The Resilience of Franchises: Five Reasons Franchises Thrive During Times of Uncertainty
How we work, communicate and live our everyday lives has been challenged by Covid-19. The business world has had to look for ways to make the most of this challenge, with some industries more capable than others.
Here are five reasons why franchising is one area that can thrive during these times of uncertainty.
In Times of Uncertainty, People Turn To What They Trust
When money is tighter, you are less likely to take a risk on a service which is unknown to you, right? It seems like commons sense, that whether it be fast food, a cleaning service or business consultancy; that you'll turn to a brand you've heard of before as it feels more reliable.
It is a simple fact that when resources are scarce, you are less likely to take a risk with those resources. And with franchises representing some of the best known brands out there, both domestically and internationally, it is more likely that you'll turn to franchises.
Thus, as a franchisee, you're regular customers will likely stick with you, while you may gain new clients because new customers want to turn to a brand they can trust.
Franchising Survived Downturns Before
Those who know their history will know that although we are living in unprecedented times, that the franchising industry has faced tough global conditions in the past. During the global recession of the 2000's many brands thrived.
Not only that, other franchises sprung up from nowhere and are now amongst the most widely known brands out there. Franchises don't appear from nowhere; they are born out of innovation and survive through resilience. The economy may have never seen Covid-19 before, but it has seen bad days, which the franchise industry has always been able to push through.
Supports That Did Not Exist Previously
Australia, just like almost all other countries in the world, has a focus on seeing its economy thrive post-Covid-19. Thus, it would be surprising if there were not new grants and impetuses available for those who want to start new businesses.
Not only that, but many franchises have put extra supports and measures in place to help franchisees who are getting involved during these times.
Marketing Unlikely to Suffer
During times of uncertainty, many small independent businesses have to sacrifice their less immediate needs. Thus, many of them put aside marketing and PR spends.
If you are a franchisee, it is likely that the franchise you are part of both wants and depends on you being successful, so the likes of marketing will continue and at points be pushed even more.
New World = New Opportunity
It feels like the world is finally seeing the value of the chronically under-appreciated workers on the front line. This has been a long time coming and is a welcome change to a past mindset.
It is also an example of the way people's viewpoints are changing every day. We are currently living in a world that is full of moving pieces, where each new day brings new challenges. Of course, with these challenges, there are opportunities and chances for the world's great problem solvers to come to the fore.
Some of these problem solvers will end up franchising their idea or service, with the likely result being successful franchisees helping to service a new need in the near future.
One possible example of this could be the new needs of a more remote workforce. Or perhaps the urge for people to feel more connected. No matter what it is, you can be sure that a franchise will be at the forefront of i.