Finding a perfect location is a responsibility because location of your franchise determines all the revenue factors such as sales, footfall, reputation of the brand etc, which is purely a franchisee’s department. Read on...
It is believed that running an independent business is quite daunting in many ways as compared to running a franchise of an established brand. However, the only brand identity that helps the franchise in growing comes with greater responsibilities to be taken care of from the franchisee’s side. One such responsibility is to find the perfect location for the franchise store. Finding a perfect location is a responsibility because location of your franchise determines all the revenue factors such as sales, footfall, reputation of the brand etc, which is purely a franchisee’s department.
Choosing a franchise location can be quite difficult; thereby a few things must be taken care of while determining the perfect location. Here are a few steps through which you can find the perfect location for your franchise.
Understanding Your Target Customer
Before finalising anything, you should understand what your target customer is and to whom your franchise business will cater. It is important to understand the franchise concept of your brand to understand further about your target audience. For example, if you are starting a bookstore franchise, then it is obvious that you will choose a location where the population of students are high. You must consider some additional facts – where they live and work, where and how they go by their days, and what drives people to your kind of business. To sum up, it is important to align the concept, the target customers and the location to achieve success.
Using Your Franchisor’s Resources
Franchisors have a huge pool of resources and can help a franchisee if he/she feels that you’re a suitable franchisee for his/her business. Franchisors are able to provide the franchisees a great deal of information about certain locations, legal and real-estate insights that a franchisee might feel difficult to find without the help of a professional. Therefore, using your franchisor’s resources can be of good help to find your franchise location.
Considering the Cost of the location
While choosing the location of your franchise, it is important to look at the expenses you have to incur to use it for your business. For instance, in some cases, you might require lesser money by leasing a store location that is not very easily accessible. On the other hand, a location which is located in a very high footfall area and is full of pedestrians may cost much higher than the previous one. So, deciding the budget and cost of the location is extremely important. Taking care of the budget is essential while deciding a location for your franchise.
Must look for a Populated Area
It is obvious that an area where there are a lot of people will be an ideal location for any business. But to find the viability of the location, one has to dig deeper considering the factors like high footfall and vehicle traffic in order to decide the location of your franchise. There could be so many places where you can find high footfall, for example, malls, high streets, market areas and many more. These are the types of areas where you can find your target consumers and the potential consumers as well.
Check Viability for Future
While investing huge money in building a store, one must also look into the future prospects of the store and the potential it holds in the near future. For instance, if your store location seems to be viable for malls, then it may be possible that someone will plan a mall in that area in the near future. The location is viable for you even now and also in the future as building a mall can help you in attracting more passing-by customers. So, thinking of a future aspect is also essential.