Industry Focus

FRANCHISING Keys to success IBISWorld has identified the keys to franchise success. Here are their top five: 1.Build a loyal customer base. 2. ave a clear and consistent H market position. 3. se the business expertise U of your franchisor. 4. ave sufficient stock on hand H to meet consumer demand. 5. nsure employees have sufficient E product and service knowledge. Source: IBISWorld Industry Report: 'Franchising in Australia', June 2013 Top franchise businesses BRW's 'Fast Franchises 2013' list reveals businesses in the health and community service sectors are dominating. Four of the top 10 businesses come from this sector, with Laser Clinics Australia taking out the top spot. The company, which has 17 outlets throughout NSW and the ACT, posted average annual growth of 246 per cent in the past three years and made $20.1 million in the 2011–12 financial year. Gyms took out the second, third and eighth spots, with Jetts Fitness posting average annual growth of 219 per cent, Anytime Fitness showing growth of 166 per cent and Plus Fitness growing at an average annual rate of 81 per cent over the last three years. Source: BRW 4 Industry Focus Aussie brands head overseas Three strong Australian brands are exploring options to expand their franchise businesses overseas. Michael Hannah, the owner of iconic Sydney brand Harry's Café de Wheels, headed to Manila in August to discuss plans to open his pie shop in 12 shopping centres. He is also involved in talks with US businessmen to open shops on the American east coast. Meanwhile, Sumo Salad has already appointed master franchisees in North and South America with plans to open stores there this year. A gap in the market for healthy, convenient fast food was the driving force behind the expansion into the American market. Household appliance rental franchise Mr Rental is negotiating a joint venture agreement with Singapore. The company, which was established 20 years ago and has 86 locations throughout Australia and New Zealand, is also looking to expand into Ireland, South Africa and America. For more information about the key issues of moving your franchise overseas, turn to page 8. Source: www.franchise.net.au An expanding franchise sector Westpac has a long-established reputation in the franchise sector and recently added two more brands to its list of accredited systems: NightOwl Convenience Stores and Ferguson Plaire Bakehouses. Both companies have a strong history; NightOwl was established in Brisbane in 1975 and Ferguson Plaire in Melbourne in 1901. What's more, both have grown substantially since franchising became popular in Australia. You can find a handy NightOwl Convenience Store in 66 locations throughout New South Wales, Queensland and Victoria and Ferguson Plaire has expanded to 56 locations throughout the Greater Melbourne area. On page 16 we chat with a newly accredited franchisor about Westpac's accreditation process.

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