Franchise management software empowers franchisors to bring about efficient management of numerous franchise outlets spread across numerous locations – all in real-time. Equipped with best-in-class, useful features the software helps bridge the gap in communication and facilitated collaboration between franchisors and franchisees.
Read on to learn some of the most striking advantages and inadequacies of the franchise management software.
It helps augment brand prominence
With the help of franchise management software, you can piece a franchise together and get going with an already existing brand. The software helps you secure the perks that are available with the brand and consequently develop and expand your franchise. It also helps link your franchise to brand recognition and customer loyalty with the products and/or services the software helps you to promote or sell.
It helps bolster the prospects of an established business model
When you embark on your business, the franchise management software will come to your aid in frequently revising and adjusting your business model as you keep on gaining more familiarity with the market. With the software in place, working with the business model of your choice becomes plain-sailing. It works in perfect sync with all standardized business models and makes your operations streamlined.
It helps offer training programs to improve awareness
Franchise software helps you design and execute training programs to make sure your employees significantly benefit from them. It allows your staff to get up to speed with the fundamentals of franchising a lot quicker than usual and actively gain control over the business itself.
It helps offer ongoing maintenance and support.
Managing the franchise isn’t the job of only the franchisor and the franchisee. The vendor you collaborate with to put the franchise management software into action offers round-the-clock customer support if your system contracts glitches or succumbs to total failure. Through periodic updates and upgrades, your software provider ensures the system runs efficiently with minimal downtime.
It helps provide marketing assistance
Franchise management software aids in creating and implementing marketing promotions and campaigns. Also, the software supports built-in tools to monitor the performance of the campaigns post-launch.
With uniformly distributed marketing materials the software helps the franchisor to introduce value exchange while maintaining brand consistency and compliance across all franchise outlets. In this way, the software prevents the overarching franchise brand value from getting diluted.
It leads to high investment costs
When you start off a business you’ve got its regular cost outlay. And if the business happens to be a franchise, you need to shell out more money as the preliminary franchise fee to be a part of the franchise.
Over and above setting up the franchise management software and putting it into action will have its share of huge expenses. On the part of franchisees, they’re more likely to pay royalties or a certain percentage of their earnings to the franchisor.
It doesn’t guarantee profits
Starting a business with state-of-the-art franchise management software in place, can a risky project. Being integral to a franchise doesn’t imply profit distribution will happen equally. The parent franchise company will certainly make huge profits. But franchisees operate their business independently and secure profits based on their capacity.
It can’t eliminate the inherently limited independence
When you’re getting into a franchise business as a franchisee you’re actually putting restrictions on your independence. On the contrary venturing into a regular startup business gives you the leeway to operate independently.
The freedom gets lost when you get into a franchise business no matter how powerful your franchise management software is. There’s always a legal binding to be in conformity with the products and/or services or the branding strategies the franchise comes up with.
What’s more, the franchisor too can lay down rules that the franchisees need to abide by. For instance, how employee training will be imparted, how management policies will be put in place, or how quality standards will be met. Although the franchise management software can implement all these deliverables, it’s devoid of such decision-making abilities.
It can’t remove the conflict of interest
By and large, the franchisor backs your efforts to succeed in the franchise business. However, if this isn’t legally stated in the franchise agreement, you can’t stay away from trouble.
For example, if the franchise agreement declares the royalty payments to be due, no matter whether the business garnered any profits or not, it’s a ploy to actually motivate the franchisor to continue opening up more franchise outlets irrespective of the moneymaking potentials of the business. This is because royalties are already stated to be due. The franchise management software has no sway over this series of likely actions.
By the same token, no information on the minimum distance between territories in the franchise agreement can be detrimental to your business. It gives an elbow room to the franchisor to open one more outlet at a stone’s throw distance from yours. The franchise management software has no feature that can carefully check the nitty-gritty in the franchise agreement and prevent such irregularities. The onus lies in you to pay extreme attention before signing it off.
Eventually, the main goal to opt for the most suitable franchise management software is to boost ROI. All solutions offered by BrandWide precisely do that. Franchise resources help you more useful information.
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