This quarter saw Subway, the franchise that came first in Franchise Direct's Top 100 Global Franchises Report 2013, pair up with the Dublin-based Applegreen. Applegreen is an independent retailer with over 90 fuel service stations in Ireland and the UK, a number that it is hoping to see expand greatly this year. Its partnership with Subway means that the sandwich company will now
have outlets on a number of Applegreen sites, and the joint venture is already in action in the new Gorey station, recently opened on the town’s main street.
Not every franchise has the flexibility to latch onto forecourts – it would be tricky to set up a full-sized gym on the typical Esso site. Trevor Haynes, the Area Development Manager for Subway UK and Ireland, explained why this is something Subway is able to do: “Simple operations, alongside minimal space and equipment requirements, mean that our stores are uniquely suited to non-traditional sites.”
While they may not be able to compete with Subway – a franchise rumoured to have branches in a church and on a riverboat – when it comes to location, the following franchise categories most definitely have their own convenient traits, and they are ones that every franchisee should take the time to consider.
Category of Franchise: Mobile Food
Examples: Alfresgo
Convenience: Here is a chance to get your work on the road. Mobile food companies deliver fresh food and drinks – particularly coffee – to events, businesses and functions. Often they can be seen at events operating out of the back or side of a van. Food may be prepared at home and then brought to front doors.
Category of Franchise:
Home-Based B2BExamples: Auditel (HSBC Franchisor of the Year), Leadership Management Ireland, YBIS
Convenience: According to the bfa/Natwest Franchise Survey 2012, the home office is the most popular location for a franchise system to operate from, and it’s easy to see why. The ability to work uninterrupted and in comfortable clothing leads to higher productivity, essential for any start-up company. Working hours and conditions can be flexible and do not have to be limited to eight hours a day. A percentage of household expenses such as gas and electricity can be deducted from the tax bill, and rarely having to see your clients face-to-face means that reduced travel time cuts costs. Then of course, on a more personal level there is always the appeal of being able to maintain a healthy work/life balance.
Category of Franchise:
CleaningExamples: Maid2Clean, Daily Poppins
Convenience: Here there is no need for a shop or retail premises (mobile or otherwise), as the service is carried out at the client’s location. This is one recession-proof industry, as buildings – whether residential or commercial – will always need to be cleaned, and in Ireland it is a flourishing category with healthy profits.
The gardening franchise also falls into this class of taking the service to the customer’s location, rather than have him or her come to you.
Conclusion
Subway’s outlets may be small and flexible, but these three categories usually remove the issue of retail rents altogether – a problem that has led to smaller retailers locking up and Bewley’s controversially threatening to close down.