FranNet’s Predictions for the Franchise Industry in 2024

As we step into 2024, the franchise industry stands at a pivotal juncture, shaped by a blend of emerging trends and a resurgence from the challenges of the past years. FranNet, North America’s most respected leader in matching individuals with franchise ownership opportunities, offers CEO Jania Bailey’s unique perspective on what we can expect in this dynamic sector.

“There are a lot of positives on the horizon,” says Bailey. “For example, we believe interest rates are going to start coming back down and unemployment is picking up with major layoffs taking place across several industries. That typically means more people are looking at business ownership.”

The Congressional Budget Office (CBO) expects unemployment to jump to 4.4% in 2024 and remain close to that level through 2025. FranNet anticipates this will drive growth in the franchise industry as more people consider franchising as a viable path to entrepreneurship. With so many people tired of the uncertainty in their current careers and looking to take control of their destiny while benefiting from an established business model, franchising is reaching new levels of popularity.

“We’ve seen an uptick in the number of leads for our owners from both prospective franchisee and franchisor clients,” says Bailey. “This momentum culminated in FranNet seeing three of its strongest single-month-sales since pre-pandemic this year.” 

According to Bailey, FranNet also added several new franchise partners to its network in 2023. “FranNet continues to look for people who are a good match and align with our culture and core values as an organization,” she says. “We’ve welcomed many qualified and passionate owners into our family this year and we are looking forward to doing the same next year.”

Moreover, FranNet has seen a notable demographic evolution within the franchise landscape. 2024 will see franchises putting a stronger emphasis on diversity and inclusion, not just in their workforce but also in their marketing strategies. Brands that reflect these values are more likely to resonate with a broader consumer base. 

“We’ve seen an increase in younger clients, women, and people of diverse ethnicities engaging in franchising,” says Bailey. “That really points towards a more diverse and inclusive industry moving into 2024. This shift not only brings fresh perspectives but also opens up new markets and opportunities.”

In conclusion, 2024 promises to be a year of growth and diversification for the franchise industry. “Overall, it seems that people are finally returning to normal following the pandemic,” says Bailey. “We see nothing but good for next year.”

If you are a potential franchisee looking to invest or a franchisor looking to attract new candidates, contact FranNet at https://frannet.com/.

About FranNet

FranNet is North America’s most respected leader in matching individuals with franchise ownership opportunities. Founded in 1987, FranNet has more than 100 experienced consultants across the United States, Canada and Germany. FranNet uses a proprietary profiling and consultative process to determine a business model unique to each client’s goals, skill sets and interests, and has matched thousands of prospective business owners to rewarding small business franchise opportunities. Headquartered in Louisville, Kentucky, FranNet is the only locally-owned and operated franchised consulting firm.