In This Issue

• Franchise Spotlight
• Mario’s Message
• Doug’s Sales Corner
• Lori’s Tips
• Elizabeth Enlightens
• Larry Listens
• Partner Place
• Counter Point
• USG Services Spotlight

 

 

 

 

Franchise Spotlight

 

If you are looking at innovative businesses that can have a positive effect on your entire community, you have found one in Caruso’s Sandwich Company. The owners of Caruso’s Sandwich Company believe success is dependant not only on a great business model but the founder’s ability to convey their ideals, their purpose and their mission to both their store owners and their customers.

 

Whether it’s fresh baked bread, homemade products with the freshest ingredients or being greeted with a smile every time they walk through the door, Caruso’s Sandwich Company customers appreciate these qualities and return over and over again. Caruso’s feels the same way about their franchise owners. Caruso’s creates a positive, fun work environment where franchise owners and employees enjoy coming to work every day while the customers enjoy the complete Caruso’s Sandwich Company experience. Caruso’s Franchise Corporation is more than a company, they are a family!

 

Caruso’s Sandwich Company believes in quality. We offer our customers the highest quality food and customer service, while also striving to be good stewards to the environment and giving something back to every community where we have a location.

 

If you are interested in learning more about the benefits of teaming up with Caruso’s Sandwich Company in this lucrative industry, then contact us today.

 

 

 

 

Join the IFA today and become a subscriber to the IFA insider

 

Subscribe to IFA SmartBrief

 

Find out about Franpac and how you can be involved!

 

 

USG in the News

This Week on The Franchise Show: Franchising 4G with Mario Altiery of Upside Group!

 

 

Upcoming Events

Social Networking for Franchisors: Pitfalls
and Potential
April 6, 2010, 11:45 AM
Las Vegas, NV -
Bali Hai Country Club

 

Upside Group
Franchise Consulting
888-445-2882
newsletter@upsidegroup.biz

Offices in Arizona, California and Florida

 

 

If you have any questions or comments for Upside Group please click here to submit them.

 

 

Follow us on:

   

• Mario’s Message

  Franchise Education – grab it where you can!

  I was recently speaking to an executive from a new interesting franchise concept and he made reference to being taken aback at the International Franchise Association National Conference by the openness of the attendees. He mentioned he felt in this industry no one shares ideas or best practices and they were more likely to tell you a lie than to help you in any way. After a laugh I asked him a few more questions and he went on to tell me how he exchanged information at the convention in many different settings…from roundtables and small presentations to large lectures and the vendor exhibit hall. He also mentioned how he gathered information for many different sources; some being other franchisors, some multi-unit owners, IFA staff and even vendors. I say even vendors with a little tongue and cheek because there seems to be a pervasive opinion that the only valuable information a franchisor can receive is from other franchisors. The pecking order when a franchisor is mining for knowledge seems to be franchisors first, then attorneys, possibly on to franchisees, past franchisors, IFA staff, waiters and bartenders, people on street corners and then franchise vendors.

  Certainly I don’t agree with this stance and to illustrate my point, let’s go to the old standby and use a sports analogy. Using baseball as an example, it would be like the new rookie joining the team and telling the coach “thanks for the advice but I am just going to speak to current players to learn the skills I need to make it in the big leagues.” I am assuming if this was all the training required most teams wouldn’t employ a bevy of coaches, trainers, doctors and various assistants. Could you image Derek Jeter saying to the Yankees, “I don’t need a strength coach or a nutritionist – although they are specialists who are experts on their specialties, I am just going to have Mariano Rivera write me out a diet and exercise plan because I only take advice from other players.” You can be certain he would be getting a call from the boss and find himself in Mr. Steinbrenner’s office shortly after.

  In fact, many of the suppliers in the franchise industry were past franchisors or were franchise executives at some point, so it is surprising current franchisors or franchise executives would discount the experiences of the vendor community. There is a wealth of knowledge out there to be gained by networking and seeking out information. I think it might make some sense to speak to anyone willing to spend quality time with you, and then evaluate their suggestions based on their individual experience, their relevant franchise experience compared to your brand and your needs. After everything is gathered, then take the sum of the information before making any strategic decisions.

  I guess my point is we should try and learn from the new franchise executive who took advantage of all the information he could gather whether it was from a franchisor with 5,000 units, a franchisor who had just sold his first franchise, a vendor he met at the bar or someone from the IFA staff passing in the hall. Good advice is good advice --- quit worrying who is giving it and just take it!

• Doug’s Sales Corner

  Know your competition – Should you do a competitive analysis?

