Millennial Entrepreneurs Index High for Personal Care, Child-related Franchise Categories
The Millennial generation saw a growth spurt in franchise interest last year, growing its share of franchise investment inquiries to 21% in 2019 from 16% in 2018, and leading the field with higher-than average interest in categories such as Personal Care, Child-related and Cleaning franchises.
Here is a demographic profile of the 23- to 38-year-old cohort, based on 2019 data from the FranchiseVentures demand-generation platform:
- Millennials mirrored overall trends for the most popular categories of franchises, with Food and Restaurants accounting for 20% of the inquiries, Home Services 15% and Business Services 10%.
- Compared with other age groups, however, Millennials showed higher-than-average interest in several categories. They requested information about Personal Care franchises 18% more than average, and Child-related franchises 16% more frequently. Cleaning and Maintenance and Sports and Recreation concepts drew 13% higher-than-average inquiries from Millennials.
- Millennial prospects had an average interest in high-investment franchises, with 46.6% indicating that they had $100,000 or more to invest.
- About one-fourth, or 25.8%, show an estimated household income of $100,000 or more a year. That indexes lower than other age groups, perhaps indicating fewer two-income households, as Millennial prospects were also more likely to be single – 55% single and 45% married.
- A full 67.6% of the age group own their own homes, with 62.8% residing at the same address for at least 5 years. 10% own homes valued at $500,000 or more.
For this analysis, Franchise Insights combined proprietary data from the FranchiseVentures’ demand-generation platform with demographic data from Alliant, a leading provider of U.S. consumer audience targeting and data enrichment and predictive analytics.
FranchiseVentures is the leading demand– and lead-generation platform for potential franchisees to thousands of growing franchise systems in the United States and Canada. Its franchise lead generation brands include Franchise.com, Franchise Solutions, Franchise Gator, Franchise Opportunities, Franchise For Sale, SmallBusinessStartup.com and BusinessBroker.net, and together they provide the largest aggregation of prospective franchise buyers in the U.S.
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Published on Wednesday, May 6th, 2020.