In franchising, marketing is everything.
It’s the lifeblood of the system, and if it’s done correctly, it can result in a massive success for everyone involved.
But what is franchise marketing? How does it work? And what are some creative ideas that you can use to make your franchise stand out from the competition?
In this blog post, we’ll answer all those questions and more.
Read on to learn more about this essential piece of the franchising puzzle.
An Introduction to Franchises
Before we get too far into the weeds, it’s worth uncovering some of the basics of franchises.
What is a Franchise Business?
A franchise is a type of business model in which an entity (franchisor) licenses their brand, trademarks, and business processes to another party (franchisee) in exchange for a fee.
The franchisee then agrees to open up a location following the franchisor’s guidelines and to sell the franchisor’s products or services.
Franchises are often found in industries like restaurants, retail stores, hotels, and service providers.
What is a Franchising Strategy?
A franchising strategy is the overarching game plan that a franchisor uses to expand their business.
The strategy will take into account the brand, the target market, the competition, and more.
The goal is to create a system that can be replicated over and over again in different locations with a high degree of success.
What are Examples of Franchises?
Some of the most popular franchises in the United States are McDonald’s, Subway, and Dunkin’ Donuts.
These franchises have been around for decades and have built up a strong customer base, amassing billions of dollars in annual revenue.
Other examples of franchises include car dealerships, clothing stores, and fine-dining restaurants.
What is Franchise Marketing?
Franchise marketing is the process of creating and executing a marketing strategy for a franchise.
A franchise is a business model in which businesses are owned and operated by franchisees, but the parent company (the franchisor) maintains control over the brand.
Franchise marketing is important because it helps franchisors build and maintain the reputation of the brand, while also helping franchisees generate leads and grow their businesses.
As a result, everybody involved benefits from these marketing efforts.
What is the Relationship Between Marketing and Franchising?
Franchising and marketing are two separate but interdependent business functions.
However, both franchisors and franchisees need to work together to create a successful marketing strategy.
For example, the franchisor may create advertising campaigns that franchisees can use in their local markets.
There are many different ways to market a franchise, and the best approach depends on the type of business and the target audience.
Related:Â Why a Good Marketing Strategy Takes Time
The Importance of Maintaining Brand Consistency When Marketing a Franchise
In a franchise system, it is critically important to maintain a consistent message and communication with customers.
According to sproutsocial.com, if a customer receives just one poor social experience from one of your franchisees, that person is 50% more likely to boycott your brand entirely.
It’s essential that your franchise marketing strategy takes into account the need for consistent branding across all locations.
How Do You Advertise a Franchise?
There are a few key ways to advertise a franchise.
First, you can use traditional methods like print ads, TV commercials, and radio spots.
You can also use online methods like SEO, PPC, and social media marketing.
And finally, you can use guerilla marketing tactics to get attention and generate buzz.
Let’s take a closer look at each of these methods:
1. Print Marketing for Franchises
If you want to reach a large audience with your franchise marketing campaign, print is still one of the best ways to do it.
You can place ads in local newspapers and magazines, or even create your own marketing materials to distribute.
Another great way to reach potential customers is through direct mail.
You can target specific neighborhoods or demographics with your franchise marketing materials, and you’ll be able to track how many people respond to your campaign.
Advantages of Print Marketing for Franchises
Print marketing is one of the most effective ways to reach potential customers, and has stood the test of time for centuries.
- You can target specific demographics with print marketing materials.
- This channel is a great way to build brand awareness for your franchise or franchise system.
- Publications like newspapers and magazines usually have very loyal subscribers who consistently read the latest versions.
How to Leverage Print Marketing Effectively
There are a few things to keep in mind when you’re planning your franchise marketing campaign.
First, you need to make sure that your franchise’s branding is consistent across all of your materials.
Second, you need to choose the right mix of marketing channels to reach your target audience.
And finally, you need to be creative with your franchise marketing ideas to stand out from the competition.
With a little planning and creativity, you can launch a successful franchise marketing campaign that will help you attract new customers and grow your business.
2. Social Media Marketing
Social media marketing is one of the most effective and cost-efficient ways to reach your target market.
If you are not already using social media to market your franchise, now is the time to start.
It is an incredibly powerful tool that can help you reach more people, build relationships, and increase interest in your business.
Advantages of Social Media Marketing for Franchises:
- Social media marketing is an inexpensive way to reach large audiences.
- This channel allows campaigns to be incredibly targeted.
- Social media can be a great way to engage with customers and build relationships, such as product requests or positive reviews, or generate interest and excitement with promotions and giveaways.
How to Leverage Social Media Marketing Effectively
When using social media for franchise marketing, it is important to create content that is interesting and shareable.
