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.
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.
As leads are generated it is vital that a lead handling system is in place to automatically capture all details submitted. This system should also provide an immediate personalised response to the prospect so they are confident their enquiry has been registered. Such a system will also be able to track which parts of the advertising campaign have been looked at and when (‘activity’), and help the recruiter 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. From those directly contacted, 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 1% will eventually convert to a sale. That is the science part.
The difference between converting 1% and the 2.5% of total leads is in the handling of the lead. Good lead handling is an art that many franchisors struggle with.
The benefits of outsourcing to franchisee recruitment consultants…
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 lead generation, capture, handling, and will already have all the systems in place which may take years to develop.
- 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 systems and the people to apply the formula, these numbers will simply not stack up…
For more information please contact The Franchising Centre directly by using the contact request link here.