Skill Development and Franchising: Gaurav Marya's Vision for Nepal

Gaurav Marya is the Chairman and Founder of Franchise India Group, the world’s leading integrated franchise consulting company since 1999. With over 25 years of experience in franchising and business growth, he has advised more than 15,500 corporations, both large and small, in India and international markets. His focus spans franchising, licensing, retailing, real estate and marketing. “My mission is to build entrepreneurs and create opportunities for business development and expansion,” says Marya, adding, “We have helped hundreds of investors choose the right opportunities and assisted various organisations in domestic and international franchise expansions.”

Marya is also the Director of ActionCOACH India and Middle East, the world’s number one business coaching firm, and Chairman of the Indian Small Business and Franchise Association, a premier non-profit body representing the Indian franchise sector. “We have established partnerships with counterpart chambers worldwide, creating a platform for consensus building and networking in the franchise sector,” he shares.

Marya was recently in Kathmandu when Business 360 caught up with him to know about his expertise and what franchising really entails. Excerpts:

Why is Franchise India interested in the Nepal market?

Nepal presents both a challenge and an opportunity. The challenge is the lack of job creation, leading to reverse immigration as people leave for better opportunities abroad. If we can provide opportunities within Nepal, not only will people stay, but they will also create more jobs. For example, when a Domino’s franchise opens, it creates jobs for about eight people. Franchising has always been an economic booster. In the United States, franchising contributes $3.5 trillion to a $27 trillion economy. When brands like Marriott, McDonald’s or KFC open franchises, they create local jobs and opportunities for entrepreneurs.

Nepal is uniquely positioned next to two of the largest economies – India and China. This proximity offers a significant advantage. Brands and businesses can flourish by leveraging access to these vast markets. Moreover, there is a high demand for better consumer goods and services in Nepal, particularly in education, healthcare and skill development. So, we see a lot of potential in Nepal.

How do you view the need for skill development in Nepal?

We are bringing in various skilling brands from basic training in beauty, hospitality and travel to advanced fields like cybersecurity, machine learning and artificial intelligence. For instance, Nepal is one of the top three countries at risk for cybersecurity lapses. This presents a huge opportunity to develop a secure digital infrastructure, similar to what Israel has achieved in cybersecurity.

We aim to provide comprehensive training to equip people with the skills needed in today’s market. Skilled individuals can secure better-paying jobs abroad and contribute significantly to their home country’s economy through remittances. By focusing on skill development, we can transform adversity into opportunity.

Can you elaborate on how this will work?

We plan to introduce a range of skilling programmes from basic vocational training to advanced technical education. This includes areas like beauty, hospitality, travel, cybersecurity, machine learning and AI. For example, cybersecurity is critical as Nepal is among the top three countries at risk for cyber threats. By enhancing cybersecurity training, we can build a more secure digital infrastructure. Our approach will involve partnering with local institutions and leveraging global expertise to deliver these training programmes. The goal is to equip individuals with marketable skills that lead to better job opportunities, both domestically and internationally. This not only helps individuals improve their livelihoods but also contributes to the overall economic growth of Nepal.

What inspired you to venture into franchising?

While living in the US in the late 90s, I was fascinated by how franchising empowered entrepreneurs and small businesses. It offers a great way for individuals without prior business knowledge to start their ventures. Franchising provides them with a brand, knowledge and support to succeed. These aspects fascinated me and I decided to foray into the franchising world.

How does Franchise India help entrepreneurs and businesses navigate the complexities of franchising?

We have developed a well-crafted process over the years. We guide them through three stages: information, evaluation and negotiation. This process ensures they make informed decisions. By understanding their financial goals, passions, skill sets and the strategic fit of the franchise, we help them choose the right business opportunities. Success in franchising depends on several factors, including fitment. For instance, running a restaurant requires strong operational skills, while a hospital demands significant financial investment. The right location is crucial for retail stores and effective marketing is essential for product-based businesses. Timing also plays a critical role. A successful franchise owner understands these dynamics and aligns their strengths with the business requirements.

How do you foster collaborations and knowledge sharing in the franchise sector?

We conduct numerous seminars, webinars, and content creation initiatives. We also engage with credible media and organise events, conferences and networking opportunities to facilitate knowledge sharing and collaboration.

