Franchise Prospects Report Higher Contact-Attempt Rates in March and April 2020
According to a survey of interested franchise buyers, more development teams are following through with each inquiry and attempting to make contact.
In April, 59.6% report being contacted by every one of the one or more franchises to which they inquired. This is all the more important, considering that almost 43% of prospective buyers inquired to only a single franchise concept in March.
The April data was the best yet for 2020, with 80.9% prospects reporting that they heard from either “all of” or “at least half” of the franchise brands from which they requested information. The chart below shows the contact attempt rate gradually improving in 2020 by month.
As unlikely as it would seem, not all prospective buyers are contacted. One likely reason is that 67% of inquiries are made outside of the business hours of franchise development teams given differences in time zones. For its 2019 annual review of best practices for franchise development teams, Franchise Update Media commissioned a mystery shop that produced some surprising results. Indeed, only 46% of franchisors called prospects who had submitted an inquiry about their brand.
The “Mystery Shop” survey is conducted monthly by Franchise Insights from a sample of franchise inquirers across the FranchiseVentures lead generation platform. The latest data is from the week of April 13, 2020.
FranchiseVentures is the leading demand generation platform for potential franchisees to thousands of growing franchise systems in the United States and Canada. Its franchise lead-generation businesses include Franchise.com, Franchise Solutions, Franchise Gator, Franchise Opportunities, Franchise For Sale, and BusinessBroker.net, and together they provide the largest aggregation of prospective franchise buyers in the U.S.
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Published on Thursday, April 16th, 2020.