Grow From Here

A recent UK study showed that nearly twice as many consumers would rather buy from a franchise than a non-franchised business (‘Franchise Awareness & Preferences survey,’ 2006.)

Queried consumers both understood the business model of franchising and preferred using them over non-franchised outlets.   

The problem was that they were often unclear as to which was which. With an estimated 22% increase in customer attainment, the evidence for franchises to increase their visibility became clear.

Contrary to the common misperception of a franchise being a ‘big bad chain’, and media buzz promoting shopping small and local as the noble way to support local economy, these new findings on popular opinion offer a much more positive perspective.  The British Franchise Association (BFA) has acted on this information and developed a brand, ‘Proud to Franchise’ (PTF) which quickly and easily allows consumers to better identify franchises.  BFA member companies (all stringently screened) join at no charge, and are promoted through logo displays and various online as well as print media channels.

How can this data improve your business?

Focus on the advantages that consumers perceive; review your marketing materials and see where they can be improved.

The study shows that consumers want to shop at franchises because they perceive these benefits:

1. Familiar products and services with quality controlled consistency,  high standards of  service levels
2. Support of local economy with the backing of a secure and stable national brand
3. Increased value-for-money due to low purchasing costs
4. Knowledgeable and invested (local!) owners display pride, expertise and commitment
5. A sense of being a valued customer

Remember: 22% more customers are available to you.

Today’s increasingly sophisticated consumers say they see franchises as the best of both worlds:  the dedicated local with the friendly touch; and the broader national network which ensures consistency, support and lower costs.  For business owners, franchises offer a strong supply chain in tough economic times.  Finally, franchise opportunities are offering a safe foothold for people looking to start a business.  All in all, you have many great reasons to be proud to franchise and to find new ways to increase your visibility! 

Have you tried something similar to the BFA’s Proud to Franchise campaign?  If not, is there a simple way you could use these findings to increase sales for your franchises (and therefore interest from prospective franchisees)?

Best Practices, Franchise, Tips

Developmental psychologist and author, Robert Kegan once stated that, “Behind every complaint lies a commitment.”

The theory behind this is that people do not complain about something unless they care about it.  If they didn’t care, they wouldn’t bother to comment.

Sometimes, I am very hard on my credit union.  I love what they stand for, and want them to live up to it.  But every time they fall short of their high standards I am all the more disappointed.   So I complain.  But unless things get too bad, I am fiercely loyal to them as long as I believe that they are doing their best to live up to their brand promise.  Companies that I don’t think care, I don’t bother to contact with complaints - I just leave and go elsewhere, silently.

Complaints often spring from a person’s frustration.  Attempts to voice their frustrations often come out as complaints.   As the person receiving the complaint, it can be seen as a negative (oh no, what a pain) or as a positive (this person cares about my franchise and believes it can be better).  The perspective you bring to the complaint will make a huge difference in what you do with it.

Although you are on the receiving end of the belligerence, you are also the one in control.   It is up to you to turn things around, and it will definitely benefit both parties.

How can you turn a complaint around?  Change the dynamic by changing the way you listen.

If you can create an atmosphere of safety and allow full expression, then several things happen.

• The relationship stays strong
• The speaker no longer feels victimized, but is now empowered
• The complainer is no longer part of the problem, they are part of the solution
• You become known as a good listener
• More importantly… You have accessed new information
• The complaint is turned inside out, becoming useful data
• This constructive feedback can improve systems and operations

The potentially disagreeable situation can be turned around, by the way that you chose to see and respond to it.

You have shifted the complainer from being a problem to being a part of the solution.

Open ears and an open mind are very welcome to an agitated speaker; it leaves them feeling heard as well as reinforcing the feeling that you are committed to your brand promise.  This creation of a safe space will work wonders to diffuse the frustration of the beleaguered grouch.

Who in your franchise complains a lot?

Why do they bother? 

Are they trying to make things better? 

Are they committed but caught up in feelings of frustration? 

Even when a complaint appears as a self-centered attempt to increase profits, bear in mind that you can turn the situation around, and use the feedback to benefit you both.  And yes, I know that not every complaint indicates commitment, but I have found been impressed by how some of our customers have managed to add huge value to their franchises by changing their perspective on how they receive complaints.

Remember, if they didn’t care, they wouldn’t complain.

Best Practices, Business Growth, Communication, Tips