Franchising Involves Both Awarding And Selling

Tristan Andrews:

Franchising has traditionally been a selling industry. Franchises are sold by franchisors and bought by interested franchisees. However, franchising has evolved when it was realized that a franchise would benefit more if changes are initiated that would focus on the quality of the franchisees selected rather than focusing solely on the franchisees’ bankroll…

But the focus on awarding franchises has dimmed the concept of selling franchises. Some franchise operators have neglected to make any effort towards marketing their franchise opportunity and focused more on the selection process.

It should be noted that franchising is a selling business first and foremost. A company that wishes to expand and profit through the franchising route should not fail to expend some effort towards generating interest in the company. If proper marketing and advertising of the franchise opportunity is neglected, there will be no applicants to screen and no profits forthcoming.

A successful franchise operation combines both selling and awarding. First a franchisor must sell the concept to potential franchisees. Next a selection is made based on tried and proven criteria. Finally, an award of the franchise is made to deserving applicants. Only a franchisor who understands the need for both the selling and awarding concepts is assured of thriving.