💥 Want A Business? Boomers Are Selling.

📰 Industry News

• Temu owner PDD Holdings saw its value decline after the online marketplace missed sales targets. Its shares plunged 29% –  wiping £41.6bn off the company’s market value. (Retail Gazette)

• Toymaker Lego hopes to make half of the plastic in bricks from renewable materials by 2026 by paying up to 70% more for certified renewable resin. (The Guardian)

• Asda Opticians launches the industry’s first apprenticeship scheme, allowing optical assistants the opportunity to become dispensing opticians through the programme. (The Retail Bulletin)

• Mars is to acquire Pringles manufacturer Kellanova for £28 billion ($36 billion) to further help the food manufacturing giant compete against PepsiCo and Mondelēz. (Food Dive)

🤝 Boomers Are Selling Businesses to Millennials

In a significant trend, Baby Boomers across the UK are selling their businesses to millennials in what could be one of the largest wealth transfers in history. Despite interest rates hitting a 20-year high, the sale of small businesses remains strong, indicating that this generational handover is only gaining momentum.

Who’s Selling?
Baby Boomers, aged between 58 to 76 years old, own a significant portion of privately held businesses in the UK. As they retire in increasing numbers, Boomers are eager to offload their companies, driven by a desire to minimise tax burdens and capitalise on favourable market conditions. In 2024, Boomers still owned a majority of small businesses, making them the prime sellers in this economic shift.

Who’s Buying?
Millennials, born between 1981 and 1996, are stepping in as eager buyers. Corporate job insecurity, inflation, and market volatility have driven many to seek stability through business ownership. With financial resources and experience, this generation is taking over established companies rather than launching new start-ups. Around 35% of today's buyers are former corporate professionals looking for a fresh start.

What Types of Businesses?
Rather than chasing the next tech start-up, millennials are acquiring traditional businesses like manufacturing and service operations. These sectors offer established customer bases, steady income, and opportunities to innovate and modernise. Many millennial entrepreneurs see this as a smarter path to success and are poised to reshape these industries over the coming years.

Where to Buy?
If you're an entrepreneur looking to purchase a Baby Boomer-owned business, here are some places to start your search:

1. UK Business Brokerage Websites

• Daltons Business: One of the UK’s largest marketplaces for buying and selling businesses across various industries, including retail, hospitality, and manufacturing.

• BusinessesForSale.com: Offers a wide variety of UK-based listings, allowing you to search by sector and location.

• Rightbiz.co.uk: Specialises in small and medium-sized businesses, with comprehensive listings for UK-based companies across many sectors.

2. Business Brokers

• UK Business Brokers: Working with a business broker can give you access to off-market businesses. Some of the best brokers in the UK specialise in connecting buyers with Baby Boomer sellers in industries like manufacturing, retail, and professional services.

• Corporate Finance Firms: For larger business transactions, corporate finance firms often have exclusive listings of Baby Boomer-owned companies seeking a transition.

3. Local Networking and Chambers of Commerce

• Local Chambers of Commerce: Many Baby Boomers who are part of the local business community may be looking to sell their business. Chambers often have resources or can make introductions.

The Bottom Line:
As Boomers continue to retire in droves, this trend of business handovers will likely persist for years. Millennials, with a desire for stability and control, are taking the reins, ensuring that small businesses remain vital drivers of the economy while reshaping industries for the future.

🛒 Are Supermarkets Moving Away From Self-Checkouts?

After years of pushing shoppers towards self-service, UK supermarkets are now reassessing their love affair with self-checkouts. Supermarket chains like Asda and Morrisons are pivoting back to traditional staffed tills, responding to growing customer dissatisfaction. But what’s driving this shift, and what does it mean for UK shoppers?

The reasons why:

• Customer Complaints: The infamous "unexpected item in the bagging area" message has become a source of frustration for many shoppers. Complaints also extend to the increasing use of surveillance cameras at self-checkouts, adding to a sense of discomfort. Some consumers, particularly those who value social interaction, find self-checkouts impersonal and stressful.

• Rise In Theft: In the UK, a survey by the marketing website Fat Joe found that over 40% of 2,500 people admitted to stealing from stores, often using self-service checkouts. While other studies show that people are 21 times more likely to steal from self-checkout machines than from human cashiers.

• Supermarkets Reassess: Morrisons CEO Rami Baitiéh admitted that the chain may have "gone too far" with self-service technology. Morrisons is now reviewing its checkout setup, and Asda has committed to putting more staff on checkouts. Upmarket chain Booths has already scrapped self-checkouts altogether, citing a desire to focus on customer service.

• Balancing Act: While self-checkouts help reduce staffing costs, they can negatively impact customer experience if poorly implemented. The British Retail Consortium acknowledges that retailers must adapt checkout systems to meet diverse customer needs. Some shoppers, such as those with disabilities, may prefer human assistance, while others appreciate the speed of self-checkout.

The move away from self-service reflects a broader recognition that automation isn’t always the answer to retail efficiency. Personally, I almost always opt to use self-checkouts, but understand the frustration with them. For many shoppers, the human element remains important, whether for practical support or just a friendly chat. Supermarkets now face the challenge of balancing technology with customer satisfaction to keep everyone happy.

💡 Want To Sponsor Hustlers Outpost?

Get your service or products in front of a whole host of readers, including entrepreneurs, online business owners and e-commerce enthusiasts.

Simply reply to this email, and we’ll get back to you.

Get in touch today.