Compulsory centralized marketing programs are probably one of the supreme strengths of franchising. Pooling funds from all of the franchisees in a system gives them communally much greater marketing power. This fundamental fund can be used to do things that no individual franchisee could afford. The fund can also be used to hire professionals to produce advertising materials of far better superiority than what an individual owner could create. It is essential for anyone considering a franchise investment to know prior to becoming a Franchisee that the Franchisor’s marketing system is a good one. The essential qualities of a good franchise marketing program include these actions.
The first priority in any marketing system is knowing that the results will be more people using the products or services of the Franchise.
Second, allow franchisees to offer their opinions.survival They work in the market in which they operate and know what works and what does not. The final decision can be made by the franchisor, but franchisees will appreciate your allowing them to become involved. Create a franchise advisory group consisting of representatives of all of your franchisees. They should meet with the franchisor’s marketing group and provide input into future projects and campaigns.
Marketing funds should be directed primarily toward covering the costs of controlling the marketing effort (internal expenses, agency fees, etc.). Next they cover the expense of producing advertising resources (print, direct mail, radio and television ads, etc.). Finally, they pay for media purchases to place these advertisements for the advantage of the contributing franchisees. A frequent franchisee criticism is that too much is being spent in one of these area and not enough in another. Clearly there must be a practical balance between these needs.
Don’t spend more on brand advertising than on efforts to bring in more customers. Building the brand is very important but so is bringing in customers. A powerful brand is only as good as the customers in brings in. The marketing system should be carefully documented. A franchisor most likely won’t provide all of their proprietary internal marketing documentation, but you can ask for at least the table of contents of the marketing support manuals they provide to franchisees. This will give you a good idea of the extent of the strategies they provide in training franchisees to market successfully. It will also validate that they have improved their systems to the point where they have record them in manuals and other support and training tools.