Company ProfilesJanuary/February 2022

Edge of Innovation

Four franchise brands examine how they’ve adapted and innovated their businesses in response to the pandemic—and what changes are here to stay

By Gina Makkar

With the onset of the pandemic, businesses changed the way they operate, and innovation became a priority. Though changes can be scary, they can also create opportunities with long-term advantages, and companies that focus on innovating often emerge stronger and more successful than ever.

Leading the Way: LIVE WELL Exercise Clinic

Sara Hodson, president and CEO of LIVE WELL Exercise Clinic, was set to open her first U.S. location in March 2020 when the pandemic hit. “It was terrifying,” says Hodson. “I had to make swift, bold decisions I wasn’t prepared for. We’re trained to have a plan, but suddenly there was no plan.”

Though stressful, Hodson says it also provided the opportunity to examine the foundation of the business and make changes. She decided if they couldn’t deliver the LIVE WELL experience in the clinic, they’d mimic the experience online in the comfort of home. In-house technology allowed them to pivot quickly, and five days after they shut down, they launched LIVE WELL at Home. “We crafted a strong communication with strategic messaging,” says Hodson, noting that the move  allowed them to retain 85 per cent of their clients within the first few months by tailoring programs to suit the needs and equipment of thousands of people.

To keep their members engaged, Hodson added weekly online wellness talks with world class speakers, an innovation that continues today. To deepen the connection with clients and foster togetherness and community, the brand added a live at-home program to attract members back to the physical space by reminding them of what the clinic and community looked like—and most importantly to keep them connected to each other. “We knew our members would need the health benefits of social connection just as much as the physical and mental health benefits of exercise.”

Hodson says in addition to innovating business, the pandemic became about innovating the industry. She got involved with the Fitness Industry Council of Canada, and became a voice of advocacy, helping to keep fitness facilities open in British Columbia. “It was a huge element of innovation, not just for LIVE WELL, but for the industry. I became the thought leader and expert in exercise across Canada.” In August 2021, she became president of the Council. “We were challenged by the crisis, but rose as leaders.”

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With doors opening on the horizon, prospective franchisees are those that match the company’s core values. “We provide tools and support so they can go into their communities, gain customers, and build a happy life for themselves,” says Hodson. “The fitness franchise industry is an opportunity for Canadians to look at how they can help their communities recover from COVID-19, start their own business, and take control of their future.” LIVE WELL is “for those looking to fulfill a purpose, help people, and build a profitable business—those are three things that are the start of a good conversation with us.”

Non-Traditional Growth: MOLLY MAID

Modifying the parameters for cleaning was a priority for MOLLY MAID when the pandemic first hit. “We wanted to make sure we were doing the right things to ensure the safety of our teams and clients,” says Fiona Styant, director of franchise development. “We created and implemented the Healthy Home Cleaning System, giving us confidence to provide a safe service.”

In business since 1979, the brand has operated and remained successful in urban markets long-term. Today, they’ve shifted their focus to include outlying areas to provide the same professional service to smaller communities with a small market model. To achieve this, MOLLY MAID recently launched the Neighbourhood Franchise Model. “We’d been looking at launching prior to the pandemic, and moved forward and launched in summer 2021. The demand for both our service and our franchise opportunities has never been higher so launching our new opportunity then made sense.”

Unlike the traditional executive model, the Neighbourhood Model is an owner-operator system. “In the traditional model, franchise partners don’t go out and clean because their market is larger, and they can focus on growth without having to clean. In smaller markets, the owner will operate and clean. While they grow their business, they’re able to earn an income the whole time they’re growing.” All the same principles remain in place, from insurance to bonding, with the security of a professional company that offers satisfaction guaranteed. The franchise fee also covers aspects like marketing and advertising support for a successful start up and launch.

The brand seeks franchise partners who are driven and motivated, but the biggest key asset is the ability to work with others. “Our business is about leading, managing, and working with team members and customers. You have to be able to manage relationships effectively, so franchisees should really look for something they’ll be committed to.” Styant has identified more than 60 markets across Canada for the new model, with more to come.

