The Profiler Jan 2011 Issue

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volume 3 | issue 1 | jan 2011

Business opportunities inside

The beneďŹ ts of a franchise network




SNAP ON

Snap-on – getting outstanding franchisees into business Snap-on is providing a gateway to finance nap-on Australia has introduced the Snap-on Gateway Programme. For qualifying prospective franchisees Snap-on will finance the franchise fee, consign the inventory as well as finance a percentage of the necessary working capital, together with renting them the mobile store. If we feel that an individual has all the makings of becoming an outstanding franchisee then we will get them into business. Why do we do this? Well, Snap-on has accreditation under the franchise-specific finance programs offered by all of the major banks, yet some prospective franchisees still struggle to obtain finance. There can be a variety of reasons for this: typically insufficient equity in the family home when valued by the banks is a very common one. Also of concern is the length of time it takes to go through the banks’ processes before funds are available to be drawn down. We have some vacant territories in NSW and Victoria where we are unable to service our customers and there is nothing worse than customers who want to buy our products but are unable to purchase them. So if we have the right franchisee in these territories but finance is a hurdle then it makes sense for us to help them. The potential franchisee does have to access to about $30,000, but if we feel they are the right person for our business and they are passionate about joining the Snapon network we will arrange the balance. Elsewhere in the world Snap-on subsidiaries have access to Snap-on’s own finance company Snap-on Credit for the finance of franchisees. We have not had access to this in Australia and New Zealand but it is coming… the corporation

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Snap-on vans are mobile retail outlets

If we feel that an individual has all the makings of becoming an outstanding franchisee then we will get them into business

is actively working to meeting all the local criteria so that we hope to be able to offer Snap-on credit towards the middle of 2011.

more conventional franchise fee structure due to Snap-on being the product manufacturer; we sell the products to franchisees who in turn sell to the customers. All the training, plus the associated costs, including air fares, transfers, meals and accommodation are covered by the initial franchise fee. So we want anyone who thinks that Snap-on may be the right business for them to contact us, come in and talk about the options and possibilities.

Money isn’t everything That’s why we have the Gateway Programme. And because some potential franchisees perceive that a Snap-on franchise is a very expensive system to join, any number of them can disqualify themselves without even making an enquiry. The truth is it’s a great value franchise system with no royalties or advertising levies payable. It is a departure from the

i FRANCHISE INFORMATION Contact: Nick Hudson Phone: 1800 762 766 Email: Nicholas.hudson@snapon.com Web: www.snapontools.com.au


So, what does think of us? 2009 Best Value Franchise in Australia 2008 #1 Franchise in our category 2006 1 of Top 7 Franchise Systems


Cafe2U

Cafe2U – an everyday lifestyle The world’s biggest mobile coffee franchise that works around your social schedule orking nine to five Monday to Friday does not work for everyone, and can be known to stop people from enjoying their everyday lifestyle. Cafe2U, the world’s biggest mobile coffee franchise, allows its franchisee owners the freedom to choose their own destiny and work the hours that suit them best. Andy Lynch, who is the owner of Cafe2U franchise in the Kenwick and Maddington territories in WA, can’t stress enough how satisfying his life has become since purchasing into the franchise. Working as a chef for more than 20 years, Andy migrated to Perth from England in 1997, but not before cooking for a host of British celebrities. “When working in London, I cooked for a number of TV personalities with Sylvester McCoy, who played Doctor Who, and Todd Carty of East Enders and The Bill probably being the most famous,” he said. “Living the life of a chef had always been a dream of mine when I was young; however the hectic lifestyle started to take a toll on my marriage and my social life. The 12 hour days always left me feeling exhausted and never gave me the time to do the things I love most, such as spending quality time with my wife, enjoying a refreshing drink by the pool and cycling around at the weekend.” “Since purchasing into the Cafe2U franchise, I have been able to set up a working schedule which works around my social schedule, while still managing to maintain a fulfilling income. I now

