JD Wetherspoon has told Propel it is “exploring other opportunities” in the franchise market – adding to its current handful of holiday park and university campus partnership locations.
The company currently has franchises with Hull and Newcastle universities for student union bars and has one franchise site with Haven at its Primrose Valley site in Yorkshire – with four more in the pipeline. Owner Sir Tim Martin told The Sun in January that he is considering franchising overseas, and the company will now be exhibiting at the London International Franchise Show, at the ExCel Centre from April 11-12, as it looks to promote its franchise programme and attract more partners.
Asked by Propel if it would be expanding the programme to take in other locations it operates in, like high street and travel hubs, a Wetherspoons spokesman said: “We are looking at other opportunities in the franchise market, and attending the International Franchise Show is part of that process.” Propel understands that Wetherspoon has not signed with any franchise consultancy and is handling the process in-house. The company’s first franchise site opened at Hull University in January 2022 following a £300,000 conversion of the student union’s former bar and nightclub. “As part of the franchise, the bar adopted the Wetherspoon business model, supported by training, operating procedures, prices, products, marketing and the Wetherspoon customer app,” the company said. “In the first year of trading as a Wetherspoon, sales across the bar, restaurant and late-night venue grew by 75%. Trade has become more even, not only across the different parts of the day, but also throughout the year, with students and customers from the local community visiting more frequently at weekends and during non-term time. Since adopting Wetherspoon’s selling prices and cost prices, which have provided a more competitive offer for students and customers, gross margins have improved by around 6%. Overall profits for the first year were up by more than £100,000, or 65%, compared with trading before the franchise was introduced.
“Operating statistics, measured against Wetherspoon’s standards, have performed very well – comparable with, or ahead of, averages for the Wetherspoon managed estate. Also, footfall to the entire students’ union building has increased by an estimated 200%, with sales increases seen in other retail units as a result. The franchise has been well received by students, staff and the local community, with positive reviews and comments, along with a 4.1-star average score on Google reviews.”
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