Franchising serves up new opportunities in the food and drink sector
With The National Franchise Exhibition just two weeks away, we look at the evolution of the food and beverage sector and the new franchise opportunities it has yielded.
Research regularly highlights the trend that UK consumers are choosing to spend their disposable income on experiences rather than material goods. In its Leisure Consumer Q2 report, Deloitte reported that spending on eating out saw a rise of five percentage points on last year and a rise of three percentage points on coffee/sandwich shops. [1]
Consumers have been enjoying the value-for-money dining experiences presented by quick service restaurants (QSRs) for decades now. Global giant McDonald’s opened its doors in the UK in 1974, rolling out the franchise model in the late 1980s. Today around 82% of their 13,70 restaurants in UK & Ireland are licensed to franchisees. [2]
The franchise model allows a brand to scale its operations quickly and effectively, as some of the work and the capital needed to launch and operate a business are passed onto the franchisee. In return, the franchisee benefits from all the effort that has been put in to create a well-known and trusted brand.
The franchisee can follow a blue-print for success, replicating a proven business model and leveraging all the training and support on offer from the franchisor. As the franchisee focuses on running a successful local operation, the franchisor will carry the burden of product development, marketing strategy and brand awareness.
An evolving sector
While customers draw reassurance from a brand which provides consistent food and service no matter which site they visit, they also appreciate the opportunity to try new things. This has fuelled the evolution of the franchise market. While stalwarts like McDonald’s ensure that their menus expand and diversify, entirely new food niches have also entered the sector.
New entrants to the market in 2008, Creams Cafè are an example of the trend for making dessert a reason to eat out. Focussing on authentic Italian gelato, each Creams Cafè offers customers the chance to sit down and enjoy indulgent desserts.
Anwar Uddin, Head of Franchise and Business Development for Creams Cafè comments:
“Our Cafès are places people of all ages can visit any time of day. Rather than being in competition with other dining experiences in a local area, we’re complementary to them, creating the exciting opportunity for our franchisees to build a unique and successful business.”
The booming coffee market has also borne more niche offerings from operators like mobile coffee franchise Really Awesome Coffee. State-of-the-art coffee vans avoid the competition of the high street and take gourmet coffee to the working population – at their place of work.
Henrik Jespersen launched his Really Awesome Coffee franchise in June this year after visit a Franchise Exhibition. He was looking for a complete change and to be customer-facing again. He comments:
“I am really pleased with how things are going. I’ve got the support of head office but am running my own business. I enjoyed my previous career, but this is a breath of fresh air. There just isn’t the stress l used to encounter in my job and I feel far healthier. Though I’m tired physically because I am out and about, I am far less mentally tired!”
“Doing something you’ve chosen to do, you enjoy doing and have autonomy over really is a positive experience!”
Become a franchisee in the growing food and beverage sector
If your appetite for a franchise with a dessert parlour has been whetted, then come along and meet Creams Cafè, Little Dessert Shop, Kaspa’s Desserts and Donut King at The National Franchise Exhibition this autumn.
You’ll also find food and beverage franchise opportunities with brands like Harry Ramsden, Broccoli Pizza & Pasta and Warrens Bakery, as well as mobile coffee franchises Really Awesome Coffee and Cafe2U.
If you would like to find out more about what it takes to become a franchisee of arguably the world’s best-known food brand, then register for the McDonald’s Insight Sessions at the exhibition.
Members of the McDonald’s family will reveal the process of becoming a franchisee, from the application stage through to opening the doors to your restaurant. You’ll also have the chance to network with senior members of the McDonald’s team.
Those looking for something different will also find 100+ franchises in telecoms, fitness, domiciliary care, property maintenance, business-to-business services and education.
Every brand exhibiting at The National Franchise Exhibition has been assessed and accredited by the UK’s sole independent regulatory body for the industry, the British Franchise Association (bfa).
Find out more and book your free tickets to this unmissable event at Birmingham’s NEC on 5 and 6 October using promo code DIA1.
[1] https://www2.deloitte.com/uk/en/pages/press-releases/articles/leisure-consumer-q2-2018.html
[2] Source: https://www.mcdonalds.com/gb/en-gb/