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Mark Andrews

I now only work from 6.30am to 1.30pm, Monday to Friday, leaving me to spend the afternoon however I please only work from 6.30am to 1.30pm, Monday to Friday, leaving me to spend the afternoon however I please.” Another Cafe2U success story is also a family man. Mark Andrews is based in the Campbellfield, Victoria region. After 11 years of working behind a desk at a computer software company, he decided that it was time for a career change. Mark chose the Cafe2U system for its flexibility and recently celebrated his one year anniversary in business. There’s no doubt that he loves his new life. “Since purchasing the franchise, I have had so much more time to spend with my

wife and two teenage daughters. Everyone is really happy to give a helping hand so it feels somewhat like a family business. “By feeling all the more satisfied within my day job, I have had the energy to plan fun-fuelled days out with my family in my spare time. Whether it is 4WD or camping I ensure we all have something to look forward to over the weekend.” To find out more about achieving the lifestyle you want with Australian born Cafe2U, visit www.cafe2U.com.au

i FRANCHISE INFORMATION Franchise information Contact: Alan Biddle Phone: 1300 223 328 Email: franchises@cafe2u.com.au Website: www.cafe2u.com.au



Signwave

Signwave – a service business going green Environmentally aware Kosnen Kwee is excited to be opening up his own centre in the dynamic sign and graphics industry yde resident Kosnen Kwee is the latest excited franchisee to open the doors of his Signwave sign and graphics centre, with the business set up for a pre-Christmas launch. “It’s a wonderful feeling to finally be opening this centre,” says Kwee. This industrial design graduate was drawn to Signwave by the dynamic nature of the industry but also the potential for profit in what is traditionally a high margin industry with a very low cost of goods. “I know that our services will be a great asset to local businesses and I think our customers will be very pleased with the level of customer service we are here to provide,” he says. With a focus on delivering customer satisfaction, Kwee has hired Andrias Suryadinata to join the Ryde Signwave outlet as the centre’s new customer service representative.

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Green credentials Together, the young entrepreneurs are looking for ways to run the centre in an eco-friendly manner and they will be seeking accreditation from a leading environmental certification company. “Employing green business practices is a cause that is very important to us,” explains Kwee. “We want to ensure that we not only offer the best product possible, but also the most environmentally conscious product we can.” The Signwave group is looking to partner with Greenbizcheck, which provides an internationally acclaimed environmental certification program that helps companies implement

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Kosnen Kwee

sustainable environmental practices. Franchise development manager Helen Spencer explains. “We will begin the certification process for all Signwave stores in 2011 and continue to focus on substrate recycling and sourcing sustainable products for our customers where possible. Signwave stores use eco-solvent inks and/or uv cured inks now and a number of owners already have processes and systems in place which encourage sustainability and have a focus on waste reduction. “We can see the benefit of sharing all of this information and building on it, not only from a philosophical point of view but also because conservation of resources and minimizing waste will save every Signwave owner money.” Kwee also has designs on building a strong presence for the Ryde Signwave store in the local area, with plans to hold an open house where community members will be invited to stop by, learn more about the products the centre supplies and get a tour to see the equipment the team uses. “We are excited to be part of the business community,” says Kwee. “I want to personally invite anyone who is interested

to come in, meet the team and let us show you the products and services we have to offer.” Located in Victoria Street, Gladesville, the centre supplies a full range of sign and graphics solutions to area businesses, organisations and events, including banners, site and architectural signs, window and floor graphics, point-of-purchase signs, safety and identification signage, trade show displays, exterior signage and vehicle wraps. With the opening of the Ryde store, there are now 20 Signwave stores across Australia; 2010 has been an exciting year for Signwave with five new owners joining the group and a number of new businesses planned for 2011. “We really believe in the Fastsigns/Signwave model,” says Australian managing director Andrew McKay. “The marketing infrastructure and support is world class, but we also believe in the product and service that we sell at Signwave. Today, we are speaking with a much younger demographic than ever before. This is a vibrant industry that requires energy and enthusiasm – coupled with a smart business plan and a respected franchisor and excellent support will translate into an exciting and profitable business future,” McKay says.

i FRANCHISE INFORMATION Franchise information Contact: Helen Spencer Phone: 1800 622 693 Email: Helen.Spencer@fastsigns.com Website: www.signwave.com.au


