New Delhi [India], September 16 (ANI/ATK): In the covid-19 world, many entrepreneurs and businesses faced massive set-backs. One of such businesses was Franchise Business.
As this type of business is heavily dependent on Offline Model or Outlet Model, they suffered massive losses.
Both Brands (Franchisor) and Entrepreneurs (Franchisee) suffered massive losses. Due to strict lock down and restrictions, most of the shop owners had to keep their outlets closed. Hence, New Entrepreneurs were reluctant to start a franchise business.
But, Post 2nd wave of covid-19, we are seeing that the demand is soaring and entrepreneurs are looking to invest in Franchise Outlets and even Brands have started giving out Franchise.
Especially in last 2 months, as per Franchisebyte.com data suggests that, some of the industries have seen massive upside in their franchise business.
Some of the Industries has received powerful boost are -
* Food and Beverage
Let's dig a bit more in detail regarding these industries -
According to Founder of Franchsiebyte.com, Santosh R Majumdar, these industries have seen almost 2X increase in their franchise business in last 2 month compared to last 12 month combine.
Let's see how each of these industries have performed.
Food & Beverage Industry
Food and Beverage Industry which is the largest industry in terms of volume in franchise segment, has seen almost 2.5X increase. Some of the best performing business lines has been Tea & Coffee Franchise, ICE Cream Franchise and Fast-Food Franchise.
These Business Lines of Food and Beverage Industry has observed almost 3X increment in last 2 months compared to last 12-month aggregate business. Business Lines like Restaurant, Pizza, Burger Franchise are gearing up.
Even during the 1st and 2nd wave of Covid-19, this industry was growing, but in last 2 months, Healthcare Industry is the fastest growing industry in franchise business. It has seen 3.5X growth in past 2 months.
Business Lines like Diagnostic Centres, Collection Centres and Pharmacy Franchise has seen massive boost.
Retail Industry was affected the most during Covid-19. Food and Beverage was able to survive due to food delivery services and Healthcare was doing good, but in Retail, there was a major slump.
Due to Online Shopping, this industry was affected badly & due to Covid-19, the bad became worse. After 2nd wave, this industry has seen some good time & so has its Franchise segment.
Business Lines like LifeStyle Store, SuperMarket, Departmental Stores have seen very good 2.3X increment while Organic Stores, Raw Meat has seen a decent surge aswell.
New India has seen a major growth in Automobile Industry but between 1st Wave & 2nd Wave of Covid-19, even this industry was badly affected. Since, this is a brick-n-mortar model of business, it has seen really bad phase.
Many existing franchisee & franchisors has seen massive slump in their revenue & profits. But July & August 2021 has seen a really decent jump in businesses.
Business Lines like Automobile Maintenance and Repair, Car and Bike Rental and Electric Vehicle Franchise has been a really massive boost of 1.75X compare of 12 months between 1st Wave & 2nd wave.
Fashion Industry has seen a jump of 1.5X in last 2 month compared to previous 12 Months i.e., July2020 - June2021.
Since, all the shopping malls and Shopping complex were closed, these entrepreneurs & brands beard massive losses. Many businesses had to close down because they couldn't sustain losses.
But it seems that the bad days are over as some of the business lines in fashion industry has started picking up their businesses. The likes of Jewellery Franchise, Clothing Franchise & Specs & Sunglasses category are doing exceptionally well.
As per the Founder and Owner of FranchiseByte, the bad days are over now and he is hoping that franchise business in India will grow almost 5X this financial year compared to last financial year.
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