The Importance of Local Area Marketing to Franchisee Success

Consumers are becoming more aware of the blatant mass marketing advertisements they are exposed to everyday. Part of buying into a franchise, is buying the brand and large scale presence that comes with it. Franchisors will generally use nation-wide, generic campaigns and encourage franchisees to use this, as well as material from the marketing kits they supply, to promote their brand. Often, this isn’t the most effective way for franchisees to penetrate local markets, they need to ensure they are also adopting a Local Area Marketing (LAM) strategy, in conjunction with the national campaigns to ensure they are reaching in their communities and maximising their potential.

So what exactly is Local Area Marketing? It is a type of marketing that identifies, designs and implements a range of marketing initiatives that specifically target potential customers a businesses local community. It is a highly effective way of targeting potential customers based on geographic segmentation, and creating local awareness and loyalty. LAM often provides strong return on investment, as it allows franchisees to tailor the overarching brand communications, and adapt the messaging to suit their local audience. Because franchisees often live in the community they are targeting, they have a unique insight into how to best customise marketing communications for that area.

Often for franchisees the prospect of undertaking a LAM campaign can be overwhelming, and they may feel they lack capability and confidence in this area. More often than not, small business owners don’t have a background in marketing, so this is where franchisors can step in to offer resources and advice. This is a win for both parties, as it provides the franchisor some insight into the LAM actions of the franchisee, and the business owner is able to to the overall brand communications and drive an increased presence on a macro and micro level. Ultimately, LAM empowers franchisees to engage local prospects and convert them into customers.

 

Benefits Include: 

  • Highly targeted communications to micro audience segments
  • Build customer loyalty at individual location
  • Contribute to positive brand image
  • Increased reach, engagement and awareness of your parent brand
  • Provides franchisees with a level of control over their businesses image

 

Examples of LAM

  • Sponsorship – support community events, clubs and teams
  • Cross promotion – engage with other local businesses
  • Public relations – communicate through local newspaper and radio
  • Digital – use social media accounts to reach the community