Franchise Development: Mystery Shopping

There is a significant investment made in a franchise sales person. Many times the quality and consistency of a franchise salesperson’s work is not known to the manager unless they are on “the other line” hearing the presentation and follow up. Each franchise sale is extremely important for many reasons, but most importantly a franchise unit can yield a continuing stream of royalties of hundreds of thousands of dollars of revenue. In many cases, the present value of one extra franchise sale can easily exceed a few hundred thousand dollars over the life of a franchise.

The risks of poor franchise sales practices are significant as well.  Litigation, under-performing franchisees, support issues and potential lawsuits all stem from the way that franchises are sold to new partners.  One franchise lawsuit from a mishandled sale can cost a franchise system years of profit.

Mystery Shopping is a process where Franchise Marketing Systems will review and shop a franchise system and develop a strategic plan to improve upon efficiencies and profitability.  FMS recommends that franchisors looking for aggressive growth to audit and review franchise sales practices one time per year to confirm that the system is operating at peak levels of efficiency.

Mystery shopping includes the following:

              • Franchise System Compliance
              • Process and Procedures for Franchise Sales
              • Manage and implement franchise sales systems
              • Increase efficiency in closing leads to sales
              • Defining buyer profiles and sales goals
              • Market plans and focus

For information on mystery shopping services and franchise compliance oversight, contact us for a customized quote and proposal – (800) 610-0292

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