The Changing Face of Canada’s Franchise Industry
Published On February 1, 2017
Canadian Franchise Association releases 2017 trends; Sports, Recreation and Entertainment franchises take top spot thanks to growing interest from younger demographic
Toronto – February 1, 2017 – Franchising, it’s not just food, and the recent 2017 franchise trends report released by the Canadian Franchise Association (CFA) proves it. Franchises can be found in more than 50 industries, but the top three piquing interest among Canadian prospective franchisees is what is different, with not one in the coveted food category.
“In fact, more than 60 per cent of Canadian franchises are in non-food sectors, from oil changes to cosmetics and everything in between,” says Canadian Franchise Association President & CEO Lorraine McLachlan. “The beauty about franchising is it is nimble and can change with the Canadian consumer’s always evolving needs. In 2017, you can expect to see a lot more young faces combatting unemployment through entrepreneurship and unique trending franchises,” adds McLachlan.
Combined with an overwhelming increase in franchise information requests of 89 per cent* in 2016, and 34 per cent of prospective franchisees now under the age of 35, it is clear the franchise landscape is changing. Millennial interest in franchising has continued to rise year over year, with an increase of 4 per cent in 2016, making them the largest cohort of prospective franchisees.
Here are the franchise trends you can expect to see more of in 2017:
SPORTS, RECREATION & ENTERTAINMENT
With the majority of Canadians showing increased interest in access to healthy and active opportunities, it is no wonder why this category took top spot with 835 per cent growth in sports, recreation and entertainment franchise requests in 2016. From ballet bar classes to rock climbing – Canadians have spoken and traditional workouts just aren’t cutting it anymore.
Unique franchises such as 9Round – a 30-minute, full-body kickboxing workout developed by a professional fighter – have embraced this approach to health and wellness and have gone further to create communities that build strength and confidence and empower each other to reach goals.
MOBILE AND HOME-BASED
The world never stops, and neither should your business. Trending in the top three spots last year, mobile franchise continue to show strong growth for the year ahead. Between 2015 and 2016, the category reported 313 per cent growth in mobile business franchise requests and 131 per cent growth in home-based business franchise requests. In 2017, more and more franchisors will be offering the option of mobility – lowering operating costs and offering the ability to differentiate a brand and cater to the needs of the customer in a way that a brick and mortar can’t. Mobile franchises also offer an edge over competitors, offering the ability to reach consumers wherever and whenever. Expect to see more mobile franchises in these sectors including companies such as: Bloomtools, The Frozen Trolley and Heart to Home Meals.
As more and more Canadians consider self-employment, access to understanding entrepreneurship will continue to be necessary. With such strong interest in franchise information requests this past year, it is understandable to see growth in business consulting franchises, but the 214 per cent growth is remarkable.
Companies such as: Crestcom, Express Employment Professionals and The Entrepreneur’s Source aim to provide people with the answers and the opportunities they needed to improve their lives and make the career transition to business ownership.
“Franchising provides an attractive alternative, one that offers greater control of your future, allows you to be in business for yourself, but not by yourself and mitigates risk with a proven successful business model,” adds McLachlan.
You can expect to see these franchises, trends and more at the upcoming annual Franchise Shows: The Franchise Show in Calgary, taking place February 11-12 at Big Four Centre in Calgary, Alberta and The Franchise Show in Toronto, taking place February 25-26 in Toronto Congress Centre, Hall F, South Building. Produced by the Canadian Franchise Association (CFA), attendees will have the opportunity to meet face-to-face with franchisors, consult one-on-one with expert advisors and get tips for success at free seminars. A proven catalyst for entrepreneurs looking at franchising as a new and exciting career options, The Franchise Shows are Canada’s largest and most-trusted franchise-only trade shows.
* Canadian franchise information requests submitted on the Canadians Franchise Association’s lead generation website www.lookforafranchise.ca
About the Canadian Franchise Association
The Canadian Franchise Association (CFA) has been the recognized authority on franchising in Canada for 50 years. With over 600 corporate members nation-wide, CFA represents many of Canada’s best- and lesser-known franchise brands and over 40,000 franchisees. CFA is the indispensable resource for the franchise community and advocates on behalf of franchisors and franchisees in Canada to enhance and protect the franchise business model. CFA promotes excellence in franchising and educates Canadians about franchising, specific franchise opportunities and proper due diligence through its many events, programs, publications, and websites (www.cfa.ca and www.LookforaFranchise.ca).
About The Franchise Show
As the official show of the Canadian Franchise Association (CFA), The Franchise Show (www.thefranchiseshow.ca) is Canada’s largest exhibition of franchise opportunities, exclusively featuring CFA member franchises from a range of industries and investment levels. Over two days, attendees can meet face-to-face with representatives from some of Canada’s leading franchise brands, attend free educational seminars and speak one-on-one with franchise experts to learn how to become business owners but with the resources and support of an established brand behind them.