Franchise network sales in France have increased by 8% in 2017 to nearly 60 billion eurosAccording to the industry federation, as the Franchise Expo trade show opens in Paris on Sunday. "Year after year, franchising is a strategy that continues to grow," boasts the French Franchise Federation (FFF), which counted more than 74,000 franchised outlets in France on December 31, 2017.
In 2007, the number of franchise outlets in France stood at just 47,291. This growth reflects the success of this business model, as well as the arrival of several major groups, which in the past operated mainly through integrated stores.
For some years now, they have also been turning to franchising, synonymous with a lower financial commitment. "Franchising has been growing for almost 20 years, and is a major factor in resisting the crisis," FFF General Delegate Chantal Zimmer told AFP.
Franchising has made it possible to "modernize and democratize certain traditional sectors", such as flowers, lingerie, real estate, hotels, chocolates, etc., but also to "create new markets", particularly in personal services, home care and automobiles, she adds.
In terms of the number of franchisees, the food sector is the largest, with 15,278 outlets, followed by miscellaneous retail (8,319), automotive services (8,285), hairdressing and beauty (7,402) and personal goods (7,114). "Zimmer sums up: "What works are increasingly sophisticated niches aimed at increasingly sophisticated consumers.
More than 560 exhibitors are expected at the 37th edition of the Franchise Expo trade show, which runs until Wednesday at Porte de Versailles, including over 480 brands and more than 150 foreign companies, with nearly 90 sectors represented in all.
Foodservice (20% of exhibitors) remains one of the most dynamic sectors, with this year'sstrong trend towards "single-product" concepts, with pancakes and French fries in the foreground. Other sectors represented: food retail and distribution (wine shops, bakeries, chocolate shops), as well as personal and business services (childcare). All the major players in the distribution sector will be present, as "franchising represents a major growth strategy for the major food groups", particularly in organic and local brands, according to the organizers.
Source: AFP - Franchising: 2017 sales up 8% to nearly 60 billion EUR - March 23, 2018 - Edition Fil Eco
