Embracing Solo Ownership
FamilyMart, a major convenience store operator in Japan, has traditionally required its franchises to be owned by teams of two, typically husband and wife. However, recent changes to franchisee contracts have allowed shops to be run by solo managers. This shift comes in response to Japan's declining population and the resulting labor shortage in the convenience store industry.
Manami Murata, 28, became the owner of a FamilyMart store in Ishinomaki, Miyagi Prefecture, in August 2024. She had long dreamed of owning her own shop and was excited to put her seven years of experience to use. However, under the previous rules, she couldn't become an owner because her husband worked for a different company.
The introduction of the solo ownership system in May 2024 made Murata's dream a reality. Her store was the first to operate under these new rules. "Without this system, I might have given up on establishing my own business," she reflected.
FamilyMart's decision to allow solo ownership was driven by the increasing prevalence of multi-shop owners hiring managers to run their outlets. The company recognized the need to support new owners, especially those without managerial experience, and implemented measures such as extending the period of assistance after opening and providing financial support for staff hiring.
The new system has been met with enthusiasm, with nearly 100 applicants within its first five months. FamilyMart officials remain committed to recommending two-person ownership but see the solo ownership program as a valuable option for individuals and couples with different work schedules.
The convenience store industry in Japan has traditionally relied on the "turnkey business" model, where franchise owners receive comprehensive support from the operating company in exchange for royalties. This model has made it relatively easy to start a convenience store, but the 24-hour operation and the need to maximize profits can make stable management challenging.
Previously, married couples were often preferred as franchise owners due to their ability to provide continuous work, build trust, and access tax benefits. However, with the increasing number of unmarried individuals, the industry is adapting to changing demographics.
Experts believe that companies need to provide comprehensive support to solo owners, especially those without experience. They also emphasize the importance of reevaluating traditional models to accommodate the changing social landscape.
The solo ownership system implemented by FamilyMart is a significant step towards addressing the labor shortage in the convenience store industry and ensuring its continued success in the face of demographic shifts. As other major players in the industry, such as Lawson, explore similar models, it will be interesting to see how the convenience store landscape evolves in the years to come.
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