Franchise Ireland magazine - Past articles
Turnover for franchisees
November 2007
New Franchising in Ireland Survey reveals 2.1 billion euro turnover for Irish Franchisees
John Green, Chairman, Irish Franchise Association says:
The franchise industry in Ireland shows continued growth in all aspects of the sector and the latest survey, conducted by Franchise Direct, shows a marked increase in turnover for the franchise sector to €2.1billion, representing an increase of 69% since the last survey in 2004 and represents a five-fold increase in sales through franchised businesses over the last decade for business format franchises excluding the very significant turnover of retail symbol groups/forecourt retailers.
The past ten years has seen significant growth in franchising throughout the country, with the number of franchise systems doubling since 1977. There are currently 270 active systems in Ireland, representing a net increase of 34% since the 2004 survey. This figure compares to 759 systems in the UK.
It is estimated that franchise systems in Ireland provide 25,461 jobs. This consists of jobs directly created by franchises, but excludes the additional indirect but dependent jobs created by suppliers to the franchisors and franchisees.
This figure represents a 42% increase since the 2004 survey. The fact that the employment level has grown more than threefold in the last ten years shows that the franchise industry is a valuable contributor to the Irish economy.
The survey identified a number of contributing factors to the strong growth and success of the sector including the favourable Irish economy and growth in disposable income making Ireland an attractive location for franchisees from all over the world. Further contributing factors include the growth of the service sector, brand loyalty, entrepreneurship and ability to adapt to change.
.
The forthcoming Irish Franchise Exhibition – organised by Venture Marketing Group, and with the support of the Irish Franchise Association – at the RDS on November 23 -24 will reflect the growing number of franchise systems available today. If you are considering buying a franchise, you will be impressed with the multitude of different sectors that are covered.
There is a free seminar programme where experienced franchisors and franchisees, as well as expert advisors will cover every aspect of the industry. Whatever advice you may need, experts on the Irish Franchise Association stand will also be pleased to help.
At the show you will find a superb range of franchises from Ireland, the UK and overseas, with businesses to suit all interests, skills and budgets. While many are well-established brand leaders in Ireland, some will be new to the country.
The strong economic growth and social changes we have seen over the past decade, where many families have both parents working outside the home, have increased demand for franchised products and services, resulting in the heightened interest in franchising as an option for people considering setting up their own business.
The activities of the Irish Franchise Association, which represents the main franchisors and consultants in Ireland, are designed to raise the profile of business format franchising as a means of starting a business as a franchisee, or expanding an existing business by franchise development. The Association’s website is a front – line resource for everyone in franchising. Updated regularly with relevant information, it has a listing of franchise members with links to their websites. In business, the right information can be your best asset.
