Lesson 2

5 Steps to Buying a Franchise Absolute before Deciding
 The existence of the obligation to do centralized marketing program is one of the most incredible strength in the franchise system. By collecting funds from the franchisee (the franchisee) in a system, was created greater marketing power collectively. This centralized funds can be used to do things that can not be done by the franchisee alone, such as marketing campaigns through advertisements on television. The same fund could also be used to hire professional experts to create advertising material which is much better than that can be made by the franchisee alone.
However these funds could also be a source of dispute because the franchisee often feel these funds are not used as they had hoped. This is likely to be a major issue in the franchise system, especially in times of recession where the advertising tends to be less effective than in the days better. That's why it's essential for anyone who wants to invest money in a franchise business to ensure that the marketing system owned by the target company running well. Here are five basic qualities for a good franchise marketing program.
1. Bring Customers
The honest and simple, the first question that must be asked is whether the marketing funds come referred will bring customers to the outlets selling the products so as to make the business successful. If the answer is yes, then the conflict can be reduced to a minimum. If not, is going to happen 'third world war'.
2. Involving Partners (franchisees)
Franchise marketing programs generally provide substantial opportunity for the franchisee to submit opinions to be accommodated. The authority is normally the final decision on the franchisee (franchisor) but it always gets a lot of input from those closest to the customer that the franchisee. We recommend that you ask is the company's franchise advisory council referred to (usually this is selected or formed) in which this body meets regularly with the company's marketing executives to provide input to the project and marketing campaign in the future.
3. True divided
   Marketing funds are mainly used for three things. First, to defray the costs of administering and marketing efforts (eg, internal costs, fees for agents, etc.). Second, these funds destined to finance the cost of production of advertisement materials (print advertisements, direct mail, radio and television advertisements, etc.). Finally, to pay for the purchase of space and placement of advertisements in the media.
   The franchisee usually complain of too large amount of funds spent in one area and too few in other fields. For example, it is definitely dbutuhkan fund large enough to create high-quality promotional materials. However, if all the money spent here, not right there's nothing left for the effort to deliver promotional materials to the customer. So it's obvious there must be a reasonable balance between these two interests.
   'Dispute' else that often happens is the amount to be spent on advertisements that are promoting the 'development of the brand (brand building)' versus the amount that must be paid for advertisements that promote "the power to attract customers (customer attraction)." Executives at the company's marketing department franchisees generally prefers the former, while most franchisees more concerned with the latter.
So if there is no reasonable balance between these two things, there will be a massive conflict.
Well 4.Terdokumentasi
Franchise marketing system with a well formulated and well-tested, must be carefully documented by the franchisee. Although even as a franchisee you may not be given the overall documentation of their internal marketing, youshould get at least their marketing manual table of contents. This will give an idea of the strategy will be delivered in prorgram franchisee training that will be followed. It will also show how well they have documented a variety of manuals and tools supporting and training them.
5. Prove by Researching
  The surest way to find out how good marketing program is a franchise company with a direct call and ask. They must be very prepared to answer because not many things that they think except about marketing. Was specific and ask them how well their marketing programs to attract customers coming. Do not forget to ask if they feel remains consistent generate added value (good value) of the required fund contributions paid by the franchisee. If here you find the majority of franchisees in the franchise system was less happy with the way intended by the franchisees manage marketing funds, you are also quite reasonable to assume will experience the same thing. If so janganputus despair. Search is another company.
                                               Conversely, if the majority of franchisees are pleased with the way the franchisees manage marketing funds, it is a good sign.
It is inevitable topic of marketing is one of the most important thing you ask in assessing business opportunities franchise. Therefore you must make sure to spend enough time on this. If a franchise company marketing materials effective and well-documented, and has been tested successfully bring in customers, surely the company is pleased to provide information about their marketing systems. Conversely, if not, surely they would try to change the subject when you ask that.
                               Set aside enough time to see if you are associated with companies that have good marketing program. This is not a trivial matter because your business life will be determined how successful these marketing programs bring in customers. The time and research you provided for this will bring great benefits in the long term and you will love the effort you make.