What marketing system is franchising?

What marketing system is franchising?

Franchising is a popular business model that has been adopted by numerous companies worldwide. But what exactly is the marketing system behind this successful strategy? Let’s delve into the intricacies of franchising and its marketing system.

The Basics of Franchising

Franchising is a business model where a franchisor (the original business owner) grants a license to a franchisee (the individual or company buying into the business) to operate under the franchisor’s brand name. This model allows the franchisee to sell the franchisor’s products or services, use their business systems and processes, and benefit from their marketing and advertising efforts.

One of the key advantages of franchising is the ability to expand a business rapidly without the need for the franchisor to invest heavily in new locations or staff. Instead, the franchisee provides the capital for expansion, while the franchisor provides the established brand and operational support.

The Marketing System in Franchising

The marketing system in franchising is a critical component of the franchise model. It involves strategies and tactics the franchisor and franchisee use to attract customers and drive sales. The marketing system can be divided into two main areas: national marketing and local marketing.

The franchisor typically handles national marketing and involves activities that promote the brand nationally or internationally. This might include television and radio advertising, online marketing, public relations, etc. National marketing aims to build brand awareness and reputation, which benefits all franchises within the network.

Local Marketing in Franchising

On the other hand, local marketing is usually the franchisee’s responsibility. This involves marketing activities targeted at the local community where the franchise is located. Local marketing strategies might include local print advertising, direct mail campaigns, local search engine optimization (SEO), social media marketing, and community involvement.

While the franchisor usually provides guidance and resources for local marketing, the franchisee can adapt these strategies to suit their specific market. Local marketing aims to drive traffic to the individual franchise location and build relationships with local customers.

Key Elements of a Successful Franchise Marketing System

While the specifics of a franchise marketing system can vary depending on the brand and industry, several key elements are typically present in successful systems.

Brand Consistency

Brand consistency is crucial in franchising. Customers must have the same experience, whether visiting a New York or Los Angeles franchise location. This consistency extends to the brand’s marketing efforts. All advertising and promotional materials, both national and local, should reflect the same brand image and message.

Cooperative Marketing Funds

Many franchisors establish a cooperative marketing fund, where all franchisees contribute a percentage of their gross sales to fund national marketing efforts. This allows the franchisor to undertake large-scale marketing campaigns that would be beyond the reach of individual franchisees.

Training and Support

Successful franchisors provide comprehensive training and support to their franchisees, including marketing. This might include training on implementing local marketing strategies, access to marketing materials and resources, and ongoing support and advice.


Franchising is a powerful business model that allows for rapid expansion with less risk than traditional business models. The marketing system in franchising plays a crucial role in this success, leveraging the power of a strong brand and the combined resources of the franchise network to attract customers and drive sales. Whether you’re considering buying into a franchise or looking to improve your existing franchise marketing efforts, understanding the marketing system in franchising is key to your success.

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A franchise store with various marketing tools such as billboards
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