Franchising in Australia - Market Research Report

Franchising industry trends (2014-2019)

poll Average industry growth 2014–2019: 0.9%

Operators in the Franchising industry have faced challenging trading conditions over the past five years. Uncertainty in domestic markets has led to volatile consumer sentiment and cautious consumer spending on franchised goods and services over the period. As a result, revenue for the Franchising industry is expected to rise at an annualised 0.6% over the five years through 2019-20. Trends in real household disposable income, average weekly hours worked and the cash rate have also affected the industry's performance over the past five years. Industry revenue is expected to remain unchanged in the current year, at $184.1 billion. Modest growth in disposable incomes over the past five years has boosted consumers' spending power. However, volatile con...
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Franchising industry outlook (2019-2024)

poll Average industry growth 2019-2024: x.xlockPurchase this report or a membership to unlock the average company profit margin for this industry.

Steady trading conditions are forecast to support the Franchising industry over the next five years, with revenue projected to rise at an annualised X.X% over the five years through XXX-XX, to $XX.X billion. The industry is anticipated to benefit from stronger demand for service-based franchises over the next five years, particularly those focused on health and wellbeing. As a result, service-based franchises are projected to become more prominent in the industry over the period. Trends in real household disposable income, consumer sentiment, average weekly hours worked and interest rates will continue to influence consumer demand for franchised goods and services over the next five years. Operating landscape A stronger domestic economy is forecast...
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Franchising industry statistics

  • attach_money Market Size: $184bn
  • business Number of Businesses: 98,650
  • poll Average Industry Profit Margin: x.x%
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  • supervisor_account Industry Employment: 594,500

Biggest companies in the Franchising industry

The companies holding the largest market share in the Franchising in Australia industry include Metcash Limited.

  • pie_chart Metcash Limited Market Share: x.x%
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What is Franchising industry?

Industry Definition

Franchising is a method of growing a business in which a franchise owner (franchisee) is granted, for a fee, the right to offer, sell or distribute goods or services under a business system determined by the business founder (franchisor). The franchisor supports the franchised business group by providing leadership, guidance, training and assistance in return for ongoing service fees.

Industry Products and Services

  • Retail trade
  • Accommodation and food services
  • Administration and support services
  • Personal services
  • Other franchised products and services

Industry Activities

  • Franchised non-food retailing
  • Franchised food retailing
  • Franchised administration and support services
  • Franchised rental and hire services
  • Franchised education and training services
  • Franchised finance and insurance services
  • Franchised construction and trade services
  • Franchised healthcare and social services
  • Franchised information media and telecommunication services

Market research report - table of contents

Industry Definition

Franchising is a method of growing a business in which a franchise owner (franchisee) is granted, for a fee, the right to offer, sell or distribute goods or services under a business system determined by the business founder (franchisor). The franchisor supports the franchised business group by providing leadership, guidance, training and assistance in return for ongoing service fees.

Main Activities

  • Franchised non-food retailing
  • Franchised food retailing
  • Franchised administration and support services
  • Franchised rental and hire services
  • Franchised education and training services
  • Franchised finance and insurance services
  • Franchised construction and trade services
  • Franchised healthcare and social services
  • Franchised information media and telecommunication services

Similar Industries

Additional Resources

Industry Statistics Snapshot

Industry Structure

Executive Summary

Key External Drivers

Fluctuations in real household disposable income drive demand for franchised products and services. Income growth boosts consumers' spending power and ena...
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Real household disposable income
Consumer sentiment index
Cash rate
Average weekly hours worked

Current Performance

Profit and competition
Operating structure
 Chart: Revenue Growth

Industry Outlook

Profitability and growth areas
Enterprises and employment
 Table: Franchising in Australia - Market Research Report Industry Revenue Outlook

Industry Life Cycle

Life Cycle Reasons
 Chart: Benchmarking - Franchising in Australia - Market Research Report Industry Lifecycle vs The Economy

