P&G Franchising Tide Dry Cleaning

P&G is looking to take its branding might to open hundreds of franchised Tide Dry Cleaners after its splash into car wash franchises three years ago that has now netted it nine franchises. BusinessWeek reports on the estimated $950k investment in dry cleaning franchises:

Andrew Cherng, founder of Panda Restaurant Group, which operates Chinese fast-food outlets in U.S. malls, plans to open about 150 Tide-branded dry cleaners over the next four years. "I wasn't around when McDonald's (MCD) was taking franchisees," he says. "I'm not going to miss this one.

Mysteriously gone from the helm is the troubled name of franchising veteran Jim Amos, who started with P&G's franchising arm Agile three years ago.

P&G lacked franchising experience so it broke its decades-old practice of internal promotions and hired William Van Epps, who had managed franchising at Pepsico (PEP). P&G set up a company called Agile Pursuit Franchising with Van Epps in charge. His team put a premium on consumer convenience. Each dry cleaner features a double-lane drive-through and lockers accessible for after-hours pickup. There are lollipops for kids and Iams biscuits—yes, a P&G product—for the family dog. The company hopes to lure eco-conscious consumers with proprietary technology that doesn't use the solvent perchloroethylene.

But here is something that one usually doesn't see at the end of a news article. Bloomberg reporter Coleman-Lochner concludes in italics, "The bottom line: P&G is putting its Tide and Mr. Clean brands on dry cleaners and car washes. The risk is that franchising could tarnish their reputations."