Tweet

The Simple Concept of Listening: a franchisee simply wants to be heard.

Guest post by: Brittany Snapp

Article Overview: Listening. It’s a simple concept.

The Simple Concept of Listening: a franchisee simply wants to be heard.

I’m admittedly a little slow getting around to putting down my thoughts from the IFA conference last month in San Antonio. But I wanted to highlight what for me was the most beneficial session of the conference.

I attended a day long Franchise Relations Clinic lead by renowned franchise relations expert Greg Nathan of The Franchise Relationships Institute. You probably (or should) know Greg from his often referenced franchisee-franchisor relationship model – The Franchise E-Factor. If you are a franchisor, a franchisee, or thinking about becoming either of these you need to read his materials.

My biggest take away from the day was simple: a franchisee simply wants to be heard, and a franchisor needs to listen. What does that mean? At the end of the day a franchisee really just wants the franchisor to help them be profitable. A franchisee wants to know that when they have a concern, the support systems are such that they can pick up the phone or log-on to the company’s intranet site and find an answer, idea, suggestion, or some other resource to help them be more profitable. If the franchisee has a suggestion or question, they want to be treated with respect just like any person would as a valued member of the team.

What does it mean for a franchisor to really listen? Well, I think Greg summed it up well during the session when he said that a franchisee isn’t and shouldn’t be treated as an employee of the franchisor. That’s what corporate growth is about. Franchisees consider themselves employers and part of the franchisor’s team. So it’s important that franchisors recognize this difference. They cannot simply bark out orders or make significant changes to the system without effectively communicating why those changes are being implemented. If they don’t listen to the feedback and concerns from the franchisees on the ground, franchisors’ efforts will be met with resistance or even resentment.

Franchisees’ ideas, concerns, and suggestions are too often mistaken as “complaints” by franchisors. It is important that franchisors not be knee-jerkish, dismissive, or defensive. The intelligent franchisor develops a culture of “teamness” (for lack of a better term), one where support staff is engaged, educated, and empowered to truly help franchisees become profitable.

Listening. It’s a simple concept.

Ryan Frandsen

Franchise Foundry

VP of Client Services

Related Articles
  Landing That First Franchisee
  Franchise Opportunities many don't know about.
  Franchisee/Franchisor Relationship Requires Mutual Trust, Respect
  A Three Step Solution to the Selling Dilemma
  Make the Most of the Franchisee/Franchisor Relationship
  Taking Over an Existing Franchise
  Franchisees and The 90 Day Window
  3 Ways to Improve Your Listening Skills
  Franchisee Checklist - assessing the business proposition
  The franchise sale
  Franchising a Business - Documenting The System
  How Franchisees Can Gain More Time and Develop Their Employees
  Thinking of Franchising? Ask 20 Questions
  Hot Trends in Franchising - Risk and Reward
  The Most Important Button on Your Phone
  How to Listen like a Detective
  What is franchising? My personal definition!
  Learn the Powers of Effective Communication
  The Truth About Franchise Royalty Fees
  Parents Can Accelerate their Children's Ability to Learn

Article Tags: franchise, franchisee, franchising, franchisor, listening



Related Forum Posts
Dispute between Supplier and franchisee - This very much depends on the attitude of the franchiser. A good franchiser would be more than a little concerned about a franchisee not paying the bills purely from the perspective that it might tarnish the brand name. However, be aware that this might be struggling franchisee with a company that couldn't give two hoots about you being owed money. Personally I would be inclined to approach the person first and inform him or her of your intentions to talk to the franchiser before you actually do. This at least gives the franchisee the chance to rectify the situation.
Dispute between Supplier and franchisee - The franchisee is a totally legally separate entity from the franchiser, and frankly it is no business of the franchiser. And the most important reason you are also likely to totally alienate the franchisee. I don’t know enough about your relationship with franchisee to comment on the rights and wrongs: but I do know this - If there was even an ounce of "right" on my side in the non payment, and certainly if my problem was the franchise model was not working, I would make it my mission to delay payment all the way to the courtroom door anyone who was so sneaky as to go behind my back to the franchiser.
franchise consultant's horror stories - I have seen these types of comments about a franchise consultant 'pushing' someone towards an opportunity that pays more, personally I do not see how that could happen. Presuming that someone is smart enough to pursue an opportunity, why would they be drawn to a company that does not fit their needs in order for a consultant to make more money? This is not a hand shake and we're finished process, there are many steps involved to assure that people do not get stuck. The franchisors spend a significant amount of time with prospective franchisees just to eliminate such issues. I think this concept is bogus and without specific responses you are perpetuating an urban legend. Have there been cases of buyer's remorse--absolutely. Have there been cases of buyers that did not believe they would have to work as hard as everyone told them they would--absoultely. But these are not indictments, in fact I have yet to speak with a franchisee that honestly felt they were manipulated at all, and I do this for a living. To make such statements as this shows that one truly does not grasp the multiple levels of qualifying, introductions, paper work review, more time with franchise ownership, concultation with attorney and tax advisors and more time with franchisor management. All of this is in place to cull out those that are uncertain. Why would a franchisor want an un-qualified franchisee? The money is not enough. A dissatisfied or unqualified franchisee would easily cause more harm to the brand, to the morale and to the system than one franchise fee would be worth. Franchise companies spend their life developing brand recognition and establishing business models that work, why would they risk that for ANY un-qualified franchisee? They would not. I know this is lengthy and I apologize, but I feel a dis-service is at hand here when 'urban legends' and supposition are espoused as truth. Buying a franchise can not be forged, like loan documents in fraudulanet transactions. The process is lengthy and requires full engagement of the potential franchisee the whole way or the process is stopped. I expect what has really been heard (if anything at all) is a dis-heartened franchisee that thought they had found a 'get rich quick with no work involved' and that is not the case. I have never heard a franchisor offer that, ever. But people hear what they want to hear and then say--that wasn't what I was told, an the mis-information cycle repeats itself--just like in this case. In closing--IF this were the case, how does one explain the longevity and astounding success of franchise operations on the whole? Clearly, by virtually any data reported, franchise operations have an astounding success rate, e.g. 90% still in business after 6 years, 86% still with the original franchisee as owner. Compare that to 22-25% for self start companies still in business (a 75-78% failure rate), I do not think the 'pushing people for commissions' argument can bear the light of day. I rest.
Franchise Territories - [quote="franchisebrief.com":1dfdbmhp]This information will be included in the UFOC. If the UFOC states that there is no protected territory, then I would be suspicious. If UFOC states that each franchisee will have its own territory, then there should not be any problem.[/quote:1dfdbmhp] Any franchises that I'm familiar with have a territory or distance provision that prevents franchisees from overlapping their territories. This is only a problem when you have an underproducing franchisee - but they should also have a provision to give a franchisee a set amount of time to make a go of the location and territrory. Shri
Re: Franchising Brokers vs Franchising Consultants - Franchise consultants are free and work with you without any obligation. they do not work for any one franchise but do get a percentage of the franchise fee when a franchisee that was registered with the franchise came from the consultant and the franchisee signs. They will try to match up your interests and skills to franchise businesses that are right for you. They can explain franchise guidelines and help you in any way they can. Franchise brokers usually get paid by the client and/ or franchise (generally get some type of commission). Additionally, they can get points or referral fee off the deal if they refer you to a lending resource too after they sell you on a franchise. Typcally they will try to sell a prospective franchisee on a larger deal so they get a larger commission.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

How To Calculate A Minimum Fee For Your Services

Setting Goals for your Home Based Business

What should your free giveaway be?

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.