Why Marketing For A New Franchise Unit Should Be A Franchisor’s Priority

Most franchises charge an on-going royalty — a percentage of the franchisee’s revenue — that is submitted on a periodic basis. What this means is if new franchisees take longer to achieve optimal sales figures, the franchisor is actually “losing” revenue in the form of royalties. So clearly, it is in the franchisor’s best interests to help franchisees get up to speed as soon as possible.

One such way a franchisor could provide such assistance is where marketing for a new franchise unit is concerned. If franchisors are able to develop a proven opening marketing strategy, they could find that franchisees’ ramp up phase will be much shorter in terms of sales performance.

But its not just about the money. Other benefits could also become more apparent when a franchisor includes a proven opening marketing strategy as part of their franchise offering. Here are four other reasons why.

Related: Successful Launch Of A New Franchise


Economies Of Scale Savings

The costs of creating marketing materials (i.e. photography, video production, copy writing, printing, etc.) could be a significant financial outlay for franchisees. But these costs could be significantly reduced if shared among a pool of parties instead.

Brand Consistency

By maintaining control over the production of marketing materials, franchisors themselves can ensure the presentation of a consistent brand image and delivery of the same brand message, regardless of location.

Smoother Transition Into The Business For Franchisees

Franchisees don’t have to worry about coming up with ideas for campaigns or gimmicks to attract customers because there is already a proven marketing plan to implement. Instead, with them being new to running the business, franchisees can commit their undivided attention to ensuring operational procedures are performed in line with the required standards.

Value-adding To The Franchise Offering

Franchises, among a sea of competition, are constantly vying for the attention of prospective franchisees. Offering a high quality and detailed marketing program as part of the franchise offering could set the franchisor aside from the rest. Besides, this allows franchisors to show they actually care, even after franchise fees have been paid.

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