Because buying patterns continue to change based on who the predominate purchasing generation is, so too will business models and selling methods. Being in tune with the newest trends, behavioral patterns of consumers, and what marketing avenues the purchasing generation responds best to is key in a business owner’s continued success. As we begin a new year, it is important to review some of the expected, continued, and/or new trends within the business and franchise industry for 2017.
Here are 5 small business and franchising trends expected to continue and/or grow in the coming 2017 year.
- Niche companies will be successful.
In a world so overloaded with excess information and endless options, a business that focuses on a small, and very specific niche area will not only be appealing to its consumers, but also allow for the business to dive very deep into one specific area of focus, making their product or service greater in quality. This deep dive is in all aspects of the business like specific targeted marketing messages, directed research, and perfecting of skills, creating a standout product or service within their industry. For The Brothers that just do Gutters, focusing all of our efforts on the gutter service industry has allowed us to perfect our craft, as well as offer the best products and materials available to our customers. Being a franchisee in a niche market may be key to future success, as we continue to get further bombarded with an overwhelming amount of marketing messages, new products, new technologies, and new competition. Even if your business is multi-faceted, it may be better to focus on just 2 or 3 of your best services.
- E-commerce market will continue to become more competitive.
According to Philip Rooke, CEO of Spreadshirt, “In the US, every market is developed and the number of people chasing the markets has been growing faster than the market. Therefore, things are going to be tougher since the global e-commerce market is saturated.” Because of this saturation, and prediction for even more competitors to come, the e-commerce industry will continue to become even tougher in future years. Competition in e-commerce makes entering a service industry a smart move. On top of service industry businesses being less saturated than e-commerce, they also fulfill needs and offer experiences rather than products, which is becoming increasingly important to buyers. Gutters will always be a service that is in demand and needed by homeowners. Unlike fad, or trendy products where the best price often wins out, services are fulfilling a real need, where quality often takes precedence. Gutters will always be in demand by homeowners because they are a necessity, and without them, your home may suffer serious water damage related consequences. Also, there still are eclectic style options and accessories available for your gutters that add curb appeal to a home, to help entice the trendy shoppers.
- Customers are looking for experiences not tangible items.
Studies have shown that an overwhelming majority of the millennial population shops based on experience, and prioritizes an experience over an item. Because of this, material items are less exciting to the dominate purchasing population. Trips, services, and unique purchasing opportunities are what draws the millennial population to completing a purchase. Find out Why Millennials Could Be The Best Franchisees.
- Customers will value and seek quality “non-digital” experiences.
Continuing on the “experience” topic, recent trends have indicated that millennials may actually prefer, and be seeking quality face time. This is a break from their native digital world. When technology becomes so overwhelmingly present within a generation, sometimes the want for human interaction increases. Additionally, growing up in a technologically prominent world, they have experienced the frustrations that can come with automated services. Sometimes it is just easier to deal with a human. When you are so used to always being digitally tuned in, it is not uncommon to feel disconnected in person. Because of this, as automation services continue to increase, the desire for quality experiences that are offline will also increase. Although it is important for your business to adapt to this increased technology and embrace automation, it is also important to keep a “human aspect.” Having real people for customer service purposes and giving a client a personalized experienced is meaningful to a purchaser. This again goes back to the importance of an experience. Chances are if your product is superior, but your experience is less then subpar, the company with a standout experience will win the millennial purchaser over every time. This is just one of the reasons why we at The Brothers that just do Gutters believe in conducting all our estimates on site. We understand the importance of human interaction, seeing each home in person, providing the best customized solution, and understanding each client is unique.
- The work from home trend will continue to increase.
As we’ve discussed in previous posts, the millennial workforce expects to have a position with flexibility and a need for work-life balance. This desire, coupled with the overwhelming amount of technology, and mobile technology readily available to them has increased, not only the desire, but also the expectation to be able to work from home. When most jobs can in fact be conducted digitally, it is not unreasonable to believe that working from home should be a standard option. YouGov research found that 54% of employees have roles that could, in fact, be completed from their home, and that 70% of employees feel it is important that they can do so. Furthermore, because of the restrictions and increased expenses associated with long term commercial leases, businesses are beginning to steer away from office spaces. Many business owners are conducting their businesses from their home with remote or freelance workers as their employees. When purchasing a Brothers Gutters franchise, there is no “brick-and-mortar.” To begin your venture, all you need is a box truck, a gutter machine, and some storage space. In fact, many of our franchisees do conduct their Brothers Gutters franchise as a home-based business. Read more on our home-based business opportunities HERE.
As we head into 2017, is it important to evaluate your 2016 year and make changes accordingly. When considering new marketing avenues, new recruitment methods, and new business systems, it is important to evaluate expected trends, and your consumer population, as well as the population that works for you. Are you ready to become a business owner? Are you looking for a franchise system that is attuned to the trends and technology changes of the future? Now’s the time to join a fully digitalized franchise model with no-brick-and-mortar! Contact Head of Franchise sales, and Franchisor, Ken Parsons, today for more information on our franchising opportunities!