Today, entrepreneurs considering investing in a cell phone repair franchise often find themselves exploring an important question: “Will my proposed marketplace support my enterprise in the future?” It may prove useful to explore this question from both a national and a local perspective.

A Rapid Market Expansion

For instance, during the past decade, most experts agree the popularity of cell phones (especially Internet-connected “smart” phones) literally exploded in the United States. The use of mobile devices grew widespread. Today, popular television series produced in previous decades appear dated when characters stop at readily available public phone booths to place calls. Modern series typically feature mobile phones as standard household devices. Consider the contrast between the technologies used in the hits of the 1980s, such as The A-Team or the first MacGyver series, and more modern fare, such as Person of Interest.

In most regions of the USA, the once pervasive phone booth has become an artifact from a previous era. One way to track the expansion of cell phone usage in local markets involves noting the steady decline of pay phones. Last year, CNN reported some 2 million pay phones existed in the United States during 1999; today, fewer than 100,000 remain. (Of these, 20,000 stand in New York.) Recent research indicates fully 95% of Americans use mobile phones. While many people believe pay phones still hold value, their use has fallen dramatically since cell phones grew widespread.

The Availability of Cell Phone Repair Services

Meanwhile, the cell phone repair industry has witnessed a surge of growth during the past decade. While revenue increases slowed somewhat in 2017, many experts attributed this phenomenon to the successful penetration of cell phones into the national consumer marketplace. Additionally, falling prices and enhanced capabilities have caused some consumers to replace phones rather than seek repair services.

In researching the potential marketplace for a franchise involving cell phone repair services, it seems imperative to consider your local marketplace conditions. While numerous businesses offer these types of repairs in some locations, other areas still largely lack repair service. Potentially, many factors impact the size of a repairer’s local marketplace. Prospective franchisees usually benefit by conducting careful research to ascertain the likely demand for this service within a given geographic area. The number of competitors and the demand for repair services usually impact these local markets!