Arlette Dumont du Voitel
Arlette Dumont du Voitel | Client Project Manager | 10 THOUSAND FEET
"As the economic rollercoaster continues, security has become a fashionable word again, most popularly used in combination with jobs, income, business continuity and investment. Whilst it is close to impossible to guarantee security, there are franchise opportunities available in Australia in industries that are stable during recessions or even countercyclical. If more security is what you are after, here are some franchise opportunities that offer goods and services that are still or exactly then in demand when money is scarce and the perceived insecurity is high.
In economic downturns, people cut down on their spending. This is especially true for mid and low income earners. While in 2007 rather luxurious items such as plasma or LCD screen TVs, game consoles, entertainment systems and the like became affordable for the general public, the general public is now saving on those luxurious items that, considering the uncertain economic situation, have become a risky purchase. As a matter of fact, people would still like to have a plasma or LCD screen TV in their home but without the risk of spending a lot of money in one hit or being faced with huge interest rates on an originally interest free item that couldn't be paid off in time.
It, therefore, comes as no surprise that the appliance rental industry is going well at the moment with companies reporting that they have increased profits and they are expecting to grow through the economic downturn. If you have been stung by the effects of the economic downturn, franchise opportunities in the appliance rental industry might allow you to benefit from it after all.
Representative of this industry within our top 10 franchises is Mr Rental. Mr Rental specialises in kitchen, lounge, office and laundry appliances, and is ranked number 5 overall on topfranchise.com.au based on the feedback received by their current franchisees.
In times where people avoid spending money, other forms of trade become more popular such as the second hand or "trading in" market. The gaming industry owns a great portion of this market allowing customers to trade in the games and consoles that they don't want anymore towards the purchase of a new or different second hand game or console.
Gametraders is a franchise company that benefits from this trend. Gametraders buy, sell and trade all gaming formats from retro games and consoles to the latest models in both. While Gametraders didn't make the top 10 overall on this occasion, they have rated very well in the opportunities section, which looks exactly at growth and business continuity. If you are looking for a franchise opportunity that has the potential to benefit from this and future economic downturns, a franchise opportunity within Gametraders could be a good choice for you.
While luxurious goods and services are the first to fall for mid and low income earners when the economy isn't going well, people still indulge in little pleasures. Big multiple course restaurant dinners for the whole family may not be on the agenda at the moment but most people can still afford and like to afford a cup of coffee accompanied by a muffin.
Mrs Fields are expanding nationally and can provide you with franchise opportunities in the gourmet treats and coffee sector of the fast food industry. Mrs Fields is currently ranked number 7 overall on topfranchise.com.au and they are the number 1 franchise company for franchisees being happy to recommend being a Mrs Fields franchisee to a friend or colleague.
Another strong player in this sector is Muzz Buzz. Muzz Buzz continues to grow at a steady rate providing their customers with fresh coffee and small food and treat items in a convenient drive thru setting. Muzz Buzz's current franchisees expressed their satisfaction with the prospects in business growth and continuity by making Muzz Buzz the top 3 company of this section.
In all, not all news is bad news at the moment. Especially in franchising, there is a lot of potential for good news stories. It is a matter of picking the right franchise opportunity for the right personality, interest, background, skills; capital and last but not least a level of security in view of changes in the economy. There are many aspects of a franchise company that can lead to increased security. To be able to offer a product or service that is in demand in economic downturns is definitely one of them."
To see who the top 10 franchises are in opportunities for growth and business continuity, refer to the opportunities tab in the Top 10 in Different Categories section of the topfranchise.com.au website.