Photo credit: WORLD ECONOMIC FORUM/swiss-image.ch/Photo Rèmy Steinegger
Attracting and retaining Millennial employees is becoming a real challenge for big companies. Millennials, according to studies, are choosing smaller companies and startups over bigger, more established corporations. They want competitive salaries, but they also expect work-life balance and a diverse and engaging workplace culture. More importantly, many Millennials want to make a difference in their work—something they don’t think they can achieve working for a big conglomerate.
To attract this elusive generation, one company is tapping into a platform millions of Millennials visit every day. According to Bloomberg, Goldman Sachs started running ads on Spotify earlier this month in an effort to recruit Millennial employees. The audio and banner ads, which target Spotify users in the U.S. and the U.K., direct potential employees to a careers quiz page where people can explore the various departments and roles in the company.
Why Goldman chose Spotify
The bank’s decision to run its ads on Spotify isn’t surprising given the streaming service’s popularity among young music listeners. In The Everything Guide to Millennials, we revealed that 35 percent of Millennials are subscribed to the music streaming service. (Twenty six percent of Generation Z, the cohort after Millennials, are subscribed to it, according to another Vision Critical report.) With over 100 million users—a majority of them 35 or younger—Spotify is a good place to get in front of potential employees.
Spotify is just one of the new channels Goldman Sachs uses to build its employer brand. In 2015, for instance, the finance company used Snapchat Stories to lure Millennial employees.
“Spotify and Snapchat are unconventional media choices for us,” admits Amanda Rubin, global co-head of Goldman Sachs’ brand and content strategy, to Bloomberg. “We’re trying to be valuable and help young people understand Goldman.”
Diversity and impact
Goldman’s Spotify ads aim to highlight the company’s diverse workforce. “It’s a place where talented people from diverse backgrounds come to make a difference—from building a new app to managing an IPO,” the ad says. “We’re people who have studied the humanities, science, math—you name it.”
That messaging is a nod to the fact that most Millennials value diversity in the workplace. The campaign also aims to address the fact that Goldman Sachs is still ‘mostly white and male’—an issue that the company is actively working to correct.
Recognizing that Millennials want to do meaningful work, the ad also emphasizes the potential of working for the company. “When you want to make an impact in unexpected ways, think Goldman Sachs,” the ad concludes. According to our study, ‘making a difference’ matters to 26 percent of Millennials when it comes to their ideal job—a six percent lift from Gen Xers. Among Gen Zers, that number jumps to 32 percent.
Retaining Millennial employees
Goldman Sach’s aggressive push to reach Millennials and Gen Z is just another reminder of the intensifying war for young talent. As these generations take over the workforce, leveraging their skills, talent and business acumen will become an even bigger competitive advantage for companies.
But just as crucial as attracting Millennials, companies need to figure out how to retain these younger employees. Millennials tend to change jobs more frequently compared to older generations. So, while running ads on Spotify and Snapchat is a good start, companies like Goldman Sachs can’t afford to stop there. More than ever, big companies need to invest in understanding the motivations of their Millennial and Generation Z employees—and build a workplace culture that meets their expectations.