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Wednesday, January 31, 2024

Multi-franchise by Le Nouvel Economiste

Multi-franchise by Le Nouvel Economiste
In this interview with Jonathan Grain, Commercial Director at Le Nouvel Économiste, he discusses the advantages of franchise development for businesses.

What challenges does franchising address for businesses today?


"For businesses, the franchising strategy offers several advantages. First, it provides a solution for brand expansion. Developing franchises is an effective way to increase presence in a trading area or to strengthen the network in new territories. This model also addresses growth needs, helping businesses stay competitive by improving their offerings and responding to new market trends, such as emerging competitors. Finally, in an economic climate marked by inflation, tightened credit access, and recruitment challenges, franchising can be seen as a suitable growth solution. It leverages the capital and motivation of franchisees, who are committed to the success of the brand."

What challenges must businesses overcome when developing through franchising?


"Franchising involves several key challenges. The first is selecting the right franchisees. A rigorous selection process is essential, as franchisees not only become partners in the company’s growth but also ambassadors for the brand, embodying its values and reputation. To ensure this partnership's success, the company must make significant investments—initially in franchisees through training, the creation of operations manuals, and support systems, and also internally with teams dedicated to managing franchise issues. These include regulatory, marketing, logistics, and technological aspects. Managing franchisees can be challenging, and franchisors must balance network development with their own business growth."

Why does Le Nouvel Économiste regularly cover franchising?


"Franchising is a dynamic model that aligns with the entrepreneurial spirit of many French people, increasingly seeking to move away from the constraints of traditional employment. Over the years, franchising has become a major sector in the French economy, generating over 800,000 direct and indirect jobs and a total revenue of more than 76 billion euros, according to the latest data from the French Franchise Federation. Given its strong links to economic and commercial trends, its role in entrepreneurship, innovative concepts, and investment potential, franchising is a key topic for our publication. Le Nouvel Économiste provides information, analysis, and advice for readers, including entrepreneurs and investors looking for new opportunities."