Big bucks for Toni & Guy using franchising model
Toni Mascolo claims to be the next big franchise after McDonalds. With 405 salons worldwide, only 12 are proprietary while the others are all franchisees. Mascolo states that they have shares in every Toni & Guy franchise and get royalties too. With an overall turnover of 135m, they are still expanding.
Mascolo states that he allowed his hairdressers an option to extend the brand rather than becoming a competitor to him. He opened his first franchise in the Eighties and today he has a team of nine developers to help individuals generate business.
In the Nineties, Mascolo launched almost 20 to 30 franchises a year. However, he stopped doing so due to lack of space and the proximity of one salon to another. Other than salons Mascolo also owns a shop fitting company with the same name and produces products like scissors, hairbrushes etc. He now plans to expand in Europe, China, Russia and other eastern countries.
Mascolo also says that franchising in the UK was not heard of while it was a big buzz in the USA and though he had a five year millionaire plan, he states that the bankers were unaware. Mascolo has indeed become the pioneer of franchising in the UK and people often tell him that they can not imagine England without Toni & Guy.