DOING THE RIGHT THING

Nowadays, franchise brands are eager to flex their community credentials, and for good reason.

By Nick Hall

While price still plays an important role in the customer journey, a quality product at an affordable rate isn’t always enough.

For years, the battle of the brands saw chains take bold steps to increase their market share, and while competing on price is one way to cut through the noise, some innovative businesses are appealing to our hearts rather than our hip-pockets.

In the US, shoe company TOMS built an entire business model on sustainable and ethical operations. Right from the get-go, founder Blake Mycoskie implemented a “buy one, give one” model. For every pair of the sleek, Argentinian-style canvas shoe sold, TOMS would donate a pair back to a community in need.

While the product was far from the most fashionable item on the market, the message of helping children in need resonated, both with the public and with prospective retailers and buyers.

“I knew my shoes couldn’t compete on quality or price alone, so I told the buyer why I wanted to sell them and give them away. The store became our first retail account,” Mycoskie told the Harvard Business Review in 2016.

Since then, TOMS has grown to a valuation of more than $300 million, never once losing sight of the community message that shaped its original vision.

The methodology behind community outreach programs is simple; in fact, it’s the very ethos that should inform all of your decisions because it’s what the consumer wants. Customers care little about your bottom line, but they do care about your values.

With customers increasingly prioritise ethics and values over price, it pays for business owners to take a stand for what they believe in. So, here in Australia, which franchise brands are putting purpose over profits?

ZAMBRERO

For Mexican-inspired fast-food chain Zambrero, community outreach programs aren’t simply an afterthought. The Aussie franchise was designed with the goal of tackling world hunger right from day one. Founder Dr Sam Prince launched the restaurant chain in Canberra in 2005, however it was his personal experience and cultural heritage that formed the brand’s iconic people-first mission.

With parents raised in Sri Lanka, Prince was motivated through their stories and experience to start a business that not only provided great food but had a good cause in mind. Targeting world hunger as a primary issue, Zambrero introduced the Plate 4 Plate initiative which, much like the TOMS model, relied on a “buy one, donate one” system.

For every burrito or bowl purchased at Zambrero, one meal is donated to someone in need, through domestic partnerships with Foodbank and international support provided by Rise Against Hunger. While in recent times the executive team has changed, current CEO Bianca Azzopardi hasn’t let Prince’s focus on community enterprise wane. Over the years, Zambrero has donated more than 33 million meals across 200 international restaurants in Australia, New Zealand, Ireland and the US through the initiative. In fact, in October last year Azzopardi and the Zambrero team took to the streets for their biggest event ever, the annual Plate 4 Plate Day. Thousands of volunteers and customers crammed into iconic

venues across Sydney, Melbourne, Adelaide, Perth and Brisbane to pack more than 450,000 meals for those in need.

“Zambrero is passionate about driving awareness around the global hunger crisis, highlighting it as an issue that is both widespread and underestimated,” Azzopardi says.

“Our Plate 4 Plate Day is held on World Food Day to encourage our customers to face poverty at a local level. This is an opportunity for Australians to consider who it is that will address short-term hunger if not those with the time and resources to do so.”

It’s an enormous undertaking for the Mexican-inspired franchise, but one that has been carried throughout the operation. From the head office staff to the franchise partners, the theme is consistent.

“Our franchise partners are the most critical piece of the Plate 4 Plate initiative,” Azzopardi says. “Not only are they responsible for the teams who serve the burritos and bowls that result in our donations, but they are the ones advocating to our customers around the country about the Plate 4 Plate initiative and how they can make a difference.”

“In fact, many of our franchise partners have chosen to be part of Zambrero because of the Plate 4 Plate initiative and what we stand for.”

While Zambrero is helping to tackle world hunger, it isn’t the only franchise addressing the issue.

STUDIO PILATES

Brisbane-born fitness franchise Studio Pilates is also working to help bridge the gap for those in need, targeting at-risk Aussies.

“Right from inception, our ethos has always been to help other people. That’s what we feel we were put on this Earth to do and it’s at our very core,” Studio Pilates International CEO and co-founder Jade Winter explains.

The health and fitness franchise is tackling hunger here at home, through an innovative partnership with home-delivery meal service Nourish’d.

