Franchise Spotlight: Retail
Retail industry trends show that this is a sector teeming with a host of exciting franchise opportunities.
Retail sales in Canada were estimated to have reached over CA$600billion in 2019 (Statista), a figure which has risen steadily and is projected to continue growing. Canadians love shopping! The retail industry covers a wealth of businesses - from clothing and footwear to electronics and gifts, as well as convenience and discount stores. With such a huge variety of options available, there is something for everyone in the retail sector and franchisees will need to consider where their interests and experience will be best utilized.
With a rise in the number of people buying online - over 28 million Canadians made purchases online in 2019 (Statista) - franchisees will need to be aware of viable digital marketing strategies and ecommerce options when investing in this market. There is still high demand for brick and mortar stores with many people preferring to browse and try before they buy, but a strong online presence and sales plan could prove imperative in the future.
Buck or Two Plus! are a company who have taken advantage of discounts and bargain buying - they franchise in the ‘extreme value sector’ of the retail industry. There are also franchises which have tapped into specific retail niches, such as Miracle-tub who manufacture and sell bathtub liners and bath surrounds. For franchisees looking to run a convenience store, the Shefield Group (Express) operates out of shopping centres and enclosed malls, ensuring good consumer footfall in a secure environment for those starting their business.
Retail Industry Analysis
The retail sector is a highly competitive and fast changing market with a wealth of investment opportunities to suit all interests and experiences. A franchise can be a great option for those who are keen to break into the retail industry, but feel daunted by the challenging and competitive market.
Most franchise options involve owning and managing a brick and mortar store but, as more people buy online, franchisees need to be aware of ecommerce options for their business. There is often not a direct requirement for experience in retail, although strong sales experience will certainly be helpful. Self-motivation, adaptability and strong business acumen will be vital to be successful in the retail industry - as well as the ability to spot industry trends and manage a team. As retail sales look set to grow, franchisees investing in this sector can look forward to a lucrative future.