Five ways to make your franchise more efficient
Times are tough, and businesses must find ways to...
Many businesses operate an open door policy, allowing the public to use their facilities for free without the need to purchase anything. This open door policy is one way of complying with accessibility and anti-discrimination laws, but it could be costing you money.
As many businesses are suffering from a reduction in revenue as the cost of living continues to rise, it is necessary to consider ways to become more efficient and, ultimately, more profitable.
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What is the problem with an open door policy?
Open door policies that allow non-customers to freely loiter and use business facilities such as seating and restrooms can be off-putting to genuine customers who may feel intimidated by crowds, unable to use the facilities that they are paying for, or struggle to relax in a busy environment.
Non-paying customers can also give the impression to passersby that the business is at full capacity when it is not, meaning that they go elsewhere and your business remains under-funded.
For these reasons, ending your open door policy demonstrates to paying customers that they are important to you and that their comfort and enjoyment is your top priority.
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How to maintain inclusivity in the absence of an open door policy
A fundamental element of running a successful business is meeting the needs of your paying customers. If you have determined that your open door policy is harming your revenue and genuine customers are unable to make full use of your facilities, you need to find out what they really want from you and modify your offering to ensure they get it.
For example, if you are running a coffee shop franchise, find out whether your customers value having the choice to sit down or they prefer to take their purchases away. If they want to sit down, make sure the environment is clean, warm and welcoming, with plenty of space between the tables so that separate groups and individuals are not needlessly cramped together.
If, however, your research reveals that your customers prefer to take their purchases away, make sure that they can be appropriately boxed in attractive branded packaging that maintains their temperature and protects the consumer from spills or leaks. You could even increase your revenue by selling reusable cups and food packaging that earns customers loyalty points or a discount on future purchases if they bring them with them.
There will inevitably still be times that a non-paying member of the public may need to use your facilities (for example, a disabled person or a parent with a baby who would otherwise be unable to access suitable public conveniences) and it would be unfair to charge them to do so. However, by dealing with them on a case-by-case basis fairly and considerately, you can discourage loiterers but still maintain a position of inclusivity.
