Indian Franchise Statistics and Information

From the traditional business acumen Indian business community has made a shift towards understanding and adopting business as a science. And when it comes to science and systems of business, franchising is a sector that is ever evolving and thriving. Indian business environment is slowly witnessing the changes and now the concept and essence of franchising is permeating into the Indian businessmen's mind.

In the past one decade International franchise brands like Pizza Hut, Dominos, KFC, Mc Donald's, Gold's Gym, Kodak, Subway, Holiday Inn and many others started a positive trend by leveraging the potential of the Indian market. Thanks to these brands today International franchising in India is one of the most exciting areas in the franchise industry.

The vast geographical expanse, diverse culture, powerful and growing economy and acceptance of western concepts by Indian masses, provide excellent franchise and business opportunities in India. Especially sectors like Retail, Food and Beverage, Education, Health, Beauty, Tourism, and many other services are booming in the Indian franchise market. It is also predicted that introduction and penetration of new technologies will create new opportunities for franchises. All these market conditions combined with the low rate of franchise failure and significant return on investment has made franchising a major strength in current Indian economy.

Also many Indian brands are taking the franchising pathway to success and in areas like Specialty Cuisine, Ayurveda, Education and beauty many Indian brands have created a global success story. New age Indian generation has realized the scope of growth in franchising and thus in today's race for success majority of Indians have decided to indulge in business. And for these entrepreneurs becoming a national or International franchise seems much easier, safer and profitable than struggling for brand identity while running a small enterprise of their own.

India is an autonomous and competitive territory for doing business with a very vibrant media, a pool of high skilled sophisticated labour, an impartial judiciary and a favorable legal infrastructure. Thus every state and city brings promising business for both national and International franchisors. India is also well positioned among Asian destinations for foreign direct investment and thus more and more foreign companies are planning to set up their base in India. This will result in more lucrative franchise and business opportunities in India.

Since its beginning in early 90s, the franchise industry has grown in leaps and bounds in the Indian sub-continent and there is still much to explore, based on the successful growth of many franchise brands in India, the future of franchising in India is highly promising.

This promising future of the Indian franchising industry is backed up by an equally powerful market report that shows statistics of this thriving sector.

According to the reports, for the past five years Indian franchise market has recorded a steady growth of 30 to 35 % per annum. Also the annual turn over of the Indian franchise industry soared to 3.3 billion USD and it is projected to soar higher in the coming years.

Employing around 3,00,000 people the Indian Franchise industry has much more to offer than it is presumed to be. There are four fastest growing sectors in Indian Franchising namely Telecom, Retail, Food and Education. And there are good reasons for this to be, Indian Telecom sector recently celebrated a record of 100 million users and this brought a wave of expansion in every Indian telecom company to the farthest and remotest possible market Telecom franchises have come up in India and they are projected to thrive well with the reports of user numbers touching 250 million by the end of 2007 and 500 million by the end of the year 2010.

In the retail sector also there has been a constant flow of Real Estate projects. With 300 malls, 1500 supermarkets, the Indian retail market will be thriving more than ever before. And as, many of the franchise businesses are into retail, the Indian franchise industry will witness a growing trend in this sector.

Apart from Retail and Telecom, Food and Education are the sectors which are showing promising trends. While Food franchise has always a been steady sector, Education has picked up recently by offering education to every consumer group from Playschools to spoken English, Computers to Overseas education consulting and many other areas of education has been explored in Indian franchising.

Anyone who has seen the geographic scale of India can presume that in the coming future franchising industry will attain very high growth records. The industry has not yet touched its zenith. Till now only major cities have provided the platform for growth of Indian Franchising, however as the Indian economy is acquiring new dimensions more than 50 B cities of the Indian sub continent will emerge as new markets for Franchising.

Both the consumers and entrepreneurs of these small cities now feel the thriving pulse of their bigger counterparts and are more than ready to welcome the new shift in the trade and business. Also as the major cities are now on the verge of saturation, best of the brands and corporate companies are finding these small cities as their next hot destination.

The makeover of a small town Gurgaon in Haryana is no less than a miracle, from a farmland set up, it has emerged as the center for every major MNC's operations. The youth and people have accepted and adapted this shift and today Gurgaon boasts of being the most buzzling destination, be it employment, business or fun and entertainment. With a Mall at every corner and rows of international call centers and a multinational company head office in every building, Gurgaon represents the face of new age Indian city.

Every small town in India is waiting to be the next Gurgaon and we are sure with upcoming economic trends this hardly seems difficult.

With the trade and business growth, retail and franchising industries are sure to soar and thus as the most potential market, Indian Franchising is all set to ride high.