Appointing franchisees is very much a numbers game, but without the process, system, and the people to apply the formula, these numbers will simply not stack up…

Once a successful company has set up as a franchise, the objective is to become a nationally recognised brand in their particular sector. The only way to do this is to recruit franchisees to cover every territory available. By selecting the right franchisees for their business, the franchisor lays the foundation for a high-quality and well-motivated franchise network.

Franchisee profile

To develop this network, firstly brands need to understand the profile of the franchisee they are looking for. There are non-negotiables, such as financial capability, as well as other important aspects to consider. These other considerations include whether the prospect will fit into the culture of the brand and its people, or if they possess the business values and capabilities required to succeed.

With this knowledge in mind the brand must create a marketing plan and assign a budget. Shows, print media, websites, radio, television and social media can all be used.

Lead Qualification

As leads are generated, it is vital that a lead handling system is in place to automatically capture all details submitted.

This system should provide an immediate personalised response to the prospect so they are confident their enquiry has been registered. The system will be able to track which parts of the email marketing campaign franchise prospects have looked at, as well as how much time they have spent on relevant websites and when.

Leads are individually scored based on their online activity, and as their score increases it allows the franchise recruiter to identify which enquiries should be dealt with first.

Over a certain time period, all leads will be contacted, or contact will be attempted in one way or another.

lead_handling_qualifying_leads

From those directly contacted and spoken to, between 8–12% should be pre-qualified to attend an initial meeting with the franchisor, and the industry average suggests that of the total leads generated between 0.75-2% will eventually become a franchisee.

The difference between converting 0.75% and the 2% of total leads is in the handling of the lead.

Good lead handling is an art that many franchisors struggle to do effectively themselves. Read My 12 Year History of Lead Handling for an insight into how lead handling is still carried out in many franchise organisations today.

Outsourcing Franchisee Recruitment…

Outsourcing parts, or indeed the whole process described above, to independent franchisee recruitment consultants is becoming more and more common and the advantages are listed below:

  • They know the market and can fully advise where to apportion the marketing budget, as well as suggest new and unknown avenues.
  • They specialise in content marketing, lead generation, lead handling and lead qualification and will already have all the systems in place which may a franchisor years to develop and get right.
  • They have a track record of franchisee recruitment.
  • They will be able to build a different kind of relationship with the prospective franchisee in helping find a ‘fit’ with the brand they have an interest in.
  • The bulk of the cost will be in the form of a commission, or success fee.

Appointing franchisees is very much a numbers game, but without the process, system, and the people to apply the formula, these numbers will simply not stack up…

Get in touch…

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