From the monthly archives:

April 2009

An Opportunity For Franchisors To Be Heroes: 8 Steps To Help Franchisees Survive Recession.

April 30, 2009
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This economic recession is an opportunity for franchisors to become heroes in the eyes of their franchisees!
This is a rare opportunity for franchisors
You have an opportunity to make decisions that will keep your franchisees in business and help them get through this economic downturn. You’ve never had an opportunity quite like this one. Deliver and [...]

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Taking Responsibility For The Franchisee’s Economics. This May Hurt, But Suck It Up!

April 29, 2009
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While it’s not a franchisor’s job to make money for a franchisee (that’s the franchisee’s responsibility), it is the franchisor’s job to know that the franchisee is making money. In fact, it’s the franchisor’s responsibility!
Ouch, did that sting?
Think “responsibility” is too harsh of a word here?
Think again.
Will investors let you off the hook?
If you’re a [...]

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Helping Franchisees Recognize The Value Of A Customer

April 27, 2009
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Franchisees: What business are you in?   
That’s a question every franchisee must answer, and every franchisor must help its franchisees answer. 
Get in the right business now
Until you know what business you’re in, it doesn’t make any sense to put a value on a customer. So, just in case you’re not in the right business, and [...]

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Understand Why People Buy; That’s How You Attract More Customers

April 21, 2009
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Want to know why your advertising isn’t producing the way you want it to?
It’s because you’re appealing to the wrong motivators. Or not enough motivators.
Buying motivators are the same whether you’re a franchisor advertising for franchisees, or you’re a franchisee advertising for customers. Appeal to the wrong motivators and you’re advertising will be less effective.
Emotion [...]

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Franchisors: How Many Franchisees Are You Keeping?

April 20, 2009
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Typically, franchisors focus on finding franchisees. They spend tens of thousands of dollars annually to exhibit at expos, run ads in magazines and newspapers, and post their banners on Web sites, all for the purpose of getting a prospect to ask for information about buying a franchise.
Staggering cost of capturing franchisees
We know, based on annual [...]

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Franchisor: What’s The Value Of Your Franchisee?

April 17, 2009
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Continuing with the previous discussion of what it costs to acquire a franchise (or a customer; and a franchisee is indeed a customer), let’s take a look at the value of a franchise, and then we’ll discuss the importance of keeping a franchise.
My focus in this blog series is: Capturing & Keeping Franchisees — an [...]

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Franchisor: How Much Did That Franchisee Cost You?

April 15, 2009
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When franchisors realize the cost of selling (capturing) a franchise, they often pay more attention to keeping franchisees. Because it’s a whole lot less expensive to keep one than it is to capture a new one!
Economics of capturing franchisees
First, let’s examine the cost of acquiring a franchise and later we’ll look at the cost of [...]

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Franchisors: What Business Are You In?

April 13, 2009

“What business are you in?” I asked a group of franchisors.
They told me:

The people business
The dream-making business
The problem-solving business
The customer relations business
The financial independence business

Yikes.
Who wants to be in the people business?
Have you met anyone who wants to be in any of those businesses? Know anyone who got up this morning and said, “I want to [...]

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Franchising Requires Trust, Even Though You May Be Betrayed

April 10, 2009
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Betrayal is an ugly word, but it’s a popular topic in Christian churches this week. It’s Holy Week and every preacher is talking about Judas betraying Jesus.
Is there hope after betrayal?
“How do you trust again when you’ve been betrayed?”
I asked the question of the husband and wife I met last Saturday at a franchise expo [...]

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Franchisors & Franchisees: Victory In Business Is Not Just About The Numbers

April 7, 2009
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Are you . . . is your franchise . . . more concerned about crunching numbers than about converting customers, clients and franchisees into raving fans?

Big deal, you can count!
Everywhere I go, people (franchisors, franchisees and their “advisors”) are determined to demonstrate that they can add a row of numbers, divide by the total number and get [...]

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One Is The Most Dangerous Number In Business

April 2, 2009
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Three Dog Night told us that “One is the loneliest number,” and I’m here to tell you that it’s also the most dangerous number.
It’s the most dangerous number in business because it will put you out of business.
Consider
Franchisor has one supplier for products or services that are critical to the business. Something happens to that [...]

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