Content that is informative and helpful is more likely to be shared, and this can help promote your franchise to a larger audience.
It is also important to be consistently active on social media and to engage with your audience.
Responding to comments and questions shows that you care about your customers and their experience with your franchise.
Finally, using social media to run promotions and giveaways can be a great way to increase interest in your franchise.
Offering discounts or freebies are always a popular way to entice people to try out your business.
3. Email Marketing
Email marketing is another popular method for advertising franchises, and it is clear why.
On average, email produces a 3,800% return, according to Sprout Social.
With email marketing, you can send out promotional messages to a large list of people at once.
This includes promoting special deals, new products or services, and events.
And in the age of artificial intelligence, this channel will only continue to advance, providing better recommendations and suggestions for customers.
Advantages of Email Marketing
- Email marketing is powerful, yet relatively inexpensive.
- Email campaigns can reach a large audience, yet still remain very targeted.
- These types of campaigns can be highly scalable and automated with AI.
How to Leverage Email Marketing Effectively
To get the most out of email marketing, it is important to have a clear call-to-action (CTA) in your messages.
Remember to keep things focused: Emails with a single CTA can increase click rates by 371% and sales by 1,617%.
Your CTA should be specific and easy to understand so that people know what you want them to do.
It is also important to segment your email list so that you are sending relevant messages to the right people.
And finally, don’t forget to track your results using a marketing scorecard so that you can see what is working and what needs to be improved.
Which Type of Marketing is Best for Franchise Systems?
While there are many different ways to advertise a franchise, in recent years franchise marketing has evolved to almost 100% to digital marketing.
Operating within the digital landscape is more effective and efficient than traditional marketing, and it offers a number of advantages that make it the perfect choice for franchise systems.
Who Pays for Franchise Marketing?
Franchise marketing is a bit of a misnomer. It’s not marketing *for* franchises, it’s marketing *by* franchises. And that’s an important distinction to make.
Franchise marketing is a way for franchisees to band together and pool their resources in order to create a more powerful marketing force.
The benefit of this is that it allows franchisees to tap into a larger budget and produce higher-quality marketing materials.
But who pays for all of this? In most cases, it’s the franchisor who foots the bill.
They do this because they want their franchisees to be successful.
After all, the success of the franchisees is directly tied to the success of the franchisor.
Do Franchises Do Their Own Marketing?
Yes and no. In most cases, the franchisor will provide some level of marketing support to their franchisees.
This might include things like creating a national advertising campaign or developing marketing materials that can be used by all franchisees.
However, it is ultimately up to the franchisees to do the majority of the marketing for their individual businesses.
Franchise Marketing Funds
Unlike individual marketing campaigns, a franchise marketing fund is an alternative that some systems put in place to help their franchisees succeed.
What is a Franchise Marketing Fund?
A franchise marketing fund is a pot of money that’s set aside by the franchisor to be used specifically for marketing purposes.
The franchisor will usually contribute a certain amount of money to the fund each month, and then franchisees can choose to add additional funds if they wish.
There are a few different ways that franchise marketing funds can be used.
One common way is for the franchisor to use the funds to pay for national advertising campaigns.
This can be a great way to get the word out about the franchise system and attract new customers.
Another way that franchise marketing funds can be used is to pay for local marketing initiatives.
For example, the franchisor may use the funds to pay for print or online ads that will be placed in the franchisee’s local market.
This can be a great way to help franchisees get started with their marketing efforts and to generate some buzz about the franchise system in their community.
How Do You Structure the Franchise Marketing Fund?
A franchise marketing fund is usually structured as a percentage of gross sales.
For example, if you’re paying a franchise marketing fee of four percent, then four percent of every sale goes into the marketing fund.
This way, all franchisees are contributing to the marketing efforts, and those that are selling more are paying more into the fund.
Making the Most of a Franchise Marketing Fund
If you’re a franchisee, then you should be taking advantage of your franchisor’s marketing efforts.
But don’t just sit back and let them do all the work.
Be creative and come up with your own marketing ideas that you can implement within the guidelines set by the franchisor.
Doing so will not only help you stand out from the competition but will also show your franchisor that you’re serious about making your franchise a success. And that’s something they’ll definitely appreciate.
Wrapping Up
As you can see, franchise marketing is a great way to grow a franchise business, allowing franchisors and franchisees to reach new customers and expand the brand.
There are many creative ways to implement a franchise marketing campaign, so be sure to try out several of them and see what works best for you.
With the right tools and planning, you can see excellent results from your efforts.
Are you ready to get started? Implement a franchise marketing campaign today and help your business grow!