  A long time ago, in a galaxy far, far away, I played sports every day. My team always had the most success when we knew the opposing team well because it allows you to prepare a game plan. If you know what kind of defense you will face you can devise a plan to expose its weaknesses. The time to devise the plan is before the game, not during the second half. Equally, if not more important, is to know as much as possible about their offense. My high school basketball coach used to say more games are won with good defense than good offense. All teams occasionally have a game when their shooting is “off” but they can still win if they prevent the other team from scoring more points. We all just finished another exciting year of college basketball Final Four tournament action. You can bet one of the reasons the Duke Men’s Basketball team and the Connecticut Women’s Basketball team won was because both teams had people analyzing their opponent’s game films for as many hours as the teams actually practiced on the court.

  The same need for competitive information exists in the franchise industry. In order for you to most effectively sell your franchise system, you need to know as much as possible about your competition. You need to know what they say to franchise prospects about their strengths and benefits because it is vital to craft your sales script to address how your franchise system stacks up against each of their perceived benefits. It is even more vital to know what they say when a prospect brings up your franchise. If they are spreading inaccurate information, you will be losing quality franchise prospects by the truck load and will not have a clue as to the reason.

  The way to solve this dilemma is to do a competitive analysis. Convince one of your friends to go through your franchise competitor’s sales process. If your franchise competition is smart, I guarantee they have sent someone through your franchise sales process. Have your competitive analyzer make a chart with all the comparative information and be sure to have him ask the competition about your franchise. Knowing what they say will allow you to tailor your sales script to accurately present your franchise offering and eliminate any potential of competitors contaminating a prospect’s perception of your franchise system. In addition, you can highlight your franchise benefits in terms of how they offer advantages over your competitor’s methods.

  So, do a competitive analysis. You will be glad you did.

• Lori’s Tips

  How to Build a Comprehensive Franchise Advertising Campaign

  The best way to ensure that something will be successful is to first create a game plan. The same is true with franchise advertising campaigns. A well thought-out and comprehensive franchise advertising campaign should always be created first before you ever think of sending your campaign to market. If your product or service appeals to a lot of different types of consumers, then limiting yourself to one type of franchise advertising campaign will not work because you will not be appealing to your widely diverse demographic of potential customers. Potential markets can be segmented into many categories, such as demographics, geographic preferences, types of usage, and consumer benefits. It is up to you to decide which method is most appropriate for your market.

  After you have identified the markets that apply to your franchise business, the next step is to choose a particular market to target your campaign. A target market is the specific group of customers toward which you direct your marketing efforts. Bear in mind that the smaller and more defined your target market, the easier it will be to tailor your franchise advertising campaign. Next, it is important to choose a strategy that determines how you want your product viewed by consumers. This is vital in order to figure out how best to customize your franchise advertising campaign. For example, if your franchise advertising strategy is offering a fast and cheap alternative solution then running a franchise advertising campaign based on luxurious and expensive options will not accurately reflect your product.

  Finally, you must determine how the economy, your competition, technological or outside forces can impact your product’s future success. All of these forces can affect the success of your product and force changes in your franchise advertising campaign so it is important to plan for them. Once you consider all these components you should have all the information necessary to sit down and compile an effective franchise advertising campaign.

• Elizabeth Enlightens

  Listening – the Lost Art in Franchise Sales

  It may seem obvious, but listening is a skill many franchise salespeople never develop properly. Work at becoming a good listener. You don’t want to get so focused on your goal that you overlook an opportunity or a key phrase that the franchise prospect has shared with you. It is important to carefully listen to every nuance of the conversation in order to pick up the important cues the franchise prospect is giving you about what is important to them in a franchise. Typically, if you listen closely during your conversation, you will find that the first response you hear from the franchise prospect isn’t really an obstacle but is the franchise prospects way of saying, “I’m not sold yet, you need to give me more information.” Listen to not only what the franchise prospect says but how they say it and you’ll be surprised how quickly you will actually understand what they are trying to tell you.

  A while ago I got some great tips from a mentor of mine on how to make sure you are listening properly when speaking with a franchise prospect. Here are some of those tips:

  • Limit your own talking.
  • Think like a franchise prospect.
  • Ask questions to clarify, not confront.
  • Concentrate on what’s being said.
  • Take notes.
  • Listen for ideas, not words.
  • Don’t jump to conclusions.
  • Listen for overtones and clues.
  • Smile.

