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e-commerce revenues: franchisor vs.... Expand / Collapse
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Posted 1/17/2007 2:13:29 PM
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I'm new to the Tech Forum and in need of any articles, reports, studies focused on how franchisors and franchisees are resolving concerns arising from e-commerce.  More specifically, resolving issues related to online product orders placed by customers over the web and that are managed by corporate, but that take business away from the franchisees' respective areas/territories.

Appreciate any resources cited or comments on the subject.

Regards,

Fred

 

 

 

 

 

 

Post #45
Posted 3/27/2007 6:24:52 PM
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Fred,

I talked to a zee from Woodworkers Store and ironically he was not upset that the zor did not share profits from on-line sales from his region.  He said that it actually helped his sales because the web site drove people to his store.  It would be interesting to see how they did this.  I picture a notice during the process that may prompt a buyer to search based on zip for the nearest location or something.  Many people would forgo the ease of on-line ordering by being able to go get what they want right away.  It could also generate more return business if the staff in the store really impressed the customer.

I don't really know a thing about this personally since we don't deal with it in our system but it is an interesting topic and I thought the response that I got from this zee was interesting and though provoking.

Jerrod Sessler
CEO 

206.387.7090 cell
jerrod@hometask.com
HomeTask.com

HomeTask Support Center

1800 SW 152nd St., Suite 100
Seattle, Washington  98166
Office: 206.763.6800
Fax: 206.763.6883 
 
Who do you know that would make a great HomeTask handyman?

Jerrod Sessler
CEO
206.387.7090 cell
jerrod@hometask.com
HomeTask.com

HomeTask Support Center
1800 SW 152nd St., Suite 100
Seattle, Washington 98166

Office: 206.763.6800
Fax: 206.763.6883

Who do you know that would make a great HomeTask handyman?

Post #119
Posted 5/24/2008 7:43:00 PM
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With one of our clients, Teddy Mountain, the process you describe (where the franchisor doesn't share any revenue with the franchisee for online orders) makes sense for numerous reasons.

1 - The franchise is experience based. You really want to go to the store to live the experience - online sales are limited.

2 - The franchisee does not participate in the process. If they managed a local warehouse and were shipping items directly to the customers in addition to their store, the situation would be different. However, since the franchisor is doing all the work, the arrangement works well.

However,  the core issue is still an interesting one to discuss.

Jason Kealey
LavaBlast Franchise Software - http://www.lavablast.com
Simplifying day-to-day franchise operations

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