2010 Trends For Franchise Companies

2010 Trends For Franchise Companies

If you are considering taking the step of "buying" and operating a franchise for sale in 2010, it is best to know the markets you are considering before ever taking the next steps towards signing a franchising agreement. No matter whether it is a large or small franchise, brick and mortar or home based franchise you want it to withstand the test of time and not be another of the many that is sporting a 'going out of business sign' in the near future.

One of the key pieces of research that should be considered while looking through franchises for sale is a look ahead at the franchise market of 2010 report, offered by Pricewaterhouse Coopers LLC. The International Franchise Association Educational Foundation commissions the report annually.

The overall good news in the report is that the franchise market as a whole will be receptive to a 2% growth in franchise establishments in 2010 with an increase in revenue of 2.8%. Yet, each industry has it's own growth expectations and some are better than others.

Automotive

According to the Pricewaterhouse Coopers LLC report, the automotive industry is in for a moderate increase of 2.2% over 2009 with increased spending in the area of 36.4 billion dollars industry wide.

Commercial and Residential Services

The increase in the commercial and residential services industry is expected to be less impressive, in the area of 1.5% in spending in 2010 for overall spending of 38.2 billion dollars for the industry.

Quick Service Restaurants

Fast food restaurants are those that are expected to continue to do well as the top restaurant franchises, no matter what the economy does. This industry is slated for a 3.2% increase in sales for a total output of $203.6 billion dollars for the market with many of the top 100 franchises being in this category.

Table/Full Service Restaurants

As the economy begins to pick up, more and more people will be willing to pick up the bill for a sit down meal that they may have skipped on in the past. For this reason the table/full service restaurant industry is expected to see a 2.3% increase in 2010 with total output of $64 billion.

Retail Food

It seems Americans are going to be happier to purchase more food for the house in 2010 as well. The 2010 industry trend report forecasts a 2.3 percent increase in the retail food market equating to sales of 67.5 billion dollars.

Lodging

Many who had passed on vacations over the past few years because of the economy may be a little more willing to travel now. The lodging industry is expected to show overall output in 2010 of 62.7 billion dollars, a 1.8% increase over last year.

Real Estate

While the real estate industry has been struggling for the past few years, 2010 should begin to turn things around. The franchise real estate industry is forecast to see an overall output of 22.8 billion this year or a moderate 1.4 percent increase.

Retail Products and Services

More consumers are going to be comfortable with retail spending. Franchises in this market can expect a 2.5% increase in 2010 with total spending in the industry at 50.5 billion dollars.

Business Services

Even those who do business are willing to spend a little more in 2010 on services they need. The expectations for this industry, even a small franchise business, are for an increase of 2.6% or total spending near 189.6 billion dollars.

Personal Services

When people feel better about the economy, they are willing to spend more on themselves. This is why the personal services industry is expected to see growth of 4.4% this year with a total output of 132.8 billion dollars.

Franchise Companies are offering business opportunities all over the U.S.