Every day more and more people go into business for themselves. In addition to the energy and passion it takes to succeed, each of these new businesses will need to let the world know they exist, which explains why the sign business has grown into a multi billion dollar industry. 5 day operation - business trading hours No signage experience required Prime locations available Over 500 centres worldwide Business to Business

franchise opportunities available 1300-SIGNWAVE visit: www.signwave.com.au for further information or contact helen.spencer@signwave.com.au


Lifetime Distributors

Lifetime Distributors 20 years of value shopping Convenience for the franchisee and the customer here are many benefits to an individual running a Lifetime franchise which include: Low risk: All of our products are supplied on consignment and there are no additional fees. Training: Each of our master franchisees provides training as well as induction courses and covers everything from door-to-door canvassing, to sales support, IT and product knowledge. Marketing: Support of the franchisor and master franchises, which in the eyes of a small business owner is a real benefit. Affordability: It’s not going to cost you a fortune to purchase a franchise. Expansion opportunities: Franchisees can expand by recruiting sub-contractors and part-time workers to increase their earnings capacity. An Australian owned business, Lifetime Distributors creates the convenience of shopping in the workplace for thousands of individuals. The company offers a huge range of products all at discounted prices delivered FREE of charge direct to the customer’s desk. Lifetime Distributors has been creating the convenience of work place shopping for 20 years and prides itself on customer service and reliability of product supply, whilst maintaining its core promise by providing quality books and products at discounts of up to 70 percent. General manager Kevin Lagden says, “Our franchisees sell to over 45,000 businesses every two weeks and that makes us unique”. “Our customers see us as reliable and affordable, our franchisees are always at a customer’s place of work at an allocated time and are able to fulfil orders right

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there and then. “It really is a fantastic convenience for the busy worker.” It’s low risk and the product supplied is on a consignment basis. The franchisee only ever pays for what they sell. Stock that does not sell through simply gets returned to the master franchise. With no marketing or ongoing fees, there are plenty of repeat business opportunities and everyone has the same opportunity to earn a high uncapped income.

Enhancements Lifetime Distributors has also recently invested in a brand new website, with an enhanced shopping experience. ”We have also integrated into the system a franchise content management system for all franchisees, where they can access all relevant documentation pertaining to agreements, marketing and company

guidelines and a lot more, 24 hours a day,” says Kevin. “It’s all part of our commitment to franchisees,” he adds. Lifetime Distributors is also a great believer in giving back to the community and to date has donated over $2.1m to charity. “The feeling of knowing that from every product purchased something is given back to the local community gives everyone a warm feeling,” concludes Kevin. For more information visit www.lifetimedistributors.com

i FRANCHISE INFORMATION Franchise information Contact: Joe Sultana Phone: (02) 9899 9655 Email: jsultana@lifetimedistributors.com.au Website: www.lifetimedistributors.com



RP Vending

RP Vending – a great success story RP Vending’s comprehensive business start-up system P Vending Systems is Australia’s largest and longest established vending machines supplier and manufacturer, with more than 40,000 vending machines located throughout Australia serviced by over 1000 operators. These machines can be found in locations including The Hilton, The Westin, The Sofitel, Sheraton on the Park, Meyers, ANZ, Ikea and Armaguard. All of RP’s operators are supported by RP’s complete ‘Business start-up System™’ accelerating operators into the multi-million dollar vending industry fully trained and ready. RP provides both initial and ongoing training, with operators trained in all aspects of running a successful vending machine business. This includes training in the areas of product stocking, site selection and machine maintenance. The benefits of starting a business with RP Vending are unmatched. Members receive access to RP’s exclusive buying network, which gives operators access to the benefits of RP’s long established wholesale partnerships with companies such as Smiths, Cadbury, Schweppes, Coca-Cola and Nestle. This allows operators to purchase stock at discounted prices only available to RP members and will result in you saving thousands of dollars a year. Members will also receive around the clock support seven days a week with RP Vending’s office and technicians ready to help at any time with our over-the-phone assistance hotline.

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No extra costs Operating with RP Vending provides you

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Clockwise from main pic: RP Vending team, vending machine, training.

