Generation Y

For fifty years, “Baby Boomers” (herein; 78 million persons born 1944-1964), by their size, shaped most cultural, political and economic currents, and determined if companies would succeed or fail. Few experts disagree that sustainable businesses needed to appeal to the tastes of these consumers.

Companies must now address a different generation. The “Millennials” or “Generation Y” (herein; 100 million persons born 1985-2010.) That’s not a typo; these 100 million persons make the baby boomers (the first 25 year generation in 100 years and until now the largest generation of consumers) look small. This generation will likely be a dominating economic influence over the next fifty years. Therefore, companies need to address their desires, appeal to their cultural sensibilities and speak to them the way Y’ers choose to communicate.

Perhaps the best example of this generation’s influence, likely to be opined upon as their first accomplishment is the election of President Obama. Our new President didn’t just speak to this generation. He cultivated their emerging culture and made it part of his message. He communicated with them on their mobile phones and in their digitized networks, respected their values and made them part of his value propositions. Your socially responsible investment needs to do that as well.
Investors must verify understanding of, and ability to communicate with, this new Generation. This demographic reality must be inherent to sustainable investments. Does your investment use social networking and digital tools and do they understand the tastes and inclinations of Y’ers?

Progressive Boomers who once sang “the times they are a changing” must hear that the ground has shifted, change has come, rapidly and digitally and with compelling values.

Recognize what is important to Y’ers. By far the environment and the air they breathe, remains at the top of the list. Ask any High School Student and it is likely to be in their top three issues of importance. In fact, National polls, across diverse socio-economic and geographic members of Generation Y, indicate that the environment enjoys over 84 percent and higher as an issue in the top three most important as compared to the economy (under 30%) or the war in Iraq (under 20%.) Furthermore, when Y’er answer polls, they download their answer on their MySpace page and take personal, digital, and transparent, ownership of their answer.
Good News: The Y’ers own values present great opportunity to SR investors. To Y entrepreneurs, exits are out and triple bottom line sustainable long term growth is not a buzzword but the only “in.” Transparency is not just an overused and undefined word on Network TV, but an implied part of most Y’ers business plans. SR investors should expect to see (in real time, digitally on mobile or email), where money is going and what social or environmental goal is being accomplished. If a company cannot provide that level of verifiable and measured transparency from their digital toolbox, they are simply not with the times. Even at inception of your relationship, one sentence elevator pitch is not something you need to request but part of the Twitter infused culture.