In South Africa, the franchise industry has remained solid despite challenging economic conditions. Provinces such as the Western Cape and Gauteng remain attractive to local and international franchise brands due to their economic power.
The potential for business growth in Africa is exponential. The global recession has forced both business and consumers to be more innovative and deliver on exceptional products and services.
This has indirectly encouraged businesses to develop a progressive strategy that caters for a diverse and changing consumer market.
Franchise operations need to adopt new technology and learn new skills in order to keep the franchise model lucrative and sustainable. This not only encourages sharing of resources but encourages franchisees to invest in business concepts that are in demand.
“The current franchise landscape is competitive. We need to raise the profile of the industry and ensure its ability to be an effective lever of social empowerment and economic growth in Southern Africa and Africa for decades to come. This can be achieved if we work together and find innovative solutions that will ensure that there is greater diversification and growth in the business sector,” says FNB’s head of franchising, Morné Cronjé.