A vending business is a great way to supplement a regular income from a primary job or run as a full time business, the decision is yours

with excellent support and training without any extra fees, charges or royalties. Once you have purchased your vending machines from RP Vending there are no additional costs. It is your very own business that you may run as you wish, backed with the security of knowing RP Vending will always be there for support. A vending business is a great way for you to supplement a regular income from a primary job or run as a full time business, the decision is yours. What’s great about an RP Vending business is its flexibility; because you are your own boss, you decide when you work. RP operators love the freedom they get from having such a flexible lifestyle; they

no longer have to work the typical nine to five but can work when they want, allowing them to spend more time doing the things they love. For 15 years RP Vending has been helping people realise success in the vending industry; the good news is you too can be a part of Australia’s greatest vending success story, RP Vending!

i FRANCHISE INFORMATION Franchise information Contact: David Green Phone 1800 066 112 Email: sales@rpvending.com.au Website: www.rpvending.com.au



Clark Rubber

What’s in store for you at Clark Rubber? Clark Rubber is an iconic Australian retailing brand and has been for more than 65 years. ight now, Clark Rubber has 76 franchise stores throughout Australia. We are now in expansion mode and have many new store opportunities throughout Australia. Clark Rubber managing director and founder of Clark Rubber Franchising, Chris Malcolm, says, “The name of the game is the fame of the name”. Malcolm says Clark Rubber has a very strong brand with a unique, bright colour scheme and look to its businesses. “We also have a unique business model for our marketing. We spend more than five per cent of our annual turnover on advertising and marketing. This makes us a very strong and aggressive marketer in our niche for the size of business that we are.”

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A leading retailer in the foam, rubber and pool markets. Clark Rubber’s unique product range is marketed with slogans such as ‘The Home of Foam’, ‘The Rubber Experts’ and ‘Australia’s Local Pool Shop’. Informative customer service in all three product categories sets Clark Rubber apart from many of its competitors.

Supported every step of the way. Clark Rubber franchisees have a wealth of support at their fingertips through the experience and knowledge of the national support office team, who are committed to franchisee success. The Clark Rubber team recognises that the success of any franchise system very much depends on the success of its franchisees, and so it provides its franchisees with a toolbox to help them succeed. The toolbox includes

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Clark Rubber’s bright brand colouring is a standout

Our mission is to develop and assist franchisees to achieve best practice to reach their full potential to manage and grow a profitable and successful Clark Rubber retail business

an in-house graphics design team, local area and national market product management, merchandising, IT and finance expertise, training and business coaches as well as analysts. Our mission is to develop and assist franchisees to reach their full potential in the management and growth of profitable and successful Clark Rubber retail businesses.

A proven and profitable model. During the 2009/10 financial year. Clark

Chris Malcolm, founder and managing director of Clark Rubber

Rubber experienced fantastic trading which resulted in record sales. At Clark Rubber, we believe franchising provides a new business with a far greater opportunity for long-term success and prosperity than an independent small business. This is achieved via a tried and tested system, a nationally recognised brand, ongoing support from experts in appropriate business fields and group strength in purchasing and marketing. Take a look in store today!

i FRANCHISE INFORMATION Franchise information Contact: network development manager Phone: (03) 8727 9999 Email: franchising@clarkrubber.com.au Website: www.clarkrubber.com.au


‘What’s in store for you?’ Strong National Brand Clark Rubber is an iconic Australian retailing brand and has been for more than 65 years. We currently have 75 stores across Australia. Unique Product Range Clark Rubber’s unique product range is marketed with slogans such as ‘The Home of Foam’, ‘The Rubber Experts’ and ‘Australia’s Local Pool Shop’. We are differentiated in the marketplace through the provision of informative customer service in the product categories. Support Team Clark Rubber franchisees are supported every step of the way in areas such as buying, marketing, merchandising, in-store operations and administrative support, IT and training. Proven and Profitable Model During the 2009/10 financial year, Clark Rubber experienced fantastic trading which resulted in record sales. Take a look in store today! We are currently looking to grow and have many new store opportunites for enthusiastic people who want to join a winning team.