Supply Chain

Key Buying Industries

Consumers






Key Selling Industries

General Line Grocery Wholesaling in Australia
Clothing Wholesaling in Australia
Toy and Sporting Goods Wholesaling in Australia
Book and Magazine Wholesaling in Australia
Hardware Wholesaling in Australia


Products & Services

The Franchising industry has undergone a period of transformation over the past five years. Growth opportunities and consumer demand have driven an influx...
Businesses





Demand Determinants

The industry supplies a diverse range of products and services. As a result, demand determinants vary considerably among various segments. However, trends...
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Major Markets

Businesses






 Chart: Major Market Segmentation for the Franchising in Australia - Market Research Report Industry

International Trade

Business Locations

Chart: Business Locations by State Chart: Business Locations by State

Market Share Concentration

The industry has low concentration as the top four players account for considerably less than 40% of the market. The industry supports numerous large and ...
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Key Success Factors

Cost Structure Benchmarks

Profit, Purchases, Wages, Other Costs
 Chart: Cost Structure Benchmarking – Sector vs Franchising in Australia - Market Research Report

Basis of Competition

Internal competition
External competition

Barriers to Entry

 Table: Barriers to Entry Checklist for the Franchising in Australia - Market Research Report Industry

Industry Globalization

Metcash Limited operates as a wholesale distributor of groceries, liquor and hardware. The company's operations are segmented into three divisions: food, ...
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Metcash

 Table: Metcash - financial performance

Capital Intensity

The Franchising industry has low capital intensity. For every dollar spent on capital in 2019-20, an estimated $12.58 is spent on wages. Aside from the in...
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 Chart: Level of Capital Intensity for the Franchising in Australia - Market Research Report Industry
 Chart: Tools of the Trade: Growth Strategies for Success

Technology & Systems

Revenue Volatility

Chart: Volatility vs Industry Growth Chart: Volatility vs Industry Growth

Regulation & Policy

Industry Assistance

Table: Industry data Table: Industry Data for the Franchising in Australia Industry

Industry Revenue (2007-2026)
Industry Gross Product (2007-2026)
Establishments (2007-2026)
Businesses (2007-2026)
Employment (2007-2026)
Exports (2007-2026)
Imports (2007-2026)
Wages (2007-2026)
Domestic Demand (2007-2026)

Table: Annual Percentage Change for Key Industry Data Table: Annual Percentage Change for Key Industry Data

Table: Key Ratios for Industry Key Dat Table: Key Ratios for Industry Key Data

Table: Industry Financial Ratios Table: Industry Financial Ratios

Liquidity Ratios
Coverage Ratios
Leverage Ratios
Operating Ratios
Cash Flow & Debt Service Ratios (% of Sales)
Assets, %
Liabilities, %

FRANCHISE

FRANCHISEE

FRANCHISOR

THIRD LINE FORCING

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Included in Report

  • Industry Financial Ratios
    Industry Financial Ratios
  • Revenue Forecasts
    Revenue Forecasts
  • Historical and Forecast Growth
    Historical and Forecast Growth
  • Industry Market Size
    Industry Market Size
  • Industry Major Players
    Industry Major Players
  • Profitability Analysis
    Profitability Analysis
  • SWOT Analysis
    SWOT Analysis
  • Industry Trends
    Industry Trends
  • Industry Operating Conditions
    Industry Operating Conditions
  • Porter's 5 Forces Analysis
    Porter's 5 Forces Analysis

Why buy this report on the Franchising industry?

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This report on Franchising in Australia:

  • Provides Market Size information to assist with planning and strategic decisions.
  • Includes the necessary information to perform SWOT, PEST and STEER analysis.
  • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
  • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.

The Franchising in Australia market research report includes:

  • Historical data and analysis for the key drivers of this industry
  • A five-year forecast of the market and noted trends
  • Detailed research and segmentation for the main products and markets
  • An assessment of the competitive landscape and market shares for major companies
  • And of course, much more

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