Outsourcing the real estate function controls overhead, allowing a Franchisor to maximize advertising Dollars.
Through outsourcing Franchisors can accelerate national expansion, going into multiple cities simultaneously, generating marketing synergy and industry buzz.
Through outsourcing Franchisors can open multiple locations within a city
simultaneously, creating advertising economies of scale for franchisees.
While innumerable factors
lead to franchise success, two factors increasingly
represent the biggest hurdles to Franchisors: Failure
to transition focus from day-to-day operations
to running a franchise company and failure to adequately
ramp-up support services for Franchisees/Area Developers.
