Franchisees Getting Happier
Some of the most respected franchise systems in Australia did not rate in this 10 Thousand Feet franchisee satisfaction survey. At least one of Australia’s most criticized franchise systems did.
The survey of more than 550 franchisees found franchisees increasingly willing to renew their agreements and greater attention given by franchise companies to franchisee satisfaction. 10 Thousand Feet
Support, Rewards, Lifestyle and Passion were the reported criteria. While the cream of Australian franchising apparently did not participate the results were determined from a survey of a whopping 1% of the country’s franchisees and it would seem only from Franchise Council of Australia member franchisors.
Many may be suspicious of yet another Australian franchising survey result and those that suggest 10 Thousand Feet smell should consider that behind the scenes we see an association with FCA and franchisors such as Bakers Delight and Poolwerx that seemingly have not contributed to healthy, ethical franchising if one were to refer to submissions to the Federal Inquiry.
If this survey was to be given any credibility then perhaps the likes of McDonalds and Harvey Norman could have participated. And perhaps 10 Thousand Feet could have provided information as to how some franchise systems became involved and why others did not and what processes saw such a small number of franchisees participate.
This survey and others promoted by FCA provide subliminal messaging of a healthy industry for would be investors when the reality that caused 2 recent State and a Federal Inquiry suggests otherwise.
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Such surveys do nothing to encourage quality franchisors to distinguish themselves from the abundant disasters that await most prospective franchisees. This one again raises questions as to how 'satisfaction' was rated. For example ... let's say only 5 Bakers Delight franchisees were selected for the survey and 4 espoused how wonderful life was at BD. Would that rate as 80% feeling happy?
Sadly; this is the standard of data available in a country where the need for real data is ignored and attempts to collate information on the efficiency and performance of the franchising industry are denounced by those who represent the worst of the worst in Australian franchising. FCA and those who feed from FCA ties suggest such data is unnecessary.
As an addendum it might be suggested that any reference to franchisee satisfaction in even the greatest of franchise systems is as farcical as a reference to a franchisor’s satisfaction with franchisee performance. Both would be considered extremely rare … something along the lines of rocking horse somethingorother.
And besides; aren’t the only satisfied franchisees those who realize their anticipated return in line with their level of investment and where the investment grows in value to the point where turnover is minimal. Perhaps next year 10 Thousand Feet might consider clearly categorizing the financial influences that determine such turnover as a clearer indicator of what another random 1% thinks. Actually; by all published reports it's really considerably less than 1%.
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How they calculate rankings:( according to the website)
My experience with this survey was that it was first touted by my franchisor as a method by which they were to improve franchise satisfaction. However NOT ALL franchisees were able to complete a survey- These were supposedly chosen randomly by 10 thousand feet. The above quote is misleading, to be accurate it should have said "every franchisee that took part was asked 35 questions".
I was unable to find out the exact number of surveys that were completed from the Poolwerx system but suffice to say the franchisor decided NOT to publish the results for franchisees to read despite saying that they would. Indeed, one rather suspects that they got the results and had a fit at the poor rankings, shoved it in a dark drawer and vowed never to speak of it again.
My own questions to the franchisor as to how "random" was achieved and how anonymity was secured were met with a vague look and some uncomfortable shuffling of papers.
My information would suggest that the sample numbers from each system were quite low- I would say too low if my experience with Poolwerx is anything to go by. I presume this was done so that equal numbers of participants for each system could be achieved, to cater for smaller systems and to allow for easier analysis.
In such a small sample size, (I think it was between 30-50 from a group of 180) there was plenty of room for sample bias. For example, ones experience of "support" in a metro area near to the head office can be quite different to the experience of one in a regional area and I do wonder if this effect was taken into account by those that designed the survey. same goes for Mulit unit owners.
Indeed some of the scores given for systems in the top ten are as low as 53 in 100. I dont think any franchisor should be proud of such scores.
Bakers Delight should be commended for their efforts in support of a buoyant Australian economy where they have invested selflessly in a rush to win whatever ‘Awards’ appear from the FCA marketing machine.
No matter what the publication of choice, where there is a franchising related award typically you will see the relentless efforts of BD damage control as the brand behind so many harsh reports of abusive franchising attempts to rebuild a reputation destroyed over many years of conflict.
The more things change; the more they stay the same.