Both Australia and New Zealand boast vibrant franchise sectors that contribute significantly to their economies. Understanding the landscape in each country can help potential franchisees and franchisors identify opportunities and make informed decisions.
Franchising in Australia – A Major Economic Force:
- Represents roughly 10% of Australia’s GDP.
- Over 94,000 franchise businesses employing 574,000 people.
- Total market turnover of about AUD $170 billion (2023).
- Approximately 90% of franchise brands are homegrown.
- Key growth segments: fitness, logistics, home maintenance, and fast-casual food outlets.
Despite challenges like labour shortages and rising costs, the sector is adapting through automation, digital marketing, and sustainable practices.
Franchising in New Zealand – World Leader per Capita:
- Highest franchise density globally: one unit per 168 people.
- About 546 franchised brands and 29,800 outlets employing 114,000 people.
- Total turnover of NZ$73.4 billion (2024), ~11% of GDP.
- Approximately 73% homegrown brands, with strong growth in home services and coffee franchises.
Both markets are governed by robust frameworks (the Australian Franchising Code of Conduct and New Zealand’s Franchise Association code) that support transparency and fair practices.
References:
- Franchise Council of Australia sector analysis
- Franchising New Zealand density and turnover survey (2024)
