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Thresher Group has announced it is already reaping rewards from converting a number of its outlets to a franchise model. Early indications are showing sales gains ahead of those of the main store portfolio, with Thresher reporting total turnover growth of 15% for this group of stores. The company is currently converting 200 stores from its total portfolio of 1,930 in a programme which began in early 2006. Chief executive Roger Whiteside plans to complete 500 conversions by the end of 2008.
Two key reasons for the sales increases are franchise operators being able to tailor their offer more dynamically for the local market and the additional commitment that owning the store can engender, with owners having a stronger interest in maximising the potential of a store.
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