When you decide you want to buy something, do you comparison shop? Most people do, which makes sense in the digital era of the 21st century. Comparison shopping is as easy as going online using your preferred device to access a search engine like Google or Bing.
The bigger the purchase price of the item, the more important comparison shopping becomes, right? You’re not going to invest a lot of time into comparison shopping for a roll of paper towels or a bar of soap. But if you’re buying a bigger-ticket item, like a major appliance, a car, or a house, of course you’re going to do some serious research and comparison shopping.
If you’ve decided you want to find the right franchise to invest in, it’s probably going to be the single biggest financial decision you make in your lifetime. This means you should be putting maximum effort into researching and comparing options.
It’s hard for people today to imagine how difficult this was before the Internet. You had to call or write a letter to the franchise company to request that they send you information about their franchise by snail mail! It took forever just to get the basic documentation needed to do comparison shopping. You can thank your lucky stars you’re starting your franchise search with the power of the Internet at your fingertips!
Comparison shopping lets you see how any given franchise compares with similar ones in the same category as well as with others across different categories. Context is critical to making a good decision, and comparison shopping is the way to get there.
Except for one additional issue: While the Internet makes it easier and faster to find all the information you need, making sense of all that information is another thing entirely. There’s a lot of variation in how different franchises present their information and data. You want to make sure you’re really comparing “apples to apples” as much as possible.
When I created Franchise Chatter, a big part of what I wanted to do was help people comparison shop multiple options using solid, objective data and criteria that apply across all franchises. Franchise Chatter is the franchise comparison tool you need to make an informed decision. Here are some of the pages you’ll want to start with:
This page highlights franchises that meet one or more of three key performance metrics: (1) average sales-to-investment ratio of at least 2:1, (2) average revenues of at least $1 million, and (3) average operating income of at least $100,000.
This page ranks franchises based on their average revenues and groups the franchises into three tiers: Tier 1 franchises with more than $1 million in average annual revenues, Tier 2 franchises with $500,000 to $1 million in average annual revenues, and Tier 3 franchises with average annual revenues of less than $500,000.
This page ranks franchises based on their average profits and groups the franchises into three tiers: Tier 1 franchises with more than $200,000 in average annual profits, Tier 2 franchises with $100,000 to $200,000 in average annual profits, and Tier 3 franchises with average annual profits of less than $100,000.
This page ranks franchises based on their year-over-year sales growth/decline. Winners saw average sales increase, survivors held steady or experienced a dip in average sales of less than 10%, and the losers experienced a decline in average sales of 10% or more.
The franchise comparison pages mentioned above are just a few of the specific tools Franchise Chatter makes available to you for your franchise search. There are many more, but the three highlighted here are the ones most people want to see early on in their search. If you’re ready to boost your franchise search to the next level, Franchise Chatter is ready to help!