Log In / Register | May 25, 2012

New Zealand Travel Agency Rebrands Itself Yet Again

A New Zealand franchise system has decided to change its 32 year old name. Harvey World Travel brand was dropped two years ago and now will be revived as Holiday Shoppe franchisees change their name to Harvey World Travel on Monday. According to a local paper, the Holiday Shoppe brand is, "one of New Zealand's best known travel agency brands." The article continues, "The Harvey World Travel brand first appeared in New Zealand in 1992 but it was phased out by the then owners of Holiday Shoppe in 2006."

A franchisor spokesperson describes why Holiday Shoppe's franchise owners decided to change the brand name with the takeover of their franchisor by the Stella Group earlier this year.

Holiday Shoppe franchise general manager Adrian Turner said the decision to drop the name had been made by the firm's 48 franchisees and was designed to better reflect the expertise of its staff as well as tapping into the international brand and buying power of Harvey World Travel.

"The franchisees have decided it's time to refresh the brand. We have a successful, well-known and well-loved local operation. Now we are bringing international resources into it."  [via NZ Herald]

With the exception of twenty franchise owners who have decided to pay for the upgrades themselves, the franchisor will pay for the changes, probably from the royalties and ad funds collected from its franchise owners.

American franchise owners typically pay directly for rebranding changes of their store.

This case illustrates the potential pitfalls and expenses of being a franchise owner if a franchisor with an uncollaborative franchise culture and with uncontested rights to change, decides to rebrand wherever and whenever it wants - again and again and again.

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