Cookies are classic dessert items that are hard to resist. Cookies are easy to eat no matter where you are, easy to transport, and come in a variety to suit many different tastes. The market appeal of cookies is undeniable. However, it takes more than great cookies to make a cookie franchise great. Before starting a cookie franchise, potential franchisees should consider several factors.
Goal and Strategy Alignment with Cookie Business
Cookie franchises such as Great American Cookies provide a solid outline for starting a cookie franchise. Franchise business models have proven to be effective and give franchisees a head start with strategy. Cookie franchisees can also have peace of mind that the products have been tried and tested for customer approval. However, cookie franchises do not allow creative freedom with core business features such as products, store hours, or store design. It is important that franchisees understand and agree with the philosophies and goals of the cookie franchise prior to purchasing a store.
Location When Starting a Cookie Franchise
Franchise location is an important factor for nearly any franchise industry, but for a cookie franchise it is even more critical. The scent of the cookies is what draws many walk-in customers to a cookie franchise. Having a cookie franchise located near other businesses, schools, and attractions builds brand awareness. Potential and existing customers not only see the name Great American Cookies each day, but smell the singular aroma of the baking cookies.
Growth and Earnings Potential
Research will be necessary when considering the growth and earnings potential of a cookie franchise. The financial statements of other Great American Cookie franchises in the area will help franchisees to get a practical estimate of average profits or losses, overhead, labor, and food costs. Of course, every location has specific influencing factors that may alter the earnings potential of a cookie franchise.
If franchisees have marketing or networking ideas that may boost sales, understand pitfalls that may increase certain costs, or have knowledge of other factors that may impact earnings, these factors should be taken into considerations when evaluating growth and earnings potential. Research should also be done to discover the expectations for the franchise location area. If major expansion is predicted for the area it may impact the growth expectations in major ways. Franchise expansion is positive in most cases as more business is drawn to the area, but may have negative consequences if the target customer base and themes are incompatible with a cookie franchise.
For more information about starting a cookie franchise, visit our resource library.