Evaluate the Irish market for buying a franchise

If you are buying an Irish franchise opportunity, you will be require to work, sell and promote the product or service for a long period of time. As you can't change or develop the product or service, you need to make sure that the franchise business has long-term appeal and its' market is not threatened in any way.

It is important that the franchisor can demonstrate a clear understanding of the future market in Ireland for the product or service.  You need to address the following points:

Question: Is the market in Ireland for this product / service expanding rapidly, growing slowly, static or declining?

Notes to consider

The more advertisements/promotion you see for the product or service now compared to a couple of years ago, can give you an indication of the state of the market.

Question: Does the product/service have special features that help it to sell? Does it warrant a premium price?

Notes to consider

In order to make money for the franchisee and franchisor, the product has to have real advantages over competitors i.e. an unique selling point. It may be difficult to maintain premium prices if others can easily copy the product or service.

Question: Who would be your competitors and how competitive would your product or service be in relation to them?

Notes to consider

Do competitors have any technical or price advantages? Could you improve on the service offered? What is their level of advertising? If there are no competitors ask yourself why there are none.

Question: You have looked at the general Irish market for your product, what do you know of the local market in which you will be operating?

Notes to consider

Does the local market have the same characteristics as the Irish market in general? Is the product particularly suitable for your area? How dependent is success of the business on particular lifestyles or levels of income?