Smart Cartridge
~ International Lead Generation ~
Suzie McCafferty
International Development Director
Finding international leads can
seem like Mission Impossible....
Your mission…
is to find international franchisees!
~ International Lead Generation ~
• Smart Cartridge
• Best sources of international leads
• Qualification of international prospects
• Profiling international franchisees
• Summary
Smart Cartridge
• International Retail Franchise, est. 2001
• Specialise in professional remanufacturing
of used printer cartridges
• 60 franchisees within 6 countries
• 2nd largest player in UK & Europe
Best sources of international leads
• Wide range of advertising & recruitment methods
used
• Method depends on type of franchisee
i.e. direct franchisee, master franchisee or area
developer
• Each has a very different profile
• Clear recruitment strategy for each new market to
successfully target the “right” candidate
Best sources of international leads
•
Don’t just advertise on the first franchise
recruitment website or magazine you find!
Consider:
a) Type/profile of prospects
b) How best to target prospects
c) Budget available
Lead generation strategy
~ Spanish Master Franchisee ~
• Multi pronged approach!
• Local market research
• Excellent demand for product/service &
“franchise friendly” environment
• Generic Master Franchise profile
• Adapted profile to meet key criteria for
Spain
Lead generation strategy
~ SPANISH Master Franchisee ~
• Validated by local Franchise Recruitment agency
• Local advice on best recruitment & advertising
methods
• Allocated budget towards recruitment strategy
a)
Recruitment adverts & editorials in franchise & business
publications/websites
b)
Presence at franchise exhibitions & networking events over 6
month period
• Generated market knowledge & brand awareness
Lead generation strategy
~ Area Developer DOMINICAN REPUBLIC ~
• Different recruitment strategy
• Enquiries via general
recruitment adverts & editorials
• 100’s of enquiries from all over world
• Many not suitable due to:
lack of demand for product, no franchise
presence or wrong candidate
Other Sources of Leads…
• Own website
• Franchise Association websites
• International Franchise Exhibitions
• Direct approach with intermediaries
• Franchise Directories
• Regular promotion via PR agency
Qualifying International Prospects
• Key to success is quality of prospect, not
quantity
• Time is money…discard less suitable
prospects early & concentrate on those who
meet the requirements
• An effective lead qualification process
enables you to save time & filter out “dead”
leads
Qualifying International Prospects
• Send appropriate franchise literature
• Follow up enquiry with telephone call within 3-5
days (1st tel interview)
• Consortiums/companies, qualify all directors
individually
• Reluctance to return documents highlights 1) lack
of interest 2) inability to follow procedure = time
wasters
• Having received completed documents, contact the
prospect again by telephone (2nd tel interview)
Qualifying International Prospects
• Business plan & proof of funding
• Validate Business plan with own market
research (& 3rd party if possible)
• Request due diligence information
• Agree Heads of Terms prior to HO visit
• Prospect invited to visit HO operations (3rd
interview)
• HO visit to local market
Qualifying International Prospects
• Only as good as your worst franchisee!
• Invest time in selecting the right candidate
• Qualification process ~ 6-12 months
• Don’t purely sign as many franchisees as
possible
• Vital you qualify prospects properly using
the correct strategy
Profiling International Franchisees
“Hundreds of franchisees fail each year. The
most frequent causes: lack of funds, poor
people skills, reluctance to follow the formula,
a mismatch between franchisee and the
business...”
(Wall Street Journal, 2007).
Profiling International Franchisees
• “profiling tools” or “psychometric tests”
• Results enable categorisation & suitability of
prospects
• International franchise consultant or advisor
to help prepare different profiles
Organisational
Previous experience of operating a business
Ability to follow proven system
Smart Cartridge
Master Franchisee Profile
Ability to meet development goals
Ability to multi task
Ability to manage people/leadership
qualities
Ability to resolve disputes
Ability to mentor
Recruitment experience
Personal
Extremely ambitious
Self motivated
Forward thinking
Confident
Financial
Sales experience
Sufficient working capital for pilot store
Networking experience
Sufficient working capital to develop MF
operations
i.e. training facility, support services, HO
support staff, ongoing professional fees,
ongoing marketing & promotion of brand,
franchisee recruitment etc
Ability to generate new ideas
Ability to work under pressure
Ability to accept support & advice
Ability to communicate & report to HO
If a consortium, must appoint a brand manager
Fluent oral & written English!
Summary
• International expansion is a fantastic way to
grow your business with many rewards...if
you find the right franchisees!
• Never enter a market that you haven’t
researched & validated
• An effective international lead generation
strategy is one that is carefully planned,
budgeted for & uses the most appropriate
methods
• Make use of the local market knowledge
Summary
• Always take time to qualify prospects,
discarding “time wasters” early
• Always carry out thorough due diligence on
serious prospects
• Never enter a new market purely for
franchise fees & to increase number of
franchisees
• Don’t under estimate the time it can take to
recruit
• Don’t under estimate the additional &
ongoing costs associated with international
franchising
In true Mission Impossible style…
this presentation will self-destruct in
5 seconds…
so good luck with your search for
international franchisees!