There has been negligible change in spread and density across the South African landscape with just the Western Cape and Northern Cape increasing by 1%. Gauteng, Western Cape and KwaZulu-Natal remain popular hubs for franchising as the urbanised middle class increases.
In 2004 the black middle class comprised 1,7 million individuals and has since grown to 4,2 million in 2013 with a spend of R400 billion annually.
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Consequently, 60% of franchises are based in shopping centres and malls, 52% in high streets, 28% are home-based, and 10% are in industrial areas.
1 433 –The net gain of franchises in 2014, with 90% of the 31 050 franchised outlets being franchisee owned (a drop of 4% from 2013)
- 60% –Shopping centres / malls
- 52% –High streets
- 28% –Home-based
- 24% –Industrial