There is always a question that lingers in the mind of prospective franchisees, on the relevance of the product in the target region/location and possibility of product customisation. Although it is an important thought for business it is also disruptive one. This article helps you in understanding the need for customisation and need for not changing too much. Also find out how IIHT Technologies encourages its partners to bring forward ideas and how those ideas are further tested by the research team for the pros and cons of the same.

2. Franchisor
is keener on running a
business that is profitable for
both franchisee and the
business
Franchisees
compare the product to
similar franchise chain and
expect the product to be
similar
Hence a certain degree of adaptability and changes are
adopted by many franchisors.
However franchisor will avoid duplicating a service of a
competitor.

3. Customising product and or services could
help in reaching much broader range of
customers. A slight change and
customisation to the product, service or
store design might create better brand and
add to franchisee’s success. However,
customisation should not compromise on
standards, quality or brand identity itself.

4. Many a times customers
suggest changes on various
factors of product and service,
however not all can be
entertained. Nor a suggestion
from a few customers can be
implemented. When such
suggestions start to pour in,
franchisee has work with the
franchisor to research and
analyse the needs, costs and
impact on returns. A few
changes may be adopted if they
boost sales.
Customer
Choice:

5. For ex: McDonalds cannot serve Indian
bread instead of the usual on its burger.
It is essential that the new element
introduced is not a distraction to the
core brand as this may create confusion
and franchise may fail. It is important
that at large, customer will be taken by
surprise, which they were not expecting
and may not be willing to step out of
their zone; in order to try something
new over something they always came
in for!
No
Compromis
e on the
Core
Identity:

6. Innovative changes could be
something quite out of the box
offer that attracts customers
from that particular region,
appealing in the local market.
For ex. IIHT (Indian Institute of
Hardware and Technology)
providing basic instruction in
Swahili for administration
courses in Kenya. Yet the core
product is not changed nor is the
brand identity.
Innovative:

7. Franchisee has to share ideas with
franchisor before undertaking any
changes or deviation. Franchisors
have a clear bird’s eye view of
entire chain and will evaluate the
reaction of consumer, chain wide.
Obtaining franchisor’s approval
prior to implementation is crucial
as this would be a part of
agreement, moreover franchisor
will be able to analyse if there is
risk of moving towards brand
confusion, which could hamper
business of the franchisee.
Shared
Ideas:

8. IIHT is spread across 22 countries and realises the need for customisation to
suffice the consumer needs in respective locales.
Most of the basic
courses are
customised to the
need of the locale.
Many a times the
layout design too is
allowed a minor
change that
essentially gives the
students a
comfortable feeling
and familiar learning
environment.
However there is no compromise in the quality of deliverance across centres.

9. IIHT Technologies encourages its partners to bring forward ideas, however
further research is undertaken to test the idea and it’s pros and cons over the
particular franchise, franchisor, and other franchises.
1. It focuses on ideas that result in brand enhancement rather than
confusion.
2. It is essential that any customisation of a product in franchise business
has to be well researched for its applicability, success and impact on the
brand. An established franchise itself offers instant brand awareness.
3. Customisation should occur only if business could appeal to more
customers.
4. Customisation has to be a collaborated initiative and has to ensure brand
enhancement.

10. Corporate Headquarters
#15,Sri Lakshmi Complex, 4th Floor, St. Marks Road, Bangalore - 560 001. India
Tel: 91 80 6160 4545 e-mail: franchise@iihttechnologies.com
web: www.iihttechnologies.com/