the Franchisee Newsletter
Transcription
the Franchisee Newsletter
Network News Service you Want, Technology We Know ™ T h e i S o l d It a n d P o sta l C o n n e ct i o n s b i - m o n t h ly F r a n c h i s e e J o u r n a l Top Performers Receive Awards at Las Vegas Conference In This Issue: 1 Franchisee Awards 1 Franchise Facts EX Reports 2 AM Small Business Two highlights of the recent Las Vegas 2011 iSold It (ISI) and Postal Connections (PCA) Franchisee Conference were: • The Two Outstanding Franchisees of the Year • The Top Five Sales Awards for each network Recognition for the franchisees came during an awards banquet at the Tuscany Resort and Casino. The Franchisee of the Year awards are given nationally to the outstanding ISI and PCA franchisees who demonstrate the highest level of customer care, business development and contribution to system wide advancement. Outstanding Franchisee of the Year 2010 Outstanding Franchisee of the Year 2010 Scott Brown #CA0238 Fullerton, CA Marc Richard PCA #228 Vero Beach, FL Impacts of 2 Power Craigslist Tips From 3 Online the Experts Claiming Your Business Listing on Yelp and Other Sites Network is 4 The Stronger 5 Strategies to Improve the Business Franchisees of the Year ISI Franchisee of the Year, Scott Brown, Fullerton, CA (ISI-238). Scott and Brad, the store manager, achieved a remarkable performance with a 56% sales gain over the prior year. They accomplished this by their successful efforts in obtaining small businesses as new customers. Franchise Facts PCA Franchisee of the Year, Marc Richard, Vero Beach, FL (PCA228). In the 15year history of the award, this is the first time a new franchisee is operating a store at such exceptional business performance levels. Franchise Association), Despite the tough economic times around the country, both franchise networks had remarkable 2010 sales increases over 2009—ISI increased by 11.9% and PCA by 17.2%! Did you know that according to the IFA (International franchise businesses are responsible for 760,000 businesses, 18 million jobs, 14 percent of private sector The top ISI sales store achieved $539,000 in revenue. The top PCA store had over $1 million in gross sales and $532,000 in adjusted gross sales in 2010. (For more sales information presented at the Conference go to www.877isoldit.com/conference2011 or www.postalconnections.com/conference2011) employment and over $500 Congratulations! produced by franchises. billion in payroll. More than $706 billion in gross value of goods and services are Continued on page 2 Page 1 Continued From page 1 The 2010 Top Five Sales Awards were presented to franchisees ranking at the top of ISI and PCA for sales performance. Top Five Sales Awards Small Business Delivers! A recent survey published as American Express Global Customer Service Barometer reported the following findings regarding customer service. It is of particular interest to small business owners like us: iSold It Postal Connections 1. Mike Hadad Gaithersburg, MD (ISI-118) 1. Jim & Elizabeth Bowe Lancaster, PA (PCA158) 3. Chuck & Lisa Hudson Glendale, AZ (ISI-170) 3. Don & Sue Harteloo Stayton, OR (PCA146) • 60% of consumers perceive that businesses have not increased focus on providing strong customer service. 5. Tom & Joyce Jones Redmond, OR (PCA119) • 26% feel that companies pay even less attention to service than they used to. 2. Kevin & Angie Bittner Topeka, KS (ISI-208) 4.Scott Brown Fullerton, CA (ISI-238) 5. Eric & Stephanie Czerwonka Orland Park, IL (ISI234) 2. Pete Pierce Bend, OR (PCA101) 4. Ship Six, Inc. (Roger Young) York, PA (PCA209) The Power of Craigslist Franchisor’s note: Craigslist is well known and understood at iSold It. But the power of Craigslist includes all retailers looking for customers. It is a marketplace, a virtual open and free “digital mercado” for local businesses and consumers who want to buy and sell things. Consumers who need packaging & shipping, a business address, printing, and much more. Craigslist “ listings” often include contact information that can be added to a store’s marketing list. Below is an article provided by Auction Sound’s parent company That’sUs.com, CEO Matt Brown. Thanks to the Internet, people have more available options for selling second-hand items such as electronics, antiques, domain names, collectibles, vehicles and pretty much anything you can imagine. There have been many different auction sites, though eBay has been the leader in selling items online for many years now. eBay drop off stores have emerged and changed the way people sell used items. This is a convenient way for someone who is very busy to sell items without the hassle of dealing with eBay and users of eBay. As the web has evolved and other options are becoming available, many users have started to harness the power of Craigslist to sell and buy goods and services. Craigslist serves many markets from individual sellers to massive