“Brands that can tailor their offerings to suit local tastes and preferences are more likely to succeed. Additionally, we consider the scalability of the business model and the support system provided by the franchisor. Our goal is to bring franchises that not only thrive in the local market but also contribute to its economic development”

How do you identify the right franchise opportunities for a market like Nepal?

Identifying the right franchise opportunities involves understanding the local market dynamics, consumer behaviour and economic conditions. We conduct thorough market research to identify sectors with high growth potential and unmet demand. In Nepal, for example, there is a significant opportunity in sectors like education, healthcare and retail. We also look at the adaptability of global brands to local preferences. Brands that can tailor their offerings to suit local tastes and preferences are more likely to succeed. Additionally, we consider the scalability of the business model and the support system provided by the franchisor. Our goal is to bring franchises that not only thrive in the local market but also contribute to its economic development.

There is much debate on what constitutes a startup. How do you define it?

A startup can be a large company starting a new vertical or a young entrepreneur with an idea aiming for commercial success. It represents a business with a new direction and approach. Often, startups are seen as disruptive and innovative, but many successful startups are iterations of existing ideas. For instance, Ola in India is modelled after Uber, and Flipkart after Amazon. The key is to bring these ideas to new markets and adapt them successfully. To truly foster a startup ecosystem, we need to provide exposure. Sending young talents to places like China and India to learn and bring back innovative ideas can be transformative. It is about adapting successful models to local contexts and creating an environment that encourages entrepreneurship.

What advice would you give to someone looking to start a franchise?

My advice to aspiring franchisees is to carefully evaluate their interests, financial goals and skill sets. It is important to choose a franchise that aligns with your passion and expertise. Conduct thorough research on the industry, the brand and the market potential. Understand the franchisor’s support system and the terms of the franchise agreement. It is also crucial to consider the location and market conditions. A great location can significantly impact the success of your franchise. Lastly, be prepared for hard work and dedication. Running a franchise requires commitment and effort, but with the right approach, it can be a rewarding venture.

How does Franchise India support franchisees in their journey?

Franchise India provides comprehensive support to franchisees throughout their journey. We offer detailed information on various franchise opportunities, helping them understand the market potential and business model. Our evaluation process includes assessing the franchisee’s financial capacity, operational readiness and strategic fit with the franchise.

We also assist in negotiations with the franchisor to ensure favourable terms for the franchisee. Our ongoing support includes training, marketing assistance and operational guidance. By providing a robust support system, we help franchisees navigate the complexities of franchising and increase their chances of success.

Could you share a success story from your experience in franchising?

One of our notable success stories is the expansion of the KFC brand in India. When we first introduced KFC, the market was unfamiliar with the concept of fast-food chicken. Through strategic marketing, localisation of the menu, and a focus on quality and customer service, we were able to establish KFC as a popular and trusted brand in India. Today, KFC has a strong presence across the country, contributing significantly to the local economy and providing numerous job opportunities.

Another success story is a local entrepreneur who partnered with us to bring a global educational franchise to India. With our guidance and support, he was able to establish multiple centres across the country, offering high-quality education and creating jobs for educators. These success stories highlight the transformative power of franchising in creating opportunities and driving economic growth.

You have also authored books. Could you tell us about that?

My first book, ‘The Science of Reproducing Success’, explores how successful ventures can be replicated. My second book, ‘Takecharge’, is about entrepreneurs from the subcontinent facing daily challenges and building their businesses from scratch. The third book, ‘It Takes Two to Tango’, focuses on building small businesses through aggressive marketing and leveraging sentiment. These books reflect my belief in the potential of entrepreneurs and the power of franchising to transform lives.

Your future plans for Franchise India?

Our future plans involve expanding our footprint in emerging markets, including Nepal, and introducing innovative franchise models that cater to evolving consumer needs. We aim to focus on sectors with high growth potential such as technology, healthcare and education. Additionally, we plan to enhance our digital capabilities to provide better support and resources to our franchisees. We also intend to strengthen our global partnerships and foster collaborations with international brands to bring more opportunities to local markets. By continuously innovating and adapting to market trends, we aim to remain at the forefront of the franchise industry and contribute to the economic development of the regions we operate in.