Entrepreneur India – July 2019

(Greg DeLong) #1
9292 l l ENTREPRENEURENTREPRENEUR l l JJUULY 2019LY 2019

F


ranchising is
essentially a
highly flexible
strategic model
for businesses
looking to scale
up operations. The probability
of success in such a scenario
is essentially dependent on
external stakeholders – mainly
customers – and their needs.
In light of this, an empathetic
and creative solution-based
approach to problem-solving
is required. Each business and
industry is unique in terms of
audience or consumers. There
has been enough evidence of
this. The buying behaviour
or pattern of the technology
industry and that of food and
beverage cannot possibly be
the same. Similarly, there
are geographical, cultural,
emotional, and numerous other
factors that determine buying
behaviour.

In Sync with
Consumers
Empathising with consumers
helps understand a problem
from a perspective that
provides the most important
solution for a franchising
business – sales. It is simple:
no one understands your
problem better than you do.
Empathy helps derive all the
information to understand
the problem. It is what makes

‘design thinking’ human-
centric. Major brands like
Ericsson and the US Tax
Service have used this school
of thought to their benefit.
The design thinking holds
a much larger significance
for franchise brands. For
franchises, each outlet or
store or restaurant or location
can be unique. McDonald’s
not only has a different menu
for India, the marketing
of different burgers is on
different scales in different
regions of the country. This

is for one simple reason and
that is diversity. People are
different everywhere. It is
easy to pick franchise brands,
especially in a diverse country
like India, who have attempted
to standardise their offerings
and failed miserably. It
accounts for a large portion of
failures in the industry.

Food for Thought
From as early as junior school
and pre-school education,

THE DESIGN


THINKING


FORMULA


kids are shown the empathy
way of learning. A research
subject at Franchise India
recalls an exercise from back
in the third grade where the
literature teacher allowed
students to frame questions
based on excerpts from
stories. “It helped me think
like a teacher, and ultimately
formulate better answers,”
he said. An education-based
franchise network named
‘Engineering for Kids’ has
successfully incorporated
this method to not only

help their network grow,
but also help their students
develop advanced cognitive
abilities for their age. A
design-thinking framework
underpins the classes for
that age group, from ‘Let’s
Make Toys’ to ‘Widgets and
Gadgets’. There is very little
evidence as to how effective
design thinking is for
classroom education.
However, EFK’s model
has physical involvement

of kids in learning. They
enable explorative play that
stimulates independent
discovery. This facilitates
information consumption
and experience. The solution
here that makes it an
effective design thinking
model is that of learning
through experience. Since
the audience or consumer
demographic here are
impressionable minds,
scientific data can be a
reliable source of behavioural
understanding. Most of the

data available is limited
in terms of research,
analysis and inference. For
educational franchises like
EFK to succeed in the field
of franchising, ad-hoc or
local research combined with
design thinking is the right
way to go. In conclusion,
successful franchise brands
make an effort to empathise
with consumers they intend
to serve before setting up
shop.

guruspeak


GAURAV MARYA, Chairman,
Franchise India Holdings Limited

Successful franchise brands are those which make an
effort to understand the needs of the customers in minute
detail and work out business strategies accordingly.

EMPATHISING WITH CONSUMERS HELPS


UNDERSTAND A PROBLEM FROM A PERSPECTIVE


THAT PROVIDES THE MOST IMPORTANT SOLUTION


FOR A FRANCHISING BUSINESS - SALES

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