FASA continues to benefit and promote franchising

FASA has been the guiding force of franchising in South Africa for 45 years and the growth and stability of the sector is largely thanks to the work that FASA has done over the years to promote ethical franchising. The 2023 Franchise Survey showed that those that chose to be members understood the need to belong to an association that aims to develop and safeguard the business environment for ethical franchising based on international best practices. Some of the outcomes of the survey include:

Four reasons for remaining a member of FASA were, in order: to support franchising (37%), for networking/ professional relationships (31%), having access to member benefits (27%) and staying current on franchising information (25%). Less frequently mentioned reasons were having access to suppliers/ new products (12%) and to keep abreast of political issues re franchising (6%).
Reasons for remaining members differed somewhat depending on the size of the franchise system. For small to medium franchisors, supporting franchising was the key reason (39% each), while for large franchisors networking/ professional relationships was the main reason (33%). Large franchisors were also more likely than the smaller franchisor to enjoy having access to suppliers/ new products (21%). For medium-sized franchisors staying current on franchising information was also deemed an important reason for remaining a member (36%).

Participation in FASA events

When it comes to activities in which FASA members participated in the year before, workshops/ networking events were, by far the most popular event (38%), especially among small franchisors (44%). The golf day attracted 23% of members, with attendance peaking among the large franchisors (46%).
One in five members attended the AGM. This number rose to one in four among medium franchisors.
The monthly virtual networking sessions and the Inani/ Services SETA initiative achieved 16% and 15% interest respectively. Large franchisors expressed a greater interest in the Inani/ Services SETA initiative than their fellow franchisors (21%).
Participation in the annual Franchise Manual and in ads/ web/ newsletters/ directory was at 14% and 11% respectively.
One in seven members (14%) attended the franchise convention and one in ten the IFE. The IFE was more popular among large franchisors (17%).
Serving on the FASA Board/ committees was limited to 7% of members.
One in eight (12%) members did not participate in any of these activities. This figure dropped to 4% among large franchisors.

FASA’s future role

Franchisors were asked what role they would like to see FASA playing in the franchise industry in the future. The two most frequently mentioned roles were promoting franchise opportunities (32%) and protecting and growing the franchisee industry (29%). Two more relatively important roles were promoting the benefits of franchising (20%) and promoting collaboration within the franchise industry (17%).
Suggestions as to FASA’s future role in the franchise industry varied by size of the franchise system. Small franchisors’ opinions were close to the norm. Medium franchisors placed more emphasis on protecting and growing the franchisee industry (33%) and promoting collaboration within the franchise industry (25%). Large franchisors, on the other hand, would like to see FASA promoting the benefits of franchising (33%) and creating a seamless communication platform (17% compared with 9% in the total sample).
FASA members were extremely positive about recommending membership of FASA to colleagues, friends or acquaintances, with 71% offering a rating of 5 out of 5 and a further 26% allocating 4 out of 5. Only two FASA members, in the dine-in restaurant category, expressed the opinion that they would be neither likely nor unlikely (3) to recommend FASA membership because they felt the fees were too high.