Franchise Update Magazine Issue II, 2014 | Page 45

BY JACK MACKEY

Claiming Your Share
Popeyes’ turnaround in a no-growth world

G

rowing franchisee profitability usually requires
growing the top line, as
well as controlling costs.
With no rising economic tide to lift all
boats, the way to grow sales is to take
share from the competition.
This makes sense because most people
you think of as “your” customers are
also customers of your competitors. If
you are franchising restaurants, “your”
customers’ total spend on eating out is
much more than their total spend on
eating out with your franchisees. You
just get a very small sliver of the customer pie.
But you can increase your share by
being different, better, and more desirable to customers. To put a finer point
on that ܛ