RCS Leadership Lounge

Navigating Multigenerational Diversity

Written by Whitney Reid Pennell | Jan 2, 2025 9:05:25 PM
 
Private clubs stand at the crossroads of a transformative shift influenced by varying needs and perspectives of a multigenerational workforce and membership.

Strategic planning in the coming years will be about innovation and adaptability. Multigenerational diversity is changing membership expectations and work-life dynamics. These are compounded by the impact of recent events in 2020 – 2022, which are shaping the workforce.

These influences can have a dramatic impact on the club’s financial viability, amenities and service offerings, communication, capital improvements, and human capital investments.

In addition to generational differences, ethnic and racial diversity within these generations brings unique perspectives. As clubs become more diverse, we must embrace inclusivity and create an environment where everyone feels welcomed and valued.

Membership Expectations

Private club members, spanning Baby Boomers to Gen Z, have distinct expectations and understanding them is crucial. We must simultaneously serve all generations without making any one group feel they are being excluded.

  • Baby Boomers may value tradition, social networks, and exclusivity.
  • Gen Xers seeks a balance between family, work, and leisure and valuing networking opportunities.
  • Millennials often prioritize unique experiences, sustainability, and digital access.
  • Gen Z desires eco-conscious, family-friendly, and technology-driven experiences.

Work-Life Dynamics

Work-life balance is a growing concern for employees across generations. As clubs adjust, consider flexible work arrangements and family-friendly policies.

  • Gen Z's Global Awareness: Access to information has made Gen Z more globally aware. They bring this perspective to the workplace, requesting a "well workplace" that promotes mental and physical health.
  • The Impact of COVID-19: The COVID-19 pandemic had a profound impact on the youngest generation in the workforce, emotionally stunting their social development. Many Gen Z individuals were unable to work or socialize for an extended period.

Educational Debt and Membership

Education debt may deter Gen Z from joining private clubs. Boards should consider flexible membership options to accommodate younger members' financial situations.

  • Teaching Job and Social Skills: To attract Gen Z employees, clubs must invest in training and mentorship programs to address potential gaps in job and social skills that may have emerged due to the pandemic's restrictions.

Technology Integration for Enhanced Service

To cater to a tech-savvy membership, private clubs must leverage technology for improved service. This includes creating user-friendly websites and mobile apps that provide seamless access to club information, event reservations, and member communication. Consider investing in virtual concierge services to offer high-touch interactions digitally. The use of Artificial Intelligence (AI) and chatbots can enhance efficiency, answering member queries, and facilitating reservations for those seeking a “low touch” interaction.

Leveraging technology, clubs can optimize their operations and services to cope with supply and demand compaction. For instance, reservation systems can help manage capacity during peak times, ensuring an excellent experience for members while maximizing the utilization of facilities.

Meeting Diverse Member Needs Across the Generational Lifecycle

Each generation has unique lifecycle needs. Baby Boomers may be approaching retirement and looking for relaxed, high-touch, social experiences, while Millennials and Gen Z may desire more fast-paced, low-touch options. Clubs should provide diverse amenities and service offerings that accommodate these varying preferences. Everyone needs something different to feel welcome, important, comfortable, and understood.

Work-Life Flexibility and Employee Retention

In response to changing work-life dynamics, private clubs will have to consider flexible work arrangements for employees if they are not already. This might include remote work options during non-peak times, part-time schedules, and job-sharing. This flexibility can improve the club’s position as an employer of choice by enhancing employee satisfaction and retention, especially among Gen Z and Millennial employees who prioritize work-life balance.

Communication for Engagement and Transparency

Effective communication is the cornerstone of member engagement. Utilize social media, email marketing, and push notifications on mobile apps to keep members informed about upcoming events, promotions, and club news. High-touch communication options can include personalized messages for special occasions, while low-touch methods can deliver essential updates.

In Conclusion

Private clubs are in a unique position to embrace the challenges and opportunities presented by a multigenerational membership and a diverse workforce. By incorporating technology, meeting the evolving needs of each generation, addressing work-life dynamics, and optimizing supply and demand, clubs can ensure their continued relevance and financial success. The future of private clubs lies in their ability to adapt to the changing landscape and provide inclusive experiences to their members while leveraging technology to deliver high-touch and low-touch options that cater to all preferences.

About the Author:
Whitney Reid Pennell, president of RCS Hospitality Group, is a celebrated management consultant, educator, and speaker. RCS specializes in strategic planning, operations consulting, food and beverage management, executive recruitment, and training programs. RCS has been recognized fourteen times with BoardRoom Magazine’s Excellence in Achievement Awards, including staff training seven times. RCS continues to offer innovative solutions through RCSUniversity.com, an online virtual training portal for employees and managers.