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They seek franchises to reactivate the economy

With 200 brands present on the exhibition floor of the WTC in Mexico City, the 44th edition of the International Franchise Fair began. You can attend from now until this Saturday, September 4.

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This article was translated from our Spanish edition. Opinions expressed by Entrepreneur contributors are their own.

Mexico became the only country in Latin America on Thursday to have a franchise expo in face-to-face format in 2021. The objective is to help reactivate the economy, after the pandemic that hit the country since last year.

FIF

The fact is that franchises, being a proven business model and with fully structured processes, have a better chance of replicating their success and surviving crises. The best thing is that in the face of the pandemic, several brands were renewed and launched new opportunities that fit all levels of investment.

Julio Beleki , president of the Mexican Franchise Association (AMF), assures that the sector he represents continues to consolidate. During the first six months of 2021 it grew by 5%. "It's because people find an oasis in the desert in the midst of all this uncertainty," he says, explaining how various brands innovated their offering during the pandemic.

Julio Beleki, president of the AMF. Photo: AMF

An example is Tintorerías Max , which, with 50 years of experience and 230 locations, took advantage of last year to launch Tin2go , a laundry and dry cleaning project at home that works through an app.

The acceptance was such that this year they decided to offer it under a low investment franchise model that does not require a premises and also offers other services. "Tintorería Max supports everything that is laundry, dry cleaning, washing furniture, rooms, carpets, tailoring and shoe cleaning," says Raúl Jiménez, director of franchises of Tintorerías Max, during a panel organized at the AMF stand, during the 44th edition of the International Franchise Fair (FIF) .

This was not the only innovation. In 2020 Tintorerías Max found new growth opportunities by acquiring Bendita Paleta, an Italian gelateria project. With this operation they became Grupo Max, which operates several brands and seeks to help franchises to make their business model successful.

And it is not the only example, other sectors, such as food and beverages, which represent 33% of the brands that attend the fair, had to make improvements in their business models and opt for dark kitchens, with which they reduced their costs and now offer investments with smaller amounts, says in an interview Francisco Segura Camacho, CEO of Comexposium México.

"People are still betting on crowdfunding, in which you can invest from 7,000 pesos, but brands are choosing to franchise only certain services with which they can serve more people," says Segura Camacho.

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200 franchises under one roof

There are a total of 200 brands that come together in the 44th edition of the International Franchise Fair , which will be held from this Thursday the 2nd to Saturday the 4th of September at the CIEC-WTC International Convention and Exhibition Center of the City. from Mexico .

Francisco Segura, from Comexposium México explains that the novelty of this edition is that not only franchises are presented, but also business opportunities and experiences, such as direct talks with brands, publicists, forums dedicated to women and art auctions.

"The key to the fair is still the franchise, but we want to attract people over 18 who want to invest, who know what franchises are," says the director of Comexposium México. In November 2020 this group held a first virtual fair. “It was thought that the investor was over 40 years old, but we realized that they are around 35 years old. That is why our marketing plan is aimed at this public with an offer that includes social, cultural and sports matters ”.

The keynote conferences will not be the exception this year. Now the cycle is broader and the representation of the female lecturer is 50%, in addition to contemplating an inclusion panel.

Another novelty for the 44th edition of FIF is that it is presented under a hybrid format that combines the face-to-face forum with a virtual one that started operations on 23 August and will continue until 10 September. The virtual forum has 100 different brands and lines and seeks to be a showcase for people to become familiar with the sector.

This meeting will be attended by franchises from Spain, the United States, Colombia and Argentina, seeking their expansion in Mexico. In addition, there will be a pavilion for the Bajío and the West.

The attendance of 15,000 visitors is expected during the three days of the event, in which Segura Camacho stands out, “a strong investment has been made in bio-hygiene to ensure the health of the visitors”.

44th edition of FIF

  • Date: September 2-4
  • Hours: from 10:00 am to 8:00 pm
  • Cost: 300 pesos for the three days and the board of the AMF. Access to the digital expo is free. Sign up here .