Although Millennials have been, and still are the current dominate workforce, individuals that fall under Generation Z (born within 1995-2012) are officially beginning to enter the working world. With their entrance, will come future business model changes in order to remain relevant and recruit a staff for the future wellness of your business. So, let’s start by discussing some traits of those considered Generation Z, and what is most important to them professionally.
Personal and business traits:
Entrepreneurial desires- Digital natives (have had present technology since they were born)
- Interest in management side of business
- Frugal & financially aware
- Expect to work hard
- Value money over passions
Looking for in a job:
- Real growth potential
- Generous pay
- Ability to make a positive impact in their role
- Security
- Benefits
- Good management – eager to learn
- Flexibility
According to NextGeneration Recruitment, Gen X are the best workers overall, Gen Y are the “workplace specialists,” meaning they possess more in depth knowledge in their specific area of expertise, and Gen Z are said to be natural entrepreneurs with the ambition to start their own businesses. Several of the other common traits found in Gen Z contribute to this inherent entrepreneurial drive and adapting, learning new skills, and pushing the limits of technology often come naturally to them. Because of this, they are self-starters and tend to prefer the management side of the business, making them great business owners, as well as potential franchisees.
According to an article on smallbiztrends.com, an in-depth survey was conducted by Robert Half on the Generation Z population. From this survey the results showed 77% expect to work harder than previous generations to reach the level or career satisfaction and fulfillment they are after. Job hopping is not something they’re interested in.
Gen Z grew up at the end of the Great Recession, and because of the impact the recession had on their parents and household, they are more financially aware and have witnessed real hard work and struggle. For this same reason, the Generation Z population pays close attention to what they spend their money on and are interested in the best deals. Because of this, as stated in an article on franchising.com, Gen Z “claim to value money over perks and are willing to put their interests and individual passions second to earning money.” This quality is one that may make their generation perfect for franchising. Their overall entrepreneurial spirit can help them thrive as business owners, but the interest in money over passion makes them great system followers and hungry candidates.
Following a proven system, with a defined roadmap and steps to take to get to success, is very enticing to this generation. When initially opening a franchise location, dedication and hard work is required to be successful. Like Millennials, the desire for flexible work hours, as well as work and personal life balance is very important. As a franchisee and owner, you make your own schedule, and you, generally speaking, get back what you put in. Additionally, the more that you do put in initially, the more freedom you will have later on in your business.
This want for flexibility mixed with the desire for a generous income, entrepreneurial spirit, digital nature, favoritism of managerial skills, willingness to work harder than most, and the need for growth and security, makes being a franchisee an ideal career. As mentioned earlier, Gen Z are not interested in job hopping, and they’re intrigued by growing to a higher status. As a franchisee, you are the owner and the “top dog,” and as the owner, there is no salary or growth potential cap. As a franchisee, there is a support system and a team to help coach you to success, but the level of that success reached is reliant on what the owners puts into the business venture. Success being reliant on hard work is enticing to a generation where hard work is not only expected, but a common trait.
Generation Z’s desire for security may come from fears associated with the recession era, and some may steer away from business ownership because of the risk associated with it. However, when purchasing a franchise, some of this “start-up” risk is removed. Additionally, franchise success is often quicker than that of a startup. The proven success of a franchise’s business model, along with the support system mentioned above, and the decreased risk involved with franchising, all contribute to creating a sense of security that is desired.
Generation shifts are inevitable, and as businesses transition into onboarding Generation Z, it is important to understand what’s vital and desired, and how this generation works best. Having this knowledge will help your business model, and recruiting techniques adapt and remain relevant to its pool. Change is a good thing, but only if you’re willing to adapt! Generation Z is coming; will your business be ready?
Interested in hearing more about The Brothers that just do Gutters franchising opportunities? Contact Ken Parsons, Head of Franchise Sales today!