Franchising World, December 2006

Developing a strong franchise brand requires that franchise companies clearly communicate the vision for the brand to the field and enforce compliance to that identity.

By Nikki Sells, CFE

When a franchisee purchases a franchise, he or she is buying a system and a brand. While the system is clearly defined through a procedures manual and operating guidelines, defining and upholding a franchise brand can be more challenging than creating a set of rules. But to promote sales and increase market share, it’s essential for franchise systems to be vigilant about protecting and promoting their most precious asset, the brand.

Before a franchise company can begin communicating its brand message, it must first determine its target audience. When thinking about potential customers, it’s best to first focus on those who can be considered “low-hanging fruit.” These are customers who, for whatever reason, will be easiest to transform into loyal, frequent purchasers of the product or service. Often, these are individuals or businesses that are currently using a competing product or service, but are dissatisfied with their provider.

Consistency is closely tied to brand identity.
After identifying the primary customer base and the message that speaks to their needs, it’s important to also consider secondary audiences. These include buyers who would be interested in the company’s products and services, but are slightly more difficult to reach than the primary customer base. This group includes individuals or organizations that may not currently be using the type of products or services provided by the franchise organization or those who are using a competitor and are relatively satisfied with their service. Some people may not be consumers simply because they are unaware of the benefits of the service. Those who are content with the competing product or service will need to be convinced of the advantages of switching to another provider.

Once the target audiences have been pinpointed, the next step is to determine what makes them buy. Asking the question, “Where’s the pain?” can help franchisees discover their buyers’ needs. For example, for a transportation franchise, it might be important to ask, “Where’s the pain in our potential customers’ current deliveries and shipments? Are the deliveries too slow? Are items lost in shipping?” When a franchise company knows its prospects’ pain, it is better equipped to craft a brand message that addresses that pain.

Understanding the needs of prospective customers will help franchises communicate their brands in a way that speaks to their customers’ needs. Once a franchise firm has determined its message, it is important to remain true to that identity. Consistency is closely tied to brand identity. When a brand is marketed consistently, the targeted audiences have a clear understanding of the franchise’s identity and the services it provides.

Traditionally, creating and maintaining a uniform brand is more challenging for franchises than corporations. Corporations are able to regulate their marketing messages and branding efforts with greater ease because they are one body producing one message. With a franchised business, however, each unit is more autonomous and therefore more likely to reinterpret the brand message in its market.  Although the independence of franchises presents challenges for uniformity in branding, it also offers opportunities for greater market saturation and brand penetration within the local community. To keep local representation and brand uniformity in balance, it is essential to provide franchisees with clear guidelines for marketing the brand.

From logo usage to outdoor signage to classified ads, an organization’s brand is what it represents to the public. For example, if a hamburger franchise has two locations in one market and one location has a blue sign with orange script font and the other has a blue sign with red block letters, this conveys a mixed brand message. Brands are built through subtle emotional connections with the public. Franchises add value to their brand when they present a reliable message and product to customers.

Consumers make purchasing decisions based on expectations of service and quality. A franchise company can experience the full value of being part of a larger entity when consumers have high confidence in the brand. While many franchise systems provide their franchisees with guidelines about logo usage, signage and advertising, many fail to fully enforce those guidelines. This is why a customer can go from one unit to the next and have a completely different experience with the brand. Enforcing clear guidelines will not only help franchises stay true to the brand when marketing, it will also improve customers’ experiences. To determine how closely brand standards are being followed, franchise organizations can conduct site visits, customer surveys and focus groups with field representatives.

Frequency of Communication
Consistently communicating the brand isn’t the only method for establishing a franchise’s identity with the public. The frequency of communication is a key component in whether the public recognizes a brand. Every day people are bombarded with hundreds of different messages, many of them from competing companies. Often, consumers choose to buy from the one they’ve heard from most recently. That’s why it’s important for franchises to reach their customers where they live, play and work. A one-time communication, no matter how impressive, is simply not enough to secure customer loyalty. Franchisees must constantly remind their buyers why they should choose to do business with them. A missed opportunity to communicate with a prospect or client could be a missed sale.

Customize Marketing Materials
To determine which mediums are most effective for marketing to the targeted audiences, franchise companies should consult with representatives from the field. What works in one part of the country or with one demographic may not work with another. That’s why it is helpful to provide franchisees with a range of marketing materials that they can customize.

Allowing franchisees the ability to customize marketing materials benefits a franchise firm on two levels. First, when franchisees have a range of materials that they can customize with information such as addresses or sales promotions, they’ll be less inclined to create their own marketing materials. This ensures that marketing materials remain professional and have a uniform look. Secondly, giving franchisees the ability to tailor marketing materials encourages increased sales. This is because marketing efforts are more persuasive when they come from a local source or familiar name.

In today’s digital world, customizing marketing materials is easier and more affordable than ever. E-mail marketing, personalized Web pages and custom advertising-building software allow franchisees to localize the corporate message when communicating to their customers. E-mail marketing software lets franchises add a personal message to such communications as corporately-created newsletters or coupons. Now, providing franchisees with their own Web page or blog within the franchise’s larger system is an accomplishable task. Advertising-building software enables franchisees to customize print advertisements from templates created at the corporate offices. 

To increase market share and encourage repeat sales, franchisees must establish a solid brand with loyal customers. Answering the question, “Where’s the pain?” will enable franchised brands to provide higher levels of customer satisfaction. When a franchise organization frequently and consistently communicates that it can relieve some pain or inconvenience for the customer, a powerful brand identity is established. Franchise systems can safeguard the integrity of their brand by ensuring that franchisees conform to brand-marketing standards. Providing franchisees with customizable marketing materials bridges the gap between franchisees’ interest in personalization and headquarters’ need for uniformity and consistency.

Developing a strong franchise brand requires that franchise companies clearly communicate the vision for the brand to the field and enforce compliance to that identity. Additionally, maintaining brand identity calls for franchisees to buy into the brand and spread the message throughout their communities. When franchise organizations and their units work together to establish a solid, dependable brand, the results are customer growth, increased sales and larger market share.

Nikki Sells, CFE, is vice president of franchising for Express Personnel Services and a member of the International Franchise Association’s board of directors. She can be reached at nikki.sells@expresspersonnel.com. 

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