By Joe Bourdow

No doubt about it, good relationships are good for business, particularly in franchising. But why does the relationship between franchise owner and franchisor break down? There are many reasons beyond the scope of this article, but a logical reason to consider first is the quality of communications between and among the parties.

Within the communications process there are typically several stakeholder groups, who each hold a somewhat different perspective from one another. Additional stakeholders can include executives and staff members within each separate organization as well as vendors, advisory boards and other groups representing the franchise owners as a whole.

Like a good marriage, all parties must diligently practice effective communications and recognize the importance of keeping the lines of communication open. This means institutionalizing regular processes and opportunities to ensure that open and honest communication exchanges take place. Does this mean that a franchise system that communicates well always agrees on operational policies or even strategic direction? It most certainly does not. Rather, when good communication has taken place all parties are positioned to have informed discussions and debates versus petty bickering. Positive interaction allows a great franchise system the opportunity to become better every year.

So how complicated is it to ensure good communication? If you focus on a few basics, it is not difficult at all.

Return Calls Promptly

It sounds so simple, but a pattern of not returning calls or e-mails promptly is one of the most aggravating and sometimes crippling problems an organization can face. It can also indicate a lack of respect. Without a prompt reply, “sad” can turn to “mad” and a simple problem morphs into a larger issue. When an owner places a call to the franchisor, it is because of a definitive and necessary need. The simple act of promptly returning calls begins the communication process while showing respect. Franchise owners appreciate even a message conveying that you tried to reach them immediately, even if the answer is that more time is needed. By responding quickly, a sense of partnership is established. This is a strong foundation from which to grow. The best franchisors ensure that this is a policy not only with the franchise support team, but throughout the entire organization.

Communication is a two-way street. As a franchisor, one should be concerned when a franchise owner fails to return your calls promptly. Keep track or create a log of the reasons franchisee owners and staff call one another. Are the same questions being asked over and over again? Could you have a basic “communications gap” that needs to be filled?

Let Your Intranet Web site Help Bridge the Communications Gap

Give your intranet Web site the attention it deserves. Make it comprehensive and easy to navigate. Create compelling reasons for franchise owners to log onto the Web site every day. Make sure all the information is current and up-to-date. Even a new owner should be able to find answers quickly. Poll new owners regarding its user-friendliness and incorporate their feedback into your Web site design. Use professionals in site design to help get it right. Offer Internet and Web navigation training classes at conventions and meetings to make sure people understand what’s available online. Offer “quick links” to frequently referenced tools and support material.

Establish a Point-person for Every Franchise Owner

The corporate point-person is a franchisee’s lifeline. This designated individual, or for larger franchise organizations a team, helps to steer through good and bad times. As the primary contact, the point-person should go the extra mile and always respond to a franchisee’s needs right away. Some organizations rely on the field person to be this person. This can be difficult due to travel schedules. Having a home office “inside person” who gets the little things done can make all the difference. Choose this person carefully. The right people in these positions become the face of your franchise organization to their assigned franchise owners and will have an immense impact on your relationship.

Franchise Network Conference Calls and Web Conferencing–a Low-Cost Tool

How often do you have the chance to sit down with several of your franchisees at one time, perhaps once or twice a year? A lack of interaction can cost both parties money. 

Network conference calls offer a good solution for a small price. Consider the following to ensure the conference call is time well spent:

  • Allow franchisees ample time to add to their schedules. Advance notice is not only a respectful courtesy, but also enables greater participation.
  • If moderating the call, join the call before the conference call begins to set the tone. In addition, many participants will dial in early to ask questions and review the subject matter.
  • Coordinate a convenient time for everyone. Be cognizant of time zones.
  • Set a defined end time. It is important for all parties to schedule accordingly. 
  • Choose the format that best fits the topic. To control questioning and interruptions, particularly among a greater number of participants, consider an outside moderator. With a smaller, more intimate group, muting the call maybe unnecessary, but do address the need for quiet until the identified time for questions and answers. In addition, background noise should be kept to a minimum.
  • Make the call meaningful. The success of future conference calls is often based on the last one conducted.

Technology has also given us Web conferencing. It is a terrific format to deliver presentations, reports, new product reviews and other messages in which visuals are essential to understanding and acceptance. 

Hire a Professional Writer, Editor or Communications Department

Strong, thoughtful written and spoken messages enhance not only your image, but also the company and franchise network as a whole. More importantly, the communication gap between franchisor and franchisee can be narrowed if the message is clear and repeated often. Frequently, what we think we are saying and what our franchisees are hearing or reading may be entirely different. Most of us are not professional writers. Employ them in your franchise organization.

Have a Commitment to Hosting First-class Meetings

Hosting a meeting or convention is one area where the franchisor absolutely should not cut corners. Failing to execute a meeting or convention smoothly may raise questions in the franchisees’ minds about the firm’s overall competence. By comparison, a well-executed, professional convention or group meeting speaks well of the overall business operation.

Effective franchise meetings start and end with preparation. Select a location site that is first-class and “invites” attendance. Employ or engage a “certified meeting planner” or someone with significant experience coordinating a first-class production. Audio-visual presentations require attention to detail and pre-event troubleshooting. Develop an event theme with a consistent look. Be sure to incorporate entertainment so that participants enjoy themselves while business is conducted.

A Truly Involved Franchise or Dealer Association is not the Enemy

The key word here is “involved.” It is not easy being a franchisor. Involving franchise owners in strategic direction at a more detailed level helps to put everyone on the same team. Whether the issue is sales, marketing, technology or production of products, franchise owners appreciate the complex issues the company faces. Rather than a single advisory board, this franchise has organized a franchise association around an elected board of directors and multiple subcommittees that works with us in addressing specific business areas and issues. This alone has paid additional dividends for this organization.

For more on this topic, consult the International Franchise Association’s Franchise Relations Handbook and the section titled, “Improved Communications Means Improved Franchise Relations.” Find it at Franchise.org.

Joe Bourdow is president of Valpak Direct Marketing Systems, Inc. He can be reached at joe_bourdow@valpak.com.

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