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How Should An Entrepreneur Choose A Franchise Brand?

2012/3/13 15:22:00 11

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Join in

The main points of brand are brand, brand and brand.

Why is it so expensive to join KFC and McDonald's? There are still many people in the market. There is no doubt that they all have a strong brand, as well as a strong operation system after the brand and strong support for all franchisees.

To join a good brand, for those who want to start a business, they can be their own boss and avoid many risks of starting a business.

Entrepreneurship

Funds and other costs.

But if the wrong brand is chosen, it may be a loss of money and time.

Therefore, the selection of franchised brands, or join the headquarters, is a powerful guarantee to join the success.

According to the summary of a large number of actual combat cases, we should extract several key points that should be paid attention to when choosing franchised brands for reference by investors who wish to join the franchise system.

strong brand

Good brands consist of brand awareness and reputation.

According to the "strong brand theory" in the three dimensional marketing theory, brand awareness includes brand identification and brand recall.

Consumers with brand recognition ability can rightly point out whether they have seen or heard the brand before they get some hints.

brand

Recall refers to the ability of consumers to recall a particular brand without any hint when they think of a product.

Brand reputation is often an important driving force for consumers to decide to buy.

For example, if someone wants to eat hamburgers, their preferred choices may be McDonald's and KFC.

The higher the popularity of the brand, the higher the passenger flow and sales that the brand can bring.

Therefore, to remind entrepreneurs to join in, we must find out the brand situation, choose a brand with a high reputation and reputation, to a certain extent, to achieve "relying on big trees to enjoy the cool".

Value concept

Corporate culture is a value concept embraced by enterprises and attached to practice. It is a mission, vision, purpose, spirit, values and business philosophy that have been recognized and observed by all employees in the practice of production and management.

In essence, it includes the values, ethics, ideology and work attitude of the employees of an enterprise. From the external performance, it includes all kinds of visual communication systems, cultural education, technical training and entertainment activities.

Cultivating a good corporate culture can make decisions smart, sensitive, United and harmonious, tacit understanding, efficient and courageous. It can create strong cohesion and entrepreneurial motivation in the members of an enterprise.

Corporate culture contains a very rich content.

In capitalist countries, corporate culture has been regarded as a new tool of management. With this tool, the carefully formulated enterprise goals and strategies have been turned into concrete achievements.

When franchisees choose brands, they should consider brand and corporate culture from two aspects.

On the one hand, a good brand often has some unique brand culture, which is the soul of an enterprise and gives the enterprise an inexhaustible motive force for its development.

On the other hand, does the brand's culture match you?

If its brand culture is introverted and rigorous, it is not suitable for those who are open and active, because the conflict of ideas will naturally affect subsequent cooperation.

All life service

Li Jiacheng, a well-known entrepreneur in Hongkong, once said that the most important thing in investing in real estate is "lots, lots and lots", and one of the secrets of successful projects is "lots, lots and lots".

The idea that "the wine is not afraid of the alley" is outdated. There is no good location. Even good projects are possible. Even if they are finally successful, the profit time will be greatly delayed.

Therefore, how to choose the right place to operate has become a headache for franchisees.

If you choose a good affiliate headquarters, then the advantages will be reflected.

As you know, there are few failures in McDonald's location.

Well, the headquarters will invest a lot of energy in the market investigation and the location of franchisees before choosing franchisees.

Therefore, they usually have the ability to plan for the franchisee, choose the right location, so as to ensure the flow of the franchisee, and lay a good foreshadowing for the future business.

At the same time, good headquarters will be in the franchisee's perspective, to provide reasonable store area planning.

Too large storefront makes it difficult to make full use of the effective resources of the storefront, resulting in high management cost and low profitability of the unit area.

Just like the enterprises selling products, their excellent after-sale services can best reflect their brands. Good affiliate headquarters often have a complete follow-up service mechanism, which provides a strong guarantee for the rapid development of franchised stores.

For example, according to the sales situation of the franchisee, the headquarters will select the goods by the professional distribution Engineer to suit the local consumers' preferences.

Some headquarters also visit the franchisees regularly or irregularly. This reflects the concern of the headquarters to franchisees, and also shows its concern for the franchisees' operation.

From another perspective, headquarters can collect many market information through the inspection process, so as to further adopt strategies and enhance its competitiveness.

Following this affiliate headquarters is undoubtedly the blessing of franchisees.

Mr. Li joined the catering program of a company in Chongqing last year.

After the opening of the franchisee, the headquarters dispatched two supervisors and instructed to leave in a hurry.

Because Mr. Li himself has no experience in food and beverage management, and lacks management and technical support, it is very difficult to operate.

Mr. Li has repeatedly requested support from headquarters, but he has not been able to wait for guidance from relevant personnel.