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Her advice to franchisees? Take the time to make sure it’s the right fit. “The one thing we always try to do is provide as much information as possible to ensure it’s the right fit for them and for us. The last thing we want to do is set someone up in a great business opportunity, but that isn’t right for them.” She adds that there’s never too much when asking questions. “At the end of the day, no matter how much money you’re investing, you worked hard for that money, and you want to make sure it’s the right move.”

Pandemic Pivots: Pizza Nova

After 58 years in business, Pizza Nova’s recipe for success remains grounded in its roots: to offer fresh, premium, artisan-style pizza. “First and foremost, it’s about offering a premium product and a quality experience,” says president Domenic Primucci. “There’s a lot of larger companies out there. We’re not in the game [of heavy discounting], and never want to be, because we believe in serving a high-quality product. Over the years, we have a loyal following from our customers.”

With pizza—the ultimate sharing food—it’s important that options accommodate a variety of dietary needs and palates. Pizza Nova stays ahead of the curve by tailoring offerings to suit consumer demands, from antibiotic-free proteins to plant-based products.

Like others, Primucci navigated many uncertainties at the onset of the pandemic. “As a leader, people are calling you and looking to you. We had to communicate more within our teams and to our franchisees to help them through.” To adapt to the changes, they implemented strategies like contactless delivery, and forgave royalties to give franchisees time to regroup. “It’s about being fair. We’re one team, and help is part of our core values. We’re one big family.”

The brand also expanded its Grocery Mercato line, a collection of products available for purchase with food orders. “Grocery stores were overwhelmed and busier than ever,” says Primucci. In addition to its core products, like tomato sauce and olive oil, they offer fresh vegetables, flour and buns, and items that are readily available and used in store. “It’s not a huge line up, but we added items that are fresh and ready to go, and it’s worked out well.”

Pizza Nova continues to seek franchisees who believe in the brand, and know that it’s as much about the experience as the product. “The human experience is key with any successful restaurant,” says Primucci. “You really need to be a people person and understand that you have customers, and it’s not being behind the scenes anymore.”

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His advice to franchisees is to ensure the company aligns with their values. “Being aligned will help smooth the transition to running a business a lot easier. You’ll be a lot happier because you’re representing a brand you really want to represent.”

Innovative Education: Scholars

Matt Baxter saw potential in Scholars Education Centre and purchased the franchise in 2018. Today, 74 locations deliver a curriculum with proven results. “We invest in research and development to create scientifically proven methodologies, resulting in satisfied families,” says CEO Baxter.

Though the pandemic paused in-person learning, Scholars’ in-house developers created a proprietary classroom with the exclusive system IQ, a tool that assesses and directs each child’s education journey. “The magic behind the system is that we’re able to tailor learning to each child individually,” says Baxter.

They also offer an innovative STEM program integrated with LEGO robotics to provide a hands-on learning experience. To expand the STEM offerings, Scholars partnered with Dr. Reiza Rayman, a cardiac surgeon and biophysical medical researcher.

“We aim to bring relevance and inspiration to what the kids are learning,” says Rayman. “COVID-19 was difficult, and the kids were troopers. Part of the innovation is to bounce back from that. LEGO education is appealing because it’s tangible for kids.”

The goal of the new program is to make learning fun and functional. “We want students to realize that STEM is all around us in various settings and applications.”

The concept integrates core material with tools like cameras and green energy devices, for a multifaceted approach. “Hopefully, it turns on the lightbulb as to why they need to learn the things they’re learning right now,” says Rayman. “It’s those little experiences. We hear from a lot of high-achieving people that they had these experiences in their youth, and it inspired and drove their direction in life. We’re just at the beginning, and we think it will be great.”

The program will launch with an initial test group, and expand to include both elementary and secondary students. “Everyone suffered a learning loss when things had to close [during the pandemic], but I think they’ll make up for that loss quickly with programs like Scholars,” says Baxter.

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Baxter notes that in adding professionals like Rayman to the team, they’re channelling their resources in securing the best talent to create a quality, top-notch curriculum and education. “We’re making it exciting,” he says. “If a child is doing a presentation on the robot they made, they’re also working on presentation skills and public speaking and confidence at same time. It’s our holistic approach to helping kids across the country to meet their potential.”