Economic Stabilisation Confirmed in British Franchise sector
It is no surprise to learn today that the UK economy contracted by 2.4% in the first quarter of 2009. On a more positive front however, The National Institute of Economic and Social Research suggested this month that the UK has started to grow again. Clearly hastening the end of the recession and getting people back to work remains the number one political priority for Government.
Some good news this summer includes the recently published British Franchise Association national franchise survey. The survey outlines how the UK franchise community is weathering the economic storm well. By following best practise franchise businesses can protect themselves from economic slowdown.
Many franchisors are also working closely with their franchisees to help with recession alleviation strategies. I encountered one example last week when I was invited to attend the franchise conference of Gymophobics franchisees.
Gymophobics franchisees offer their customers a high level of support in a women’s only gym franchise. To help customers at this time of financial challenge Gymophobics have worked with their franchisees to adapted their payment method to monthly direct debit rather than annual payments for memberships.
This action, and others like it, take the interests of the customer’s finances to the heart of the franchisee’s offering to their customers. In the case of Gymophobics it also provides the franchisees a rolling income and removes the need to resale the membership each year. Win – win and high customer retention is the outcome for all involved proving that recession can bring opportunity.
Tags: British Franchise Association, franchise, franchisees, nick strong, recession