You’ll be surprised at what’s in store for you at Clark Rubber! For further information contact our Network Development Manager on (03) 8727 9999 Email: franchising@clarkrubber.com.au Website: www.clarkrubber.com.au


Nanotek

Nanotek – Ecowash’s platform for the future Award-winning Ecowash Mobile has expansion plans ince launching in Sydney in 2004, Ecowash Mobile has won just about every award in franchising and has grown from a two car business to operations in 15 countries. But not content with this impressive record, the Ecowash Mobile team has set its sights even higher with the introduction in Australia of its hi-tech new brand Nanotek, the contract for Qantas Valet Australia wide and further international expansion. “It has been a fantastic six years, but our best is yet to come. We have learnt so much about the market and really refined our service and our franchise support system – now we’re going mass market with Nanotek,” says Ecowash Mobile CEO, Jim Cornish. The launch of Ecowash Mobile’s brand, Nanotek, focuses on the technology behind the service and allows for easier consumer education and understanding of the advanced nanotechnology that Ecowash Mobile franchisees employ. “It really is a paradigm shift going from traditional water washing to liquid polymer nanotechnology which is waterless, but the results speak for themselves – this is the way of the future,” says franchisee development manager, Adam Stone. “From a franchisee perspective you can literally wash a car anywhere, which really opens up unlimited possibilities in terms of business development.” And it certainly appears that the big players are listening! Ecowash Mobile now holds the national contract for providing car cleaning services for Qantas Valet and handles product launches for all of Australia’s major car manufacturers, which included in 2010 looking after the

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Ecowash has launched the Nanotek brand

requirements of Ford, Holden, Hyundai and Suzuki at the Sydney International Motorshow.

High tech IT Nanotek’s communication platform is heavily IT based with a futuristic new website as the centre piece. “We have really gone all out with the website,” explains Ecowash Mobile IT manager, Elia Napiza, “not just with the look and navigation, but with the way we have linked it through all our social media – our YouTube channel, Flickr Gallery, Facebook page, and Twitter. They all talk to each other, creating one integrated global communication platform from which we can develop a solid audience network and generate strong brand awareness and word of mouth. We even help our franchisees set up their own

Facebook page for their business!” With a strong presence in both Europe and the Middle East, Ecowash Mobile is now targeting key developing markets for the introduction of the service – starting with Russia. “Russia is a huge market for us; it took a long time to identify the right partner and get through all the red tape but we aim to launch in Moscow and St Petersburg before the end of the year,” says Cornish.

i FRANCHISE INFORMATION Franchise information Contact: Adam Stone Phone: 1800 Nanotek (626 683) Email: franchises@ecowash.com.au Website: www.ecowash.com.au



Pack & Send

Pack & Send – finding what you love and working at it! It’s not always easy to find a path to success, but once you’re on it, things just seem to get better and better... fter a few years with a franchise recruitment company, working on the Pack & Send account, Shane Cole soon gave up sharing the various benefits of the logistics and freight franchise with others and decided to buy one for himself. “I fell in love with the company,” Shane admits. “They’re a genuine bunch of people.” Shane started his Pack & Send franchise with his wife, Sally, in 2004, and, within five years, was selected from the network as Pack & Send’s Australian Franchisee of the Year for 2009. “It's always nice to get a pat on the back for putting in an effort,” says Shane. But most of all, says Shane, his number one delight has been learning that he and Sally can work together! “Sally and I have skills in particular areas which complement each other. We’ve learned many things and others have been reinforced during our time with Pack & Send. The major point is meeting customer expectations,” he explains. “We’ve also learned to use the strength of the group in all areas; there are many franchisees with a wide range of experience not only in the practicalities of packing, but marketing and running the business in general.”

