Franchising has been around for generations, offering a path for people interested in entrepreneurship to take as a safer alternative to starting their own business from the ground up. Indeed, franchising has produced many iconic brands known throughout the world, just a few of which include McDonald’s, 7-Eleven, Taco Bell, and many others.
But what is the future franchising? Where does the business model go from here? The economy is changing fast… and franchising with it! Here’s a quick look at what the future holds for the franchise business model.
What Does the Future of Franchising Look Like?
Franchising may be a major economic pillar that’s been around for many years, but it’s not resting on its laurels. Like the rest of the economy, the franchise business model has changed over the years and will continue to do so in the years ahead. While not guaranteed by any stretch of the imagination, here’s a closer look at some of the trends that will likely shape franchising well into the future.
How Technology Will Transform the Franchising Industry>
It’s no secret that technology has rapidly changed the business world, including the franchising industry.
From eCommerce to online food delivery to using apps on a daily basis, there’s no question that technology will continue to shape the future of franchising for many years to come and, in many cases, make it much more accessible to consumers around the world.
From food delivery to video games, technology is quickly changing the franchising industry all over the world.
More Absentee Franchise Ownership
As the Baby Boomer generation continues to retire to the tune of about 10,000 every day, some will inevitably turn to a second career in entrepreneurship, specifically in franchising. Absentee ownership, allowed by some franchisors, is likely to increase as the retiree population grows and some strike up a second career as franchisees for various reasons.
The Growth of Senior Care Franchises
Similarly, the senior career market for franchise businesses is set to boom in the coming years as the ranks of the retired swell. In fact, the record number of Americans set to retire in the near future will cause the senior care market to double in revenue by 2024. This, in turn, will create a strong demand for franchisees and could jumpstart the creation of new franchise businesses aimed at elderly care, the construction of senior housing, and the like.
The Rise of Work From Home Franchise Businesses
Remote work has exploded in popularity in recent years, a trend likely to only increase in the future as workers obtain better technology and more flexibility in their jobs. This will likely fuel the further growth of home-based franchises across the United States.
More Independent Companies Will Turn to Franchising
Most people associate franchise businesses with the post-World War II economic boom, but did you know that around 300 companies start franchising every year in the United States? It’s true!
Some are new brands looking to leverage franchising to expand quickly, while a surprisingly large amount are established brands that have been around for years or even decades before deciding that franchising can help them. Dickey’s Barbecue Pit, for example, was founded in 1941 but didn’t begin franchising until 1994.
International Expansion of Franchise Businesses
Cross-border expansion is also something that’s likely to shape franchising in the years ahead. As globalization continues, companies have increasingly looked outside the confines of their country’s border for new business opportunities.
For franchise businesses, this is no different. Just like many companies have turned to franchising in their own domestic markets as a way to expand quickly, the same is likely to continue to occur on a global scale too.
The Future of Franchising Appears Bright
The future of franchising is always in flux, but certainly looks good for entrepreneurs looking for a business model that allows them to be their own boss while also getting the training and support they need from an established corporation.
The future is now if you want to take control of your career. Check out some of the top franchise opportunities available and see what awaits you!