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Is the franchise model outdated?

Tuesday, July 08, 2014
At Cafe2U, we’ve got a highly successful, tried and tested mobile coffee franchise, which works for all of our partners both here in the UK, and in our other franchises all over the world. We’ve won awards, and our customers will gladly tell you that our coffees are some of the best they’ve drunk. It’s why we’re constantly expanding. Individuals who want the freedom of owning their own little slice of a business without the stress of carving their own niche and managing their own brand chose Cafe2U and the mobile coffee franchise model, and our customers just don’t go back to instant after sampling our professionally made, barista style coffees from the convenience of a mobile van. An article which appeared in Think & Grow Rich discussed the concept of franchises with five business experts, who shared their views and contemplated whether franchises were still a great business idea in the 21st Century.
 

We thought it was interesting that the points they highlighted happened to be areas in which we excel as a business.

Service and Brand

Firstly, Jessica Danesborough discussed the importance of brand.

In today’s market, branding is vital. Consumers will inherently trust a branded company. They feel an immediate sense of comfort with both the brand and its products/services. At Mortgage Choice, our brand helps us to set ourselves apart from our competitors and stand out in a very competitive industry.

Moving forward, branding will continue to play a pivotal role in consumerism. As such, we believe the franchise model will become even more popular with consumers. In addition, we expect it to become an increasingly popular business model as business owners understand that consumers will continue to flock to the safety of a brand.

The franchise model or concept can be improved through service. While all franchises are made up of a number of small businesses, there is still one over-arching brand or parent company that is responsible for providing service and support to its small business owners/franchisees. The more support franchisees are given by their parent company, the better their customer service proposition will be. The better the customer service proposition, the more likely consumers will be to use franchises for products and services, in turn leading to a more thriving franchise industry.

At Cafe2U, training is a vital part of why we’re successful. We make sure that each and every one of our franchise partners knows exactly what they’re doing before we let them lose in their region. They will be fully trained, and offered ongoing support as and when they need it to make sure that they represent the Cafe2U brand perfectly. We don’t just leave our partners to their own devices; we make sure that our franchise development managers visits all of our outlets regularly, to answer questions and to help with any difficulties they might experience.

We have the personality of an independent shop with the expertise of a global business, and it works for us, and for our customers. 

Go big, go boutique, or go broke

Michael McQueen believes each business needs to carve out its own style; or fail. It’s necessary for every industry to be the biggest and best in their industry, or to be unique and offer something which no one else does.

Through purchasing a franchise, small business operators can leverage the profile and economies of scale afforded by a larger brand without sacrificing their appeal as a small local operator.

McQueen’s point is that franchises can be both big and boutique. It’s one of the reasons that franchises survive when small start up companies can’t. There’s the support network provided by the franchise, and the personal touch that a local vendor alone can provide. Our marketing works on a national and a local scale, and our international franchises are different again. We can adapt and change to meet the demands of the consumer, and our franchisees can provide unparalleled service at all levels.

Train, train, train

http://cafe2u.com/images/partners/uk/Laura%20Macrae%201.jpg

Chris Meyler ends the feature with his views on the importance of initial training and the right cultural fit:

Among the common traps is seeking franchisees with good operational skills but without the cultural fit. Values are inherent, skills can be taught.

High quality franchisee training during the induction period is imperative. It sets the franchisee up for success, which has a direct flow-on effect to the success for franchisor.

Initial training should be as gruelling as running a business is. It’s hard work; the long hours while juggling other commitments is a taste of what running a business will be like. Short-term pain for long-term gain.

Our training programme is rigorous from the outset. We make sure that every one of our partners is thoroughly prepared for their launch. It’s not about what you already know, because we can teach you how to run a coffee franchise. What is important is that you share our values.

If you’re interested in joining and becoming a part of our mobile coffee franchise success, we’d love you to get in touch.

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