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franchising consultants nz

Franchize Consultants

New Zealand Franchising Consultants Firm

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Planned Multi-Unit Franchising Strategy

Franchisors considering or managing multi-unit franchising need to carefully plan a multi-unit franchising strategy, along with aligned infrastructure and support. Such consideration should be undertaken regularly, to ensure the right multi-unit franchising strategy (if at all relevant) is employed for the circumstances.

There are multiple forms of multi-unit franchising employed by franchisors, aside from a more typical single-unit franchising model. Prototypical multi-unit franchising forms include sequential/incremental franchising, area development, area representation and sub-franchising – with the last two and sometimes three often described as examples of master franchising.

These forms in themselves can be organised in different ways, and sometimes companies utilise a spectrum of franchising forms for different situations. The relevance of selected forms for an individual franchisor can also change over time.

Most important here, from a best practice perspective, is ensuring an optimal multi-unit strategy is employed for the situation. For some companies, certain multi-unit franchising forms are simply not viable, or may have disadvantages that outweigh the advantages. Related, there are multiple factors (e.g., industry and business lifecycles, market size, geographical dispersion, unit business complexity etc) that influence their relative appropriateness (including attendant advantages and disadvantages).

Ensuring the right multi-unit franchising strategy for the franchisor situation should be considered regularly.

And involves a detailed assessment. Long-term, this is an important franchisor strategic and structural consideration for optimising both franchisor and franchisee return.

In summary, franchisors need to carefully consider, on a regular basis, which multi-unit franchising strategies (if any) are appropriate and optimal for their business situation and objectives.

Relevant questions:

  • What multi-unit franchising form/s do you currently utilise and are these still optimal for your organisation’s situation and objectives?
  • What opportunities are possible, from both a franchisor and franchisee perspective, from an improved multi-unit franchising strategy?

About the Franchising Best Practice 500 Series

This is part of a series of franchising best practices. Franchize Consultants is sharing and publishing these best practices weekly for the betterment of franchising.

The team at Franchize Consultants know that better knowledge and execution of franchising best practices leads to bigger and more valuable franchisor and franchisee businesses.

We have assembled the first 40 best practices into The Best Practice Handbook, which is available for purchase here.

How can we help you?

Contact us if you’re contemplating franchising your business or would like help with an established franchise network. We’d be very happy to sit down with you to understand your situation and objectives and explain the supporting services we provide. For more information on each, contact Adrienne (office@franchize.co.nz or 09 523 3858). Follow us on Facebook, Google and LinkedIn.

Category: Blog, Franchising Best Practice 500

Read our latest blog posts…

  • Responsible Franchising: Building the Right System from the StartJune 19, 2025
  • Celebrating World Franchise Day 11 June 2025June 11, 2025
  • When the Pressure’s On, Structure Matters: The Role of a Franchise System ReviewJune 9, 2025
  • Is Your Franchise Manual Missing in Action?June 4, 2025
  • Franchize Bulletin June 2025June 1, 2025

About Franchize Consultants

New Zealand’s largest and most experienced franchising consultancy providing specialist advice and assistance to prospective and existing franchising and licensing networks. Founded in 1989, Franchize Consultants provides consulting, training, mentoring and research services to leading local and international franchising companies.

Previous Post:Complete Franchisor PESTLE Analysis
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Call 09 523 3858

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Office Address

Franchize Consultants (NZ)
Suite 4, Level 1, 27 Gillies Avenue, Newmarket, Auckland, New Zealand.

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“Franchize Consultants have been proudly serving New Zealand for 35 years.”

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