Top Tips For Success In India's Franchising Landscape
In recent years, franchising has become one of the most viable business prospects across all of India and, with 99.5% of Indian franchisees currently flourishing, it’s a tempting outlet for any budding business mind. As well as benefits including the protection of an existing business and lower outlays as a result, franchise opportunities are notable for their fast setups and ongoing support. But these benefits alone aren’t enough to guarantee success.
For that, franchisees must make wise business decisions along the way. After all, a franchise is an ‘easy’ solution solely because it saves on legwork. Success still very much hinges on your ability to tap into Indian audiences and ensure efficient, streamlined operations at all times.
With that in mind, let’s consider the top tips for success in India’s franchising landscape.
# 1 - Choose Your Industry Carefully
A large reason for India’s franchise boom is the current expansion of choice. World-famed franchise businesses from Starbucks to Subway are now well established on Indian shores and boast locations across countless Indian cities. But success is about more than simply opting for these well-known names because you imagine they’re the most lucrative options.
In truth, there are now as many as 4,600 franchisors operating on Indian shores, and they cover sectors from food and beverage (F&B), right through to tech, education, and beyond. By taking the time to choose a sector in which you’ve trained and previously worked, you increase the chances of your franchise being a success. Simply make sure to consider all of your options, and choose the franchise that fits most obviously within your skillset.
# 2 - Consider Location Carefully
Franchise expansion in India tends to rest largely within bustling cities like Mumbai and New Delhi, but high levels of competition mean that these areas may not be the best for new franchise success.
For that, you’re better off looking into expanding markets in Tier 2 and 3 cities like Indore and Nagpur. As well as ensuring lower upfront costs, there’s a far higher demand for franchise openings in these locations. The rapidly growing markets in these areas also mean that setting up now ensures your franchise is established as urbanization and popularity continue to grow.
# 3 - Leverage Support Systems
The support systems that franchisors provide make a huge difference to success in even these more remote areas of India, as they can include city-based training programs and location-specific marketing drives. Systems and software are also easier to access wherever you are with franchisor support, and could include shift schedule software or stock control software that allow you to more effectively distribute franchise finances.
By fully leveraging systems like these and being open about unexpected franchise setbacks in your area, you make it far more likely that your franchise will have legs, even in India’s more remote corners.
Franchising markets are experiencing a significant boom in India right now. Make sure this is a trend that benefits you by securing franchise success with these vital considerations.
