KD Kuldeep Singh, Business Coach
The last two years have undoubtedly emerged as the most interesting ones for franchises. Franchises of businesses in all sectors have faced significant challenges because of the pandemic. However, besides the challenges, the pandemic offered exciting opportunities for the franchise business. This further paved the way for growth and has led the companies to flourish in the coming times.
Considering some of the business patterns and opportunities, 2022 is a blessed year for the franchise business. Let us tell you all the factors one by one:
Gen Z will be the new face
Gen Z is considered very proactive and is seen as a born leader. This generation is said to be among the most entrepreneurial and expected to leave a very impressive mark on the franchise. Most people from Gen Z envision starting their own business someday, and they are more fascinated with entrepreneurship and franchising.
With the new generation showing interest in franchising, the parents are also actively investing in the franchise businesses. The idea is to invest in a company that they can pass on to their children in future.
Technology will witness a boom
The pandemic has made the advancement of technology progress quicker than it would have otherwise. The improvement in digitalisation taking over the major activities was relatively slow from the side of businesses and the customers. Brainstorming in team meetings on virtual platforms, working from home, and paying equal attention to the digital platforms for businesses seemed like a far cry a few years back. The reason was minimal exposure to technology and accepting it as a way of managing a business. But now, companies have gone digital; people find online shopping more accessible and convenient. They love the experience, and some businesses are even running purely online.
Introduction of Franchise consultants
A few years back, the role of franchise consultants was not that popular. But currently, as the franchise industry is expanding, franchise consulting has become a very lucrative career option. Franchisors rely on consultants for their valuable insights to make better decisions and grab opportunities on time.
Smooth communication process
Communication has become an essential process in franchising. With the emergence of social media and texting apps, everyone is available within just a few taps on their phone, no matter their location. The geographical boundaries have ceased, and technology has made communication a smooth and prompt procedure.
With the smooth flow of communication, it is now effortless for people to know all about the brand’s history, team, franchises etc. Not only this, but franchisors also enjoy the convenience of developing cordial relationships with the clients.
Alliances and Umbrella franchisors
The past times have witnessed the formation of alliances and the rise of umbrella franchisors. This trend of parent franchisors acquiring other brands is growing because it’s a very apt way to share resources. Because of the similar characteristics, brands within an umbrella can effectively appeal to similar customers.
