What are the positives
©Андрей Яланский – stock.adobe.com
of franchising?
By Kate Jackson, Industry Reporter
Accom is an industry full of single entities, all pushing to make headway in a competitive market. Working together can be a powerful way to advance business and create a sense of wellbeing in an autonomous world, particularly if you are new to the game and keen to tap into the collective knowledge of veteran campaigners. The management tiers that come with a franchise provide a support system for tackling issues that crop up daily - from OTA demands and staffing issues to arguments with guests. Being part of a chain means having a network of other operators to connect with, and those connections cannot be underestimated. Talking through issues, garnering tips or just venting to someone who understands are all very human needs. Quality franchises are welloiled machines that, in many cases, have been operating for
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AccomNews - Winter 2020
Partnering with a recognised brand gives you access to a pool of management expertise
decades. They help establish standards of excellence and present opportunities for in-house training, national marketing support and access to “been there, done that” advise. Adrian Turner, group general manager for Quest Apartment Hotels in NZ, says Aotearoa is the most franchised country in the world, with more than 630 different systems available. “However, not all franchises are created equal and the successful ones are the ones that have structure and have assessed the risk relevant to what they are offering to ensure that their franchisee has the ability to be high performing in a
low risk environment,” he says. “Franchise systems that belong to the Franchise Association and have their documentation audited to ensure compliance with the association’s code of practice is always a good place to start.”
Joining the club As a mum-and-dad operator, trying to get your accom noticed in a world dominated by online travel agents and an ever-changing social media landscape marketing is daunting. Those choosing to join a franchise often do so because of the access it provides to extensive marketing networks.
MARKETING
As Adrian Turner says: “Partnering with a recognised brand gives you access to a pool of management expertise which helps steer your business without removing the level of autonomy that most accommodation owners desire.” Networks represent an overarching set of values to guests which helps market their individual members. And they have the available resources to consider the kinds of advertising campaigns and techniques which those going it alone might not have the funds to employ, however skilled and creative. Large accommodation brands are savvy about ways to drive direct bookings. While guests might not think to check the website of a niche property to see if there are any benefits to booking direct, people tend to know that big brands offer free wifi, complimentary extras or discounts to those who pick up the phone or book direct online. Franchises also inevitably have much greater clout to negotiate lower OTA commissions on behalf of their franchisees than individual operators and represent a more powerful voice with which to argue policy. www.accomnews.co.nz
