STATE PROFILE: Florida Ranks No. 3 in Franchise Interest Index™, Leads Large States in Travel
June 17, 2020 – As the nation’s third-largest state by adult population, Florida is a powerhouse of potential franchisees, ranking No. 3 for total investment inquiries made last year, and also No. 3 in per-capita Franchise Interest Index™ in 2019.
With 19.8 million adults over the age of 22, Floridians generated 10.4% of U.S. franchising inquiries through the FranchiseVentures demand-generation platform in 2019. On a per-capita basis, entrepreneurial interest runs 61% higher than the national average, ranking third behind Georgia and Nevada.
Travel Franchises Draw Above-Average Interest in Florida
As a popular destination for tourists and retirees, Florida led the nation’s largest states for interest in Travel-related franchises.
- Top categories by relative interest – Among the top 20 states with more than 5 million in adult population, Florida ranked No. 1 for Travel and Lodging franchises, accounting for 4.2% of the state’s investment inquiries – 21.3% more than the national average. Florida also indexed high for Personal Care franchises (2.9% share of inquiries, 10.6% more interest than average) and for Health and Fitness franchises (5% share of inquiries, 8.7% above average).
- Top Franchise categories ranked by volume – The most-requested businesses by total volume in Florida mirrored overall trends for top categories of franchises, with Food and Restaurant franchises as the most popular, attracting 19.3% of the inquiries in 2019, followed by Home Services franchises at 15% and Business Services at 10.8%..
Demographic Profile of Potential Franchise Buyers in Florida
Despite a reputation as a retirement mecca, Florida is only 5% above average for Seniors interested in buying a franchise. And while Senior Care franchises are the state’s fourth most popular category, with 10.2% of interest, that share is a modest 2.8% above the national norm. Here is a demographic profile of Florida prospects who contacted franchisors through the FranchiseVentures demand-generation platform in 2019:
- Age – As the nation’s third largest state, Florida is a major contributor to national averages, which means it hews close to average for many demographics. As noted, Seniors aged 74 or older made 4% of franchise inquiries, which was the largest outlier at 5% above the national average. Generation X prospects, ages 39 to 54, comprised 45.3% of Florida adults making an investment inquiry to a franchise last year, or 1.6% higher than the national average for Gen X. Baby Boomers were 26.9% of Florida’s prospects, and Millennials aged 23- to 38-years old were 20.4% of the total.
- Household income – 34% of Florida prospects had household income of $100,000 or more, and 57.8% are married.
- Homeownership – 74.1% of prospects in Florida own a home, and 68.3% have been in residence for 5 years or longer.
- Home value is estimated over $250,000 for 36.4%, and over $500,000 for 12.9% of prospects.
- Liquid assets – 28.8% had income-producing assets over $75,000, and 7.8% had liquid assets over $500,000.
Top Franchise Categories in Florida, 2019
| Share of Florida franchise inquiries | Florida Franchise Interest Index
(100 = national average) |
|
|---|---|---|
| Food & Restaurant | 19.3% | 98.1 |
| Home Services | 15.0% | 96.5% |
| Business Services | 10.8% | 97.6% |
| Senior and Health Care | 10.2% | 102.8% |
| Cleaning & Maintenance | 9.6% | 106.3% |
| Child-related | 5.4% | 99.5% |
| Health & Fitness | 5.0% | 108.7% |
| Travel & Lodging | 4.2% | 121.3% |
| Financial Services | 3.6% | 102.2% |
| Automotive | 3.4% | 81.7% |
| Retail | 3.0% | 99.0% |
| Personal Care | 2.9% | 110.6% |
| Pet Services | 2.2% | 100.9% |
| Education | 2.2% | 93.1% |
| Real Estate | 1.8% | 99.8% |
| Sports and Recreation | 0.9% | 96.0% |
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.
Franchise Ventures is the leading franchise 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.
Interested in more insights from our proprietary data set? Subscribe here to make sure you hear about them first.
Contact Franchise Ventures to get your share of today’s aspiring franchise owners.
Published on Wednesday, June 17th, 2020.