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The Best Business Type to Start in 50 U.S. biggest cities

Alex

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New businesses are popping up everywhere, but 20% of small businesses fail within a year.

One of the biggest reasons is that there is no market need for the product. ZenBusiness wants to find the best businesses to start across 50 of the most populous U.S. cities by comparing Google search volumes of people looking for each business against the actual number of businesses in said location.

Here’s a look at the U.S. state map showing the top business to start in each city:

The best business type to start in 50 U.S. cities mapped

Methodology

ZenBusiness pulled popular business types from Yelp’s Categories and grouped them into industries. The number of businesses from each category within America’s 50 most populous cities (taken from the U.S. Census Bureau) was found using Yelp Fusion API. For each business type, keywords were formulated by adding terms such as “restaurants,” “stores,” “shops,” “parlors,” etc., depending on the type of business.

The team then collated Google search volumes for each keyword related to a specific business in each city type using DataForSEO, using the term “near me,” e.g., “Indian restaurants near me.” Competition in each business type in each city was estimated by dividing the number of searches for that business by the number of businesses of that type in that city. The final dataset spans 159 business types across 14 industries and 50 most populous cities in the United States.

The data was gathered in February 2022.

The Best Business Type to Start in 50 U.S. Cities

Over 800,000 new businesses are registered in the United States each year. The study reveals that people want more gyms in 15 cities, including El Paso, Los Angeles, and Portland. And in 14 cities, including Indianapolis and Minneapolis, car washes are in high demand.

CityBusiness TypeIndustry
Albuquerque, NMCar WashAutomotive
Arlington, TXSoul FoodRestaurants
Atlanta, GASoul FoodRestaurants
Austin, TXGymsFitness
Bakersfield, CACreperiesCafes
Baltimore, MDMusic & DVDsHobby Shops
Boston, MASoul FoodRestaurants
Charlotte, NCIndianRestaurants
Chicago, ILSoul FoodRestaurants
Colorado Springs, COGymsFitness
Columbus, OHGymsFitness
Dallas, TXIndianRestaurants
Denver, COCar WashAutomotive
Detroit, MISoul FoodRestaurants
El Paso, TXGymsFitness
Fort Worth, TXGymsFitness
Fresno, CAIndianRestaurants
Houston, TXIndianRestaurants
Indianapolis, INCar WashAutomotive
Jacksonville, FLGymsFitness
Kansas City, MOIndianRestaurants
Las Vegas, NVIndianRestaurants
Long Beach, CACar AuctionsAutomotive
Los Angeles, CAGymsFitness
Louisville, KYGermanRestaurants
Memphis, TNSteakhousesRestaurants
Mesa, AZSteakhousesRestaurants
Miami, FLIndianRestaurants
Milwaukee, WICar WashAutomotive
Minneapolis, MNCar WashAutomotive
Nashville, TNCar WashAutomotive
New York, NYGymsFitness
Oakland, CACar WashAutomotive
Oklahoma City, OKCar WashAutomotive
Omaha, NEBreakfast & BrunchCafes
Philadelphia, PACar WashAutomotive
Phoenix, AZSteakhousesRestaurants
Portland, ORGymsFitness
Raleigh, NCGymsFitness
Sacramento, CAGymsFitness
San Antonio, TXCar WashAutomotive
San Diego, CAGymsFitness
San Francisco, CAGymsFitness
San Jose, CAGymsFitness
Seattle, WACar WashAutomotive
Tucson, AZCar WashAutomotive
Tulsa, OKCar WashAutomotive
Virginia Beach, VASoul FoodRestaurants
Washington, DCGymsFitness
Wichita, KSCar WashAutomotive

The Top 20 Business Types to Start Across America’s 50 Biggest Cities

According to Statista, there are over 32,000 gyms already registered in the United States, but it’s also the most in-demand type of business.

That’s great news for fitness fanatics and those looking for a place to work off the soul food, pizzas, breakfast, and brunch. (Restaurants also feature highly in our top 20 list.)

Best Business Type to Start in American Cities

Top 5 Business Types by Industry

Business TypeIndustrySearches per Business
Watch RepairAppliances & Repair29.7
Furniture RepairAppliances & Repair6
Appliances & RepairAppliances & Repair5
Pool & Hot Tub ServiceAppliances & Repair1.1
Furniture ReupholsteryAppliances & Repair0.7
Car WashAutomotive126.4
Car AuctionsAutomotive50.2
Car DealersAutomotive18.8
Auto Parts & SuppliesAutomotive17.6
Used Car DealersAutomotive16.6
Nail SalonsBeauty63.3
BarbersBeauty57.7
PiercingBeauty55.3
TattooBeauty13.9
Hair SalonsBeauty13.2
Breakfast & BrunchCafes94.5
CreperiesCafes61.8
DelicatessenCafes55.6
GelatoCafes41.9
BakeriesCafes34.8
Sewing & AlterationsFashion, Clothing & Accessories10
BridalFashion, Clothing & Accessories8.1
JewelryFashion, Clothing & Accessories7.4
Sporting GoodsFashion, Clothing & Accessories4.3
WatchesFashion, Clothing & Accessories2.3
GymsFitness168.9
MassageFitness43
PilatesFitness16.1
Self-defense ClassesFitness14.5
Tai ChiFitness13.2
Music & DVDsHobby Shops59.9
Comic BooksHobby Shops57.5
BookstoresHobby Shops23.7
Video Game StoresHobby Shops23.1
Toy StoresHobby Shops21.6
Soul FoodRestaurants123
PizzaRestaurants112.1
SteakhousesRestaurants90.1
IndianRestaurants76.1
Fast FoodRestaurants46.4
Keys & LocksmithsSkilled Trades41
Shoe RepairSkilled Trades30.9
FloristsSkilled Trades7.7

Key Findings

  • Restaurants of various types are the best businesses to start in 17 U.S. cities.
  • However, if different restaurant types are considered separate categories, the gym comes out on top with 15 cities, including New York City and Los Angeles.
  • Averaged across the 50 biggest U.S. cities, the fitness industry has the most demand compared to supply (55.1 searches per business).
  • In Las Vegas, there are 1,009 monthly searches for Indian food per local restaurant -the highest demand/supply disparity in the study.

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David
David
2 years ago

This is really interesting!

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