Trends in Franchising

The year 2011 has seen an influx of environmentally-aware franchisors carving out a new niche in franchising. Two of the more notable franchisors include those in the indoor air quality industry, as well as those in the health-conscious food service industry.

Franchises that assist and equip homeowners in their quest for a healthier living environment are rapidly expanding, with no foreseeable end to this trend. The EPA cites that indoor air pollution is ranked as one of the top five environmental threats to public health. As homeowners and potential homeowners become more aware of this information, they are demanding air duct cleaning and mold remediation services.

In addition to offering air duct cleaning and mold remediation services, select franchises in the indoor air quality industry also offer disaster restoration services – a service that has proven to be a recession-resistant demand among homeowners. 

AdvantaClean Systems, Inc., a national indoor air quality franchise, was recently recognized as a top low-cost franchise by Fox Small Business Center in an article naming ten low-cost franchise corporations under $100,000 that have proven to be recession-resistant despite the current economic downturn.

“Our number of locations has tripled since the beginning of 2010,” says AdvantaClean CEO Jeff Dudan. “AdvantaClean franchisees perform three high-margin, non-discretionary services – air duct cleaning, mold removal, and emergency water removal. It’s a winning combination of scheduled events, and emergency services, that lead to the best possible utilization of resources in a small business.”

Franchises that cater to trendy, health-conscious consumers have seen an increase in sales this past year as well. Despite downward trends in the past, the success of frozen yogurt franchises indicates long-term expansion in the future. 

Froyo big-shot TCBY is raking in $120 million in annual sales with approximately 800 locations nationwide. That’s quite a turnaround from 1994 when the company saw its sales drop by almost $30 million. “The fro-yo category is in the midst of a revolution and we are certain there will be causalities. For TCBY, we are rewriting our future – lost leader turned energized stalwart ready to leverage its infrastructure, innovation and commitment to setting the tone for the category’s healthy standards,” explains CEO of TCBY Tim Casey, according to Franchise Direct.

Pinkberry, runner-up to TCBY as the largest frozen yogurt chain by sales, reports $109 million with the addition of 19 stores.

Another close competitor is Red Mango, a Texas-based company that opened in 2007 and began franchising in 2009. By the end of 2010, Red Mango awarded agreements for 147 locations and opened 62 new stores. Red Mango plans to double their locations by the end of 2011.

Franchise systems that take advantage of the new market realities, whether they are services designed to make healthier snack options available or to assist homeowners with indoor air quality, will be well-positioned this year and likely in years to come.

Article by: Sarah Wilbanks

About AdvantaClean – AdvantaClean Systems, Inc. is a nationwide franchise specializing in water removal, air duct cleaning, mold removal, dryer vent cleaning and indoor air quality solutions. The company is experiencing record growth as a recession-resistant, high margin, low overhead business opportunity. The company is headquartered in a 22,000 square foot state-of- the-art facility in Huntersville, N.C.

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