businesses. Now drop off stores can cross promote products and services between Craigslist, eBay and other auction/buying sites. Selling on Craigslist to local users gives the seller an opportunity to really connect with a possible long-term customer for buying and / or selling. Unlike eBay, posting to Craigslist is completely free. Listing items on Craigslist will give more control to a business than eBay does. Equally important,Craigslist is the place to find competitors, target customers in select business categories, and pricing for key products such as printing, cartridges, and packaging. Leveraging Craigslist only makes sense! By: Matthew A. Brown, President and CEO of ThatsUs.com • 78% of consumers stated they ended a transaction or have withdrawn intended purchases because of a poor service experience. However, consider this statistic relating to small business: 81% of consumers think that small businesses deliver better service than big businesses! That is a huge competitive advantage for us, plus there’s more… Consumers Will Pay for Good Service The survey indicates that purchasers appreciate the value of good service: • 60% of Americans would try a new product or service if they felt they would receive a good customer experience. • 70% are willing to spend an average of 13% more with companies they feel deliver good customer service. Continued on page 3 Page 2 Online “Tip” from Experts Reach Pros is being retained as a new resource to help improve your online business presence and advertising. Reach Pros, presented many excellent online advertising tactics at our recent conference. From time-to-time they will contribute more valuable “tips” in Network News. There has been no change in Big Rig Media status as our resource. We simply now have more assistance with marketing. TAKE CONTROL OF YOUR IMAGE: CLAIM YOUR BUSINESS LISTING The Internet is proving to be a game changer for small businesses. It is the most powerful source of advertising today because most people use it to find businesses. It’s vital to present your store on the Internet and look as good as you really are. It’s easy to do. Just claim your listing. WHY CLAIM? Claiming your Postal Connections or iSold It business listing on key high-traffic consumer web sites is valuable because your prospects and customers are increasingly going online: 1. To gather general information about businesses 2. To read online reviews that mold their initial opinions about a business, which influences their purchasing decisions And it is FREE! TAKE CONTROL: Your business is already listed on many search engines, directories, and review sites. By claiming your business listings you can take control of how your business appears to consumers, get alerts when consumers write reviews, and respond to them as well. We hope you invest the ten to 20 minutes to claim a key high traffic website (use the link below to see step-by-step instructions on claiming Yelp). You can ensure your business will be represented online the way you want it to be portrayed. Don’t leave your online reputation to chance... take control of it. BENEFITS OF CLAIMING: You can quickly improve your business’s online presence by enhancing your business listing pages with additional descriptive copy and photos. You can also make sure that the key contact and address information is correct. Additionally, claiming gives you the ability to decide which categories you want your business to appear under when a consumer searches online. This can make the difference as to whether consumers find your business when they are searching for the products and/or services you provide, or just find your competitors. Ultimately, these online enhancements can help attract more customers to your business. CLAIMING YELP: The first site we recommend claiming is Yelp. Yelp is the most popular review site as measured by number of reviews and consumer traffic. That means lots of consumers are looking there and writing about your business. Go to www.postalconnections.com/conference2011 or www.877-isoldit.com/conference2011 to see the steps to help you claim Yelp. This is well worth your time and effort. NOTE: As part of the Yelp claiming process, you (or somebody on your team) will need to be at your store to answer an automated phone call from Yelp verifying that you are actually the owner of the store you are claiming. Be sure to coordinate this store presence. HERE ARE SOME SITES WE RECOMMEND CLAIMING: • Yelp • Google Places • Yahoo! • CitySearch • Bing • Yellowpages.com • Foursquare • Gowalla • Facebook.com (requires ongoing engagement) • Twitter.com (requires ongoing engagement) Continued from page 2 This is good news but the survey also says a lot about consumer reaction to poor service. Avoid Making Customers Angry More than half of the respondents admit to having lost their temper at a customer service rep. They express their anger by asking to speak to a supervisor, hanging