Sparkleminds has worked with companies in every segment of franchising and has helped many franchisors appoint their first franchise and achieve their first franchise sales breakthrough. We have developed the winning formula for helping franchisors accelerate growth and achieve their growth objectives in this competitive economy.
Significant benefits of working with Sparkleminds franchise consulting firm are, our franchise experience, our strategic planning expertise, and our tactical implementation services and our network/support.
Franchise performance analysis helps business owners in the following ways:
- Pinpoints differences (or gaps) in a potential opportunity with actual performance benchmarks based on real industry franchising metrics.
- Reveals planning, direction, or other shortcomings, so that strategy and expectations can be adjusted early in the franchise consulting phase.
- Identifies tactical planning goals and objectives to maximize opportunities.
- Offers a reality test or confirms one’s franchise ability before further investments (financial, people and other resources) are made.
Additionally, our franchise performance metrics spotlights what areas – from operations and marketing support to technology and real estate investments – need to be addressed in the development of a franchisor’s business infrastructure while the legal documents are being developed.
Why Choose a Franchise Performance Consultant?
Working with a qualified franchise consultant upfront avoids the guesswork and better prepares the franchisor for what’s ahead. To our surprise, prospective franchisees often can’t get an answer to the most basic investment questions – How much money does the average franchisee make? How much money can I expect to earn? The reason for this is that close to 70% of all franchisors choose not to include any sales, costs, or other units financial information in their disclosure documents in India.
There are a number of good and valid reasons for franchisors not to provide this basic information. The information they get from the franchisees is unaudited and therefore may not be accurate. The differences in the units themselves, including diversity in size and types of markets, the size of established locations, the differences in maturity of the open locations, variations in the strengths of local competition, impact of brand recognition in new and older markets, and a host of other reasons might make the information misleading.
Providing the information in public documents would allow their competition to get market understanding. Hence, to obtain information on their sales, cost of sales, margins, and sales mix we deploy many other means in India.. For some, unit performance is so bad that if they included the results in the offering material, they would have a slim chance of ever selling a franchise. Hence as a franchisee, you may want to get the most factual picture and as a franchisor, you may want to be able to build enough support for your franchises to succeed.
Call us now, to speak to our franchise performance consultant.