Studio Pilates members partaking in the franchise’s Hell Week and 30 Day Challenges can nominate to receive pre-packaged meals as part of their program. However, instead of pocketing a rebate for meals sold, Studio Pilates uses them to fund its “We Eat, They Eat” initiative.

For every 20 home-delivered meals

the Studio Pilates community orders for themselves, one fresh, nutritious meal will be delivered to a person in need. “It gives our clients the power of purchasing-with-purpose,” Winter says. “Building genuine connection amongst our communities and reminding them that they’re part of something much bigger.”

The new community-focused initiative hits close to home for the global CEO and fitness entrepreneur. Winter reveals that he was inspired to bring the “We Eat, They Eat” project to life after growing up watching his single mother, and other families in his neighbourhood, struggle to put food on the table.

“I believe it’s of the utmost importance to use our platform to push positive growth,” he says. “It’s quite simply the right thing to do.”

While it’s all systems go for Studio Pilates’ “We Eat, They Eat” initiative, it’s not the only community-focused program the franchise is exploring.

When one of their own was facing a debilitating illness, the team set to work. Studio Pilates franchisees Ash and Ryan Giles’ six-year old son Nash was diagnosed with a brain tumour, undergoing both chemotherapy treatment and brain surgery.

“After spending so much time in hospital over the years for many different procedures, and then embarking on the most gut-wrenching journey of chemotherapy and brain surgery, we have seen the direct effects of current treatments available to children,” Ash says. Jade saw the toll it was taking on the family, and with the help of all Studio Pilates franchisees, put together the Hundreds for Hope initiative. Over one day, all classes across 24 studios are offered completely free of charge, with giveaways and entertainment raising funds for two children’s charities, The Kids’ Cancer Project and Child Cancer Foundation.

“As a parent to a son of the same age, it really hit home, and right then I decided, as an organisation – as a family – we simply had to do something to support other families faced with cancer,” Winter says. I believe it’s of the utmost importance to use our platform to push positive growth.

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WE ROCK THE SPECTRUM

Championing the cause for families is something US-founded franchise We Rock the Spectrum has prioritised for years. The purpose-built gym chain is designed for children with special needs and features personalised equipment to aid in sensory development.

However, above all else, founder Dina Kimmel says it’s all about inclusion. After her son Gabriel was diagnosed with autism, the mum of two went looking for a supportive community. When she couldn’t find one, she built her own.

“The first We Rock the Spectrum gym was actually created in my home, and after seeing miracles happen with Gabriel and my daughter, who is not special needs, in terms of inclusion, I thought ‘there’s got to be more families out there who need this as well’,” she says.

“That’s what inspired me to open the first free-standing gym in 2010 and it was really the parents in the local community that drove its success.”

Flash-forward a decade and We Rock the Spectrum now boasts over 80 locations worldwide, including a growing presence Down Under.

Sally Johnson is the master franchise owner behind the Aussie incarnation and was compelled to bring Kimmel’s vision to Australian shores after undergoing a remarkably similar experience.

Like Gabriel, Johnson’s son Digby was diagnosed with autism, prompting the passionate mum to search out options. What she found in We Rock the Spectrum was a community of like-minded families, and an opportunity to lead from the front. Eighteen months after launching her initial Preston gym, Johnson is helping more and more Aussie families get on board with the family-first fitness chain. “As a global group, the franchise has seen some incredible developments this last year,” Johnson says.

“As well as launching in several more countries around the world including Egypt, Ireland, Saudi Arabia and Canada, we have seen several more brand partnerships developed. We have also become fully NDIS Registered, meaning that families with Disability Funding can access our services using their funding. It’s a great feeling to know that we are all part of a strong mission of inclusion and acceptance for kids of all abilities.”

It’s a mission that Aussies are getting behind. Johnson says that the gym is as much for the sensory development of special needs children as it is for their families.

“As gyms who also welcome typically developing children into our centres, many of whom have had little exposure to kids with disabilities, the benefits are twofold,” she says.

The family-focused business isn’t slowing down either. Johnson reveals that new gyms in Sydney and Geelong are set to open early this year, with Moorabbin and Wollongong to follow.

