Franchise Magazine

Franchise Magazine March 1996 McDonald's THAT'S HOW IT GOES... McRenald's (18'300 restaurants in the world) remains one of the few brands whose development forecasts stay below actual results. PHILIPPE MALTERRE ette année, le roi du hamburger ouvert 78 noureau rest * taurants in France, including 32 in franchise, thus creating 3,900 jobs. It now has 431 points of sale (including 31 subsidiaries), and 202 franchisees manage 93% of the sites. The network turnover which reached 6.7 billion francs in 1805 is up 17%. These impressive results are the result of a policy. Prices have not changed in three years, in spite of the increase in VAT last summer. The product menu has been enriched with new salads and seasonal sandwiches, such as the McTimber, for example. Partnerships have multiplied to reach new catchment areas: railway stations, RER, service stations, multi-restaurant areas. The chain, which now wants to make people forget its American origins, now targets medium-sized towns of 10,000 to 15,000 inhabitants. It is discussing with the government in order to be present in the zones that will be created in the difficult suburbs. The effort will also be directed at town centres that are seeking to revalue themselves. From this year, one of the three managing directors of the brand, Denis Hennequin, will take on the chairmanship of the professional union of fast food, the SNARR. Recruitment for 1996 is set at 80 units, including 40 new franchisees, "an objective that will be reached without problems," comments its presi- dent Michel Antolines. Indeed, des- pite a draconian franchise agreement with a term of 20 years, and the fact that the franchisee owns neither the walls nor the business, there are for each unit about a hundred candidates, mostly managers. Let us recall that the average surface area of a point of sale is 350 m and the average turnover per unit 14 million francs. Notice to professionals... clandesti