The past decade has seen substantial innovation and entrepreneurship in the moving industry.
As a general observation, there seems to be ample opportunity for franchise success in the trades and laborer market. The public typically responds to recognizable franchise names in an otherwise disorganized industry (see Roto-Rooter, MerryMaids, Handyman Network, Two Men and a Truck, Prospection, CertaPro Painters, Geeks on Call, Mac Tools, 1-800 Waterdamage). Low-margin, labor-intensive businesses in industries such as landscaping, painting, plumbing, moving, repair and installation, can earn premiums if professionally branded with the attempt (or illusion) of standardized, ethical business practices.
Here are a few examples:
- Two Men and a Truck (and copy cat strategy Little Guys Movers): A simple yet successful branding strategy that made local moves less intimidating with the image of a trustworthy, hard-working team of guys.
- PODS franchise (plus copy cats UNITS and SmartBox) and ABF’s U-Pack: Most moves are local, yet people fear the scams, delayed deliveries, your stuff unloaded in a warehouse to make room for another move, etc. The selling point of large metal-box storage is that your stuff is always locked up, eschewing the chance of damage or loss from frequent unloading. I don’t like the fact that PODS charges a non-refundable $50 to even learn more about their franchise offering, but for a $2+ million startup cost, $50 is nothing to and it filters the inquiries to serious ones only?
- eMove.com, part of Amerco’s U-Haul, has cornered the market for laborers to help you move with an ebay-like service for hiring those needed strong bodies to load the truck. I have personally used this services and its become one of those “How did I ever do without it?” reliances.
Ryan is an attorney and valuation specialist residing in Chicago. He chronicles his thoughts and research on FranchisePundit.com. You may reach him by email ryanknoll@gmail.com or mobile telephone 312-212-3423.
I’m not a franchise owner but I do own a floor installing business running 4 crews. I get nearly all my business by word of mouth, but I can tell you that most people (customers and owners) are happy to receive reasonably competent warm bodies to do the work. I can see the advantange of a franchise name with higher name recognition. I’m often treated by the customer like I’m about to steal their money. It’s probably because they don’t know anything about me and are afraid my crews are ex-cons (some have admitedly been in jail).