Networking for a Better Frachise System

by Mary Ann O’Connell, CFE

Running is not fun. Let’s just get it out there: it is not a fun way to exercise.

Running with a friend is a little better.

Running together and meeting an old friend who you learn you can help is great! Yesterday morning I was out on a trail running with a friend when we came upon a mutual friend who was recently laid off from her position. She was rocked emotionally and not sure where to turn or what to do next. She also had lost all her personal information that had been stored on her office computer (that’s a subject for another blog) and so her networking abilities were very limited.

Fast forward. I got her new email address, put her in touch with our shared network and by this morning, she was already talking to someone about an opportunity. The power of networking is manifested.

We all share some great networking stories and have built several networks for ourselves. In fact, if you are reading this, we share at least one electronic social network, but what about your franchisees? They tend to feel alone in their market, which they are certain no one else understands.

How can you use the power of networking to build a better franchise system with little or no added cost?

My franchise career started with a brand new system – we were the first franchise, and we were more than an hour from the franchisor. This was a sales-based system, so there was no flow of customers into our location; we went out in the field making cold calls. My partner and I were an island. We often felt as if we operated in a vacuum.

When I went to work for franchise companies there was suddenly a daily community of co-workers. Conversations. Friendships. Lunch dates. The energy of the office could buoy me through tough days and when I needed advice, it was just down the hall. In addition, we were International Franchise Association members and that gave me access to Franchise Business Network and Women’s Franchise Network meetings – networking events. But your franchisees don’t have this readily available. They would benefit from networking and can grow your system faster.

Networks make people feel like they belong. They are not alone in their territory.

Franchisees often feel isolated in their markets as they go through the daily struggles of making a business work. There is no immediate mentor or a friend sharing the same experiences with whom to share ideas and get encouragement. So, create that for them and teach them how to use it.

Here are four easy ways to facilitate a support network for your franchisees:

Create peer groups

These can take many forms, but the easiest one to start is based on commonalities. Look at the information you gather during the qualification process. Link people who have common interests, the same college degrees or majors or shared business or personal backgrounds. Is there a minority group with a shared experience in your system – perhaps women? Create a women’s franchise group. This can start a personal dialogue to build rapport and trust, and it can grow into a trusted business network.

Peer groups can also be comprised of franchisees that are linked by common performance metrics such as age of business, gross sales, numbers of units owned and customer counts, etc. By linking franchisees that perform at the same level, they can support each other and have a common set of challenges so their solutions will be relevant.

Use your franchise management system to create discussion forums

These are electronic forums where the franchisees can post their questions or comments about the business climate and challenges they are facing and their success so they can be appreciated and praised. Many franchisors are reluctant to do that because they are afraid that it will breed “gripe sessions.” The best way to avoid that is to be on top of things and give the franchisees the tools to succeed. One of your best tools is other franchisees.

“Networking can extend beyond franchisees and include related businesses.

Build resource lists

Networking can extend beyond franchisees and include related businesses. The system’s approved suppliers and industry organizations are resources. Build a list, create another forum on your support site so these companies can also contribute and give your franchisees another outlet for information, support and advice. As the franchisor you do not have to be “It” and control everything: do what’s right and the right things happen.

Empower your franchisees to create their own networks

Make networking a part of your training and franchisee marketing plans. Building a network of potential clients and referral sources is a key success component in any business plan. Encourage them to join their local Chamber(s) of Commerce and networking groups such as BNI. They should look for local peer groups such as women’s business associations, young entrepreneurs and others.

Whichever course you take, networking builds businesses: It makes your franchisees’ role easier, they have a sense of belonging and they get the information and resources they need.

So, running a business alone is not fun.

Running a business with support is better.

Get running.

Mary Ann O’Connell, CFE is the founder of FranWise® a franchise-counseling firm that helps franchise systems grow through processes, compliance, manuals and training. Her franchise career stretches more than 40 years as a multi-unit franchisee, franchise executive and consultant. O’Connell works with major brands, new concepts and top professionals in the franchising sector. She serves on several IFA committees, is a past member of the IFA Board of Directors, former Chairman of the Supplier Forum Advisory Board, Women’s Franchise Committee and Membership Committee; is the recipient of the Crystal Compass Award and frequently contributes to IFA with articles and presentations. She is an advocate for the poor and underserved in her community, working as a volunteer for Share Ourselves, Habitat for Humanity and Big Sisters. For more information, visit: https://franwise.net/