
Tuesday, 2 May 2023
Could a Relocation Be Your Key to Success in 2023?
As living costs continue to rise, the exodus from big cities to less populated regions is a growing trend among individuals and families seeking a change. What was once typically associated with those wishing to wind down from their city lives, is now a popular choice for many looking for a lifestyle shift and change in tempo.
If you’re considering buying into a franchised business, you may find there is an opportunity in a region you had never considered before. The question to ask yourself is, work aside, what would make you want to relocate?
The Lifestyle Pull
What do less populated regions offer over the big cities?
More attractive property prices. While a region like Tauranga for example has seen a significant increase in property prices in recent years, the levels can still be lower than the Auckland property market and on a dollar-for-dollar basis, if you are willing to look past the most desirable beach frontage streets, your money will go further.
Less commuting. Small towns will offer up a reduction in commute times. And with the desire to avoid the commute often cited by Aucklanders as the primary driver for looking to leave the City of Sails, this is a big perk.
Perhaps the most emotive and greatest driver is the elusive “work-life balance”. Those that have relocated to a coastal town would agree the very thought that you could go for a walk on the beach or surf after work makes the day a bit brighter.
Consider also that a move out of the bigger cities will more than likely increase your disposable income from not paying an Auckland mortgage, making the ‘life’ in your ‘work-life balance’ look that much more appealing.
And this is where the work-life equation gets very interesting, with many franchise systems having some of their highest-performing units and franchisees in the regions.
The Power of the Small-Town Franchise
While the corporate employment opportunities available in the big cities may not be available in the regions, if you have the desire to own your own business, relocating could be just right for you.
Statistically, regional businesses have a 30 per cent higher chance of being successful than big city businesses. And statistically, franchises have a higher success rate than independent business units.
The factors that bolster franchised businesses’ performance in the regions include lower rentals and lower wage costs, which are two of the largest costs for most businesses.
Lower operating costs are often matched by less competition due to the size of the market, making it easier to penetrate and stand out. A national or international franchise comes with the power of a brand and marketing machine, adding further fuel to the mix.
It’s not just the individual franchise units that do well in the regions, the regions are home to major national franchise brands in the building, home services and business-to-business sectors.
Do What’s Right For You
The trend towards work-life balance looks set to continue, and franchising in less populated regions offers a great option for many.
Whether the motivation is a work-life balance, securing a high-performing franchised business, or escaping the corporate world, franchising in the regions could be a smart move.