TES Insights
Top 3 Ways to Grow a ‘Micro’ Franchise
Top 3 Ways to Grow a ‘Micro’ Franchise
Hyperniche franchises are booming right now. With potential customers googling whatever products or services they need smaller, hyperspecific brands are getting more business than ever.
Microfranchises aren’t new, but their growing popularity shows us the state of the franchising industry, and where it’s headed next.
For a better understanding let’s look at the home maintenance and repair sector: baby boomers can’t or don’t want to fix things around the house, and the growing ranks of millennial homeowners don’t have the know how or prefer not to spend time on household projects. Certified contractors would rather focus on large jobs and many tradespeople are aging out of the workforce, leaving room for individuals with non-traditional training to fill the service void.
If you are looking to expand your own hyperniche business here are some practical ways to cash in on the current momentum of micro franchises:
Stay Hyperspecific
In a market driven by search engines, hyperspecificity is crucial for customers being able to find your company. Having a niche service will keep marketing costs low, as you can stay hyperfocused on your brand message.
Keeping your business name straightforward is also key in the age of search engines. Micro franchise names that are part of what customers search for online will be extremely beneficial in building a bigger customer base.
Build On Your Customer Base
If your micro franchise already has a loyal customer base, consider what pairs with your hyperniche service.
For example, if you own a business that transports pets, consider building on your customer base for other pet needs. This could include grooming pets, pet sitting, or pet walking. Rather than creating a new brand for each niche service, add these services to the franchise you already have.
Get Acquired
Because of the growing popularity of niche franchises, larger companies have begun amassing portfolios of micro franchises. With many hyperspecific franchises under one roof, parent companies can cross-sell to existing customers, directing them from one niche franchise to another.
This method allows microfranchises to function as usual and makes it easier for customers to find their service. Meanwhile, the larger conglomerate can compound customers and consolidate back-office functions.
There’s no better time to grow your niche business. Whether you’re just starting out or ready to expand, staying hyperspecific, using your built-in customer base, and finding larger companies that roll up franchises will grow your micro franchise into an empire.