To say that Mexican food is popular in the United States is not a stretch. This style of cuisine accounts for $60 billion annually in sales, which is roughly 8 percent of the overall restaurant industry. Mexican food is the second most popular menu type in this country. It is estimated that close to 230 million people eat this fare as part of their diet throughout the year, alone consuming more than 4.5 billion tacos. Almost half of everyone in the United States eats Mexican food at least one time each month. Everyone knows at least a little bit about this cuisine and the future for this portion of the restaurant industry continues to get brighter as the populations hunger and demands for this savory and creative food grows.
Mexican food restaurants are present in all areas with nearly 60,000 dedicated locations operating around the country. While this is a rather big number, the market is quite fragmented for Mexican restaurant brands that are looking towards expansion including through the franchising model. Only a handful of national franchised brands exist with modest unit numbers in operation throughout the United States. The market is fertile for the meteoric rise for quality Mexican food restaurant franchises.
Mexican restaurants tend to outperform other sub-categories of eateries with a steady growth of just under 5 percent annually. This trend helps pave the way and make the future bright for franchisors that are looking to expand the outreach of their restaurant concepts.
What is Franchising?
A franchise is an ongoing professional relationship where the franchisor delivers a licensing privilege to a franchisee in order to conduct business in a specified manner. The franchisor provides assistance and guidance in the vital areas including support, training, operations, and marketing for the franchisee.
Strength in Franchising Numbers
For well over a decade the franchising industry within the United States continues to experience growth with annual sales approaching $760 billion accounting for 3 percent of the national Gross Domestic Product (GDP) according to the International Franchise Associations (IFA). There are nearly 750,000 franchise locations around the country employing more than 8 million individuals.
In addition to the strong statistics and figures, franchises are extremely attractive to prospective business owners because of the brand recognition, thorough training, developed marketing, proven operating systems, security, consistency in quality, dedicated service, and a higher rate of success.
According to economic research (Francine Lafontaine: Journal of Economics & Management Strategy) based on official census data, the two-year franchise success rate for a franchise is around 8 percent greater than the independent business success rate. The first year survival rate for franchises is close to 6.3 percent higher.
It is Time to Franchise your Mexican Restaurant
With excited, motivated, and an ever-increasing customer base, solid Mexican Restaurant organizations are poised for business expansion through franchising. This business model is a stable and proven way to grow and is an attractive and preferred means for a potential business owner to enter the industry and run their very own Mexican Restaurant.
