The UK Franchise Sector 2003
(Information from the 2004 BFA/NatWest Franchise Survey)
| Total Franchisors: |
692 |
Up 3% on 2002 |
| Total Franchisees: |
33,800 |
Down 0.2% on 2002 |
| Total Turnover: |
£9.65 billion |
Up by 2% on 2002 |
| Total Employment: |
330,000 |
Up by 1% on 2002 |
The Character of Franchising
Franchising Activity for the Non-Dairy Sector in 2003
|
Franchisors |
|
Franchisees |
|
| Hotel & Catering |
117 |
+3% |
6,394 |
+10% |
| Store Retailing |
89 |
+5% |
4,391 |
+3% |
| Personal Services |
110 |
No change |
4,540 |
+10% |
| Property Services |
152 |
+3% |
5,545 |
+5% |
| Transport & Vehicle Services |
76 |
+5% |
2,554 |
-5% |
| Business & Commercial Services |
152 |
+5% |
8,591 |
-1% |
| Total |
692 |
+3% |
32,015 |
+4% |
Regional Distribution of Franchised Units %
| London |
14 |
East Anglia |
5 |
North West |
10 |
| Other South East |
18 |
South West |
11 |
Scotland |
6 |
| West Midlands |
10 |
Yorkshire |
7 |
Northern Ireland |
2 |
| East Midlands |
6 |
Wales |
4 |
North/North East |
4 |
Success & Failure Rates
|
Profitability
(All Franchisees) |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
<2yrs |
>5yrs |
| Profitable (%) |
89 |
90 |
95 |
93 |
91 |
95 |
89 |
97 |
| Loss Making (%) |
11 |
10 |
5 |
7 |
9 |
5 |
11 |
3 |
| Franchisor Withdrawals |
1998 |
1999 |
2000 |
2001 |
2002 |
2003 |
| Commercial Failure (%) |
0.8 |
1.0 |
1.8 |
1.0 |
2.2 |
1.4 |
| Other (%) |
7.5 |
15.0 |
7.9 |
6.0 |
6.7 |
7.0 |
| Franchisee Withdrawals |
|
|
|
|
|
|
| Forced (%) |
4.6 |
5.3 |
6.2 |
4.8 |
3.7 |
2.1 |
| Voluntary (%) |
3.2 |
3.4 |
5.8 |
4.0 |
5.2 |
6.4 |
Franchise Satisfaction
| Franchisees satisfied with their Franchisor relationships |
86% |
| Franchisees believing business will improve in the next 12 months |
69% |
|
