One of the greatest challenges that franchisees face is driving traffic to their locations. Franchising provides a recognizable brand name, but it's not a guarantee of local success. Since system-wide revenue begins at the local level, it's essential for franchisees to convince customers to visit their local store or restaurant.
Local store marketing campaigns are one of the best ways to drive revenue at the local level. However, franchisees are often busy running the day-to-day operations of their business and may have little knowledge of marketing best practices. Franchisors likewise rarely have time to create specific marketing campaigns for each franchise location, despite the importance consumers place on receiving location-specific marketing messages.
It may seem like an impossible situation, but there is a solution. By empowering franchisees with the technology and knowledge they need to execute efficient, localized, on-brand marketing campaigns, franchisors can help to drive system-wide revenue from the bottom up.
Here are four ways franchisors can support their franchisees' local store marketing efforts to drive foot traffic and revenue.
Identify the Right Audience
The first fundamental of marketing is knowing who you are trying to reach. Are you trying to reach soccer moms who are strapped for time, or image-conscious young professionals? Describing customers in these terms moves beyond demographic characteristics, which provide just a surface-level view of your customers, to psychographics, which provide insights into lifestyles and purchasing habits to help you clearly identify your best potential customers.
Franchisors can increase local store marketing effectiveness by developing a customer profile for the brand and deploying it to a local store marketing system for franchisees to access. Using a detailed customer profile ensures consistent messaging and improved targeting.
Help Franchisees Focus Advertising
Traditional marketing strategies involve blanketing an area with direct mail offers, but this isn't an efficient use of advertising dollars as you end up sending offers to households who aren't likely to become a customer.
Instead, provide your franchisees with technology that defines their location's drive-time trade area. Since customers think in terms of minutes rather than miles, advertising dollars spent in this trade area will yield the best return on investment.
Encourage Multichannel Marketing