  It is easier to get someone engaged in conversation when you let that person talk. You will find that steering the franchise prospect towards your goal for the conversation will be much smoother and getting them to take your follow up calls will be much easier when they know you are interested in listening and understanding their point of view. If they know you understand what they are trying to convey to you, they will be less defensive and more inclined to answer the phone on the next call.

  All franchise development professionals look alike over the phone, and with most franchise prospects getting bombarded with daily calls and emails from various franchises with their own needs and pitches, franchise prospects will remember you as the one who did more listening than talking. They will appreciate your approach and this subtle difference from other franchise salespeople alone cam make your call more memorable.

  So get out there and start listening to your franchise prospects. Good listening techniques will allow you to separate yourself from other franchise salespeople using machine-gun sales pitches. You want to be the franchise development professional who “gets^rdquo; what the franchise prospect is saying, and that “gets” you closer to your own goal!

• Larry Listens

  Making the Decision to Franchise Your Business...

  Making the decision to franchise your business is a process as old as the industry itself. So just how does a young company evaluate its options and feel confident that such an important decision is the right decision?

  Whether you operate a service business, restaurant or home based operation, small business owners continuously find themselves looking for the right growth strategy.

  It goes without saying that the first hurdle most often revolves around finances. With a dramatic shift in the lending climate, access to capital has become increasingly difficult making traditional expansion more challenging than ever. The good news is that franchising remains a very viable and effective option and can serve as a lower risk and cost effective platform for successful long-term growth.

  So how do you know if franchising is the right strategy for your organization? Remember, the key does not simply reside in the due diligence process. Instead, it is important you know how to do your homework and how to make sure you partner with the right people to assist you. Here are some important tips that will help ensure you have right information to make a well informed decision:

  1. Surround yourself with the right people – While it’s important to seek advice, it’s equally important to make sure it comes from qualified professionals. Many business owners can find themselves overwhelmed by differing opinions, especially those offered by well meaning friends, family and business associates. Seek out objective franchise industry professionals. They are your best source of information with the experience and insight to provide the right guidance.
  2. Too much information – While evaluating the right information is important, too much from too many people can cause confusion and indecisiveness. Streamlining the process will provide the clarity and understanding necessary to make the right decision.
  3. Be willing to take risks – If you have an entrepreneurial spirit and have already made the decision to start and manage a business you are no stranger to risk. While growth initiatives may not come with a guarantee, they don’t carry any more risk than that which comes with launching a new business. Keeping that in mind, it should be noted that franchising can be among the lowest risk growth strategies available and provide unlimited opportunity.
  4. Focus – It’s easy to simply entertain an idea; however, if you and your organization are committed to developing a long-term growth strategy, allocate the time and resources required to complete the evaluation process within a reasonable timeframe. Protracted analysis can lead to missed opportunities and stagnation that can keep you from accomplishing your objectives.
  5. Stay committed to your decision – Once you have properly completed your evaluation and have made the decision to move forward, stay committed to the process. Continuing to “shop” the idea or second guess yourself will do little more than undermine all the research you have done and will keep your organization in a state of limbo. Commit to engaging a highly reputable full service consulting firm, a qualified franchise attorney and accountant who can provide the guidance, resources and services necessary to ensure your franchise system is properly established and stays on the path to successful long-term growth. Some recommendations may be found in our Partners Section.

  So start the research process and see if franchising your business is right for you!

• Partner Place

  Common practices with successful franchise portal campaigns

  Eric Bell
  Director, Sales & Service | Franchise Gator

  Over 300 companies advertise on Franchise Gator, and about 2/3rds of those companies are on their second 12 months agreement. The decision to re-sign after 12 months only indicates that there is success being had. While each company has a unique sales process, there are common procedures and objectives that they share.

