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Customer Satisfaction and Franchisee Business Just like any other business owner, service provider or retailer, customer satisfaction is one of the most important consideration for a Franchisor. Negative feedbacks or unhappy customers are not liked by franchisors and may even lead to breaking of the agreement. Since a franchisee is a representative of a franchisor in an area, it is their sole responsibility to ensure satisfaction of the customers and clients. They must maintain the standard of quality or else, it would only lead to customers looking for alternatives. It is certainly true that franchisee opportunities provide a perfect platform for enthusiasts who are looking to start business of their own. However, there is no denying the fact that they come with a number of additional responsibilities as well. In most cases, especially in the service sector, maintaining the standard of quality might prove to be a little difficult. Customer Satisfaction - Service Brands Vs Product Brands The point to understand here is that though the profits offered by service brands and product brands are of same level, the care and efforts required are certainly on the higher side when it comes to service franchisees. The product franchisees just need to sell the products as offered by the brand. However, in case of service franchisee including health care, education and beauty among others, the staff must be trained in a proper manner so that they are able to provide the desired results. A small error or negligence in the case can lead to serious consequences. For the same reason, additional efforts are required. This also affects the franchisor approach as under. The Affect on Approach The franchisor certainly put in a lot of efforts and time to build a brand and cannot allow the franchisee to ruin the same. They take all the necessary efforts to ensure that the franchisee is able to live up to the expectation and providing training to the staff is a part of the same. Franchisor should always be available for any kind of support required to ensure that the brand image does not take a dent. It is vital that the franchisor meets with the franchisee owners at regular intervals to discuss details related to new launches, approach and way forward to name a few. There might still arrive a case where a franchisee is not able to serve the people in the correct manner and the franchisor has a few alternatives, which he can opt for. These include Finding the Reason Behind the Poor Show: The very first thing that the franchisor needs to do is identify the reason that caused dissatisfaction to the customers. It may be negligence and a simple discussion is enough in most cases. However, other reasons might also come up and expert's intervention is necessary. Discussion: While discussing the details, it is important that the franchisor hear and analyze the point of franchisee before making a decision. Cancellation of the Agreement: Though not a preferred choice, a few franchisors cancel the agreement of the franchisees as well in order to ensure that the brand image does not take a hit. Repetition of mistakes by a franchisee is a major reason behind most cancellations.

Customer Satisfaction and Franchisee Business

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Just like any other business owner, service provider or retailer, customer satisfaction is one of the most important consideration for a Franchisor. Negative feedbacks or unhappy customers are not liked by franchisors and may even lead to breaking of the agreement.

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Page 1: Customer Satisfaction and Franchisee Business

Customer Satisfaction and Franchisee Business Just like any other business owner, service provider or retailer, customer satisfaction is one of the most important consideration for a Franchisor. Negative feedbacks or unhappy customers are not liked by franchisors and may even lead to breaking of the agreement. Since a franchisee is a representative of a franchisor in an area, it is their sole responsibility to ensure satisfaction of the customers and clients. They must maintain the standard of quality or else, it would only lead to customers looking for alternatives. It is certainly true that franchisee opportunities provide a perfect platform for enthusiasts who are looking to start business of their own. However, there is no denying the fact that they come with a number of additional responsibilities as well. In most cases, especially in the service sector, maintaining the standard of quality might prove to be a little difficult. Customer Satisfaction - Service Brands Vs Product Brands The point to understand here is that though the profits offered by service brands and product brands are of same level, the care and efforts required are certainly on the higher side when it comes to service franchisees. The product franchisees just need to sell the products as offered by the brand. However, in case of service franchisee including health care, education and beauty among others, the staff must be trained in a proper manner so that they are able to provide the desired results. A small error or negligence in the case can lead to serious consequences. For the same reason, additional efforts are required. This also affects the franchisor approach as under. The Affect on Approach The franchisor certainly put in a lot of efforts and time to build a brand and cannot allow the franchisee to ruin the same. They take all the necessary efforts to ensure that the franchisee is able to live up to the expectation and providing training to the staff is a part of the same. Franchisor should always be available for any kind of support required to ensure that the brand image does not take a dent. It is vital that the franchisor meets with the franchisee owners at regular intervals to discuss details related to new launches, approach and way forward to name a few. There might still arrive a case where a franchisee is not able to serve the people in the correct manner and the franchisor has a few alternatives, which he can opt for. These include

Finding the Reason Behind the Poor Show: The very first thing that the franchisor needs to do is identify the reason that caused dissatisfaction to the customers. It may be negligence and a simple discussion is enough in most cases. However, other reasons might also come up and expert's intervention is necessary.

Discussion: While discussing the details, it is important that the franchisor hear and analyze the point of franchisee before making a decision.

Cancellation of the Agreement: Though not a preferred choice, a few franchisors cancel the agreement of the franchisees as well in order to ensure that the brand image does not take a hit. Repetition of mistakes by a franchisee is a major reason behind most cancellations.

Page 2: Customer Satisfaction and Franchisee Business

Franchisee The approach affects the franchisee in a number of different ways including

Franchisee Image: The very first thing that would be affected in case a franchisee is not able to provide the desired services to the clients or repeats the same mistake again and again is the image of the franchisee. The entire clientele would be affected and the bad word of mouth would soon result in the franchisee losing out on clients.

Loss of Business: Less clients simply means less profit making opportunities and the same is certainly good in the long run.

Chances of Facing a Legal Action: Customer is the king in the modern times. No doubt about that. However, he can also file a case against you in case he is not provided the desired services. This would only mean loss of precious time and money and less profit generation in turn.

Cancellation of Agreement: If the issue becomes too big, cancellation of the agreement is probably the only alternative left with a franchisor. Cancellation is not good for both franchisor as well as franchisee.

The point to understand her is that the problems might not end at this point for the franchisee owner. Looking at his poor show in the previous franchisee, others might not offer him a chance to take up their own fearing similar results. He would not be able to start something on his own especially in the same area because of the bad name earned. This way, one mistake can prove to be too costly. Employee Satisfaction Another important point to consider at this point of time is that employee satisfaction plays a vital role when it comes to the franchise model. The reason for the same is that the employees are generally in direct contact with the customers or clients and franchisee owner plays the role of a guide or mentor. Whether product franchisee or service franchisee, the owner is never able to interact with clients directly at all times, as there are several other things as well that are of utmost importance and needs to be taken care of. Employee training by the franchisor is one perfect answer to eliminate all the related issues and is the same reason why more and more franchisors are putting in additional efforts in the modern times to train the employees in a perfect manner. Experts of the field consider franchising as the very first step to rise the ladder of success and stumbling on the same can lead to a big fall. Other than being enthusiastic and positive in approach the franchisee owners also needs to be careful, especially when starting their career. The future growth is dependent on the same and risking it is certainly not a great idea. It is important that you figure out the related details of the different alternatives before opting for a franchisee. The best way forward is seeking help from an expert of the field and they can guide you with deep insights. Franchise Partners are one such experts operating in the country and can be of great help in franchise related matters and decisions.

Kalyan bose has been working into franchise consulting business since last more then 10 years, He is

experienced franchise business consultant who provides proper guidance to franchises of different sectors including retail, food, education and many more.

Page 3: Customer Satisfaction and Franchisee Business