Believe it or not, Millennials are now in their late 20s and 30s and have become the most sought-after consumers of products and services for most commercial providers across all industries. Gen X and late-stage Boomers are still in the picture, however, over the last couple of years, it has become evident Millennials are making tremendous strides in gaining buying power due to a variety of circumstances.
In the valuation world, I have recently seen a growing number of young entrepreneurs and next-generation family members running companies with fresh perspectives that can’t be ignored, and will likely set the pace for the next 20-30 years of business development across the world. Many of these individuals have patiently bided their time during unprecedented events that have forever reshaped our future over the past few years.
Others have mocked them in the past for their habits and preferences, while underestimating their potential, and not realizing the vast majority of this generation are nothing like the stereotypical picture painted by so many who are engrained in “old school” mentality.
While it is generally true that Millennials had a tougher time breaking into the mainstream workplace a decade ago in a much different business landscape, they used conservative tactics in an effort to save money, such as living at home and holding off on marriage and family plans until more financially secure. This is somewhat of a unique circumstance created by this generation, however, we are now seeing the emergence of a hungry, wizened group that accounts for over 20% of the populace, well over $2 trillion in spending power, and 90+% employed.
Virtually every major entertainment event, both live and virtual, sees its advertising revenue campaigns geared toward these consumers, while the majority of the workplace is inhabited by those that fall into the Millennial generation. These trends, which have quickly grown over the last 5 years, are the building blocks for the future leadership of our nation’s business, economic, and political climate. It is not a surprise then, that this generation is becoming the focus of many service industries and product developers who realize that staying ahead of the competition will equate to favorable ratings from this group of individuals.
Millennials are the original masters of social media, and with venues such as Twitter, Facebook, LinkedIn, and Instagram becoming dominant platforms for advertising, it makes total sense that the two are becoming entwined with how future businesses will be run.
In summary, if you own a small business, and are looking for growth opportunities that have otherwise been difficult to develop, consider targeting the Millennial generation as a potential expansion to your client base, and look to keep up with this new and exciting group as they continue to take over the future.