurants or central kitchens," the analysts wrote at the time.
But as the pandemic has led many to stay in for meals, at-home cooking is having a major moment.
The move towards more home cooking has been great news for food companies like General Mills and spice maker McCormick, which reported better-than-expected sales for the most recent quarter.
Mayo
Mayo is having a moment.
Shoshy Ciment/Business Insider
Unilever said in its July earnings call that demand for Hellmann's mayonnaise contributed to double-digit growth for the company's food retail division in the most recent quarter.
Unilever said the growth was due to consumers making more of their own food at home during the pandemic.
Mayo has proven divisive among younger generations in recent years, with an essay in Philadelphia magazine going as far as saying that "millennials killed mayonnaise" and that "mayo's day had come and gone."
Canned tuna
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Demand for canned tuna has soared as Americans have pantry loaded during the pandemic, likely because tuna is shelf-stable and a relatively cheap protein, the Wall Street Journal reported in July.
Back in 2018, industry experts said that millennials were killing canned tuna because opening a can was too much work for them. Plus, one Starkist exec said, many millennials might not even own can openers.
Cereal
Rebecca Harrington/Tech Insider
Back in 2016, nearly 40% of millennials surveyed by Mintel said they found cereal to be an inconvenient breakfast choice because cleaning up afterward was too much work.
But, cereal may be making a comeback thanks to the pandemic-pantry-loading trend. According to Nielsen, sales of ready-to-eat cereal grew 61.7% for the week ending June 20, compared to the same week a year ago.
Golf
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Golf has been enjoying some popularity as the game has been deemed a relatively safe outdoor activity amid the pandemic.
According to NPD Group data cited by AdAge, sales of golf practice nets and screens grew by 144% in March, and swinging and putting mats were up 138% over the same period in 2019.
Millennials have been accused of contributing to golf's decline for years, as their interest has not been as high as it was for previous generations.