08 Nov Five Key Things You Need In Your Sales Process To Ensure Franchising Success
If you want your franchise to be successful, you need to recruit the best franchisees and a good sales process would help you with that. Brands usually compete for great franchise candidates so you need to ensure the best ones choose your company. If you have a compelling sales process and great interaction with your franchisees, they’re more likely to invest in your brand. Here are some tips that would help refine your sales process and ensure your success.
#1 Focus on Long-Term Relationships with Buyers
You should create sales plans that focus on building long-term relationships; if you’re successful, they’ll become a part of your franchise community. Long-term relationships are more important in franchise sales than in regular sales so you need to plan around it. You should ensure your recruiters have great communication skills and know how to establish a smooth rapport with franchisees. If you establish a great relationship from the outset, you’ll have better chances of success.
#2 Discuss What Buyers Want
Most buyers will ask three questions when they discuss a potential franchise with the recruiters and these are:
- Is the franchise available in my area?
- What would the initial investment be?
- How much would I make and how much are my profits likely to grow?
You need to prepare answers to all of these questions and make sure you present clear and precise information to your potential franchisee. They’ll be more likely to respond positively if you’re honest with them about the potential of the franchise.
#3 Share Future Plans With Them
If you have a future growth and expansion plan in place, you should share them with your prospective franchisees. For example, if you’re based in Australia, but have plans to establish a few branches in New Zealand as well, you should give the prospective franchisees a brief outline of how you intend to do it. Growth and expansion of a franchise have an impact on its value so buyers would want to hop on the train early.
You don’t need to explain the details of your expansion plans but that might harm your business. All you need to do is focus on the potential of your business and help them understand you have effective and thorough plans in place.
#4 Explain the System
You need to discuss your franchise model in detail during your first meetings with the prospective franchisee. Of course, you don’t need to divulge any trade secrets or confidential operation procedures, but you should showcase what kind of infrastructure you have in place.
You need to make sure your buyers understand what they can expect from the day-to-day operations. During the meeting, you can give a small demonstration of your business applications, communication system, inventory systems, etc. Your buyers will understand how much time and effort they would need to invest in running a successful franchise.
#5 Have Proper Procedure in Place
If you have a well-planned and consistent sales process, you’ll be more successful and will be able to engage a large number of buyers. The process can include:
- Pre-qualification inquiries and research
- Preliminary qualification
- Process discussions
- Review from a Franchise Attorney
- Validation of the buyer
- Discovery day tour for a franchise
A proper sales process would ensure your salespersons are on the right track and follow a proven formula to engage potential buyers.
If you want to know more about franchise sales, or want some advice, feel free to get in touch with us at The Franchise Institute. You can call us on 1300 855 435 or fill in this contact us form and we’ll reply as soon as we can.
Thanks for reading,
The Franchise Institute Team
1300 855 435