EMERGING BRANDS
Emerging Businesses by Seth Lederman, Consultant, The Franchise Consulting Company
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ranchising is a driving contributor to the economy. In the U.S. alone, franchising had an economic output of approximately $790 billion in 2021. And more and more people recognize the power of franchising to help them achieve their dreams of home ownership. An estimated 790,000 franchise establishments opened in 2022. While you can choose from many established names in franchising, many people also like the idea of getting
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in on the ground floor with a new franchising system. After all, even the biggest names started with one location before growing. There are risks with an emerging brand, but the rewards outweigh them — from lower franchising fees to more location options. WHAT TO LOOK FOR IN AN EMERGING FRANCHISE Emerging franchise brands often bring new and innovative concepts to the market. This could be a unique product or service, a distinctive business
JANUARY 2024 | WWW.FRANCHISEJOURNAL.COM
model, or a novel approach to an existing industry. Even though these new brands, they’ve typically demonstrated some success in their initial locations. They may have a few pilot stores or units that have shown promising results and attracted the attention of potential franchisees. Take note of how scalable the brand is. A successful franchise concept should be easily replicated across various locations with consistent