Follow the right formula and your franchise can flourish in a competitive marketplace

Nation's Restaurant News,  Nov 12, 2007  by Frank Steed

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On the other end of the spectrum is Applebee's. Applebee's was developed with franchising in mind so everything about the operation is trainable and scalable. And somewhere in the middle where it is not easy to franchise, yet not impossible' is T.G.I. Friday's. Friday's is somewhat complex and is growing more slowly than Applebee's. The proof is in the numbers: There are more than 1,854 Applebee's units versus 591 T.G.I. Friday's in the United States.

"If it's not easily trainable, it cannot be franchised," stated Stu Waggoner, a former Applebee's executive turned successful franchisee. "Changing the menu or offering complicated dishes can be a good marketing tool, but it is excruciatingly difficult and expensive for operations. Ask to see the franchisor's training materials, which should fit in a notebook. If they need a U-Haul trailer for their training materials, run?"

What does all this mean? Evaluate your franchise to see how easy it will be to repeat over and over. Can everything about your concept be brought to its lowest common denominator and turned into a process? Can every recipe be standardized?

So there you have it--the four qualities required for franchise success. Scrutinize your business carefully to see if it has all of these qualities. If even one is missing, put the brakes on and investigate further. Put yourself in the position to invest in a franchise opportunity that will bring you the success and profits that you have earned.

This article does not necessarily reflect the opinions of the editors and management at Nation's Restaurant News.

Frank Steed is president of The Steed Consultancy, giving franchisors proven systems and solutions to achieve their sustained growth goals. Steed can be reached at www.thesteedconsultancy.com.

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