A travel agency franchise is an expansion of opportunities and the most accurate forecasting of future income and expenses. In addition, it is a warning against many mistakes, a reduction in financial costs, and a quick and easy start.
In this article we will consider the main "players" in the travel agency franchise market in Russia, their advantages, disadvantages and other nuances.
The tourism business is a rather specific area, and a newly opened agency can spend more than one year to find out all the nuances and subtleties of which, which will not have a positive effect on profitability. A franchise offer is a ready-made advertisement, a popular and trustworthy brand.
Such a scheme of work is beneficial because the franchisor:
Don't know how to choose an agency? First, you need to make a list of those firms that have the opportunity to provide a franchise. The larger the list, the better, which means that you need to devote a sufficient amount of time to selecting possible options.
Now you can start analyzing. The well-known and popular network, of course, will have a high initial payment and further rather big interest. However, the more popular the partner, the more customers you will have (you can verify this, for example, relying on advertising and statistics). All this should be carefully checked. Maybe you will come across a great option - a combination of a relatively inexpensive price and great popularity of the agency.
A reliable and proven company is only half of a successful business. Of course, they will provide you with comprehensive assistance at the initial stage, but everything can be spoiled by the presence of a disinterested consultant in the office or an unsuccessful location of the premises.
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The tourism business in Russia is developing at a very fast pace. Not only tours within the country are in active demand, but also abroad. At the same time, the interest of entrepreneurs in this area is also increasing. Very popular
Most travel companies in our country choose franshise for the following reasons:
To buy a travel agency franchise, an entrepreneur must meet all the conditions set forth by the franchisee. These requirements include the size of the premises (from 15 square meters), compliance with business standards, timely payments, design of the outlet, strict adherence to the sales plan. Franchisers put forward special requirements for the selection of personnel. Employees of well-known travel agencies must have experience in a similar position, as well as undergo appropriate training and observe the dress code.
You can find the most popular travel agency franchises on our web portal. The following tour operators are included in the catalog of franchise offers in 2016:
In Moscow, St. Petersburg and other regions of Russia, the amount of monthly payments for using a brand varies from 4,000 to 20,000 rubles. Moreover, most travel agencies have existed on the Russian market for more than 5, and some for about 10 years.
Thus, a travel agency franchise makes it possible to actively develop in the field of tourism, while most of the risks in organizing a business are minimized. And thanks to the well-known name, you will be able to profit from the sale of travel vouchers from the very first day of operation of your franchise outlet.
A little educational program
First, let's recall the terminology. The franchise itself (or franchising, both variants of the name are completely equal) is a type of cooperation between companies in which one party transfers to the other its business model, as well as its trademark, experience and business reputation, while both companies continue to act as independent and independent legal entities. The one who gives is called the franchisor, the one who accepts is called the franchisee.
For the use of the franchisor's know-how, the franchisee transfers him a certain remuneration, which is set individually in each specific case: it can be a fixed amount monthly, or a percentage of sales, or a mixed version. In addition, there is a one-time fee that the franchisee usually pays to the franchisor for the right to join the network, as well as the so-called advertising or marketing fees that go to advertise the franchisor's services and promote the network as a whole.
First, let's consider the advantages and disadvantages of this cooperation model from the point of view of the franchisor. So, you are a travel agency interested in maximizing profits in your line of business. The conditions are obvious: an increase in sales of tourism products - both our own and through an agent network, ousting competitors from the market and expansion into “unplowed fields” in the regions of Russia, where there is an increase in living standards with a concomitant increase in the population's desire and ability to travel, that is, to buy your product.
It is clear that entrepreneur A in city B has a much better command of the situation in the local market of tourist services than you, zzh. sitting in distant Moscow. He is aware of which areas are most in demand by the clients of city B, which offers are in abundance, and which options are lacking, since he himself is brewed in this environment. Accordingly, when planning to add residents B to the number of your clients, you will want to use the knowledge of entrepreneur A. The entrepreneur himself is interested in using your earned name of a leader in order to work under a "loud" brand and thereby increase the flow of clients, mostly inclined trust promoted brands. This is where the main mutually beneficial principle of the franchise comes into play: you give the entrepreneur the right, relatively speaking, to hang your beautiful sign on his travel agency, and also give him your knowledge, experience and good name, in return for getting easy access to new regional markets. Thus, the quick and effective expansion of the sales territory by local entrepreneurs is the most obvious plus of the franchise for the person who offers it. Remark: we deliberately leave out of the brackets the company's profit from franchise deductions, since profit in general is the goal of any business, and we are now considering a scheme for its development. The opposite option to franchising is to expand into the regions on our own, not sharing income with anyone, but also assuming all costs and risks.
The main vulnerability of the franchising scheme from the point of view of the "distributor" is obvious: young and green entrepreneurs are most willing to cooperate according to this model, who, apart from being based "on the spot", have practically nothing - no deep knowledge of tourism of their own. business, no work experience, no effective methods of analysis and planning. Consequently, the parent company will have to spend a lot of time on setting up the work of its franchisees, and this cannot be neglected - after all, they are actually the authorized representatives of the brand in their regions, and the franchisor is directly interested in their successful work. In other words, there is a lot of trouble, and the result is difficult to predict - the franchisee can either “shoot” or close in a few months.