up the phone, and taking business to a competitor. Consumers tell an average of 16 people about poor service experiences and only 9 about good ones. Plus, it’s easy to get flamed on Yelp or other internet sites by a disgruntled customer. Small Business Competitive Edge The most important message from this survey is that it appears small businesses hold an inherent competitive edge over big businesses when it comes to service. It’s up to us to drive the growth from that perception by making sure it is matched with reality in our daily customer interaction. Page 3 Our Networks Are Stronger Who could say the past two years were anything but difficult for business? But many ISI and PCA stores appeared to discover the silver lining. Comparing 2010 to 2009 at the same stores, the iSold It Network increased sales by 11.9%. At Postal Connections, the increase was 17.2%! Among many factors, persistence and commitment remain the common denominators for these successes. To view the sales progress presentations shown at the Las Vegas conference, click on the following links: www.877-isoldit.com/conference2011 www.postalconnections.com/conference2011 Customers are Still There Based on 2010 and the first six months of 2011 our networks are stronger. More importantly, ISI and PCA owner-operators are succeeding and staying in business even as competitors are failing. And the heartening point is that the customers are still there! Customers still seek to turn unused items into cash. ISI stores remain the best solution for many people to easily sell items online. And customers still need to pack and ship, print documents, and establish business mailing addresses. Trade groups report that postal, shipping and business services stores have declined by 15% to 20% in the past 18 months, but customers are still there. grab your share of the market that is now sliced into fewer pieces. Strategies Franchisees are using to improve Business Here are a few strategies being used by ISI and PCA franchisees to improve results: iSold It Re-negotiating the lease, moving or combining operations. Beyond the obvious, franchisees in Florida, California, New York and elsewhere are successfully reducing rents by threatening to relocate at the end of their five-year term. Landlords need to know you are not bluffing. So, start by being prepared to move. Several ISI stores have migrated to “mixed-use” locations where space size is more flexible and the heavy burden of a retail rent disappears. In some cases, sales have declined but profits have increased. However, the crucial factor in a successful move appears to be retaining current customer loyalty. This is critical. Your customer list is the key to maintaining revenue while marketing to new customers. If a move is likely, immediately intensify marketing to current customers. Combining Postal Connections with iSold It. Currently, in the Chicago Area, two stores have combined their ISI and PCA businesses in the same space. Rent, utilities and other fixed costs are being met by the PCA revenue and both operations are supported by the same staff. This combined model, while promising, is still too new to project financial results. Both iSold It & Postal Connections Expanding product lines. Both ISI & PCA store owners have found that Media Trader is adding a profit boost to their operations. Media Trader is unique because it provides an analytical feature to the software that Continued on page 5 So, apply persistence and commitment to your operation and Page 4 Continued from page 4 provides highly reliable purchasing and sales pricing for Amazon.com. Media Trader also introduces new customers to the store and can act as powerful social media networkers who help build our reputation. prices in line with big box stores. Several PCA store franchisees have commented that in poor markets, ink refilling has made the difference between decreased sales and sales that are holding the line. Postal Connections Printing and document finishing. Several stores are introducing printing services targeted at businesses, local government agencies and nonprofit groups. PCA stores are taking advantage. Printing can be a product that can induce sales from current as well as new B2B customers. Adding ink, laser, and toner cartridges. 2010 product mix sales demonstrate that stores introducing low-cost, high-quality remanufactured cartridges and inkjet refilling machines have increased both sales and profits. The sales strategy is based on low wholesale prices and refilling costs which allow for competitive retail In each future issue of the Franchisee Newsletter there will be an article focused on strategic comments about growing your franchise business. Who we are C.A. “Andy” Thompson, PhD Managing Partner, Owner andy@postalconnections.com Fred Morache Managing Partner, Owner fred@postalconnections.com Jeff Lee Vice President, Operations jeff@isolditcorp.com Page 5