Millennials are changing everything

The year 2019 will see Millennials overtake baby boomers as the largest generation. They already make up the majority of the U.S. workforce and are considered the world’s most powerful consumers. They are also the most technologically engaged. If your business has been overlooking them as potential employees or customers, you may be making a big mistake.

Hiring

My July 2018 post, A generation changes hiring explains how business has had to adjust their hiring process to attract this pool of candidates. Millennials are not shy about talking to bosses or jumping jobs. They’ll move until they find the right fit and expect salary increases and better working environments. 

Declines or poor planning

As far as consumers, they are driving the marketplace and causing change. A variety of recent studies regarding business and products have claimed that Milliennials are to blame for their decreased sales. A few examples are fabric softener, bar soap, canned tuna, casual dining, and department stores.

Proctor & Gamble believes that Millennials are unaware of what is the intent of fabric softener. Market research company Mintel found that 18 to 24 years believe that bar soap is full of germs. The Wall Street Journal reported in December 2018 that canned tuna sales have declined due to this generation’s decision that the cans are too difficult to open. There was also a report that breakfast cereal sales are declining due to claims of the product being too messy. This may also explain the lack of interest in casual dining restaurants, which have claimed that Millennials are not interested in sitting down for longer periods of time to dine. They’d rather eat on the go. Department stores may have trouble blaming a generation more than a technology phenomenon. While it’s true that Millennials are less interested in brick and mortar stores, e-commerce is probably more to blame. Consumer goods companies that have not adjusted are filing Chapter 11.

All of these products or services have seen sales decline. They’ve had to resort to price reductions, closings, or even bankruptcy to adjust. Are they looking for something to blame for declines or excusing poor planning? Some of the reports and research were based on interviews while others were based on declining sales and attributed to Millennials. Of course, claims run rampant on the Internet further fueling Millennials as scapegoats.

Reviews

They read them and they give them.  Online reviews and apps like Yelp cannot be ignored. Millennials make informed decisions about large purchases and where they are going to eat. How many stars and positive reviews your business has can drive business as well as detract. If you’re noticing a decline of business from a certain demographic, check your reviews. 

Make sure your business has listings set up on Google, Yelp, and any other app that may service your industry. Encourage reviews and be interactive, for the good and the bad. If there are bad reviews try to respond in a way that shows empathy and what is being done to correct the problem.

Home delivery

Even fast food restaurants are getting into the home delivery game. Partnering with services like Grub Hub and Door Dash major franchises are providing home delivery. More than likely another way commerce is changing to accommodate a generation of buyers. To keep up or ahead, delivery or some sort of convenience offered to customers may be another consideration in your business model.

It is yet to be seen if the largest generation will become the next greatest generation, but, currently, they are a powerful economic force. Recognizing this and adapting could literally mean the future of your business. 

Visit the blog archives for more articles on how Millennials have affected the marketplace. http://mazzellainvestigations.blogspot.com/search/label/millennials