Retail franchising is one of the more prominent types of franchising that has carved a niche for itself as a lucrative business which can be pursued. Shopping has made a big shift from being a functional activity and has even acquired an entertainment value. With big brands and bigger wallets flooding markets around the globe, retailing franchises have sprung up all over the place.
The main advantage of a retail franchise is that the retail chain being franchised would have already established a reputation and be familiar to customers. Some common everyday examples of retail franchising include McDonald’s, and KFC.
Retail franchising is an exciting arena for a potential franchisor. It is best suited for individuals who prefer the predictability and consistency of daily operations within a confined area. Although retailing does require hours of standing on one’s feet and enthusiastic selling skills, a well established business at a prime location can bring a high turnover. The franchisee should get help on several important factors like the location and the bargaining power of a large company and brand. With international retailers moving into new markets through franchising, this space is a well coveted one and holds the promise for a bright future if managed well