мarket analysis
of franchising in 2015
мarket analysis
of franchising in 2015
Ukraine has a large market of 45 million people and significant growth potential.
Franchising is a firmly established business model in Ukraine. Today there are 565 Franchisors operating in Ukraine, 431 of which are actively developing solid companies.
In 2014, the number of Franchisors (business owners) decreased, but the number of Franchisees (investors) continued to grow.
Franchising is seen as a reliable way to reduce operational risks and increase the chances of survival of companies in the long term, since after five years of operation only 8% of franchise companies leave the Ukrainian market.
Now the franchise market is dominated by local franchises. Ukrainian franchises control 66% of the market. The remaining 34% are controlled by foreign franchises – mainly companies from Western and Eastern Europe, China, Russia and the USA.
The majority of franchisees (investors) and retail operators interviewed are optimistic in their growth forecasts for 2016. This year, more than 75% of survey respondents expect annual revenue growth for their companies. Their optimism far exceeds forecasts for the country’s overall economic growth.
Ukraine’s ability to fully realize its economic potential in franchising depends mainly on its ability to implement economic and regulatory reforms, not only on its macroeconomic performance.
Analytics for other years
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