Foodservice Franchisees Food Feuding

When restaurant franchisees hire lawyers and a ‘communications specialist’ you can be sure that the undercurrents of discontent have surfaced.  Foodservice Solutions® Grocerant Guru® Steven Johnson stated that “franchisees believe that are closer to the customer in many cases than employees working in the corporate office and often believe they have the pulse of the consumer; and that is a good thing.”

Success does leave clues and when sales are up, customer counts are up, and profits are up all is well.  However discontent brews when there is disequilibrium between profits, customer counts, and sales within a franchise organization.   

Several months ago Jack in the Box franchisees discussed on their own about hiring putting together a group to edify their relationship with the parent company.  They have now hired an attorney and a communications specialist to forge what they’re calling “a true partnership” with corporate to drive “better input” on strategic direction and investments. 

The Jack in the Box Franchise Association used an “amicable tone last night in announcing ratification of “a new purpose statement” on how the group could work with Jack in the Box’s management according to Restaurant Business Magazine.

Anil Yadav, chairman of the group  stated "The sum of these collective efforts will help our board to be more effective in serving our members as well as helping our franchisor build a stronger, more viable brand,”, he continued saying  “ (we) look forward to working with the Jack in the Box leadership team as partners in our endeavors.”

Ah but why? The franchise group Secretary Rabi Viswanath noted, “We have insights and understanding that our corporate partner needs.  Therefore, we believe it is key to be certain that they have and understand our input in order to maximize the value of the brand.”

All foodservice retailers need to understand that at times they can be too close to their position both corporate leaders and franchisees at times miss read the undercurrents driving customer migration from one brand to another and or miss read consumer migration from one channel to another.  If success does leave clues out clue of the day is Outside-Eyes can drive inside profits. 

Invite Foodservice Solutions® to complete a Grocerant Program Assessment, Grocerant ScoreCard, or for product positioning or placement assistance, or call our Grocerant Guru®.  Since 1991 www.FoodserviceSolutions.us  of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869