Five Questions Franchisors Should Ask Their Franchisees

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I can recall several instances when I would meet with one of my Franchisee Consultants to inquire about their recent franchisee site visits. Sometimes their response was “They didn’t bring any issues up, so I didn’t ask.” ?My response would be: "Perhaps the franchisee was reluctant to complain or bring up a certain subject?" I describe this practice; If they don’t ask then I have no reason to think anything is wrong.

There are certain types of questions that enable the franchisee to voice any concerns without feeling any pressure. These are not complex questions, and the answers should not require a great deal of thought. The best part it is a simple way to identify which components of franchise operations may need attention. The most effective way to gather this information is through field staff, franchisor senior management or others who interact with franchisees on a regular basis. This allows the person who asks the questions to clarify the response and gather additional information. The process should be informal rather than structured. Certain questions can be interspersed within a conversation.

This process does not need to take place every time there is a discussion with a franchisee but at least several times per year. Here are five questions:

1.?????Is your franchise meeting your financial objectives? Satisfactory franchisee earnings represent the foundation of positive franchise relations. All the meetings, PR, and other approaches cannot replace the importance of a franchisee making money.

2.?????Are we providing the level of services you require to operate and enhance your franchise operation? Learn how your franchisees feel about the support and assistance they are receiving.

3.??????Apart from data regarding franchisee sales and product purchases how attractive are the franchise’s products or services to your customers? Any suggestions?

4.?????What are your franchisee competitors up to? Use franchisee feedback on their competitors to gain competitive intelligence. This is a way to identify recent competitor trends or strategies.

5. Are we meeting your needs and being responsive? Franchisors need to ask the same question of their franchisees using surveys, webinars, or third-party firms. The best way to measure performance is to get the facts and act accordingly.

These are five questions that franchisors should be asking their franchisees on a regular basis. Expecting the franchise to operate on autopilot without having key intelligence can lead to problems. If a franchisor is reluctant to ask these questions, they are making a major mistake.

“Most companies don't have a good mechanism to give the CEO real, honest feedback.”

Scott Weiss