More and more, those who have a desire to open a business of their own have found that opening a restaurant franchise is very profitable. It really is predicted that restaurant sales will reach $577 billion in sales by 2010. The restaurant business industry now employs 8% of most workers employed in the United States. That comes to about 11 million people, and makes them the largest employer next to the government.
Restaurants have been satisfying the hunger of people for ages, and restaurant franchising is around to increase the growth of the. In 1950, Colonel Harlan Sanders introduced his Kentucky Fried Chicken franchise and built a chain of over 600 restaurants by 1960. purima was franchised in 1955, and so were House of Pancakes, Tastee Freeze, Dairy Queen, and Dunkin Donuts.
Seniors (people born between 1946 and 1964) tend to be the folks opening new restaurants and junk food establishments. They have sophisticated tastes and the money to make their ideas a reality. They demand fresher ingredients, healthier dishes, and vegetarian options. Baby boomers are credited with setting the pace for what does and doesn?t work in terms of successful restaurants. When they dine out they want top quality, no matter where they’re eating.
Increasing numbers of people are holding full time jobs, leaving little time to prepare meals at home. Quick serve restaurants continue being fueled by the buyer?s ever increasing need for convenience. More than half of all adults say they are busy, and convenience is a critical part of their lives.
While older consumers demand quality, younger customers want convenience. 55% of consumers between your ages of 25 and 34 admit they are usually in a hurry and want fast service. This sparks the growing dependence on quick service restaurants. Takeout restaurants may also be a growing trend. 78% of most households in america use take out or delivery service at least one time a month. These people consider themselves very value conscious.
Many investors are buying into co-branded franchises. Co-branding refers to franchising several different brands in a single location (Taco Bell, Pizza Hut, & Kentucky Fried Chicken). All three are housed in one building, rather than building three different restaurants. These restaurants are responsible for a lot more than 29,000 restaurants, and much more are popping up all the time. Additionally, there are multiple franchising concepts with Dunkin Donuts and Baskin Robbins in the same building.
Some franchisors take their products overseas. Subway has nearly 800 international franchises (not counting Canada). In the event that you add Canada they number around 2,000. The size of the company has helped with their popularity far away.
Whether you’re selling sandwiches over the sea, or have an upscale dining establishment uptown. The outlook looks strong for food franchising within the next ten years. As long as consumers continue to eat at restaurants, the franchise opportunity will be a gainful one.