Kitchen Franchise Goes Against Grain
Monday, July 13, 2009 at 5:14PM
From Left: Steve Chambers (Porstmouth showrooms manager), Troy Tappenden (founder), Kelly ChambersUnlike many other franchisees, Dream Doors has increased its franchise fee.
In contrast to businesses that ‘reduce to produce’, the directors at the leading kitchen franchise believe the best route through the downturn is by maintaining proactive marketing activities on behalf of franchisees and giving them even more start-up support – all of which costs money.
"More than ever"
Dream Doors founder, Troy Tappenden, explains the £4k franchise fee rise amid the tightest credit markets in living memory:
“We’re giving our franchisees much more than ever before – and the new price reflects that. It’s important to remember that you get what you pay for, and to get the best, sometimes you need to pay a little bit more.
“Dream Doors is a full member of the BFA and we won Brand Builder of the Year and, more recently, two franchise marketing awards. Rather than cut back on the services we offer in terms of advertising, head office support, training and brand development, we have chosen to put a price on the franchise that reflects our status in the industry.”
Research has shown that businesses which continue to invest and innovate during downturns are the ones that survive and prosper. They can then take market share from competitors when markets recover.
Long-term
Adds Tappenden:
“Reducing your fees might get the phone ringing in the short-term, but what happens when the new price becomes the norm? Do you then give it away for free?”
“We’re in business for the long-term, and, while times have been challenging for everyone lately, I refuse to lower my expectations for Dream Doors and will not stop supporting our franchisees fully.
“I believe our training and marketing has got us to where we are today. If the price has to go up and our recruitment slows down so be it, but at least the franchisees we do have will get the tools they need to trade successfully.”
Having recently opened their 30th showroom, Dream Doors’ expansion has put some added pressure on head office to ensure all franchisees operate with the customer care that has been a benchmark of the company’s first decade in business.
Says Dream Doors operations director and BFA regional chair Kelly Chambers:
“What excites me most about this is knowing how far we’ve come in the last three years. The investment that has been put back into the business has been staggering, often to the detriment of our bottom line.
“We still don’t make any money from our franchise fee, but we just about cover our costs and can continue to offer the same levels of service our franchisees and customers have come to expect.”
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Reader Comments (1)
Not surprising as there has been an increase in the fees of almost all the service industries associated with the home decor or furnishings. The Phoenix general contractors so far has not made the increase but sooner or later this is bound to happen. Would have to remodel my home well before time runs out.