How Effective Local Marketing Drives Franchise System Growth

May 28, 2019

Martha France

GettyImages-693280562-1In a recent post, we touched on the ever-increasing competition for qualified franchisee candidates. According to data cited by the Franchise Performance Group, some 4,000 franchise brands are competing for just under 14,000 new franchisees entering the marketplace. This level of competition requires franchisors to differentiate and create value for franchisees across every aspect of the business.

When thinking about how franchise marketing programs can impact growth of the overall franchise organization, consider this observation by Gary Occhiogrosso, President of Franchise Growth Solutions, cited in a recent Forbes article about How to Recruit and Win More Franchisees: “When the Franchisor is focused on the success and profits of its franchisees, the story, as well as the overall result, become obvious and compelling to other potential franchisees.”

This connection between a franchise’s focus on franchisee success and its ability to attract more qualified franchisees aligns with insights shared with us at IFA 2019 by Samir Daoud, Franchise Development at Gold Star Chili and Tom + Chee. He said, first, you have to find someone who loves and has a passion for the brand. Then you need to be able to “demonstrate strong unit economics – strong such that they will be able to make money.” And lastly, is your support system effective?

So how can franchise marketers impact value for franchisees in a way that will help grow the business? One way is by providing effective local marketing resources that simultaneously help build your brand while also delivering the kind of value that will distinguish your organization for franchisees.

By mapping marketing resources to growth drivers, you’ll discover how marketing can have an organization-wide impact on growth. Below are three drivers of franchise system growth that are supported by effective local marketing, along with key questions and aspirations that can help shape the resources you deliver.

Growth Driver 1: Brand Strength at the Local Level 

  • How can I ensure franchisees are representing the brand consistently?
  • I’d like to make it easier for franchisees to customize marketing to their local communities.
  • I’d like to make it easier to get franchisees all of the materials they need for events.

Growth Driver 2: Exceptional Marketing Support for Franchisees

  • I’d like to be more effective in supporting grand openings.
  • How can I better serve franchisees in addressing their custom creative requests?
  • How can I make sure different sized/types of locations get the correct materials?
  • I’d like to make it easier to manage materials that include pricing like menus and flyers.

Growth Driver 3: Successful Franchisees

  • How can I increase franchisee participation in campaigns and limited time offers?
  • How can I give my field team the information they need to be more consultative with franchisees?
  • I’d like to make it easier for multi-unit franchisees to market their locations.

In short, one way to attract more qualified franchisee candidates and grow your franchise business, is to provide local marketing resources that build the brand and also support franchisees in a way that shows you appreciate their passion for your brand.


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