Franchise Key Points

Here we look at key or interesting points from each country analysis on franchisemeets.com to

help you find a USP.

Japan

23% of household expenditure goes on food compared to 5-7% in the US and 10-12% in Europe.

The biggest consumers are the elderly population accounting for 44% of all consumer spending.

China

A slowdown in China? GDP growth is still above 7% and retail sales grew by 13.1% in 2013 and are expected to continue to grow 8.7% annually until 2018.

Only around 13% of American franchises have entered the Chinese market though 15 of the world’s top 20 franchises are already active in China.

Philippines

A new survey by Nielsen revealed that Filipino consumers are among the world's most socially conscious when it comes to purchasing goods and services. The survey found close to 8 in 10

consumers are willing to pay extra for products and services that come from companies that are committed to making positive social and environmental impact.

Indonesia

Indonesia is the world’s third largest democracy and Asia’s fourth largest economy. The middle-class is expected to double to 140 million people by 2020 and Indonesians are not shy when it comes to

actually flashing the cash.

Consumer spending is projected to grow by 7.7% annually until 2030.

Malaysia

Malaysia has Asia’s and probably the world’s most franchise friendly government that helpfully runs a number of incentives and schemes for franchisors including low interest loans of up to 80% available

to new franchises with no guarantor or collateral required.

An impressive 97% of the population are employed and 28% of the population are aged 15 years and below.

India

The adoption of non-Indian brands is most noticeable among the younger generation. As the average age of the population is 25 and it is these people who are building the new middle-class, becoming

brand conscious and becoming consumers in their own right, this group is an obvious target for franchisors.

Korea

Korean consumers have a strong purchase history of foreign brands so as well as valuing money, they have a high understanding of brand philosophy and marketing channels. They will readily try new

products and are always seeking new tastes and ways to improve their lifestyle and image.

Nearly 80% of the population is online, making it the most connected country on the planet!

Singapore

Singapore has a very multi-cultural, globally aware population and is therefore a great test marketing location for brands before committing to a regional launch.

The generally higher affluence means there is a less price resistant market-a useful point for premium brand companies to bear in mind.

Thailand

One key point that makes franchises attractive to Thailand franchisees is the low capital requirement and the low operating costs.

Adapting a franchise model to a smaller scale operation or introducing a mobile model will appeal to a wider range of potential franchisees.

Vietnam

Vietnam has been touted as one of the five most lucrative retail markets in the world.

Vietnam has significantly lower labour costs than its Asian neighbours and rent and utilities are amongst the lowest in Southeast Asia.