The 2020 pandemic hit many families like a tornado, with small businesses staying afloat, leaving employees without work, and some companies closing their doors. Remote work became a trend during this time, but since then, we have been able to pick up the pieces and start over.
Although millions dream about owning a company, many struggle to realise it. The reasons behind their struggles are mostly the same for most of them - lack of knowledge of where to start, the fear of failure, and the lack of support and security.
After COVID-19, many desired to ditch the nine-to-five work life, regain control of their careers, and become their own boss.
But there are various ways to accomplish business ownership. If franchising allows you to grow your equity, wealth, lifestyle, and income, it is vital to understand Franchise trends in 2023. Many factors play a part in the industry’s growth.
Franchising Expected to Grow in 2023
Franchising provides an entrepreneur to invest in a successful business model globally. However, as with any business venture, it can carry risks; therefore, researching the pros and cons before investing in one is essential. Franchising is also an enticing way for entrepreneurs to start a business due to its proven systems and low initial investment.
It’s no wonder that many aspiring entrepreneurs are looking into resilient business opportunities in the market. The figures are astounding!
The global Franchise market size was valued at USD 100797.4 million in 2021 and is expected to expand at a CAGR of 9.73% during the forecast period, reaching USD 175955.0 million by 2027.
Franchising’s future looks bright, according to many experts, mainly with the incorporation of technology. But remember that remaining competitive will still be a challenge, as in any business model. There is a significant effort within the franchise sector from the International Franchise Association to encourage diversity.
Franchising in 2023 - The Best Business Move for You
If you want to start a new business or need a change of scenery from your current work life, consider franchising.
The franchise industry could be a tough nut to crack if you don’t understand the industry. If you want to ensure business success, investing in a reputable franchise is the best way to go. You benefit from starting a successful business model without the stress of doing it alone and avoiding worrying about lawsuits for infringement on brand trademarks.
The best business move for you will be to find a reputable franchisor. Not only will you cut costs, but you can focus on what’s important such as growing your business. The right franchisor will support you in building a stellar business while providing the knowledge and tools required to run your franchise.
The best way to move forward when choosing a Franchisor and Franchise is to connect with a Franchising expert.
What are the Franchise Trends in 2023?
According to the NatWest 2018 and British Franchise Association franchising survey, just 1% of franchisees failed in the surveyed period due to commercial failure. A staggering 93% of franchisees claimed to be profitable.
The top franchises in 2023 based on the range of opportunities, demand, and profitability available are:
In the UK, food franchises are at the top of the most profitable list with numerous entry points available, which refers to businesses starting from several budgets. Kiosk-based companies are gaining popularity with lower operating costs and footprint while making a good turnover.
According to 2023 statistics, over 60% of the UK population owns at least one pet. Making this a positive figure for investors to consider as pet franchises can be extremely diverse from pet-sitting or pet food supply franchises.
Health, Fitness, and Personal Care Franchises
As childhood obesity increased after the pandemic, there has been a profitable market for fitness programs and centres that combine education and fun for the younger ones. In this franchise sector, you can find the following opportunities:
- Fitness centres and Gyms
- Nutrition and Healthy food
- Sports and Recreation
- Spas and Tanning centres
It provides specific opportunities for every demographic group, as mentioned above. Seniors with other needs than Gen Z in these areas need nutrition, health, and fitness programs tailored for their appropriate generation group.
Sustainable “Green” Franchises
These businesses already gained popularity in 2009 when state and federal governments pushed for increased funding, especially in the energy sector. Energy-reduction services continue to grow for both the commercial and homes sector.
“Green” buildings (LEED-certified) using less energy and built with recycled materials feature handyman franchise opportunities, and while the market grows, the possibilities for more options will be visible.
We’ve Got Your Back
The reality is that any business can have risks, but understanding Franchise Trends in 2023 and how they will grow in the coming years is essential. It is a big step for any entrepreneur, but here at Point Franchise, our franchise experts have your back, and we are here to assist you in finding the right franchise for your business needs.