Entertain The Economic Blues Away With A Franchise Business

Posted on November 29, 2008 by Ginger Watford

The current recession has undoubtedly spurred an unending number of articles, analyses, and commentaries on corners of the business world that haven’t been struck as hard by the economic slowdown as others. Everyone is looking to make some more money while things are generally tight, and finding an unaffected business opportunity is an utterly logical way of doing that. It can often take a lot of searching, though: particularly because writers continue to spotlight the same handful of business sectors over and again. Home repair, car repair, healthcare, education, and a few others keep turning up as viable businesses during recession, but that’s old news. At least one is often overlooked: entertainment.

When researching recession and the industries that have historically thrived under its conditions, one of the first things that comes up is a seedy list of taboo industries like liquor and prostitution. It may seem a little inappropriate to mention it, but there is reason for that trend. These industries survive because people weighted with the troubles tied to a lagging economy just want to escape reality, at least for a time. And that is the same root reason for which more innocent forms of entertainment succeed during economic dry spells as well.

There is one caveat to this pursuit of escape, however. Even though people are looking to get away from their troubles, they still remain relatively cognizant of their economic condition, which makes them reticent to go hog wild on entertainment luxuries they may have once indulged in. High-price items like concert, theater, and sports tickets all take a back seat to cheaper forms of entertainment.

During the Great Depression, it was incredibly common to find theaters packed to their breaking points on a regular basis, because 15 cents for a movie, though not cheap, was a price people were willing to pay to get away from life. Today, with the prominence and monetary value of at-home entertainment options, people are just as likely to stay in, rent an action flick, watch their sitcoms, or gather round the gaming console and take each other on in a shoot-em-up.

In fact, this is truer than anyone could have foreseen. With only two months remaining to the end of 2008, the cumulative growth of the American economy this year is expected to reach only 2.4%, which in itself is pretty pathetic. But, when you compare that to the year’s growth rate of the videogame industry, it could almost make a grown businessman cry. By end of year, the gaming market is expected to have grown at least 20%. And videogames aren’t alone; DVD sales and rentals are up too. In its first week on the shelf, the Blu-Ray version of the Movie Iron Man set a new record for sales, moving over 500,000 copies, and the regular DVD version of the movie sold over five million copies, amassing just under $100mil in that same week. What makes that truly amazing is that it was also the week that Congress decided to throw $700bil to bail out the stock market.

The clear conclusion is that though the vast majority of the American business world is suffering immensely under the weight of economic decline, at-home entertainment simply is not. Now, readers could take that only to mean that Blockbuster, Nintendo, and Best Buy are laughing themselves all the way to the bank, but that’s only half the story. Below are a list of franchises that specialize in this booming industry as well, franchises that an entrepreneur would be wise to investigate further if 20% growth sounds appealing.

Play N Trade
With over 500 stores currently in operation around the world, Play N Trade is universally recognized as the dominant retail franchise in videogame industry. The goal of every store is to provide the best gaming outlet with a comprehensive stock of products (including retro gaming gear alongside today’s trendsetting merchandise) and an enjoyable atmosphere in which customers can sit down and try games before purchasing. Franchisees work semi-absentee, and the corporate center does everything within its power to support each franchise, ensuring fun for franchisees, employees, and customers.

The Exchange
This franchise has one goal and one goal only, to provide consumers with the greatest selection of movies, music, and games available. To date, 30 years of experience in the industry has culminated in a method of operation that includes one of the most remarkable POS computing systems available, known as Exchangeware. This custom program makes the process of purchasing, pricing, trading, and selling media as simple and streamlined as can be. To boot, this franchise business comes with a complete startup package, making life for the franchisee as simple as possible also.

DVDNow
This home based business has become increasingly popular in recent months, as more and more entrepreneurs recognize how profitable it really is. Franchisees, who primarily work from home, stage automated DVD rental machines at various everyday locations like grocery stores and shopping centers, where passing customers can then insert a dollar and rent a new movie for the night. There is virtually no overhead, little upkeep, and it can be run entirely solo.

Gamer Doc
Though Gamer Doc is the newest franchise to the videogame world, the central management team has over 30 years of cumulative experience in matters of franchising. This combination of long-term knowhow and newness to the field make this business for sale one of the freshest and most promising business opportunities currently on the market. What they have made is a retail establishment that has the knowledge to serve hardcore gamers but also the simplicity and hospitality to cater to first-time gamers who may otherwise be turned off to the industry.

There are many ways to go in the entertainment world, but the fact remains that entertainment is a solid source of income even while times are generally tough. Of all industries, this is the one that has what it takes to not just weather a recession, but take full advantage of it.