Fast-Food Franchises are Recession-Proof

Not only are fast-food franchises recession-proof, they actually perform better during lean economic times it seems.

Fast food sales have grown during the last 18 months as people, fearful of shrinking incomes, are eschewing even mid-priced eateries in favour of fried chicken, burgers, pizzas, sub sandwiches and other budget takeaway options.

Fast food prices are often lower even than the sum cost of a home-cooked meal's ingredients.

And franchises, benefiting from bulk buying, can offer even more competitive prices than their non-franchised rivals.

It’s well documented – as evidenced by Cadbury’s recent sales boost – that people covet comfort foods even more during times of adversity.

Not that the health concerns of recent years have suddenly disappeared.

But famous names like McDonald's and Subway have proven as responsive to the concerns of customers as you’d expect from such accomplished players.

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Domino's Franchise Revels in Recession's Efforts

From the Financial Times: In the 16 years since two Anglo-American brothers bought the rights to own, operate and franchise Domino’s stores in the UK and Ireland from its US parent, the pizza delivery chain has risen to become one of the biggest and most successful franchises in the country.

The numbers make for impressive reading. Having built a chain of 553 franchised stores, the group, which floated on Aim in 1999 and moved to the main market last year, accounts for one in six home delivered meals in Britain and one in three pizzas.

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New Jobs at Subway Franchise Amid More Cuts

From The BBC: The US sandwich chain Subway has confirmed plans to open 600 new stores in the UK and the Irish Republic, which could lead to more than 7,000 new jobs.

The Subway announcement came on a day when 2,300 jobs were cut across the UK.

Among others, power company E.ON cut 450 jobs, retailer Zavvi cut 295 jobs, while engineering group Cookson confirmed it would cut nearly 180 jobs.

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Franchises Feel Undervalued in Scotland

From The Times: Scottish Enterprise asked to give more help to schemes like those offered by Domino's Pizza, Subway, The Streat and McDonalds.

Lisa Tobias started working for Domino’s Pizza while still at school. Now she runs four franchises in the west of Scotland with a turnover of £2m and employs 120 people.

After dropping out of university at 19, she joined the company full-time to manage one of its shops before deciding to go for a franchise of her own.

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How the Subway Franchise Overtook McDonalds

From The Telegraph: It is one of the UK's fastest growing major fast-food franchises and has just sneaked past McDonalds to hold the largest number of outlets in the UK and Ireland, yet Subway remains an underground success.

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