Steps in Achieving Business Growth with Your Franchise
- 1. Find Your Niche ...
- 2. Use Social Media to Get the Word Out ...
- 3. Offer Incentives to Customers ...
- 4. Get Involved in the Community ...
- 5. Seek the help of a digital marketing agency ...
- 6. Make a Plan and Stick to It ...
- 7. Know Your Numbers ...
- 8. Stay Connected with Local Businesses ...
- Making sure that now is the right time to franchise.
- Budget strategically for marketing and recruiting.
- Identify your brand differentiators.
- Season your brand organically and early-on.
- Over-support your first few franchisees.
- Build up solid unit economics.
What makes a successful franchisee?
The individual franchisees need to be able to operate independently, but still rely on one another for guidance and assistance. If you want a franchise to grow and succeed, you must have a strong brand identity, one that is recognizable throughout your industry.
Can I set my own prices as a franchisee?
As a franchisee you have the ability to set your own prices, unless there are certain restrictions in your franchise agreement (which you should have investigated in detail as you went through the process of finding a franchise ).
How do I design a franchise development strategy?
Design a franchise development strategy that will grow outward from existing company and pilot locations. This will allow you to maximize brand recognition and support your franchisees. Don't grant franchises in disjointed markets. Some franchisors will grant a franchise regardless of geographic location.
Is your brand personality important to your franchise success?
The stronger your brand personality is and the more recognizable it is, the better off your franchise will be. You may have a national franchise, with locations across the country, but there still must be a balance between your national name and the local establishment.
How can a franchise be increased?
5 Ways to Increase Franchise SalesWhat if I told you the key to increasing franchise sales was simply to build relationships? ... Establish a strong brand reputation. ... Build a successful business track record. ... Create excitement with your promotions. ... Relationship-building social media and marketing strategies.More items...•
Can you expand a franchise?
Most franchisors insist that franchisees be successful with one unit before they're allowed to open additional ones. However, there's no reason you can't expand after you meet this requirement.
What franchise is the most profitable to own?
Most Profitable FranchisesDunkin'7-Eleven.Planet Fitness.JAN-PRO.Taco Bell.Orangetheory Fitness.Great Clips.Mac Tools.More items...•
Do franchise owners get rich?
According to a survey done by Franchise Business Review*, the average pre-tax annual income of franchise owners in the U.S. is about $80,000. However, only 7% of franchise owners earn over $250,000 per year with 51% earning less than $50,000.
How do I turn my small business into a big business?
Although growing your small business will take time and energy, there are 10 strategies you can use to help accelerate business growth.Do Your Research. ... Build a Sales Funnel. ... Increase Customer Retention. ... Participate in Networking Events. ... Practice Corporate Social Responsibility. ... Form Strategic Partnerships.More items...
How can small businesses expand?
How to Expand a Business: 10 TipsAdd New Offerings. One of the most obvious ways to expand your business is to add new products or services to your mix. ... Optimize Your Existing Market. ... Claim a Niche Market. ... Move Into New Markets. ... Seek Referrals. ... Launch an Ecommerce Website. ... Partner With Other Businesses. ... Acquire a New Business.More items...•
What are the 4 types of franchising?
The four types of franchise business you can invest inJob or operator franchise. These owner operator franchises are usually home based, which keeps overheads down to a minimum. ... Management franchise. ... Retail and fast food franchises. ... Investment franchise.
What is the fastest growing franchise in the world?
Browse franchises by categoryFranchise name/rankCategory/Description# 1 7-ElevenConvenience Stores Convenience stores# 2 Century 21 Real EstateReal Estate Real estate# 3 KFCChicken Chicken# 4 Stratus Building SolutionsCommercial Cleaning Environmentally friendly commercial cleaning and disinfecting6 more rows
Is a franchise a good investment?
If you're a fledgling entrepreneur or a seasoned business person wanting to diversify your holdings, you've probably wondered, “Are franchises a good investment?” The simple answer is yes, especially if a great opportunity presents itself. There is an obvious appeal to starting a business via buying a franchise.
How often do franchises fail?
A five-year study by the franchise consulting firm FranNet reported that 92 percent of their franchise placements were still in business after two years and 85 percent after five years. Because yes, sometimes franchise businesses can rise and fall like independently owned companies.
How long before franchise is profitable?
One common misconception when it comes to operating a franchise is that once you sign on the dotted line and open for business, the customers and revenue will start flowing. This is typically not the case. It normally takes a year or two to become profitable.
Is it hard to run a franchise?
Running your own franchise is still hard work, and there are drawbacks to opening a business that requires operating by someone else's rules.
How can I expand without franchising?
Beyond Franchising: 6 Ways to Expand Your BusinessCompany-Owned Operations. The most obvious expansion method for many companies is the development of additional company-owned outlets. ... Business Opportunities or Licensing. ... Trademark Licenses. ... Dealerships and Distributorships. ... Agency Relationships. ... Joint Venture.
What are the advantages of owning a franchise?
Advantages of buying a franchise You don't necessarily need business experience to run a franchise. Franchisors usually provide the training you need to operate their business model. Franchises have a higher rate of success than start-up businesses. You may find it easier to secure finance for a franchise.
What is an alternative to a franchise?
The most popular alternatives to franchising include pure licensing and pure product distribution. Less common alternatives include joint ventures and partnerships.
Can a business be both company owned and part owned by a franchisee?
Some companies operate with both franchised and corporate-owned stores. Doing so allows a company to both expand their footprint while honing their processes (like training or new products).
How to grow a franchise?
Build a strong brand identity. If you want a franchise to grow and succeed, you must have a strong brand identity, one that is recognizable throughout your industry. The stronger your brand personality is and the more recognizable it is, the better off your franchise will be. Create a balance between local and national.
