Want to find the hottest latest trends in franchising? You have to look in a fairly strange place: Franchise 500 categories.
Here’s why: When creating our rankings, we organize each franchise brand by category each 12 months. Some categories are easy and expected, corresponding to sports bars/pubs. However, each 12 months as latest sorts of franchises emerge, they require entirely latest categories. For example, we’re now seeing a lot of bars where customers can pour their very own drinks – so as an alternative of being placed in the Bars/Sports Pubs category, they now get their very own Self-Pouring Bars category.
In other words, latest trends require latest categories. They are a major indicator of a franchise’s direction of development. This 12 months, in addition to Self-Pour bars, we added seven other latest categories. These include: Autism Treatment Services, Hawaiian Foods, Plumbing Hose Services, Mediterranean Foods, Outdoor Space Construction/Remodeling, Pet Grooming and Real Estate Investing.
What’s driving growth in these latest areas, and what can it inform you about what’s coming in the franchise? That’s what we desired to know – so we asked! We chosen 4 latest categories and contacted the leader of each to ask: What is driving growth in your category? Here’s what we learned.
Photo credit: Courtesy of Success on the Spectrum
What is driving the development of autism treatment services?
Why are autism services increasing? It’s easy: autism diagnoses have increased, but there has not yet been an equal increase in available care.
“There are not enough suppliers to meet demand,” says founder Nichole Daher Success on the spectrumwhose abbreviation is called SOS. Its treatment centers use applied behavior evaluation (ABA), a type of therapy that helps people with autism improve communication skills and self-control. “Every location has a waiting list of customers, whether it’s urban, rural or suburban.”
Biggest challenge: “Human resources is the only thing that can slow down ABA’s growth,” says Daher. Due to the individualized nature of autism therapy, an SOS franchisee must develop a well-trained, stable and highly expert workforce. To help its franchisees, the company partners with universities to supply employees tuition discounts and profession development opportunities. Additionally, SOS provides internal certification and paid internships to draw and retain talent, resulting in one of the lowest turnover rates in the industry.
Photo credit: Courtesy of HomeVestors of America
What is driving the growth in real estate investment
Real estate franchises have been doing well for a long time – just look at the success of brands like RE/MAX. But now real estate investing Franchises are also growing in popularity, largely resulting from a nationwide housing shortage.
HomeVestors of America is the largest franchise in this market, and its business model is easy: franchisees buy homes – often those in need of repair or that sellers must offload quickly – then renovate and resell them. More than 80% of those homes are under 1,400 square feet and were built before 1980, and these properties are particularly suitable for first-time buyers – a particularly underserved market today. “As we continue to see developers strive to please new customers, the homes our franchisees renovate have filled a critical gap,” says Larry Goodman, CEO of HomeVestors.
Economic changes, corresponding to rising rates of interest, affect the real estate market. However, HomeVestors has remained resilient by focusing on mid-priced home value properties, which Goodman said has given it “a little more insulation in a downturn compared to investors looking for higher priced properties.”
Image Source: Courtesy of Tapville Social
What is driving the development of Self-Pour bars
Do you ought to own a bar? Consider this area of interest: self-pouring bars, where customers can pour their very own drinks.
Self-pouring systems have been used for over a decade. But now they have change into especially popular. “As wages and labor costs increase, self-pour systems provide a cost-effective alternative to traditional staffing,” says Michael Venditto, the company’s chief operating officer Tapville Communitythe leading franchise in this space. Technological innovation is also driving growth. Self-Pour technology uses RFID-enabled taps and real-time consumption tracking to deliver unrivaled efficiency for operators and guests alike – along with superior data. “They provide visibility into inventory management and enable personalized marketing through loyalty programs and mobile apps,” Venditto says.
What’s more, consumers simply enjoy the experience. “It’s an interactive experience that encourages group participation,” he says. “Friends, family and co-workers enjoy trying drinks together.”
Photo credit: Courtesy of PIRTEK USA
What is driving the growth of the hydraulic hose service industry
When a company needs heavy machinery, it often starts with a basic query: Should the machine be hydraulic or electric? Many industries, corresponding to construction, agriculture and manufacturing, proceed to favor hydraulics – so as these industries have evolved, so has the demand for hydraulic hose services. “Hydraulic systems are more efficient, less costly and more predictable, while remaining clean and tight,” says John Dobelbower, vp of business development for the company PIRTEK USAone of the leading franchises in the hose service industry.
The service industry has formed around the needs of its customers. For example: “They often operate on tight timescales,” Dobelbower says. That’s why PIRTEK offers 24/7/365 mobile services for immediate hose alternative. Customer expectations are also evolving, with a focus on minimizing downtime and maximizing efficiency – which is why PIRTEK also offers maintenance and inventory management solutions to forestall problems before they begin.