You might be wondering about the title of our article. The period when study abroad consultants are making such good business, why we are giving reasons to our reader to not buy a franchise of it. The reason is strictly professional and an unusual mail which we received few days ago. One of our readers shared his experienced about how it was a bad decision for him to buy a franchise. Well, even we were unaware of these facts till now. The email was really helpful to us in analyzing both sides of the coin. Before presenting our analysis on the subject, we would like to share the email with our readers. For some reasons, we would like to keep the identity of our reader and the name of the consultants concealed.
image source: studyabroadlife.org
I do not know how to put this in words, how would I? I am ABC and I live in Indore. I also run a website on my own which guides people for their study abroad plans. The website is quite old. I have started it during my college days. During the best period for my website, I had this idea to have a franchise of XYZ consultants so that I can help my website follower as well as reader more efficiently. I wanted to start something in this area and I thought this was the right time for this. So, I eventually started moving towards this. The company Brand is famous all over India and so I thought it would benefit me. I approached them as well as enquired about this. They were very supportive in the beginning of the process. Everything was going in smooth and utmost organized manner. They promised me training in marketing and improving knowledge over the topic. They explained me the cost. Though it was quite high, but they convinced me with rosy dreams of high profit that I can earn through this franchise. I quickly agreed to it and paid the cost. I took help from my bank for the loan.
As soon as I made the whole payment, I started feeling that the people from the consultancy were no more supportive. The training they promised was not even started even after 6months of the date of my payment. I observed there was so much miscommunication between us that it even hampered my client’s interest. I was unable to deliver requisite services to my clients because of lack of support from the consultants. The franchise soon went into loss and I could not bear it. Lack of proper infrastructure, knowledge and training was the main hindrance for this. They promised it and I was counting on them. The promises they made were sound and I could imagine with the help of proper training, support I would be able to manage it well. Sometimes I felt I chose a wrong franchise, but then I heard similar cases from others also. They say ‘big name big profit’, but we forget the profit is only theirs and not ours.
Later, this year I took a brave decision to let go the franchise and start my own. I thought of all the pros and cons and I ended up summing that I could maintain more work transparency if I work for myself.
This was a strange mail for us and after reading this we tried talking to other people who purchased franchise of popular consultancies. We could find more than half of the people expressed discontent about their main office. The grievance that ‘after the entire payment was done the consultancies hardly cared for the franchise,’ was common from all of them. Some managed by their own while some gave up.
Below are some of the most common disadvantages of study abroad franchise we found out in our research while analyzing the subject.
You can witness study abroad consultants everywhere now-a-days. The consultancies have recognized that the idea of studying abroad is popular as well as beneficial for aspirants. The growing number of consultants also increases competition in the business. Each consultant tries their best to attract clients. Even a small delay or lack of basic service can lose you a client. We need to be more active in this business. In the end, competition is rivalry among all to achieve large profits.
Business Support is also crucial while buying a franchise. The location, infrastructure, necessary contacts, if not managed properly then it can turn out to be sheer chaos at business. While dealing with franchise, we expect the main office to guide us on these terms. A time to time help as well as guidance, is important for the successful start of the business. It is rightly said if the beginning is marked right then the progression in inevitably in the right direction.
Miscommunication and Poor Work Ethics:
We came across so many cases when people complained up on lack of proper communication. The complaints were ignored, majority of the time the clients were not helped, and importantly the promises made previously were not fulfilled. Poor work ethic prevailing leads to lack of productivity and no accomplishment of the goals. And lack productivity makes no good for the business.
In a new business, it is important to gain trust of the customers or clients. It might be possible that the local brand over there has successfully assured the trust of people and the franchise you buy struggles to establish the trust among the people. Developing trust takes a long time; this is not an overtime procedure.
Money, money and money, something which we require in every now and then of different stages of life. The profit is measured only in terms of money. The franchise of a popular brand charges you a large amount of sum because of the brand name. They can trap you with false dreams of upsurge benefits. But there can always be a case that something that is popular in one part may not turn out to be much popular in other parts of the country.
Lack of Legal Support:
During our survey, more than 30% of the people reported that there was no legal support from the main branch. They had to manage all the legal work such permit, license and everything on their own. One person reported that one of his clients launched a complaint on the false ground against the franchise. He approached the main office for guidance and they strictly avoided the business and said he had to manage it on his own.
Transparency in Money:
The normal process is, the client’s pays the amount to the main office and it is transferred to the franchises. Many reported the lack of fairness in transferring these funds. Transparency was least maintained by the consultants. More amounts were fetched from the clients and fewer amounts being transferred was a common complaint.
Clash of Opinions:
The difference of opinion can occur in any business. The key is to sort an intermediate way for these differences. Our research concluded that most of the time people were forced to agree up on the terms and conditions of the firm. There is no room improvisation when working with these consultants.
Lack of Knowledge and Training:
Consultants agree up on inculcating training but they fail to do so. The lack of training and knowledge cause low productivity, unsafe work environment, loss of customers, increased expenses and also unhappy employees.
Promotion of your product is indeed necessary. The more you promote it the more it reaches to people and attracts more people. The marketing strategies have evolved and have become digital. So just distributing paper sheets and prospectus will not do for the business. It needs to more vigorous and clever. Digital marketing is the key for the success of any business. This takes more rigorous efforts.