BEN & JERRY’S

Keeping things cool may seem like an obvious mission for an ice cream business like Ben & Jerry’s, but much like the decadent flavours for which the brand is famous, the team likes to go big.

In 2019, the ice cream icon partnered with the Australian Youth Climate Coalition to help raise awareness of climate change, sending their “Scoop Mobile” around the country, targeting universities and encouraging students to pledge to #VoteClimate. “From the beginning of the company’s 40-year history, Ben & Jerry’s has championed social and environmental justice. We care not only about how we produce our ice cream but also about how we can raise awareness and inspire people to take action on important environmental and social issues,” Sean Farrell, Ben & Jerry’s national retail manager explains.

“In Australia, we have fought for the reef when it was threatened by

dredging, we have joined NGOs to stop the proposed Adani coal mine and we have encouraged the public to divest.”

It’s an ethos that runs deep for the iconic chain. From carbon reduction to strict sustainability standards, Ben & Jerry’s is constantly looking at ways to improve its social impact, from both a head office and local level, which requires buy-in from franchisees.

“The social mission is embedded into the business and who we are, so franchisees understand this when they start working with us,” Farrell explains.

Never one to shy away from controversy, the brand extended its focus beyond the environment, leading the marriage equality charge Down Under. But Farrell reveals it was hardly a bandwagon move. “Ben & Jerry’s also has a long and proud history of commitment to social justice, including LGBT rights and marriage equality,” he says.

“This commitment is grounded in our company’s values, which include a deep respect for all people and an unshakable belief that everyone deserves full and equal civil rights.”

In fact, way back in 1989, Ben & Jerry's was the first major employer in Vermont to offer health insurance to domestic partners of employees, including same-sex couples. Here in Australia, the team has been rallying support for marriage equality since 2013, launching an “I Dough, I Dough” flavour to celebrate Australian

marriage equality in 2017.

It’s a bold and often polarising strategy to employ, but Farrell believes it’s more important to do what’s right rather than what’s popular.

“We know that we are not going to win everyone’s favour doing that but that’s okay with us because we don’t do what we do to gain popularity, we do it because we believe it is the right thing to do.”

MUFFIN BREAK

For Aussie icon Muffin Break, the right thing to do was to cut down on the chain’s environmental impact. Back in 2018, the cafe franchise embarked on an initiative

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that would improve sustainability, while also staying true to the Muffin Break message.

The brand identified that amid the climate change noise, consumers were becoming increasingly confused over what could and couldn’t be recycled.

“No matter how much you hear about eco and recycling, in Australia, less than 1 per cent of takeaway coffee cups make it into commercial composting,” Muffin Break general manager Natalie Brennan reveals.

To help get the ball rolling, Muffin Break overhauled operations, with head office and franchisees buying into the new sustainable focus. However, it was a fortuitous partnership with a local organisation that helped the business to break through.

Joining forces with coffee cup recycling operation Simply Cups, Muffin Break was able to significantly reduce the amount of cups headed into landfill, a partnership that was backed by the entire network.

“Our franchisees are all families working in their communities, so it’s important to them to minimise our waste as business owners and community members,” Brennan says.

Eighteen months on, Muffin Break isn’t backing down. The chain recently removed all single-use plastics from stores, a move which included replacing plastic cutlery with bamboo. However, Brennan reveals more initiatives are in the works. “We’re looking at how to collect coffee grounds and food waste from our stores, to further reduce our footprint in landfill. We’re exploring our shopping centre relationships, working with centres who are implementing better waste management options for retailers.”

Our franchisees are all families working in their communities, so it’s important to them to minimise our waste as business owners and community members.

FINAL THOUGHTS

When it comes to social equity, there is nothing more powerful than giving back. Customers nowadays are driven more by emotional connections and value sets than ever before.

Whether it be environmental, social or ethical, franchise chains that aren’t afraid to step into the public eye may face criticism, but as Ben & Jerry’s Sean Farrell explains, it comes with the territory. “Unfortunately, the issues facing the world at the moment are big – whether that’s climate change, the refugee crisis or racial justice,” he says. “Everybody – individuals, brands, companies and governments – we all have a part to play.” n