With franchising growing every year for the past six years, the successful franchisees and franchisors, for that matter, stay on top of societal trends to keep business booming.
US population shifts impact today’s consumers and as well as the labor force. Owners must adapt to this shifting base to mine growth opportunities:
Millennials- This cohort, born roughly between 1981 and 2000 affect everything because of their sheer numbers which are greater than that of baby boomers. Raised on the internet and technology, this group loves to be catered to. They want the owner to know what they want before they even go shopping!
Baby Boomers- As they age, boomers need new and customized services including housing, fitness, aging parent assistance and financial and retirement planning. Other programs and services tailored to their aging experiences will be in high demand.
Minorities- A new majority consisting of Hispanics, Asians and African-Americans is being formed. The growth here presents new opportunities for franchises focused on serving these groups.
Recession-proof businesses- Businesses like shipping and packaging, hair care, tax preparation, childcare, pet care, computer services and many more do well in any economy. House cleaning and mailing services businesses especially appeal to those who want to stop doing maintenance work in order to pursue more life-fulfilling activities.
Personal care- This includes fitness centers, spas, tanning centers, healthy fast good and tailored education programs designed to improve physical appearance and mental well-being.
Green businesses- With LEED-certification and other guidelines aimed at sustaining and improving the environment, opportunities have arisen in areas such as home improvement, energy savings and green home care.
Staying current with these trends helps the franchisee and franchisor stay relevant in the ever-shifting market.
Fred Morache is a franchising expert and a partner in Postal Connections of America and iSold It franchisors.