Next time you’re out shopping, take a moment to look around you. How many small, independently owned businesses do you see? If you’re noticing a lot of brand names instead of mom and pop stores, you might be tempted to say not a lot. But the truth is, many recognized brands are made up of dozens, if not hundreds, of small independently owned and operated stores, and franchising has allowed those brands to grow. Franchising a business is a great way to offer as many people as possible the chance to become a business owner, which is one reason why so many entrepreneurially-minded folks choose to go into business as a franchisee. Here, we’ll take a quick look at the history of franchising and why it’s such a popular option for people who want to go into business for themselves.
In the Beginning
The first examples of franchising as a way of doing business go back to mid-nineteenth century Germany, when brewers set up contracts with tavern owners to sell their beer exclusively in their taverns. Around that same time in the United States, Isaac Singer (of Singer sewing machine fame) began to award the rights to sell his sewing machines to traveling independent salesmen, making him the first American product-name franchisor. Later, during the 1920’s and 30’s, iconic brands like Ben Franklin, A&W Root Beer, Howard Johnson, and Arthur Murray Dance Studios came on the scene and grew to become beloved by millions of consumers.
Franchising a Business: The Later Years
The 1950’s and 60’s saw franchising take off as a way of doing business, with many current franchise chains we know and love, like KFC, McDonald’s, and Burger King, establishing themselves. This growth can be linked to two important cultural changes in the United States: the rise of television advertising, and the establishment of the national highway system. The former made national advertising a reliable way to build brand awareness, and for the first time it became possible for a franchise to enjoy a competitive advantage based on its recognizable name. The latter made travel to unfamiliar locations more common, creating the need for national brand names as a way to demonstrate quality to potential customers in these locations.
Today, there are well over 750,000 franchises doing business in this country every day — and for good reason. Working under the umbrella of a franchise brand allows franchisees the freedom to be their own bosses and still enjoy the support that comes from a franchisor. At the Golden Chick chicken franchise, we go the distance when it comes to training and support, making sure all our franchisees are fully prepared to take advantage of our time-tested business model and our robust industry. Our experts are always on hand to answer questions or address concerns, and our 50+ years of experience is just part of what allows our franchisees to stay ahead of the competition.
Ready to find out more about our chicken restaurant franchise opportunity? We’d love to hear from you, so get in touch today!