Millennials expect marketing that speaks directly to them on a personal level, tapping into their unique tastes and past behaviors. They’ve grown accustomed to targeted advertising that knows what products they’ve bought or searched for—and they expect companies to keep tabs on their preferences and choices. Small businesses may not have the data-mining and online tracking capabilities of a major retailer, but they can keep track of customers’ past purchases or preferences using customer relationship management (CRM) software. They can also use good old-fashioned customer service to personalize their customer experience. When sending email newsletters and promotions, it can help to let customers sign up for the types of information they want to receive—so the emails feel tailored.

Millennials are very proficient online shoppers. But they also want social activities and experiences they can share photos and details about with their online social communities. SMBs can win over Millennials by creating events and other experiences that lead to what’s been dubbed as “FOMO”—fear of missing out. In fact, a Harris poll found that 72% of Millennials prefer to spend money on experiences over material objects. What does this mean? SMBs should consider ways to create real life experiences for their customers—such as hosting classes, parties, a charity drive or another special event. Every business is different, of course, so the experiences should relate to what the business does.