Winning a shiny new account that happens to be franchise-based can strike fear into the heart of the winning agency, for valid reasons. Franchise systems are each unique in structure, varying widely in degrees of local versus centralized operations, uniformity versus customization in go-to-market approach, and, of course, in the health of the relationship between franchisees and the corporation. The often-mentioned challenges are real, the us versus them hurdles can be difficult to navigate, and the shifting balance of power between corporate marketing and franchisee steering committees can be tricky to read and adapt to. Getting sideways with either group can quickly put the agency in a difficult position to recover from.
But based on experience, this work can also be incredibly rewarding, and landing a new marketing strategy or a reimagined brand campaign that all parties embrace can create that home run feeling for everyone involved.
Mythic, along with many members of our current agency team, has extensive experience working with multi-unit franchise systems. Our agency and individual team member experience has included working across diverse categories, brands and franchise systems with clients like Maaco, Meineke and Pep Boys in the automotive aftermarket category; McDonald’s, Burger King and Auntie Anne’s in the restaurant category; and New Holland in the agriculture and construction equipment category.
Our work with these different franchise systems has involved prototypical marketing activities — market research, target audience profiling, brand strategy, ad campaign planning and development and performance analytics. Co-op meeting management, franchisee convention support and even facilitation of franchisee/franchisor business-building ideation are often in the mix.
Recently, however, there has been greater emphasis on social media (which poses unique challenges based on the franchise model) and CRM-based performance marketing programs which have become increasingly important to franchisee success. This has required that we recruit the right talent and develop expertise in disciplines not likely in the agency’s scope of work 10 years ago.
Despite the evolving dynamics and changing requirements in working effectively with franchise-based clients, we’ve found that getting the fundamentals right — as obvious as that may be — is critical to managing the inevitable turbulence and contributing to the success of the corporation and its franchisees. Here are three keys to consider:
Create and optimize two-way communications with the franchise system
We see each store or market as a battlefield where customers and market share are won or lost in a unique environment. Each store has a different set of consumers, customers and competitors impacting their store performance. The knowledge franchisees bring to bear on competitive dynamics, community activity and store-level operational challenges are critical elements in delivering brand success. Optimizing the balance of system-wide approaches with the ability to customize based on local market intelligence is a key to efficiency and success in each market.
Leverage and communicate research and data for decision making
Franchisees are business owners with a significant, personal investment in the performance of their stores. The best way to gain franchisee buy-in (essential for success) for any program, promotion, service offering, etc. is to support decisions with data versus opinion. The opportunity is not just in the use of data, but in the clear and understandable communication of the data and its impact on a franchisee’s bottom line.
Think execution from start to finish
There is no other way to say it than execution is king. The best strategy, most compelling creative campaign, or rock-solid promotion will never achieve the desired results if it is not well executed at the store level. Executional constraints should be front and center when planning any program or promotion that will be implemented in the field. Agencies must commit to educating themselves on these executional realities and should take an active role in partnering with franchisee/employee engagement and education to ensure flawless execution.
There are many other factors for an agency to consider in developing a successful relationship with a multi-unit franchise-based client, but getting the fundamentals right is the starting point.