Why do people franchise?
Franchising your company is a great way to earn more revenue, grow your brand, and take on new and exciting opportunities. While many people assume their franchise's growth will just come naturally, businesses do not just magically start spreading and growing. You must be willing to put in the work to make sure that your franchise grows. Here are 10 of the top tips to consider when you are trying to grow your franchise and expand your business.
What is the best model for growing a business?
One of the best models to growing any business, no matter how big or small, is customer service . The entire franchise -- including individual establishments -- must always focus on doing things the right way and treating individuals the right way.
What should the success of the establishments you have be?
The success of the establishments you have should be what convinces others to open a franchise. If you force it, then you are only putting new franchises at risk for failing, which can do major damage to your brand name and reputation. For the entire organization to grow, the individual franchises must be successful.
Why do you need to be willing to teach others how to run a successful business?
You need to be willing to teach others how to run a successful business so they can copy your model for success and use it to create another duplicate establishment that is just as successful.
1. Find Your Niche
When people are starting with their first company or product, they often try too many different things at once—which is the quickest way of failing at all of them. Instead of trying everything at once, find one aspect that sets you apart from the competition—and then do that well.
2. Use Social Media to Get the Word Out
One of the best ways to market your product or service is social media. Platforms like Facebook and Twitter allow you to connect with many people very easily, and you can target your ads towards specific demographics. This means that you can reach more people in less time, which can help you grow your franchise quickly.
3. Offer Incentives to Customers
When customers look for a new product or service, they often compare prices and the best deal. If you can offer them something that the competition can’t, you’re more likely to win their business. This could mean offering a lower price, providing a free trial, or giving out loyalty rewards.
4. Get Involved in the Community
Being involved in the community is a great way to connect with potential customers and show them what your business is about. You can do this by sponsoring local events, donating to charity, or participating in community projects.
5. Seek the help of a digital marketing agency
If you need help to grow your franchise, it’s time to get strategic with online marketing. Having the right marketing agency on your side can help you grow your franchise. This is especially true if you’re new to the industry.
6. Make a Plan and Stick to It
If you want your franchise to grow, you need a plan, and you need to stick to it. This means setting goals, creating a budget, and developing a strategy to help you achieve those goals. Having a plan will help you stay focused and motivated, which is essential for any business.
7. Know Your Numbers
No matter what kind of franchise you run, it’s important to know your numbers and understand where they come from. This helps you track growth and recognize potential problems early on.
Franchise Sales
Up the ante on your existing sales techniques by learning from our franchise consultants. Our decades of experience will teach you a thing or two about selling your franchise and marketing to potential franchisees.
Franchise Marketing
Our thirty-plus years of marketing experience can help even the most developed franchise marketing team. Enlist the help of our experts for help with fresh ideas on brand building, social media, and other marketing strategies. Don’t just say, “I want to grow my franchise.” Make it happen!
International Franchising
Breaking into international markets can be difficult, not to mention require a lot of complicated paperwork. Our franchise advisors’ experience in this field can prove invaluable as you move your company into this exciting new step.
Franchise Real Estate
As they say, location is key, which is why it’s so important that your business has a competent real estate initiative. Learn ways to improve site selection, lease negotiation, permitting, construction management, and so much more. In addition, we are affiliated with a number of organizations that help us help you with all your real estate needs.
Franchise CRM and Support
Our franchise development team specializes in supporting our clients every step of the way, including access to our custom, franchise specific Customer Relationship Management (CRM) tool.
Franchise Resale Program
When one of your franchisees is trying to sell, it can mean a loss of revenue for your company. Our franchise resale program works to get a new investor to take the place of the franchisee that is selling in order to uphold that unit. By remaining transparent with new and old franchisees, we do everything we can to help keep your business secure.
What to do when you franchise a business?
Because of this, you must do everything you can to protect the brand you have built. Make sure to set clear guidelines for your franchisees to follow regarding the use of any brand assets such as logos, taglines, music, characters, advertising style, etc. After you have given your franchisees guidelines to follow, monitor everything from their photos and videos to their social media usage to make sure they are following them properly.
Why is it important to own a franchise?
You are giving a portion of your business to another person, so it is necessary to bring in strong, wise, and business-minded individuals to own your franchises . These strong franchise owners will take matters of growth into their own hands, and you will be able to supervise from afar because you know you can trust them as franchise owners.
Do franchisees work for you?
Yes , your franchisees are working for you; however, you are also partnering with them to make your franchise as a whole a success. For this reason, communication between you and your franchisees, and form one franchisee to another is vital. If communication is good, guidelines and goals are made clear to the franchisees, and the franchisees can provide guidance and assistance to each other when needed.
Do you need to force growth?
You don’t need to force growth to happen, in fact, forcing growth could cause new franchises to fail. Instead, you should let the success of your current franchise units convince others to purchase their own, leading to the growth of your business.
Find A Trustworthy Franchise Consultant
Utilize Services and Resources from A Franchise Consultant
- A quality franchise consulting firm will have numerous years of experience and resources for a franchisor to utilize and help their brand grow. There are a lot of servicesthat a franchise consultant can provide for a franchise, but if the franchisor is on the same page and understands the best strategies for the brand, it can help the consultant and the process by creating the best …
Develop A Plan
- Accurate Franchising uses the free franchise growth assessment to help a franchise consultant strategize what services will best help you and your franchise grow. Once you complete it, a consultant will work with you to determine the next step to solving your “how can I grow my franchise?” question. With the franchise consultant’s expertise and bet...
Expand Internationally
- After executing the plan that you and your franchise consultant created to promote the growth of your brand, you may be wondering what the next step may be to expand even further. Through international franchising, you could bring your franchise to new heights as people in other countries begin to invest in the opportunity, and you become an international franchisor. If intern…