1851

The beginning of each new year is accompanied by excitement, goal setting and a tinge of fear for the unknown that lies ahead. 1851 Magazine spoke with several CEOs in the franchising industry about challenges that are top of mind going into the new year and the ways that they&rsquo;re prepared to face them, therefore setting their brands up for success.

Communication

&ldquo;When franchisees and franchisors communicate often, they&#39;re maintaining the relationship that was built on trust, helping one another understand the challenges faced in the market and system and ultimately striving to work together for the benefit of all.&rdquo; - Kevin Wilson, CEO of Buzz Franchise Brands and <a href="http://mosquitojoefranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-challenges-ceos-will-face-in-2017-and-how-to-overcome-them-9896" target="_blank" rel="nofollow" target="_blank">Mosquito Joe</a>

Maintaining Focus

&ldquo;We learned how to go fast in 2016, but that learning came with a healthy dose of &lsquo;priority schizophrenia.&rsquo; Clarity of focus and prioritizing the attainable goals for the organization is critical for us in the new year.&rdquo; - Tom Gordon, CEO of <a href="https://slimchickensfranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-challenges-ceos-will-face-in-2017-and-how-to-overcome-them-9896" target="_blank" rel="nofollow" target="_blank">Slim Chickens</a>

Policy changes

&ldquo;There is a lot of chatter about changes to minimum wage and overtime pay regulations that would have a big impact and provide challenges for any small business owner, including our operators. Especially, with a new president in office, we will need to be mindful of changes that may occur and what they would mean for our brand.&rdquo; - Jason Parker, Co-CEO and Co-Founder of <a href="http://www.k9franchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-challenges-ceos-will-face-in-2017-and-how-to-overcome-them-9896" target="_blank" rel="nofollow" target="_blank">K9 Resorts, Daycare and Luxury Hotel</a>

Construction and Real Estate

&ldquo;We&rsquo;re already seeing interest rates tick up. That along with the high cost of real estate whether purchased or leased is a constant point of consternation I hear about and feel myself.&rdquo; - Tom Gordon, CEO Slim Chickens

&ldquo;Regulations in the site selection and construction process have been a challenge for our brand. They are different in each city and state, so as our brand grows, we need to adjust to new zoning and permitting requirements. We hope that a change in office will potentially lead to lessening these stringent regulations.&rdquo; - Jason Parker, Co-CEO and Co-Founder of K9 Resorts, Daycare and Luxury Hotel

Competition

&ldquo;The quick service restaurant space is very competitive. We know that Lennys Grill &amp; Subs provides a convenience offer, but we really need to emphasize the quality of our product to stay competitive. We have one of the best Philly Cheesesteaks bar-none and we need to remind guests of that high quality.&rdquo; - Kevin Martin, CEO of <a href="http://lennysfranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-challenges-ceos-will-face-in-2017-and-how-to-overcome-them-9896" target="_blank" rel="nofollow" target="_blank">Lennys Grill &amp; Subs</a>

Reality vs. Theory

&ldquo;I talk to my team about reality vs. theory. Are we making a decision because we &lsquo;think&rsquo; something might happen in the future or the issue is a snowball that &lsquo;might&rsquo; roll downhill? Or is there concrete reasoning to affect change now? Just as hope is not a strategy, guessing is no solid foundation for decision making. Keep your eye on the future but attack what you know to be true.&rdquo; - Tom Gordon, CEO Slim Chickens

Franchisee Engagement

&ldquo;Franchisees get busy running day to day operation and often times corporate led conference calls and webinars are the first to fall by the wayside.&nbsp; Our plan this year, starting at our convention in January, is to establish clear channels of communication lines and express how important two-way engagement is. This begins with defining what engagement is and explaining why it is so important, and from our end diligently tracking engagement levels and implementing incentives to encourage this behavior.&rdquo; - Kevin Wilson, CEO of Buzz Franchise Brands and Mosquito Joe

&ldquo;We&rsquo;re fortunate to have a Franchise Advisory Council that is on our side when we&rsquo;re making improvements to the brand. We are able to gain feedback from them and using it to educate our whole system. We also use our annual franchisee summit to discuss changes. We work hard to keep franchisees engaged and let new opportunities within the brand, like remodels or new POS systems, sell themselves.&rdquo; - Kevin Martin, CEO of Lennys Grill &amp; Subs

Technology

&ldquo;We&rsquo;ll continue to be challenged this year to enhance our guest experience through technology. The whole industry has been challenged by how to maximize technology. Specifically, at Lennys, we spent a lot of time in 2016 to get our POS system to a gold standard to roll it out to our whole system in 2017.&rdquo; - Kevin Martin, CEO of Lennys Grill &amp; Subs

&ldquo;Many franchisors are still scrambling to fully get our arms around technology, how it will affect the industry and what technology applications are worthy of our time and investment.&rdquo; - Tom Gordon, CEO Slim Chickens

Economic ebb and flow

&ldquo;We&rsquo;re very sensitive to the fact that guests, regardless to economic status, still think about their spending habits and what they&rsquo;re willing to spend for different wants or needs. We&rsquo;re cautiously optimistic that while we know guests feel the pain in their wallet from time to time, we always need to think cost versus product quality.&rdquo; - Kevin Martin, CEO of Lennys Grill &amp; Subs

Confidence in your brand

&ldquo;The world is constantly changing, as is our industry &ndash; faster now than ever. Making sure the team is confident that you have their backs is the only way I know to diminish fear around change. That said, good team members adapt&hellip; you must believe in that.&rdquo; - Tom Gordon, CEO Slim Chickens

10 Challenges CEOs Will Face in 2017 and How To Overcome Them

1851 Franchise

Franchise industry experts share inevitable hurdles that they prepare to jump in 2017.


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