1. Money

Franchises have an Established Corporate Image and Brand Awareness

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Consumers and Overall Brand Awareness

Consumers are more inclined to do business with a company that they are familiar with. Most franchises have a well established corporate image in addition to customer brand awareness. Franchises have already created logos along with advertising that is linked to their name. Therefore, as franchisees join the organization it is easier for them to obtain and retain customers.

Corporate and Local Support

Franchisees that are combined together under one trademark can achieve much more powerful brand recognition than individuals. Not only do they have group advertising and buying power, but the sharing of ideas is also a great benefit.

Typically a strategic plan for brand awareness is provided to the franchisees from a corporate level. The course of action needs to be strong and flexible enough to be successful in each local market. The franchisees can then adapt the plan to their areas.

Community Relations

Since there is so much competition in the marketplace, there are a number of factors that play a part into which products and services consumers choose. It has been found that consumers not only look for decent products and services that match their needs, but also many times for well-recognized brands that are connected to the local community in some fashion.

In recent years many franchise corporations have been very strategic in their planning with regard to contributing to their communities. Oftentimes franchisors emphasize to their franchisees how important community relations are in building brand awareness.

It is beneficial from both a business standpoint as well as a consumer standpoint for the franchisee to feel a connection to the particular cause that they are supporting. Evidence suggests that there is a strong correlation between this type of marketing and customer brand loyalty.

Therefore, organizations should take part in causes that most closely correlate with the product or service that they offer. For instance, a restaurant that donates food to a homeless shelter is a good fit.

Besides the corporate image that the franchise company already portrays, potential franchisees may wish to determine what resources the franchisor has in place to assist them in implementing community relations programs in their local areas. The combination of corporate and local image is likely to bring about quite a successful venture for the new entrepreneur.

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