Move over Baby Boomers. The next market business
brokers should be paying attention to is Millennials, whom are defined as being
between ages 18 to 34 in 2015.
There are many
misconceptions about this generation, but in reality, Millennials are the
future business owners of America.
The Power of the Millennial Generation
The numbers are
- Each day, more than
10,000 people turn 21
- Millennials currently
represent 25% of the population
- This year,
Millennials are expected to spend $2.45 trillion.
- By 2018, that number
jumps to $3.4 trillion and exceeds the amount spent by Baby Boomers, who are
becoming more cautious in their retirement age.
Millennials are a
powerhouse generation. They are digitally-engaged, which means they are
influential beyond their own purchasing power. But they also have the
reputation of being lazy, spoiled and entitled.
Not necessarily true,
according to a University of Wisconsin study that found that 85 percent of
Millennials were either working or in school.
And with the rising
cost of education, Millennials are faced with economic challenges not seen
before in recent times. A 2014 Pew Research Center Survey revealed that
“Millennials are the first in the modern era to have higher levels of student
loan debt, poverty and unemployment, and lower levels of wealth and personal
income than their two immediate predecessor generations had at the same age.”
What Millennials Care About
In order to
successfully market a business to Millennials, it’s important to understand
what is important to them. Millennials seek to find balance between work and
play. They have grown up in a world where healthy eating and fitness are the
Millennials have a
desire to engage with brands they love. They are obsessed with technology and
feel free to voice their feedback and opinions via social media. This ability
to spread the word farther and faster makes them especially influential in the
So, how do you match your business pitch so that
millennials will care about it?
1. Understand their Motivation
We’ve just listed
what tops the list for millennial motivation, so incorporate these into your
marketing and selling. Have a business that will allow the owner to achieve a balanced life of paying the bills
and happiness? It’s likely a good match for a Millennial. Know about a business
that could grow with the development of new products and services? Millennials
love to create and have a voice, so this type of business could be perfect for
an owner who wants to be fully involved.
2. Be Transparent
grown up in an age of transparency, and can take to Google to verify any claim
about a business. So, make sure you are absolutely authentic and truthful in
your business dealings with Millennials. They don’t like to be sold to, so work
to establish a personal relationship. Keep in mind that Millennials are often
skeptics and may not necessarily trust your word. They will need to do their
own due diligence on any possible business deal.
3. Embrace Technology
their time very valuable, so they are always searching for ways to make life
efficient and convenient, especially through technology. They are always
“tapped in” as verified from research from social-influence marketing platform
Crowdtap that revealed individuals ages 18 to 36 spend almost 18 hours a day
with different types of media. That means business brokers must communicate in
ways Millennials prefer. They are more apt to choose a quick email with
resources they can research over a lengthy in-person business meeting.
Millennials + Entrepreneurship = Match
seek a flexible schedule, entrepreneurship is a natural fit. In fact, according
to UNC Kenan-Flagler Business School, 92% believe that entrepreneurship
education is vital to the new economy. Nearly one-third started a business in
college and 35% have started a business on the side. Given that entrepreneur
spirit, business brokers just need to find the right business to pitch to their
prospective Millennial buyers.
This article was contributed by BusinessesForSale.com, the
market-leading directory of business opportunities from online media group