Mr Virendra Yadav recently conducted a Workshop on “Franchising Challenges” for students of PGDM at Unitedworld School of Business, Ahmedabad.
Mr. Virendra Yadav is currently the National Head –Corporate Sales for Talwalkars Better Value Fitness Ltd before which he has worked with Franchise India, Nexus Techno Solutions, Bajaj Allianz and Aviva The seminar began with the discussion on reasons for a Brand to Franchise, Reasons for an Investor to Franchise, Top 3 Reasons To Franchise: Time, Capital, Talent and Types Of Franchise Model: COCO, COFO, FOCO, FOFO India. He has discussed the following Franchising challenges and possible solutions to them.
The Rapidly Franchise Industry in India said to be the 2 nd largest in the world, it is expected to grow at an average rate of 28%. The Indian franchise industry is estimated at $24 billion with a healthy year-on-year growth of 30 per cent. Its size is estimated to touch $35 billion by 2020.
Finding a right franchise partner, lack of skilled staff and rising real estate cost are among the common challenges faced by franchisors across India.
The mantra of the successful retailing till today is offering high value for money to the consumers while fetching high volumes to offset the lower margins.
Finding the right partner to represent your brand is a big challenge. To overcome this challenge a very stringent selection criteria of franchisee selection to be put in place is evaluated.
He concluded by saying that there are obstacles but measures to counter them too. Evolving the business according to the market and the franchisees can work your way. All you need is patience and should adopt new measures to strike a right balance.