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franchise.co.nz – PUTTING PEOPLE IN BUSINESS
he franchise sector in New Zealand has experienced dynamic change
recently, largely driven by altered consumer behaviour following the
pandemic, evolving demographic trends, and advancements in AI and
data analytics.
“As businesses become more data rich and consumer behaviours evolve,
it is clear that data-driven strategies to enable franchise growth are now
even more important than ever before,” says Jeff Vassel, Global Business
Development Manager at Geotech Information Services.
Founded over 20 years ago, Geotech is a data analytics and location
growth planning company that works with businesses on both sides
of the Tasman – especially franchises. Geotech is a member of the
Franchise Council of Australia and has been actively involved with New
Zealand franchises for many years.
Geotech provides retail, food and service-based companies with data-
driven insights to facilitate territory planning and allocation, network
growth, and problem-solving. Their client list includes brands such as
McDonald’s, KFC, Nando’s, Burger Fuel, Kitchen Studio, Hire A Hubby
and Kumon.
Where to look for growth
Insights from the 2023 New Zealand Census reveal key shifts that could
impact where the potential for growth is in New Zealand for franchises.
These shifts include:
Aging Population: Almost one in five New Zealanders are aged over 60 years
old, meaning the demand for health, wellness, aged care, medical and
home services is rising – sectors where franchises can play a pivotal role.
Cultural Diversity: There are increasing proportions of New Zealanders
of Māori descent, and almost 30% of residents were born overseas. This
provides opportunity for niche franchises in food, retail and personal
services to cater to a broad range of tastes and cultural traditions.
Increase in Working from Home: Around one in six New Zealand workers
now ‘mostly’ work at home, which has increased from around one in
eight in 2018. In the Auckland and Wellington regions the number of
employees who mostly worked from home has more than doubled.
“Coastal regions prove popular with employees working from home, with
over 30% of employees working from home in the areas of Long Bay and
Stanley Point in Auckland and Karaka Bays in Wellington,” explains Jeff.
Together, these trends signal the need for franchises to be data-driven,
hyper-local and able to align with changing consumer needs, to have the
highest chance of successful growth.
What’s happening in our CBD locations?
During the pandemic, central business districts across New Zealand
struggled with reduced commuter foot traffic. But today, many are
undergoing revitalisation with a stronger focus on hospitality and flexible
retail spaces.
In the Auckland CBD, for example, the areas around Britomart and Queen
Street have amongst the highest levels of commuter foot traffic and
activity. In the Wellington CBD, the areas of Jervois Quay, Lambton Quay
and Cuba Street have the highest levels of activity.
“Understanding where the opportunities are in New Zealand, both in
CBD environments, as well as local suburban areas, and underpinning
this with data and analytics will be critical for franchise systems
undertaking site selection and territory allocation,” says Jeff.
The game changer
What separates high-growth franchises from the rest in 2025, will be
their use of cutting-edge data analytics, AI, and making more informed
data-driven decisions.
“There is a mass of detailed consumer and market information available
from government, research companies and corporations,” Jeff says, “but
the challenge for many companies is knowing where to start, and what
types of business problems data and analytics can help solve, to assist
with network planning and give businesses a competitive advantage”.
Here are some examples of how innovative location intelligence from
Geotech can make a real difference:
Mobile Device Tracking: Anonymised foot traffic analytics show how
people move throughout a city - revealing hotspots of activity not visible
through traditional Census data. It is an exciting evolution of data that
can reveal great insights into consumer behaviour, how people move
around before and after they visit your stores, who else they shop with,
how far they travel from, and what were their likely motivations for
choosing your brand.
Sales Forecasting & Strategic Network Planning: By analysing the sales
performance of stores in your network against their site, precinct and
local market characteristics, it’s possible to identify the critical factors
driving sales. These can then be incorporated into a forecasting model to
predict future site sales performance.
Local Store Marketing: Developing a ‘data driven’ local store marketing
system and combining it with local demographic and traffic information
ensures that the most effective local strategy and marketing is being
adopted by every store in a network.
Channel Strategy: Understanding how online and delivery channels work
and interact with traditional bricks and mortar outlets continues to be a
hot topic of discussion for franchises. Do the channels work together and
complement each other, or do they cannibalise each other – data and
analysis on this can provide valuable insight.
Ready for a data-driven approach?
“Data doesn’t just validate your gut feeling, it often challenges it,”
says Jeff. “That’s where the real advantage comes in. You don’t need to
guess where the opportunities are for your sites or territory allocation
– the data and analytics tells you. It’s about aligning opportunity with
demand and underpinning it with a data-driven approach to make more
informed decisions”.
“Franchising success in 2025 isn’t about
being everywhere – it’s about being
in the right place at the right time and
making more informed and profitable
decisions. Professionally analysed data
helps you do exactly that.”
“To learn more about how Geotech
Information Services can support you in
identifying where the opportunities are
for your brand, contact me today.”
Auckland & Wellington CBDs - an
exciting evolution of data analytics
NAVIGATING
THE LANDSCAPE
FOR GROWTH
Franchise Management
Geotech Information
Services help franchises
make data-driven decisions.
Geotech Information
Services
www.geotechinfo.com.au
Contact
Jeff Vassel
0061 4 2168 4444
jeffv@geotechinfo.com.au
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