Selling Franchises: The Power of People, Process, Technology, and a Strong Franchise Value Proposition By Joe Caruso https://lnkd.in/eWivsKCv
Franchise Sales Expert and Franchisor Executive Advisor | Co-Producer of Franchise Chat & Franchise Connect | Empowering Brands on LinkedIn
Selling Franchises: The Power of People, Process, Technology, and a Strong Franchise Value Proposition Franchise sales are complex and time-consuming. It’s not just about finding someone to buy in; it’s about building a long-term durable relationship that people can be proud of. The key to success lies in aligning four crucial elements: people, process, technology, and a strong Franchise Value Proposition (FVP). Get these right, and you’ll close deals. Get them wrong, and you’ll be left chasing leads that never advance to new franchise location development. People: Relationships Build Trust—and Deals At the heart of every franchise sale is one thing: people. Franchise sales are all about relationships, and trust is the currency that drives them. But here’s where most franchisors trip up. They treat every candidate the same. Not every buyer is looking for the same thing. Franchise candidates fall into three categories: 1. Multi-unit, multi-brand operators 2. First-time franchisees 3. Smaller multi-unit owners Each group has different investment objectives. Treating them all the same? It’s a recipe for disaster. Your approach needs to be tailored to fit their specific goals and concerns. Understand what drives them, speak their language, and align your sales strategy with what matters to them. But it’s not enough to just talk a good game. Franchise buyers need to go through a mental process before they commit. They need to feel confident in their decision, and it’s your job to help them through that journey. Build trust, be honest, and show them why your franchise is the right fit for their portfolio. Franchise Value Proposition (FVP): The Hook That Draws Them In The Franchise Value Proposition (FVP) is what sets your franchise apart from the rest. It’s the answer to the question: Why should someone invest in this franchise? A strong FVP lays out the unique advantages of your franchise and makes it crystal clear why a candidate should choose you over any other opportunity. It’s not just about a catchy pitch. It’s about delivering real, tangible value. Your FVP should include: • Proven financial performance: Give them a clear view of the potential return on investment. A solid Item 19 Financial Performance Representation (FPR) in the Franchise Disclosure Document (FDD) that showcases reliable cash-on-cash returns is a must. • Brand strength: Demonstrate how your brand stands out in the market. • Operational support: Show potential franchisees the robust systems, custom operational technologies, unified communications and support they’ll get to make running their business easier. • Scalability: Whether they want a single unit or multiple units, explain how your franchise model can scale based on their goals. Your FVP is the foundation of your sales strategy. It’s the value they’re buying into, and it must align with the needs and aspirations of your target franchisee...Click-Thru to read the rest. https://lnkd.in/e2KMKCJC