Romania: Franchise Mkt to Reach €3bn by 2010

April 5, 2006 by Mark | 0 Comments

Reporter:

The Romanian franchise market will reach 3 billion euros by 2010; over 400 brands will have presence through this system. At the national level, in 2005, there were 190 active franchise networks, Ziarul finaciar daily wrote, ACT Media news agency reports.

“The retail represents the most dynamic market with the greatest growth potential.

The retail franchises may account for 30-35 percent. Another segment which may also increase is the food and beverages, which will account for 25-30 percent of the market,” the manager of the consultancy company for franchises Think Big, Adrian Gheorghe said.

Other consultants count on services in the next years.

General manager of the franchise broker IMO Franchising Group Eugen Driga considers that services like staff recruitment, financial, brokerage, consultancy, matrimonial, tourism, banking, Internet, real estate, but also fitness, catering, auto repair and interior design will dominate the franchise market in 2010.

Driga estimates that over the next four years, at the national level, there will be 50 percent Romanian franchises, 30 percent - European franchises and 20 percent - American.

According to Adrian Gheorghe, the franchise market will grow regardless of the moment Romania will join the European Union (January 1, 2007).

During 2006-2007 Subway, Starbucks (the biggest café chain in the United States), Domino’s Pizza and Burger King will enter the market, while Sheriff’s, Gregory’s, Tip Top, City Grill, City Caffe, Jerry’s Pizza and Spring Time will be extended.

The most successful franchised company on the Romanian market is Fornetti.

Being present on the Romanian market since 2001, Fornetti had 410 franchisers across the country at the end of 2005; the company intends to open 200 new pastry units in Romania this year.

The company registered 17 million euros in turnover in 2005, a 70 percent growth as against 2004.

In News, Franchising in Europe

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