Managing Product Sales to Franchise Owners: Fulfillment Service Companies can Handle Distribution Needs and Free Franchise Systems of Difficult Chores (Best Practices in Franchise Relations‪)‬

One of the many benefits franchisors offer to franchise owners is to provide competitive sources for quality products and services. As Abrakadoodle grew, we found that this service became more and more time-consuming and costly for both headquarters and the franchise owners. Increasing staff time was being devoted to managing multiple vendors, sourcing products, negotiating prices, handling and quantifying inventory and supervising shipping. Additionally, rising costs for oil boosted both product and shipping costs. The company was losing an internal battle to contain prices, offer top quality products and get them into franchise owner's hands in an effective and timely manner. The solution? Turn the whole tiling over to a fulfillment service. Currently, a fulfillment company is handling product distribution needs, allowing the franchise company to focus on its core business of franchising art classes for children. Other franchise companies might manufacture several products or source products from a variety of vendors. If such companies used a fulfillment service to distribute one of their products, it might be a logical place to start looking for a solution for distributing a wider range of products. Basically, a company might be seeking a company or service that could: