There’s a massive trend brewing in America’s nightlife scene. The attendance of nightclubs and bars have been on a steady decline for the past several years and counting. Nightclubs are going out of business left and right with more being threatened to close their doors each and every day. There has been a massive decline in liquor profits and overall revenue. This trend isn’t only exclusive to the United States; the UK has been experiencing a similar drop in their once world-renowned nightlife scene, too! What is to blame for all of this, you ask?

Millennials.

According to GFK, the global research firm, millennials are widely categorized individuals who were born anywhere between the years 1977 and 1994. Ranging between the ages of 21 and 38, they are the target demographic for all club owners and other current nightlife vendors. These millennials are very different from their Generation X parents. We must consider they were raised to be extremely tech savvy as they entered adulthood equipped with cellphones, up-to-date social media interactions, and would certainly much rather spend their hard earned money on experiences that are worth it rather than material possessions.

While evaluating such preferences, millennials sound like the ideal group to be regularly enjoying themselves at various nightclubs- or so one would think? If this is the case, why are nightclubs and alike entertainment venues suffering such massive declines in their numbers? Since millennials favor experiences over material things, shouldn’t nightclubs be benefiting? Where are these millennials going instead?

Simply put, not really- at least not as frequently as their Generation X counterparts did at popular discotheques. Countless studies, as well as daily observations, show millennials are no longer opting to go to nightclubs anymore when contemplating the value of a night out. A survey by ULI/Lachman Associates dictates that only slightly higher than 60% of all millennials spend time at nightclubs. Of that 60%, only 25% spend time at nightclubs more than once a month. The millennials who go to nightclubs say they mostly go for “special occasions”, implying bachelor/bachelorette parties, viewing a specific DJ/an attending celebrity event, or because they are in party capitals like NYC and Las Vegas where they feel obligated to explore. Although these serve as the main reasons why millennials venture into nightclubs, it doesn’t seem to be enough evidence to back up such abundant numbers.

Nightclubs do not have a large return rate of millennial consumers. Nightclub owners are finding it very difficult to keep their doors open when a large scale of their clientele only stop by once in a blue moon and penny pinch on their drink orders. It’s all about the pre-game anyway, right? It comes to no surprise that an average of 6,500 venues have been breaking down earlier and earlier each night and officially closing up shop before passing the first year mark in their business- at least according to J.C. Diaz, the Executive Director of the Nightlife Association.  To add insult to injury, the IBIS World Bar Business