Now let's look at the situation from the perspective of a potential franchisee. So, you are a regional tourism entrepreneur with an interest in running your business successfully, expanding your customer network and increasing your bottom line. At the same time, you do not have special knowledge and skills on the market yet. In this case, the franchise can become a real lifesaver for you. In the absence of your own experience, you are invited to use the know-how of the "big brother", work under his promoted brand, post information about your agency on his website and receive other "goodies" in the form of an increased commission from a number of tour operators, consulting, legal and accounting advice. Of course, you have to pay for this generous help, but the result will not be long in coming - in fact, you get a ready-made model of successful business in your hands, which you just need not to "lose" - but this already depends primarily on your personal potential.
A travel agency franchise, like any other, involves the acquisition of the right to use a well-known brand in the tourism sector. The transfer of these rights is carried out from the seller - the franchisor to the buyer - the franchisee. In addition, the brand owner offers the tenant for sale the main areas of activity - the use of corporate design, marketing programs, support, advertising.
In this article, we will consider the main points regarding the opening of a travel business on a franchise.
Independent "survival" in the tourism business is accompanied by the emergence of certain problems, since in this niche a long time ago, leading companies have formed that have earned a certain reputation and new agencies cannot compete with them. If you start working with a large recognizable company, it is much easier to build a promising profitable business.
Senior partner - the franchisor usually has a well-established, well-developed business, all that remains is to transfer the business plans and rules for its conduct to another person, thereby saving the buyer on the development of the brand, its promotion.
The tourism business, which is traditionally built on a network principle, is no exception, so tour operators themselves are interested in their network growing within the country and abroad. In this regard, they will provide comprehensive assistance to the junior partner. The income from acquiring a travel franchise will be significantly higher than that of a self-employed entrepreneur, since the consumer's trust in the promoted brand is usually much greater than that of a new company.
Please note: tour operator franchises today are represented in a wide variety, so it will not be difficult to choose. The main thing is to take into account all the requirements and features of the purchase, carefully read the contract and comply with the conditions.
To complete the picture, you need to consider the nuances of acquiring a franchise. You should definitely pay attention to customer reviews about the company, because along with the right to use the brand, you gain reputation. Unfortunately, it may not be as cloudless as the company's managers promise.
Despite your direct involvement in business ownership, most of the creative and organizational tasks will be handled by the franchisor. The choice of corporate identity, service offer and much more will "lie" on the shoulders of the senior partner, this is required by the terms of many franchises. Therefore, before signing a franchise, it is necessary to determine the degree of your freedom to participate in this business. By carefully studying each point of the terms of the franchise, you can achieve a profitable purchase and create a profitable business.
Even with the organization of large firms in large cities of the country, no company can become a monopoly on the market. In this area, there is enormous competition today, exacerbating the situation of individuals. Therefore, the sale of the franchise by the leading brands is justified.
The travel operator receives a branch, additional customer flow and a reliable assistant in the person of the buyer. This allows the franchisor to expand its area of influence and crowd out competitors. As for the junior partner, he gets ownership of the finished type of activity and income from it.
Competition in the travel industry is very high, so a reputable travel agency franchise will be an outlet for aspiring entrepreneurs. It is difficult to create your own competitive company, and the help of an experienced market participant solves many problems. How much does it cost to open a travel agency for a franchise, which companies are leaders in the Russian market and what is required of a franchisee?
There are quite a few proposals to open a travel agency for a franchise. Tour operators and travel agencies develop their own networks of companies (more about the differences between them in the section "Types of franchises in tourism"). Collaborating with the former is more difficult. This is usually the option for experienced entrepreneurs. Travel agencies treat their partners easier and are ready to sell a franchise to a newbie. Among the most advanced companies in this industry are the following firms.
The company already has a network of 630 representative offices across the country. The brand is known and trusted by customers. It offers partners a ready-made business according to the "all-inclusive" system. RossTour works without an entrance fee and royalties, compensates the franchisee for the costs of office decoration, printing of advertising materials, provides the services of a lawyer and an accountant. The total investment is about 50 thousand rubles. The company enters into only 1 contract with the franchisee instead of a contract with each tour operator separately. To start cooperation, it is enough to send an application through the official website of the company.
The company has 20 years of experience and is ready to cooperate with newcomers. It has more than 400 offices throughout the country, works without an entrance fee and with a modest royalty of 3-5 thousand rubles. Investments of up to 200 thousand rubles are required. "Chain of stores" offers the supply of free branded products, designer services and an increased commission from tour operators.
15 years of experience and over 300 offices across Russia. The franchisee promises an income of 20-30% more than with an independent opening. The company is known among potential clients. Does not require payment for joining the project. The total volume of investments is from 150 thousand rubles, royalties are tied to the population of the city and ranges from 2 to 10 thousand rubles.
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