fr a n c h i s e s i n yo u r pr i c e r a n g e fe at u r e
expert advice: Peter Buckingham | Managing Director | Spectrum Analysis Australia Pty Ltd
franchise outlook
for Australia in 2022 Australia is one of the easiest companies for American franchises to establish in. We are a well-developed market in a country with high GDP, and English is our native language. The franchise sector in Australia is in a mature state, and has become the distribution method of choice for many, with 90,000+ franchised businesses in Australia. The market sector turns over $155bn and employs around 516,000 people. According to the IBISWorld 36 Franchising MAGAZINE USA
Franchising in Australia report published in June 2021.
History Franchising has been in Australia since 1815, when it was started by Sydney Hospital being built and was funded by the private sector, allowing the operators to charge a fee for service, and being allowed to import 60,000 gallons of rum to service the people. The hospital was also known as Governor Macquarie’s Rum Hospital. The food franchises probably started the rapid growth with McDonald’s, KFC,
Hungry Jacks (aka Burger King) and some other large QSR’s bringing their systems from America in the late 1960’s and early 1970’s. Personally, I became involved in franchising when on the 30th September 1980, when the government legislated in the form of the Petroleum Retail Marketing Franchise Act of 1980, that every service station owned, leased or operated by all the major oil companies was a franchise effective immediately, with the incumbent given 9 years’ worth of franchise tenancy. That created around 8,000 new franchises overnight!
