“1C” has topped the rating of Russia’s most popular franchises

RBC is composed of a rating of Russia’s most popular franchises was headed by the company “1C”. In 2015 the number of partners has increased by more than 10%: 90 terminated 748 had concluded with the franchisee contracts. During the year the company has issued almost the same number of franchises, how many and nine other leaders of top-10 rankings. The total number of prisoners “1C” of franchise agreements by the end of 2015 exceeded 6.8 thousand

The founder of the “1C” Boris Nuraliev told RBC that the company will not boost the emergence of new partners, as the excessive expansion of the network leads to a too strong competition between the partners. “We occupy a fairly large part of the market, and the competition here is like salt in the soup: the soup was edible, it should be not too much and not too little,” said Nuraliev.

Quickly expanding the network of franchised partners and a reference system “Consultant plus”: the year she made 187 new contracts by terminating early, with only 11 previously signed. But third by value of the franchisor Russia, network of stores of cosmetics Yves Rocher, the number of partners decreased: the new franchises, the company issued 114 closed at the same time, more than 200 old outlets.

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A total of 30 of the largest franchisors of Russia, included in the rating compiled by RBC, concluded in 2015 with the franchisee 1862 new contract.

Experts note that the crisis in the Russian economy led to a rise in the popularity of franchising model of business development, the lack of funds for investment was forced to use a new scheme of expansion.

“Many brands, which before the crisis had not considered franchising as a business development strategy and opened only own points, are now launching a franchise network. You can say that the franchise market now is a buyers market franchise: they dictate the terms. As a rule, potential entrepreneurs leave a few of the applications for a competitive franchise for a long time and choose the best deals, tempting discounts and the best conditions”, — says CEO company “Frankon” (consultant franchise) Nina Semina.

Read more in the material “RBC: top 30 most popular franchises of 2015”