How To Retain That Good Franchisee

Inside Retailing:

Increasing competition and rising recruitment costs make it hard to recruit good franchisees in the current market.

Once skilled franchisees are part of a performing network, then, it’s important to hang onto them.

In addition to avoiding the direct costs of unwanted franchisee turnover; there are the indirect costs associated with upheaval of service, quality and sales to consider.

Retention strategies should be inherent in the franchise model and established from the outset. However, the key elements of effective franchisee retention can be introduced at any time.

One of the frequently quoted hardships of running a business is the hours needed in the business. Work-life balance suffers and burn-out is a risk, particularly in a retail or personal services franchise. Ensure franchisees take holidays. Introduce a formalised relief program whereby a bank of approved and experienced managers can readily step into franchise for two to four weeks each year. Read more.