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Packages with a difference Shane particularly enjoys the challenge of working through the process of packing the more complicated jobs, such as a large stuffed peacock with its beautiful tail feathers spread out in full display. With no urgency for the job, Shane admits he lost count of the times he walked past the bird, pondering the

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Sally and Shane Cole

best way to pack it. Eventually the stuffed bird found itself secured to a base, bubble wrapped and surrounded by flo-pack, sitting in a custom-made box measuring around two metres long, one and a half metres high and 40cm wide. The second job’s complexity was altogether different, seeing Shane examine options with his client on how to best pack and send over half a million dollars in parts to Geneva for the biggest scientific experiment in the world: the Large Hadron Collider (LHC). This is an energy particle accelerator that lies in a tunnel 27 kilometres in circumference and as deep as 175 metres beneath the Franco-Swiss border. “It’s great how exposure through the business broadens your interests,” says Shane, who has been following the Hadron

Collider’s progress ever since. Ironically, Shane says, winning the award has made them re-focus on the business and the way they operate. As a result, the Coles continued their path of success, by being recognised as the best in Victorian franchising in 2010 at the Franchise Council of Australia’s Victorian Regional Awards – crowned the VIC/TAS Franchisee of the Year.

i FRANCHISE INFORMATION Franchise information Contact: Martin Losurdo Phone: (02) 9822 5622 Email: martin.losurdo@packsend.com.au Website: www.packsend.com.au



Caltex

Caltex – A fresh approach to retail convenience Caltex has designs on its Star Mart brand being a world class retailer ou may not be aware that Caltex Australia operates one of the largest convenience retail networks across the nation, with company and franchised stores operating predominantly under the Caltex Star Mart brand. In fact, Caltex’s world class business model, supported by its retail program, merchandising plans and field support has made it one of the leading convenience retailers in Australia, with a significant proportion of our profitability coming increasingly from non-fuel convenience products and services. Caltex has a core vision of being a world class convenience retailer. “Success in convenience retailing is all about having the right people in your business. People with a passion for delivering an unbeatable customer experience and a commitment to ‘Getting it Right’ everywhere, everyday, every time,” says Leo Pucar, national manager retail. In fact, Caltex was recognised by the Australian Association of Convenience Stores (AACS) who presented us with their prestigious Retailer of the Year 2010 Award in the Major Retail Franchised Operation and Company Operation category. Leo says that “attracting the right franchisees is critical to the ongoing success of any franchise network and this is no different at Caltex Australia. As we continue our journey from service stations to convenience stores, we are seeking a different type of franchisee; a high calibre retailer seeking a sustainable investment.” The Caltex convenience retail network consists of about 650 stores with

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The new look Caltex Star Mart brand

approximately 85 per cent being operated by franchisees. The balance of stores are company operated, which Caltex uses to showcase its business model and to trial, test and develop new products and services prior to rolling out across the national network.

A new world of retail convenience A key part of the company's capital investment strategy is the new, 21st-Century Caltex (21CC) Star Mart convenience store. Following a number of successful trials, this new world class convenience store format is being rolled out progressively across Australia, presenting a multi-milliondollar investment for Caltex. At the heart of the 21CC concept is a bright, clean and attractive convenience store with a fresh look, layout and product range. ”Our stores are evolving to meet customers’ changing needs,” says Pucar. "Research has shown that in an era when people are time-poor with long work hours and both partners working, they value convenience more than ever and it is important to ensure that we offer a good mix of traditional convenience

items as well as supporting the growing need for fresh and healthier alternatives.” Having more products visible is therefore one aim of the 21CC layout – showing off products for sale and making stores easier for customers to navigate, with more space at the service counter. The trend here and overseas is for convenience stores to become more of a destination for fresh food and ready-to-go meals. So this is reflected in the 21CC Healthier Options offer with an expanded range of chilled items, pre-packaged meals, yoghurts, fruit juices, dried fruit, nuts and salads, complemented by an in-store bakery and fresh coffee offer. At the same time the 21CC stores will have a localised offer, with the quantity and mix of products widened or reduced to match local customer demographics.

i FRANCHISE INFORMATION Contact: Ben Galton Phone: (03) 9287 9572 Email: franchise@caltex.com.au Website: www.caltex.com.au



Franchise network

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TRAVELLING HAND IN HAND A franchise network is one of the benefits of investing in franchising; in any established system there will be a host of other franchisees who have already taken the path you are about to tread and who can provide support and advice, even mentoring, to incoming franchisees. he joy of an established franchising system is that franchisees are in the generally fortunate position of being able to leverage ideas and knowledge from other owners in the network, confident that the information is willingly shared. Where else do you get a sharing of solutions to comparable problems and challenges, or fresh new ideas to help build your business from people who have already tried out their ideas and found they work? On top of the business support from the franchisor, and the importance of the brand name and profile, franchisee networks are a huge positive for incoming business owners. It’s like tapping into your own private business advice bureau!

