Hospitality and restaurant franchises, a new trend!

In 2017, the number of franchises reached 8,820 in the hotel and restaurant industry, which amounts to 279 additional companies in just a year. Stephan Gora from Atout Franchise explains the reasons behind this success.


What is a franchise? Franchises are a way of selling service products, entailing technology between two companies. There is a franchiser and a franchisee.  Franchisers invent a concept that has proven to be successful and has very precise know-how. Franchisers grant rights to use their products to franchisees, who must comply with their original idea. The rights thus conceded allow and oblige franchisees, in exchange for a financial contribution, to use the brand, products and services, as well as all know-how while being assisted and supported by a sales team.  The franchiser’s know-how consists in a set of tangible and measurable results. This know-how is a substantial and identifiable secret set forth in the terms of the European Code of Conduct for Franchises.

Stephan Gora, founder of Atout Franchise, 18 years of experience in creating franchising brands.  “Franchises? A very flexible way of collaboration”

The greatest strength of franchising is its flexibility and the fact that it is reassuring. Seventy-six per cent of franchisees were employees before opening their franchised point of sale with obligations in regard to their employers.  It is a choice of life style. Generally speaking, franchisees are 36 when they open their first boutique, and have significant professional experience. They also appreciate its reassuring aspects: “76% of them feel stronger than an independent shop-owner, with a powerful network, and support in development.

Stephan Gora underscores the importance of digital technology to improve customer relations. Actually 60% of franchisers are going to invest in new technologies in the upcoming twelve months. And three quarters of franchisees activate geolocation on the web for their point of sales. Half of them have put in place contactless card payment systems.

A speaker at Vatel Bordeaux, a hospitality management school, Stephan Gora tells us about the importance of franchising in the hotel and restaurant industry. In 2016, out of the 1,900 networks in France, 350 are in this line of work. The founder of “Atout Franchise” explains that digital technology allows us to refocus on customers. A virtual tour of hotel rooms makes consumers think they are already staying at the hotel and they can see for themselves what type of hotel it is.

Because of their flexibility, innovative character and safety, franchising systems have a bright future in the hospitality and restaurant industries.