Last month, we talked a little bit about the attributes necessary to turn your home based business into a franchise … you can find that post here.
Well, what about branching out from the home based sector and becoming a franchisor of any type of business? According to Frandata and reiterated by Mark Siebert in an article published on Entrepreneur.com, over 500 businesses decided to start franchising in 2006. With the continued growth in franchise concepts, they also estimate there are now 4,500 franchisors in the US alone. If your thinking about starting a franchise concept, there's probably already someone out there doing something similar. But don't fret. You still have an opportunity. I believe you need to find "uniqueness amidst the similarities." Or in other words, do what Burger King did … find a hole in the competitors business and exploit it.
others failed? While there were numerous contributing factors, the main
factor can be boiled down to a single sentence: "Have it your way."
Burger King positioned itself to be different from McDonald's,
not just a "me-too" operation. More important, they positioned
themselves in a way in which McDonald's could not respond
competitively–because in order to do so, McDonald's would have had to
revisit their entire kitchen operations.
You can find the rest of the article on Entreprepreneur.com.
As you are thinking about 2008 and beyond, challenge yourself to
take some time to study the competition, find a niche and take advantage of it. Your bottom line will thank you.
Jack Burris and Franchise Business Review help people navigate the world of franchising by providing honest opinions of current franchise owners. To find out more you can visit FranchiseBusinessReview.com.