Finally, after less than 3 months after its opening, the shop closed down because of a loss of about 100000.

All this is a real sigh.

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Operation system

Many of the heads of chain headquarters do not have the Know-How of operation and management, but because they opened one or two good business shops and met many people who wanted to join a branch store, they set up an affiliate headquarters hastily.

The headquarters of chain affiliate must have a large number of Know-How, including the development and management of commodities, business, marketing and advertising activities, recruitment and management of personnel, financial planning and operation, etc.

These are all necessary knowledge to assist franchisees to manage their business in a long-term manner.

Speaking of joining, investors are most concerned about the return on investment.

Some chain companies vigorously promote their high return on investment, and some even indicate that the investment payback period is only one month in publicity materials. They are all irresponsible publicity activities.

Chain affiliate is indeed a way to make money, but the hope of getting rich overnight is very slim.

A good brand usually makes a comprehensive evaluation of the franchisee, giving an objective and effective investment recovery period and investment profit margin.

According to industry practice, most of the franchise industry's 1~2 years of investment recovery period should be reasonable.

Continuous training

The training support provided by the headquarters to franchisees is one of the core elements of the normal operation of franchise.

Training can promote mutual understanding between franchisees and HQ and improve the chances of successful franchising.

For new investors, how to recruit personnel, how to manage daily stores, how to open up sales situation and increase turnover are all urgent needs to learn.

Only a truly good brand has a well-established and effective training system to clear obstacles for franchisees.

To understand the training ability of a brand, we can see whether it has its own training department, what training courses, training staff's practical experience and professionalism, the length of training period, and whether to go to shop training.

At the same time, the effectiveness of headquarter training can be judged by understanding the training situation of the participants.

Moderate advertising

According to the "effective communication theory" in the training course of "three dimensional theory of marketing", advertising is an indispensable means in modern commercial warfare, and is also the most advantageous weapon for making a sound start.

Advertising is the messenger of information dissemination, the introduction letter of the enterprise, and the product's stepping stone.

It is effective in pmitting commodity information and service information, while setting up a good image for enterprises, stimulating consumers' desire to buy, and guiding consumers to consume activities.

The input and implementation of advertising is also an embodiment of the comprehensive strength of headquarters.

Strong headquarters, in order to further develop the market, further cooperate with the promotion of franchisees, will often invest strongly in CCTV, satellite TV, major portals, and all kinds of important print media. At the same time, intensive farming in various areas, according to the market conditions in various regions, we use a variety of media combinations to publicize.

And a large number of advertising invested by headquarters, franchisees are directly beneficiaries.

Dot distribution

Good brands will reasonably control the density of interlocking sites.

Too high density can lead to cannibalism, and too low density will lead to inconvenience to customers and make competitors take the opportunity to enter.

Some joined the headquarters because of the red and popular popularity, and blindly increased the number of franchisees.

At the same time, it has been relocating to large offices and factories, increasing manpower and increasing machinery and equipment.

The rapid expansion of the scale, in addition to the input of funds, will also cause losses for a period of time because of the scale economy.

At the same time, the increase of departments and staffs will also lead to poor communication and coordination. Errors will increase and efficiency will decrease.

Ms. Wang signed a franchise agreement with a company in Beijing.

In the first two or three months, the benefits of the store were pretty good.

However, less than half a year later, there were 3 stores that were exactly the same as Ms. Wang's shop.

By the end of the month, at the end of the month, the profits earned will be less than 1000 yuan after the wages and rents are paid.

Sustainable operation

What should be sold, so the franchisee can design for the consumption pattern of the main products, but the product has a life cycle, so the decoration and style of the franchisee should be adjusted accordingly.

The external environment is changing all the time. If joining the headquarters does not have the ability to respond to commodity development, when the existing commodity combination goes to the recession, it can not satisfy the consumers' demand for innovation and change, and the viability of the franchisee will have problems.

Some affiliate headquarters have no idea of permanent operation. They only want to get a ticket in the market, or they have no confidence in the future of the industry. Therefore, although the existing franchise system is still expanding, it will switch to other industries or develop other brands.

The responsible headquarters will cherish the difficulty of establishing the franchise system. When encountering bottlenecks, they will try to find out the way of the franchisees and their headquarters, and lead the franchisees to tide over the difficulties and create a new situation.

Investors should be reminded that when choosing a target, they should know more about whether the future planning of their future development focuses on their own business and whether their input is related to their industry.

If the real interest in joining the brand is not in the industry, then it is prudent to consider whether it is worthwhile to join.

All of these are aimed at reminding investors that "brand strength and support are always the first priority". Only by selecting the right brand can we succeed in joining the company.