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Is negative franchisee validation hurting your ability to recruit new franchisees and support existing ones? If so, we can help.
According to Webster’s Dictionary, a franchise is “the right or license granted to an individual or group to market a company's goods or services in a particular territory.” Webster’s defines franchising in terms of a legal business relationship. This is indeed an important aspect of franchising, but it doesn’t tell the whole story.
Franchising as a Distribution Model:
A popular book on franchising defines a franchise as “a system for expanding and distributing goods and services -- and an opportunity to operate a business under a recognized brand name.” Here franchising is described as both a distribution model for getting products and services to market and as a business opportunity. These again are important aspects of franchising, but they don’t capture the essence of what franchising really is or can be.
The Best Definition - Franchising as One Body
Oddly enough, perhaps the best definition of franchising was written 2,000 years ago by the Apostle Paul in a letter to the Church of Corinth . As you read this, think of a franchise as one body consisting of several members: the franchisor (the parent company), franchisees (business owners), suppliers and customers.
 The body does not consist of one member but of many. If the foot would say, "Because I am not a hand, I do not belong to the body," that would not make it any less a part of the body. And if the ear would say, "Because I am not an eye, I do not belong to the body," that would not make it any less a part of the body. If the whole body were an eye, where would the hearing be? If the whole body were hearing, where would the sense of smell be?...If all were a single member, where would the body be? As it is, there are many members, yet one body. The eye cannot say to the hand, "I have no need of you," nor again the head to the feet, "I have no need of you." On the contrary, the members of the body that seem to be weaker are indispensable…But God has so arranged the body, giving the greater honor to the inferior member, that there may be no dissension within the body, but the members may have the same care for one another.
If one member suffers, all suffer together with it; if one member is honored, all rejoice together with it.
While many franchisors may embrace this definition, not all do. The founder and CEO of a successful national franchisor recently spoke at a national convention for franchise executives. During his presentation a member of the audience asked, “How do you resolve conflicts with your franchisees?”
He proudly threw his shoulders back and responded, “When push comes to shove, the franchisees know this is my company!”
Keep in mind, this company is currently highly successful. However, his approach to franchising causes the pushing and shoving he spoke of. This approach to franchise leadership is the equivalent of the head saying to the feet, “When push comes to shove, this is my body!” And perhaps according to terms of the franchise agreement it is.
But someday, the head will need to walk someplace. That’s when the head will have some issues.
Does it seem like you and your franchisees play for different teams? Is negative franchisee validation hurting franchise sales? If so, we can help.
For more information on franchisee-franchisor interventions
Joe Mathews
Franchise Performance Group
860-567-3099
joe@franchiseperformancegroup.com
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