Franchisors often build franchise territories and select locations based on economic and demographic information, but they may not fully appreciate the source or reliability of their data. Franchise territory mapping softwares often utilize U.S. Census Bureau data to provide the most reliable information to franchisors. However, private data sources may be necessary for trends and more granular data.
Zors utilizes U.S. Census Bureau as its key data source in helping franchisors preview, build, and maintain franchise territories. This also allows us to provide unlimited data to our users without increasing their fees. We also identify the source of our data, allowing franchisors and franchisees to determine if they are using the most-current information.
Deciding how to compose and map territories is one of the most important decisions you make when launching a franchise - franchisors need access to reliable data to backup their metrics and intelligent systems to put guidelines into practice.
This blog explores the basis of Census Bureau data and private source data, while considering the differences between various data sources. Census data is often the most reliable source available for core economic and demographic data.
The U.S. Census Bureau collects economic and demographic data through surveys, censuses, and administrative records, then estimates trends using statistical modeling.
Decennial Census (Every 10 Years) – A full count of the U.S. population, collecting basic demographic data (age, race, housing, etc.).
American Community Survey (ACS) (Ongoing, Annual) – A rolling survey sampling about 3.5 million households per year, providing detailed economic, housing, and demographic estimates.
Economic Surveys (Monthly, Quarterly, Annual) – Includes Census of Businesses, Current Population Survey (CPS) (used for unemployment rates), and Consumer Expenditure Surveys.
Administrative Data – Uses government sources like IRS tax returns, Social Security records, and Medicaid/Medicare data to supplement estimates.
Since surveys do not capture every household or business, the Census Bureau uses statistical weighting, sampling techniques, and imputation to estimate data for the entire population.
ACS 1-Year vs. 5-Year Estimates – 1-year estimates are timely but less precise for small areas, while 5-year estimates are more reliable for smaller geographies.
Population Projections – Uses birth, death, and migration trends to estimate future population changes.
Census Bureau: Designed for public policy, federal funding, and research; focuses on accuracy and consistency over time.
Private Sources (e.g., Nielsen, Zillow, Esri, Experian): Primarily for business, marketing, or commercial insights; may prioritize speed over methodological rigor.
Understanding Methodology Differences
The Census Bureau primarily collects data through surveys and government records, ensuring a statistically rigorous approach with broad nationwide coverage, including small geographic areas. Private data providers, on the other hand, often rely on big data sources like credit card transactions, social media activity, and web scraping, which can be more immediate but less methodologically transparent. While the Census Bureau updates its data at intervals ranging from annually to every ten years, private sources typically refresh their datasets in real-time or monthly, making them more useful for tracking short-term trends.
In terms of accuracy and reliability, Census Bureau data is peer-reviewed and designed for policy and research applications, ensuring a high level of consistency over time. Private data, however, may be biased due to proprietary modeling techniques and a focus on market-driven insights rather than statistical rigor. Additionally, while the Census Bureau’s datasets are widely used for infrastructure planning, public policy, and research, private sources tend to be more relevant for marketing, real estate, and consumer behavior analysis. Ultimately, the trade-off is between the long-term reliability of Census Bureau data and the real-time responsiveness of private-sector data providers.
Private sources often update more frequently (e.g., monthly housing prices, credit card spending patterns).
Census Bureau data is more structured for historical analysis and policymaking but lags in real-time insights.
The U.S. Census Bureau provides a wide range of demographic, economic, social, and geographic data collected through censuses and surveys. Here’s an overview of the main types of data available:
Collected through: Decennial Census, American Community Survey (ACS), Current Population Survey (CPS)
Population counts – Total number of people in the U.S., states, counties, and cities.
Age and sex distribution – Breakdowns of different age groups and gender demographics.
Race and ethnicity – Data on racial and ethnic composition (e.g., Hispanic, Black, Asian populations).
Household composition – Family structure, including married couples, single-parent households, and multi-generational homes.
Migration and mobility – Where people move to and from, including domestic and international migration patterns.
Collected through: Economic Census, ACS, CPS, Small Business Pulse Survey
Employment and unemployment – Labor force participation, job industries, and unemployment rates.
Income and poverty levels – Median household income, income inequality, and poverty rates.
Business and industry statistics – Number of businesses, revenue, and employment across industries.
Consumer spending and housing costs – Rent, mortgage payments, utility expenses, and cost-of-living data.
Government spending and revenues – Public sector finances, including federal, state, and local government revenue and expenditures.
Collected through: ACS, Decennial Census, Housing Vacancy Survey
Homeownership vs. renting – Percentage of owner-occupied vs. renter-occupied housing units.
Housing affordability – Rent and mortgage burdens relative to income.
Building types and age of homes – Single-family homes, multi-unit buildings, mobile homes, and age of housing stock.
Vacancy rates – Available vs. occupied housing units.
Collected through: ACS, CPS, National Crime Victimization Survey (NCVS)
Education levels – High school and college graduation rates, literacy statistics.
Health insurance coverage – Percentage of the population covered by private vs. public insurance.
Disability statistics – Data on people with disabilities, including employment and healthcare access.
Crime and public safety – Reports on victimization, law enforcement data, and public safety trends.
Collected through: TIGER/Line Shapefiles, Census Gazetteer Files, ZIP Code Tabulation Areas (ZCTAs)
Geographic boundaries – Official maps of states, counties, cities, census tracts, and ZIP Code Tabulation Areas (ZCTAs).
Urban vs. rural areas – Designations of urbanized areas and rural regions.
Commute and transportation patterns – Data on how people travel to work (car, public transit, walking, etc.).
Collected through: Economic Census, County Business Patterns, Business Formation Statistics (BFS)
New business formation – Start-up trends and entrepreneurship rates.
Industry-specific data – Performance of sectors like retail, healthcare, and technology.
Small business and minority-owned business statistics – Ownership demographics and business success rates.
Collected through: Population Projections, Special Census Reports
Future population estimates – Projections based on birth rates, death rates, and migration patterns.
Disaster and emergency response data – Population impact reports for hurricanes, wildfires, and other disasters.
A lot of data is available from the U.S. Census Bureau.
The ZORS franchise territory mapping software is constantly evolving and adding new data based on customer demand. Our goal is to find the right balance where the user experience is not negatively effected by data overload. We focus on key indicators and report building based on this data.
Need more data? Our team can custom tailor map layers to meet your system needs.
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