Brand-name networks in the service industries

Bruno Mura, direction régionale de Midi-Pyrénées, Insee

In 2007, France had 44,200 points of sale specializing in the provision of services grouped into 450 networks. They generated €52 billion in sales, or 13% of total sales in the service sectors where they operate. In some sectors, however, their share is far larger-reaching 88% for networks of temporary-work agencies. The latter category alone accounts for 43% of sales by service-industry networks. Temping-agency networks are also the largest measured by the number of sales outlets, along with networks of motor-vehicle rental agencies and real-estate agencies. Three types of organization predominate in service networks: 44% of points of sale operate under franchise agreements, 35% are held by the “network head” company, and 13% function as groupings. In one-half of the networks, several organizational forms coexist, most often a mix of integrated stores and franchised stores. Integrated networks are the prevalent form in business services, franchises in hairdressing, and groupings in travel-agency networks.

Insee Première
No 1299
Paru le : 04/06/2010