Franchising World - How to Generate Franchise System Growth for an Unsexy Brand

OpenWorks David Bosley

How to Generate Franchise System Growth for an “Unsexy,” Under-The-Radar Brand

Franchising World (February 2015) - I often get the same response each time I tell someone that I am in charge of generating franchise sales for OpenWorks, a franchise system that specializes in commercial cleaning and integrated facility services: “Man, it must be hard to sell a business model that’s unsexy and boring.”But here’s the thing, it’s not. Call me crazy, but I would rather be selling our business model than any of the sexy brands that are top of mind when most people think of franchises.

Truth in Numbers – Unsexy Franchises on the Rise

According to the International Franchise Association’s 2014 Franchise Business Economic Outlook prepared by IHS Economics, there are more than 770,000 franchise establishments in more than 75 industries. Obviously, that means there are 74 other industries outside of restaurants that make use of the franchise business model, and many of them would certainly be considered “unsexy.” These include such industries as pest control, pressure washing, security systems, construction, and of course, janitorial services.However, the good news is that many of these industries fall under the business services and commercial/ residential services categories that are among the fastest growing in franchising. It appears the recent uncertain economic environment has made these affordable, service-based franchise opportunities more appealing to prospective franchisees. Consider the following statistics from the 2014 Franchise Business Economic Outlook:

  • The Business Services (13 percent) or Commercial/ Residential Services (8 percent) sectors are responsible for more than 20 percent of franchise establishments.
  • These same two sectors combined are also responsible for 25 percent of the predicted $840 billion generated by franchise businesses in 2014.
  • Additionally, these two sectors were both projected to increase their economic output by roughly 5 percent in 2014, generating more than $200 billion in revenues.

Read entire article online here.Author: David Bosley, Executive Vice President, OpenWorksSource: Franchising World (Published in February 2015 Franchising World issue)


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