Buying a Franchise – What to Expect?

Owning a Franchise

What to expect when buying a Franchise business?

Franchise operations are slightly different to that of independent retail stores. Franchise stores operate on a structured business model, which is geared specifically towards driving a level of operational efficiency that is mirrored across all stores. Roll-out and speed of implementation can be seen to be a mandatory requirement for the ongoing development of the Franchise.

 

Franchisee - success rate!

Franchisee – success rate!

 

A Franchisee Business Blueprint

The goal is to drive a business blueprint that is based upon the following principles:

  • Mobilizing the operational guidelines and ramping it up to generate feet through the door – here we apply brand recognition and marketing to generate derived demand from the catchment area.
  • Facilitating a known consumer footpath through the store – making the transition from a single purchase occasion to a multi-occasion. Encouraging browsing behavior and ensuring that the range catalogue is visible and is communicated to the shopper.
  • An evolving category mix – one that changes with time to altered consumer preferences.
  • A fixed margin requirement according to a structured pricing guide – segmented according to stock strategy and category requirements.
  • A fully trained and storyboarded sales staff – that is well versed in the requirements of the store and for generating off-take.
  • Defined Service Levels linked to category off-take and customers – this pertains to service levels, credit terms and payment terms.
  • Information and Reporting that is streamlined and aligned
  • Being part of a strong network of locations – it is a “family” of institutional knowledge that can be leveraged and shared across a library.
  • A network of 3rd Party Suppliers – tested, vetted and geared towards long term B2B relationship building.
  • An advocacy group to support your business – providing support and consultation where need be.
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