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Before you buy The help from other franchisees doesn’t just start once you’ve opened up your business. As a prospective franchisee the law is on your side when it comes to finding out as much as you can about the business opportunity you are considering. As Ian Krawitz of research unit 10 Thousand Feet explains, under the Franchising Code of Conduct every franchise is required to give you the contact details of current franchisees, and where possible while adhering to privacy laws, past franchisees. “It’s wise to make use of this information and network, and contact a number of franchisees to help you evaluate your decision to join the franchise

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Franchise network

Ever heard of the saying ‘taking 100 percent responsibility’? You can bemoan the lack of support, sell up and move on or you can build those support networks yourself at selling an add-on product, what steps were taken to achieve this? “Has the franchisor recognised franchisees in the network who are specialists in certain areas of business who are available for other franchisees to contact?” For example, one franchisee may be proven and recognised as the marketing and public relations guru, another may be an expert in managing their time, while another may have a very low turnover of staff and become a source of advice on human resource management.

Community-minded

system,” he says. “According to our 10 Thousand 2009 Franchisee Satisfaction Study, 54 percent of franchisees agree that there is a good structure in place within their franchise system to allow sharing of knowledge between franchisees.” That’s a positive for those franchisees, but clearly some systems are not highly rated for their network links. Given this is one of the key elements to feeling supported as a franchisee and there is room for improvement in the industry in this area, Krawitz suggests some questions you may want to ask current franchisees. These will determine the quality of the structure in place to allow sharing of knowledge

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amongst franchisees before making your purchasing decision. For instance you could ask whether there are regular regional meetings arranged for the purpose of bringing together local franchisees to meet and share information, skills and ideas with other franchisees. “Does the franchisor utilise an intranet to allow for sharing of knowledge and best practice examples amongst franchisees?” asks Krawitz. “Do area managers build a portfolio of case studies, with a how-to guide, describing how individual franchisees have been successful in a particular area? For example, if a particular franchisee has excelled

Franchise systems behave like communities because there are common interests and goals, shared experiences and practices, and much knowledge to share and benefit from, says Julia Camm of Corven, a business dedicated to improving education among the franchising sector. Revealing and exploring that sense of community in franchising is a current Corven project. “Your franchise system has standards, requirements and procedures because they are the starting points of rational and orderly communities,” she says. “If franchise systems are communities, then everyone in that community is a citizen ... the franchisor, franchisees, team members, suppliers, customers ... you name it. When you become a citizen, you understand and accept the rights and responsibilities of your role and the rules of the community. “As a prospective franchise citizen, you are gathering information, knowledge and learning as well as seeking advice, opinions and conducting research so you can make a highly informed decision as to which


franchise system, or community, you wish to join,” she adds. As a prospective franchisee there is a great deal to learn from past and current franchisees. “They have been in your shoes, they follow the same procedures and adhere to the same standards that you will be, they serve similar customers and perform the same tasks day in, day out. They’ve been there, done that and are benefiting from the experience,” says Camm. “Given this, I urge you to discover how past and current franchisees made the rules, standards and procedures of the community work for them.” Citizens have the right to participate in their community, she says. And participation brings with it new ways of achieving better results, new methods of improved performance, greater service and communication skills, what Camm describes as “doing better, being better”. Exploring the new ideas means the community grows and evolves. Participation ensures that ideas and innovations are tried, tested, understood and continually renegotiated by everyone. So how can you tell if there is a community within the franchise you’ve focused on, and whether the participation works for the franchisees? Some signs of a confident franchise system with a well-developed network are if a franchisee prospect can get on-site experience with current franchisees before making a decision; accompany a field manager on a site visit with a franchisee to see how you are supported; attend state or regional franchisee meetings or conferences before making a decision; and view the franchisor’s online learning and communications platform to see how forums are used in a constructive manner to discuss ideas, issues and innovations. And once you have chosen the franchise system that best matches your goals, you will become a fully fledged citizen of the community, Camm says.

