BDC Growth Conferences 2023: Ramping up your Franchise Business

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One of the many things I love about Franchising is the collaborative nature of those who are a part
of our industry. This was on full show at the last of our BDC Growth Conferences held in QLD.

Across the 3 events held in Melbourne, Sydney & Brisbane some common themes emerged.

How to I find the right people?

The core of franchise recruitment lies in the need for franchisors to identify, recruit, and retain
talented professionals capable of upholding the brand’s values and delivering exceptional customer
experiences. David Hattch & BDC Recruitment, worked through the significance of implementing
robust recruitment strategies, fostering a culture of continuous learning, and using new tools to help
you determine what the right fit is for you and your brand.

Importance of Site selection in attracting franchisees and growing your brand

Choosing the right location for a franchise unit is a science that can significantly impact the success
of the business. During the conferences, Tim GapMaps highlighted the approach required in
determining the optimal sites for franchise units. From conducting thorough market research and
demographic analysis to assessing foot traffic and local competition, the discussions underscored the
importance of comprehensive due diligence and a deep understanding of the target market’s
preferences and behaviour.

Operational Excellence

Operational excellence is an ever-evolving process, how do I up-skill
underperforming franchisees and how do I keep my high performers engaged.

Tanya BDC Strategy, Alex OpCentral & Brent Dokio, led discussions on what builds and drives
Operational excellence:

– Standardized Operating Procedures (SOPs): Establishing clear and comprehensive SOPs
enables consistency across franchise locations, ensuring uniform quality and customer
satisfaction.

– Continuous Training and Support: Providing ongoing training and support to franchisees and
their staff helps maintain high operational standards and cultivates a culture of continuous
improvement.

– Technology Integration: Leveraging advanced technology solutions such as point-of-sale
systems, customer relationship management tools, and data analytics can optimize
operational efficiency and provide valuable insights for decision-making.

Upskilling Underperforming Franchisees

Despite careful selection and detailed training, some franchisees can struggle to meet performance expectations. The importance of having targeted strategies to upskill underperforming franchisees. Some ideas shared:

– Personalised Training Programs: Tailoring training programs to address specific weaknesses
and challenges faced by underperforming franchisees can help improve their operational
competence and confidence.

– Mentorship and Peer Learning: Encouraging mentorship programs and facilitating
knowledge-sharing among successful franchisees can create a supportive environment that
fosters skill development and problem-solving capabilities.

– Performance Analysis and Feedback: Conducting regular performance evaluations and
providing constructive feedback can help underperforming franchisees identify areas for
improvement and develop actionable strategies for growth.

Setting & Monitoring KPIs are integral to the success of any franchise system

Aaron BlueRock Accounting and Jehan Spotlight Reporting led a robust roundtable exercise on what
KPI’s can drive growth. It is never a one size fits all:

– Sales Growth and Revenue: Tracking sales growth and revenue trends across different
franchise locations helps evaluate the effectiveness of marketing strategies and overall
business performance.

– Customer Satisfaction and Retention: Monitoring customer satisfaction levels and measuring
customer retention rates provide insights into the quality of products and services offered,
as well as the overall customer experience.

– Operational Efficiency: Analysing KPIs such as inventory turnover, labour productivity, and
cost-to-income ratios helps identify operational inefficiencies and optimise resource
allocation for improved profitability.

Show me the money

As is always the case when Franchisors get together the question of “How can I help my franchisees” find the money needed to purchase a franchise is always a hot topic. Nathan from BlueRock Financing emphasised the need for franchisors to arm their aspiring Franchisees with the knowledge and resources to make informed decisions. Providing accurate financials, records of success within the brand, what recruitment strategies you have in place, all help the financial institutions understand your brand better.

In conclusion, our Conferences touched on many topics designed to help out attendees growth their
brands. By implementing some or all these strategies, franchisors can cultivate a robust network of
thriving franchise businesses, ensuring sustainable growth and profitability in the ever-evolving
market landscape.

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