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    Clothing Franchisee Join Matters Needing Attention

    2012/8/11 10:03:00 63

    JoiningLuxuryBusiness System

    After understanding the problems that should be investigated in the selection of the franchise industry, we will introduce the evaluation plan in detail and detail the details that investors should pay attention to when evaluating the industry.


    1. the industry's products or services have increased significantly over the past 3 years?


    Whether the market water demand or acceptance is. If the demand in the market has increased significantly in the past, it means that at present it should still be in the growth stage, and whether the market growth or not is the absolute important index to determine the future of the industry.

    When market demand increases substantially, it is most beneficial for franchisees.


    2. join the headquarters or other agencies, such as various associations or government units, to predict the products or services in the next 3 years (relative to current demand).


    In addition to past demand records, agencies or

    Join in

    The forecast of future growth of the market by headquarters is another indicator of the industry's future.

    It is important to note that the units that compile the data must be based on demographic statistics, government forecasts or other background information, rather than mere speculation and wishful thinking.


    3. what stage is the life cycle of the chain brand and product?


    The product life cycle refers to the product life process, just like life.

    Products that are in the stage of innovation are at higher risk of operation, and the products with the best growth period are the best ones; and those entering the mature stage will have to compete with more marketing activities, and the products in the declining period can be totally ignored.


    4. what percentage of the target customers of the product or service account for the total number of people in the planned opening area?


    The number of target customers in the franchised business area will determine the turnover of franchised stores, but the target customer group must be in proportion to the proportion of the population. It must be determined by the type of store, the form of purchase, such as the frequency of repeated purchases, and the amount of purchase.


    5. is the product new or old?


    Product differentiation refers to whether the product has a special selling point or superior performance.

    The larger the product difference, the more prominent this franchise feature and attracting the consumer.

    Generally speaking, if the product is newly developed, the difference and uniqueness of its products are usually higher.


    6. is there any obvious difference between the product and service?


    There are many different or clear and distinguishable features. In order to avoid fierce competition in the same industry, there should be something special about joining the headquarters products or services.

    This must be added to indicate that if the affiliate headquarters product is not special, it is also a special advantage to adopt a special sales method, circulation management, or add distinct commercial packaging.


    7. is the competition between the franchising system and the independent shop offering fairly fierce?


    Competition is also an important indicator to show profitability and business risk. Whether the headquarters and other operators are facing fierce competition? A fiercely competitive industry is not necessarily impossible to join, but with certain advantages such as product or price, so that failure risk can be reduced.


    8. in the area where you intend to open a store, are there many competitors in the same format, so that the competition is fierce?


    In the face of fierce competition, a small difference will be enough to affect the business results. At this time, special attention should be paid to store location, signboard form and suspension position, and even service attitude.


    9. what does the general person [including the franchisee himself] evaluate the quality of the product or service sold by the franchised store?


    Product quality assessment is not easy. In fact, the intangible services provided by many franchising systems make the quality of Ping assessment service more difficult.

    But the franchisees can refer to the general consumers, relatives or friends or their own judgments, and make a five level classification of their overall quality, so long as the difference between the difference and the extreme difference should not be taken into consideration.


    10. does the product or service of the franchisee always fail to record?


    Whether the frequency is high, other industries, maintenance and fault frequency are the most clear indicators of quality, but this index is not easy to understand.

    In general, it is often difficult to get an answer or only to a more conservative figure if asked directly to join the headquarters staff, so it is advisable to estimate based on the experience of the existing consumers.

    In addition, whether the maintenance department or stable delivery channel should be considered.


    11. what is the brand awareness of the franchisor?


    The importance of franchisor brand recognition is different for different industries.

    For general consumer goods or convenience goods, popularity is not the primary factor, but if it is a special commodity or service, especially when it is a luxury item, the consumer price is high.

    Luxury goods

    The quality is difficult to distinguish, so consumers are more likely to take brand awareness as a criterion, or even pay a higher price for protection.


    12 what is the brand reputation of the franchiser?


    The good reputation of the franchisor will also have the same effect as the previous one.


    13. is the price of the product or service provided by the franchiser high or low in the general industry?


    The high price of products does not mean losing competitiveness.

    Accordingly, low prices will not necessarily sell well.

    This is because the perceived price of the product in the consumer's mind depends on the value of the customer's product, rather than the price alone.

    Therefore, the franchisee must consider the value of this product or service in the middle of the consumer's mind.


      

    14. the licence.

    Management system

    What is the status of the current market position?


    The franchising system is currently a market leader, follower, or early market player in the market. Entering a more stable affiliation system, for the franchisees, the guarantee is higher, the terms of entry may be more stringent, and the number of franchisees is also more saturated. Relatively, the followers and the market participants may have the advantages of other differences, and the entry conditions are relatively relaxed.

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