What makes a Food Franchise Successful?
Nowadays, With life moving so fast, it became difficult for businesses to keep pace with consumer demands. As countries got affected by the pandemic, it’s becoming more and more difficult for entrepreneurs and businesses to maintain the presence in the market while providing services at the same time. With affected economies and social conditions across the globe, the food franchise businesses turned out to be one of the best ways to go with for the people who want to start their own business venture.
People are eating away from home more frequently than ever, due to the limited time and energy in the current times. Whether it’s ordering lunch during office hours or dinner at the night, today’s food industry made it easy for us to get food at any time we want or at any place we want it. We just need to spare the time to choose what to eat and it’s there in no time. All this has a big impact on the dining habits of consumers and if we consider the millions of people in each market segment, the potential for food franchising is unprecedented. But before getting into the topic, let’s throw some light on what is a food franchise.
What is a Food Franchise Business and its concept?
A food franchise is a brand in which an investor, or franchisee, has bought the right to sell the products and services of the franchisor or brand. The franchisee is responsible for the day-to-day running and management of the brand. In return, the franchisor granting the license, or franchisor, offers support, marketing, and a proven food business model.
A franchise often begins as a successful restaurant before branching out to multiple locations and investors. The original restaurant refines the business model by implying different strategies to success, see what works, and create a proven formula before the brand walks into franchising.
As more franchisees are opened, the brand is able to grow quickly and the franchisor makes more money. At the same time, franchisees are able to take advantage of the proven business model which reduces and risks of failure and provides higher profits and benefits.
Technology Plays a Major Role-
In this modern world, technological advancements and affordable gadgets have changed the way we used to do business. Whether it is operational procedures, training, or management, technology is playing a big role. These aspects are extremely important for franchising. Consumers can order food from their mobile phones, restaurants can have electronic menu boards, and essentially the entire process of serving food can be modernized. We can even track our food once it’s dispatched from a restaurant while sitting on a chair or anywhere. Similarly, the delivery service is bound to grow tremendously with the food industry in India.
Simplification of procedures-
To remain in the fastest growing market, it’s vital to have a simple and easy to understand menu. Food items on the menu should be simple, easily prepared in a short period of time, and can be served conveniently. People do not always have time for very sophisticated dishes. Take-away or delivered food items are becoming popular. So, the food should have quality retention properties, at least for a certain period of time until the food is consumed.
Menu items should be such that can be replicated easily. The quality and preparations should be consistent to an extent that a food item bought from a franchise in Delhi should be exactly like the one bought in any other city. It is considered as the major point of success of any franchise. A dish can be delicious when prepared by one person and may lose its consistency and taste when prepared by someone else.
The franchise concept has to be developed carefully. The consumer needs, quality of food items, replication capability, trainability, are the main things that should be focused on. It is the concept that keeps a franchise going for years. A franchisor should spend an ample amount of time, effort, and resources in developing the franchise model. It is advisable to get expert help in planning concepts for the food franchise business.
Contenders in the Market-
Any successful franchise will attract competitors and other businesses that will either duplicate or outdo the franchise concept. Uniqueness is the factor that makes a business successful in a specific industry. The uniqueness of a franchise model keeps it from getting taken over by a competitor in the market. That does not mean that there will not be other competitors offering similar products and services. However, a franchise should stand alone and be sustainable in spite of the competition.
Location plays a major role in the success of any food franchise business and with the growing trends, it is important to corner the best possible location where this new target audience is available. Getting into the prime locations is also a trick of franchise success. With proper visibility, access, and convenience, a food franchise can multiply and be successful.