The franchise barometer in Tunisia and comparison with Africa (2016-2021)

Wefranchiz, conducted surveys between 2016 and 2021 on a sample of 500 adults in Greater Tunis between 25 and 55 years old on the perception of Tunisians on the franchise.

These statistics will be compared in this article with the results of a study conducted by the “African Franchise Center” which set up an index between 2019 and 2021 on 5 countries in Africa: Ghana, Nigeria, Kenya, South Africa and l ‘Egypt.

Here are the main conclusions as to the perception of the Tunisian citizen on the franchise

1. Franchising is a sector that provides jobs for 84% of respondents.
2. Nearly 60% of respondents said they would be interested in investing in a franchise.
3. Tunisians are progressing in their perception of network structures since more than 71% think that Tunisian brands have a future in franchising, up 3% compared to 2016.
4. Nearly 75% of respondents would like a foreign brand to set up in Tunisia.

Expectations from a franchise brand are quite clear: product quality and better after-sales service.

Comparison with the “Franchise Index”

Africa franchise Center has designed a fairly recent index (2019 and 2021) which is based on 5 countries, i.e. Ghana, Nigeria, Kenya, South Africa and Egypt.

1. Franchising is first and foremost about purchasing power – private sector consumers make up over 69% of customers compared to only 13% employed in the public sector. No precise figures in Tunisia but intuitively the same consistency in Tunisia.

2. 83% of respondents understand the notion of franchising, this rate is particularly high in countries where franchising is in operation (South Africa, Egypt). This rate is higher than in Tunisia.

3. It is interesting to note that the notion of quality of service linked to franchising in Tunisia is rather non-existent in other African countries. Indeed, they are only 4% to link franchise and service. The survey shows that respondents favor brand recognition and a search for a constant and similar range. While in Tunisia, the consumer is assiduously looking for a service that seems better to him in international networks.

4. Nearly half of the respondents from the 5 African countries consider that the franchise business is growing rapidly and that the sector makes it possible to provide a quality service. Given the economic context in Tunisia, the sector has slowed its growth. The two surveys come together at the level of the notion of quality associated with the franchise.

In the USA, France and in several countries where franchise networks are highly developed, economists rely on reliable indicators to quantify the contribution of franchising to the national economy, such as:

1. Direct and indirect jobs generated by the creation of franchise networks
2. The impact on GDP in Tunisia, the weight in the formal economy
3. Revitalization of the regions

It should be noted that these indicators are not currently available in Tunisia, which would make it possible to highlight the share of this sector in the national economy and the factors of local contribution (supply chain, export potential, know-how local, etc.).

Conclusions for a lasting impact the franchise

1. Produce regularly updated and available information on the subject of franchising
2. Capacity building for the franchise ecosystem
3. International marketing assistance to develop Tunisian brands internationally like CEPEX programs and other donors
4. Sources of financing that take into account the specificities of franchise networks
5. Revise the legislation on authorizations for international franchises