France is a champion country in franchising. Where does Quebec stand on the chessboard?

Canada has 1,200 active networks, 457 of which are located in Quebec. Some banners arrive, others leave or merge, but growth is sustained. Franchising represents 405,390 jobs and 10% of Quebec's workforce.

For comparison, France has 2,000 franchise networks, but for a much larger population. The French are very active in certain sectors such as clothing, whereas here we operate more in a corporate manner. In Canada, it is the restaurant sector (fast, semi-fast, table service) that stands out.

What are the success stories in Quebec?

There are of course the big restaurant banners like McDonald's and Tim Hortons. Among the large networks, there is the Canadian Tire group which includes the Sports Experts banner which is very well-known in Quebec. In the automotive service sector, there is notably Uniban Canada and its subsidiaries, including VitroPlus, which are growing. Otherwise, the car dealership and pharmacy sectors are among the most important in terms of turnover and jobs.

Are young entrepreneurs interested in franchising?

I observe that the younger generations have a highly developed entrepreneurial spirit. Every year, we give seminars on how to franchise your business and we meet entrepreneurs who are at a crossroads and wondering if this is the right avenue. Investing in a business always involves risks and franchising remains a successful model with a higher success rate.

Which franchise networks are currently standing out?

Copper Branch is a new Quebec network that has successfully established itself here and is in the process of successfully establishing itself in Europe. President Rio Infantino also won the Emerging Franchisor Award at the CFQ's 2019 Maillon d'or gala.

There is Idolem, a small hot yoga franchise network that does things differently and tries to democratize this practice.

I also think of Daoust Forget, who works in the traditional sector of clothing cleaning, but who has been able to innovate with an ecological technology that is unique in the world.

Is there a revival in the franchise industry? How is it expressed?

Some sectors of activity have become more important in recent years, such as retirement homes and everything related to household or home services for this clientele. Other franchise networks stand out due to their business model, such as Cardio Plein Air, which does not have a storefront, but has branches throughout Quebec. Franchisors are also facing the challenges imposed by the popularity of online shopping, so they must adapt with, for example, online accounting or training services. So we are seeing the transformation of certain banners or the creation of new banners in online commerce.

What types of entrepreneurs make good franchisors/franchisees?

A good franchisor must ensure that it can provide support to its franchisees to help them survive over time.

Franchisees are entrepreneurs who invest their time, passion, expertise, and knowledge in a network. They buy a recipe, a way of doing things that the franchisor has developed over the years. However, the franchisee must not have an overly developed entrepreneurial spirit, because there are standards and rules to follow. In other words, he must follow the recipe for a very good soup and not try to change it to suit his taste.

Is there still room for innovation within franchises?

Each sector of activity has its own ways of doing things. Some networks leave more room for creativity while others require a lot of supervision. That said, any good franchisor worth their salt sets up a structure that can take the form of a committee on which franchisees sit and whose mission is to develop the concept and innovate.

*in terms of points of sale, according to the Indicia database (updated: 2017)

Some franchising resources:

Quebec Franchise Council

Canadian Franchise Association

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