Did you think that the Millennial Disruption will not impact your business? Well, think again, because it will and you cannot avoid it.
Somi Arian, founder of Smart Cookie Media states that ‘the Millennial Disruption is not just about the millennial generation, but it also refers to the turn of the century and how advancements in technology disrupted all aspects of business and culture.’
It means that, Millennial Disruption, sooner or later, will have an impact on every business and every customer the business is serving. And if you, as a business owner, try to deny it, you will face great challenge in the near future.
Millennials - The Biggest Challenge for The Business
But first, let’s talk about Millennials.
You might believe that Millennials are actually really easy customers? All they need to be happy, and all you need to keep them interested is one and the same thing: access to Internet and social media. But, while your presence in social media can help you with communicating with Millennials, you can’t solely depend on it when operating your business.
In reality, Millennials present companies with a very challenging problem – their preferences are killing dozens of industries. Generation Y doesn’t seem to want to own car, drink beer, buy houses or even start the day with a simple bowl of cereal. Of course, there are many reasons why Millennials’ preferences differ so much from previous generations, such as less financial stability or psychological scars from growing up during the times of recession. But, the truth is that the products and services that have attracted customers over the years, are slowly losing their charm. And this tendency is especially challenging to well – established businesses, which for many years have benefited from sales of these ‘safe products and services’. More often Millennials are simply rejecting traditional offers, hoping for something completely different.
Unlike previous generations such as Baby Boomers, Millennials don’t want to conform to established life cycles. Instead, they want to remain independent, abandoning the idea of settling down. Apart from that, Millennials expect convenience and accessibility of technology in day-to-day activities of their lives, especially when we’re talking about choosing their preferred brands. They need instant connectivity at their fingertips, and expect brands to meet their requirements and expectations.
Surviving Millennial Disruption
As mentioned earlier, Millennials, at least in theory, came for an insecure financial background. This might have led to their lack of trust in brands, and what comes with it, their tendency to avoid lengthy contracts and being tied up. However, from a business perspective, this forces the necessity of new way of thinking about customer markets. As Generation X is slowly decreasing their purchases, and those who are not, are more often adapting, Millennials’ preferences, both in terms of products and purchasing process, companies have two choices – either disrupt or destruct their business. For now, there’s no need to talk about the latter as most companies will try to avoid it at all costs.
So, let’s focus on the first option. It is safe to say that all brands must embrace digital innovation in their products and services to fulfil the needs of Millennials. Market researchers are required to re-invent their consumer insight and market research strategies in order to respond to these new consumer generations in times of digital disruption. Millennials are believed to engage with brands only if they begin to offer products and services that resonate with them, and in some industries, it is already happening! In the near future, we can certainly expect to see organisations disrupt their business models to respond to Millennials’ preferences, whether they want to do it or not. And as the service model will continue to change and expand, and digitisation will remain dominating trend, companies, sooner or later, will realise that open, no strings attached platforms are key to success. Moreover, as mentioned before, Millennials are killing countless industries, and companies will need to learn how to differentiate relevant and irrelevant products. Millennials don’t need table napkins anymore, they just don’t feel the need to spend money on these ‘little luxuries’.
So, is the Millennial Disruption going to kill your business? If you don’t act now, it certainly can, and most probably - will. And, the one thing you should remember is that, if you don’t want to destruct your business, you need to disrupt it.
B60 is a global leader in delivering Digital Transformation and Technology Development and works with ambitious firms in the U.K. Europe and USA across multiple sectors. Since 2012 B60 has been embracing digital change by utilising our unique operating models, frameworks and methodologies to truly drive innovation and change from within our clients businesses.
If you’d like to discuss with one of our experts on how you could successfully deploy Digital Transformation and Technology Development in your business drop us an email at email@example.com or alternatively call us on 0121 405 0270.