It’s up to you Once you are a franchisee, the question

becomes; are you effectively utilising all the knowledge-sharing tools provided? “I often hear from franchisors that franchisees who most need the knowledge-sharing opportunities are the least likely to attend a local franchisee get together, or go online and tap into a forum on an important topic. The message would be not to rush to the urgent but start looking to the important,” says Krawitz. If you do not tap into one of the major benefits of being part of a franchise system, the support network of fellow franchisees around you, you are likely to be missing out on the opportunity to improve your personal skills set and your business.

Past and current franchisees… have been in your shoes, they follow the same procedures and adhere to the same standards that you will be, they serve similar customers and perform the same tasks day in, day out Of course, not every franchise system will meet the ideal when it comes to franchisee back-up. So what about the franchise networks that don’t provide structured support? Those franchise systems where there are no meetings arranged by the franchisor, where there are no intranets or yearly conferences? Where visits from field support staff are few and far between? “Ever heard of the saying ‘taking 100 percent responsibility?” asks Krawitz. “In a situation like this you can bemoan the lack of support, sell up and move on, or you can build those support networks yourself. Arrange to catch up for a coffee with a fellow franchisee in a neighbouring territory to talk about business, proactively ask your franchisor which franchisees excel in particular areas and email them your questions, and use as much assistance as possible from the group office support team.” He recommends using the same approach with the franchisor staff as you

would to network with franchisees. For systems with a lack of formal support the group office staff are often challenged when it comes to providing a good level of support across the board; they just don’t have the time. “We are all human, we like doing business with people we like and will go out of our way to help them. So take time to arrange to meet group office staff, even if you go into the group office to do so. By making the effort to build a relationship with them you will build a personal connection, so that when you need advice or support they will be encouraged to go out of their way to help you.” Whether or not your chosen franchise scores highly on the established network front, Camm believes taking action yourself is important. “Nurture your own network of peer franchisees that you keep in contact with on a regular and informal basis; these may be the franchisees that you interviewed and met during your pre-entry learning phase and induction program,” she says. Another idea is to meet with franchisees in your region and maintain regular contact with them about sales trends, customer successes, plus marketing and advertising impact. And then extend your network of peer franchisees further afield by attending events, meeting franchisees from around the country and keeping in contact with them. Camm suggests using the franchisor’s online learning and communications forum to pose questions, contribute to discussions and share your good news stories and achievements within the network. You can also schedule a calendar of events that connects you with the franchise community, including site visits, regional and state meetings, training events and conferences. You may also want to include attendance at non-franchise events, such as local business networking functions and industry-specific events. “Good citizens are active citizens, focused on making the community a roaring success,” says Camm.

January 2011 :

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Contact Page

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Cafe2U Contact: Alan Biddle Phone: 1300 223 328 Email: franchises@cafe2u.com.au Website: www.cafe2u.com.au

Lifetime Distributors Contact: Joe Sultana Phone: (02) 9899 9655 Email: jsultana@lifetimedistributors.com.au Web: www.lifetimedistributors.com

RP Vending Contact: David Green Phone: 1800 066 112 Email: sales@rpvending.com.au Website: www.rpvending.com.au

Caltex Contact: Ben Galton Phone: (03) 9287 9572 Email: franchise@caltex.com.au Web: www.caltex.com.au

Nanotek by Ecowash Name: Adam Stone Phone: 1800 Nanotek (626 683) Email: franchises@ecowash.com.au Web: www.ecowash.com.au

Signwave Contact: Helen Spencer Phone: 1800 622 693 Email: Helen.Spencer@fastsigns.com Website: www.signwave.com.au

Clark Rubber Contact: network development manager Phone: (03) 8727 9999 Email: franchising@clarkrubber.com.au Website: www.clarkrubber.com.au

Pack & Send Contact: Martin Losurdo Phone: (02) 9822 5622 Email: martin.losurdo@packsend.com.au Web: www.packsend.com.au

Snap-on Contact: Nick Hudson Phone: 1800 762 766 Email: Nicholas.hudson@snapon.com Web: www.snaponfranchise.com.au

: 2011



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