2022 Outlook: The State of Franchising in the Fast Food Sector

The outbreak of the pandemic forced all businesses to quickly change the way they work and operate. But with many months of restrictions behind us, what does 2022 hold for the fast food sector?

While many other sectors of the economy were forced to close either temporarily or permanently, many fast food franchises were able to continue to operate on a take-away or order-only basis. While this was better than the alternative, businesses still had to deal with a clear fall in demand.

But with 2022 beckoning, what does the year ahead mean for fast food franchises and is it a good time to start your own fast food franchise?

The fast food sector in 2022

Research by KPMG with over 2,000 consumers in spring 2021 found that the average spend per person on takeaways had risen to £641, due in the most part to the restrictions of visiting on-site dining. This is a significant increase since the research was last conducted in August 2019, when the average spend per person on takeaways that year was £452 - KPMG

In short, the fast food sector is heading into 2022 in great shape. While lockdowns and trading restrictions undoubtedly had an effect on business performance, the fast food industry is one of the few industries that can say it saw some growth over the period.

Spending on takeaways in the UK has risen noticeably over the pandemic period, with as many as 135 million takeaways being delivered during the first six months of Covid restrictions - more than 58 million more than the year before [Guardian]. It’s clear that if you’ve been looking to start your own fast food franchise, there’s never been a better time to make a career change than now.

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The future of the fast food sector

Partly because of the resilience the sector has shown over the pandemic period, it’s no surprise that so many people are looking to cash in on the advantages of running your very own fast food franchise. There are lots of foodie trends and technological innovations that are changing the way this popular and in-demand sector works, so there are exciting times ahead for every ambitious franchisee.

With more and more diverse dietary options being made available to customers, there is a vast range of diversity and ambition within this sector, so the future really has never looked brighter.

Advantages of running a fast food franchise

There are lots of advantages of running your own fast food franchise, ranging from the amount of training and support you’ll receive to the job satisfaction of being your own boss. On top of just these, you’ll also:

• Be part of a nationally recognised fast food franchise that has already established itself as a major business in this thriving sector of the economy. With everything from marketing strategies to interior decorations available to you, being a part of a franchise is a great way to get the most out of your business experience.
• Affordability is another very attractive part of the franchising business model. While the average cost of running your own franchise business is around £42,200 [British Franchise Association], there are a number of different options available to you that require minimum investments well below this level.
• You’ll also be able to look forward to enjoying much better job security compared to smaller and independent businesses. Franchises are known for having high survival rates, so if worrying about business failure is putting you off starting your own business, it’s time to stop worrying!

Challenges of running a fast food franchise

But running your own business doesn’t come easy either, so you’ll need to be prepared to:

• Work with customers everyday: While the majority of customers can make your job as enjoyable as it is, there will always be times that working face-to-face with people proves challenging.
• Working hard goes without saying. Being your own boss means you get to enjoy all the highlights of running your own business, but particularly in the early days, you’ll need to be prepared to put the hard yards in.

Franchising opportunities in the fast food sector

1. Camile Thai

Camile Thai Kitchen is a healthy and sustainable restaurant brand operating in the home delivery category, in the fast-growing and exciting healthy fast food industry. With environmental and technologically-friendly roots, this is an ambitious and innovative franchise.

• Becoming a Camile Thai franchisee: As long as you’re a hands-on operator with a growth attitude and the right financial requirements, you could be the next Camile Thai franchisee.
• How much you need to invest: Following a minimum investment of around £100,000 and franchising fees of £20,000, you’ll be able to get the ball rolling.
• What you get for your investment: Camile Thai is a balance between being your own boss and having all the right support and training you need from an experienced operator. You can look forward to a comprehensive training and support package to help get your skills in top shape.

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2. Auntie Anne’s

Auntie Anne’s is the largest global soft pretzel chain. Auntie Anne’s operating formula is simple: product, people and purpose - and the brand purpose is to do good. If you’re looking for a friendly and satisfying franchise business to be a part of, this could be a great option for you.

• Becoming an Auntie Anne’s franchise: The ideal franchisee is prepared to run a store to the highest possible standards, maintain the exemplary levels of customer satisfaction that define the franchise and to potentially consider opening more businesses in the future.
• How much you need to invest: You’ll need to make a minimum investment of around £40,000, with your total investment coming to around £145,000. You’ll also need to pay franchise fees of around £18,000.
• What you get for your investment: As a franchisee, you’ll be given dedicated initial and ongoing training to help keep your business operating at the cutting edge.

The future of fast food franchising has never been brighter

There are lots of reasons to consider starting your own fast food franchise, but if concerns over the current trading environment are one of them, you can rest assured there’s never been a better time to start a fast food business. If you’d like to consider other sectors though, there are lots of affordable opportunities on the UK franchise directory.