  1. A dedicated sales rep is following up on the leads - A diligent follow up schedule is paramount when working franchise portal leads. 3 leads a day does not equate to 3 calls a day. Unless you are reaching each of them the day you receive that lead, the number of calls to make will exponentially grow each day. Should a VP or CEO be tasked with following up on the portal lead, then inevitably there will be days when calls will not be able to be made.
  2. A clear goal is set for that first call - Each part of the sales process should be clearly defined, but many who struggle with franchise portals overlook this important fact when it comes to call #1. Those that are successful set a goal and stick to it. They do not “wing it”, relying on their sales skills to engage the prospect.
  3. Email is not overloaded with information – The prospect must have a reason to want to follow up with the franchisor. A successful string of follow-up emails provides just enough information to pique the prospect’s interest to want to learn more.
  4. Clear, concise voicemail – A rushed voicemail or a rambling message might be enough to turn the prospect away.
  5. A professional website – Your website is an important piece of literature. Probably the most important piece. Your prospect knows this and will undoubtedly visit it the first chance they get. A website that lacks in content, usability, or simply in professionalism, will tell a prospect that the website was not properly invested in. In turn, they will question whether they should plunk down a $25,000 check for a franchise fee.
  6. Clearly defined metrics - Setting a goal for number of sales is barely half the battle. The more important metric to define is a targeted cost-per-sale. Franchisors that have been successful with portal leads start with this figure and work backwards. Based on what they historically pay per lead, they can figure out how many leads are needed for a sale. Knowing how many leads are needed for one application, how many applications are needed for one Discovery Day, and how many Discovery Days are needed for one sale will then tell them if they are set up for success. If those numbers are not aligned, then tweaks to the campaign need to be made before proceeding.
  7. CRM tool – Those metrics previously described must be measured efficiently. The most common thread I see amongst companies that have success with franchise portal leads is their use of a CRM tool. The proper software will help them monitor the metrics previously defined. Microsoft Excel is not a CRM tool, and cannot be configured to properly assist a marketing campaign.
  8. Constant communication with portal sales rep – The rep at the franchise portal cannot help if they are not aware of the struggles. Lean on them for advice, and ask them what other franchisors are doing to ensure success with their portal campaign.

• Counter Point

  So what the heck is a Franchise UnConference? Well in this case it is a gathering of franchisors, franchisees, attorneys and franchise suppliers in Park City, Utah. The franchise UnConference was the brain child of Hot Dish Advertising, Fishman PR and Fisher Zucker Attorneys.

  There had never been anything quite like the UnConference and certainly it must have been a daunting task to organize after only dreaming up the idea 4 months prior. The concept for the Franchise UnConference was to organize franchisors, franchisees and vendors in a relaxed setting and allow them to exchange best practices. What began as a simple idea grew to quite an impressive crowd of companies eager to meet and discuss franchising only a month removed from the International Franchise Conference in San Antonio. There were over 90 attendees from all over the country enjoying the opportunity to network, the Utah hospitality and the great Ski conditions.

  The success of the Unconference clearly illustrates the commitment to continuing education in the franchise industry and the willingness of franchise folks to share their knowledge.

  Having attended the first franchise Unconference I certainly hope they hold more and if you get the chance to go, don’t hesitate – you won’t regret it!

• USG Services Spotlight

  Franchise Sales Lead Screening – Making the complicated simple

  Selling franchises is a complex process that may be broken down into some very simple steps. Advertise for franchise prospects, get the prospect on the phone, determine the prospect fits the franchise profile and convince the prospect to buy the franchise. It sounds pretty simple but we know it is anything but simple.

  The second step sounds the easiest but in reality; it is where many franchisors lose out on the most quality prospects. Upside Group Franchise Consulting understands franchise lead screening and has created a system for franchisors to maximize their franchise marketing dollars because they know each franchise inquiry will be diligently contacted and handled by a professional franchise development screening professional. Upside Group will ensure every franchise prospect is diligently contacted. Prospects will receive follow up communication within minutes of the inquiry being generated. As you receive your new leads each day they are imported to Upside Group’s contact management software and instantly forwarded to franchise screening experts selected specifically for your franchise brand. Upside Group Franchise Consulting’s lead screening program consists of extensive follow up through phone calls and selected emails. Each prospect is phoned repeatedly using a contact strategy that includes nights and weekends until the prospects are eventually reached.

  All franchise prospects are screened based on your franchise profile criteria so only the best prospects are passed on to your franchise development team. Once these quality prospects are “warmed up” there is a seamless pass off process performed to your development team. Franchise Sales Professionals love our screening process because they receive the prospects already “warmed up” and it allows them to spend more time with “buyers”.

  With over 80-years of combined franchise experience, Upside Group’s comprehensive screening process has been honed over time to ensure good prospects are driven forward in the franchise development process, resulting in lower costs per lead and more dynamic system growth.

  Upside Group clients have the option of selecting franchise screening as an a la carte service or taking advantage of our complete sales outsourcing program. During the leads screening process, Upside Group will also provide your company sales feedback, lead reporting, notes on conversations with prospects and comparisons of your different lead sources.

  Whether Upside Group Franchise Consulting is providing your franchise sales team “warmed up” franchise prospects or we are providing a complete franchise development solution, taking a professional approach to lead screening is often the difference between rapidly growing your franchise system and sitting around the office complaining about poor sales leads. For more information contact USG!