Millennial-Run Direct Sales Companies Are Simply “Different.” (And Serving That Market is “Different,” Too.)


Millennials have sparked the curiosity of the media from the moment members of their ranks began to trickle into adulthood. Comprising a larger population than even the baby boomers, millennials are the firsts to have grown up entirely in the information age, and they are a generation that embraces change because of it.

Born into a world of rapid growth, millennials are leaps and bounds more advanced than their parents when it comes to technology, and they are responsible for a new wave of entrepreneurship. They are involved in more startups, run larger companies, and generate more revenue than the previous generation.

That’s not the incredible part; the incredible part is exactly how they’re achieving this. Gone are the large offices decked out in company colors, gone are rows of cubicles and executive suites with fancy desks. No, this generation is the always “on,” virtual company that laughs at borders and the artificial constraints of the world that came before them.

Customer service phone number? Nope.

Support tickets? Try again.

Waiting for a weekly or monthly distributor webinar? I guess you haven’t heard of Facebook live….

You have to see it to believe it.

Nowhere is this innovative fire more apparent than in the direct selling industry, which has been shaken up by millennials ever since social media came on like a tidal wave.

Case study time….A new direct selling company burst on the scene with a creative founder, armed with social media marketing instincts most fortune 100 companies would pay millions for. This, coupled with cutting-edge products propels them to grow faster than any new direct sales company in recent memory.

During the launch, hundreds of new distributors are signing up while multiple young people—seemingly employed by the company—sit around the family room, armed with a smart phone in one hand and a laptop in the other. One is on Instagram, handling customer questions. Another is responding to comments on Facebook. Yet another shares a new pin on their Pinterest board.

Why would any Millennial in Direct Sales
need to talk on the phone?

They don’t need to and, frankly, would be frustrated if you forced them to. The world has changed and is never going back.

All of this is only the beginning. Millennials are dipping their toes into the entrepreneurial world sooner than their parents did. While baby boomers tend to have started their businesses at around 35 years old, millennial entrepreneurs have an average age of 27 years. In other words, in spite of being young, many of them already have tons of real-world experience.

In contrast to their often technophobic parents, these next generation direct selling founders see technology as intrinsic to their success, instead of a necessary evil. This is good because their customers see it the same way!

There is a huge gap between what direct sales distributors, hosts, and customers want and what direct selling companies are offering today. Without aggressive innovation, old-fashioned entrepreneurs will find themselves on the outside looking in on this generation. Without online tools, responsive websites, and mobile apps, a direct selling company will find itself clawing and scratching for an ever-shrinking share of older folks who are not as “plugged in.”

An aggressive strategy towards technology adoption is a must-have for all direct selling businesses today.

Brian Palmer
Krato CEO