Service franchise sector overview
Franchises in the Service sector cover a range of industries including those that provide consultancy services , English language classes and travel destination guides . Service franchises are basically any business that provides a service to its customers rather than selling them a product.
Although many brands within the Service sector are not as well known as those in other industries, for example Domino’s Pizza in the food and drink sector and The Body Shop in the retail sector, the services provided are often vital to businesses and consumers alike.
For a franchise owner one of the main advantages of owning a franchise in the Service sector is that it enables them to grow a substantial business without having to invest money into buying or renting store premises and employing large numbers of staff. For example UK-based franchise consultancy company Franchise Development Services (FDS) has Master Franchise rights available
for countries and territories worldwide. The owner of a FDS franchise will be able to establish a franchise consultancy service across their entire territory, which can be run from a small office and with few staff. To cover the same area, a Master Franchise Owner of a retail franchise would have to launch multiple stores and hire a large number of employees.
Service franchises would more likely appeal to those who are organised, have good marketing skills, and who are good at building relationships with customers. The owners of Service franchises will also need to be comfortable selling a service to customers rather than a product.
As a Service franchise is not operated from a store and therefore does not gain from passing foot traffic, a business in the Service sector often requires a lot of time and energy being spent on marketing. As well as this, in order to build up a customer base a Service franchise owner usually needs to possess good sales and communication skills.
Franchisors in the Service sector are often keen to partner with franchise owners who have a proven ability to provide services to customers or who have excellent management or sales abilities. As part of the franchise package the majority of franchisors will ensure that franchise owners are fully trained on how the business operates before they begin trading, and often provide ongoing support, including marketing help, to their franchise network.
For those looking at the Service franchise sector the vast number of different industries and businesses it covers means that finding one to suit a specific investment budget and interest is achievable. In both the showcase and Service franchise sections on this website are a range of franchises in this sector that will help to kick-start serious research for a franchise opportunity in the Service sector.
Written by Derin Clark