July 15, 2021
[penci_text_block block_title_align=”style-title-left”]While always seeking qualified franchisee prospects with the right attitude, regardless of age or background, zeroing in on Generation Z – those succeeding Millennials as those born in the mid-to-late 1990s – is of great importance for growing franchise brands.
Who are Generation Z?
Generation Z represents those typically born in the late 1990s and early 2010s. The defining characteristic of Generation Z, is that they are “digital natives” in that they are the first social generation to have grown up with high speed internet access and portable digital technology from a young age.
When working with a generation that has only known a world of smartphones and daily internet usage, being on the cutting-edge of technology is of the utmost importance for any franchise system looking to tap into this growing cohort of prospective franchisees.
Hosted by leading franchise experts, the Canadian Franchise Association’s (CFA) Power Sessions dig deep into franchising’s hottest trends.
In a recent Power Session: Getting Real with Gen Z, CFA Members from franchise brands EverLine Coatings and Services, Clear Summit Group and College Pro, and Ctrl V examine the transformational change Gen Z will have on how franchising is done in Canada, the U.S., and worldwide. So buckle your seatbelts and get ready for an intergenerational journey into the world of a group that would rather not be labelled.
“We’re now in a world where people don’t need to memorize things. Fact, figures, etc., They are all within half a second pulled up on your phone. Now we have a generation coming in that is so good at that,” explains John Evans, President, EverLine Coatings and Services of Generation Z. “They have the whole world in their pocket. The whole idea to make the company more scalable was to lean into technology right off the bat.”
[/penci_text_block][vc_empty_space][vc_column width=”3/4″][penci_text_block style_block_title=”style-title-13″ title=”Attracting Gen Z with a Strong Community” block_title_align=”style-title-left”]When it comes to attracting Generation Z to your franchise brand, community is key. Generation Z love being part of and supporting a community and their core values generally stand for respecting other’s individuality and rallying behind various social causes.
“The nature of a good franchise system is focused around community. A good franchise system, in my opinion, should not have a matriarchal or patriarchal system. We’re all in it together. It’s not an us/them mentality. A franchisee is almost like the CEO of their location, or otherwise, one of the COOs of the entire system: you work together.
Because you work together, and have franchise advisory councils and marketing committees, etc., you develop an ecosystem of community. Gen Z loves this community. They are very individual people. They break down boundaries and love to have their own representation, but also love to gather together behind a cause and be part of a community. If you have a system that provides an opportunity for this community to really thrive that’s going to be a driving factor for Gen Z.”[/penci_text_block][vc_empty_space][vc_column width=”1/4″][vc_single_image image=”46112″ add_caption=”yes”][vc_column width=”1/4″][vc_single_image image=”46114″ add_caption=”yes”][vc_column width=”3/4″][penci_text_block style_block_title=”style-title-13″ title=”The Capital Challenge” block_title_align=”style-title-left”]In many cases, a prospective franchisee in the Generation Z age group will lack sufficient capital to cover initial opening and ongoing operating expenses. The key to dealing with this challenge, Evans explains, is bringing the right people with the right attitude on board, while working together to answer the capital question.
“We are a high tech company in a low tech industry and that seems to connect with a lot of our prospects. They (Gen Z) love the idea that we are able to run circles around the classic contractor just by simply excelling at communication, credibility, professionalism, and quality through technology, almost to the point of automation. If you’re able to communicate that to these franchisees and follow through with that, you start attracting them, and word spreads.
When you bring somebody onboard because they have the right attitude, they are going to kill it with your brand, you find a way to make it work numbers wise. You have to adjust the strategy in a sustainable way that allows franchisees to take on some sort of financing or equipment leasing.”[/penci_text_block][vc_empty_space][vc_column width=”1/4″][vc_single_image image=”46108″ add_caption=”yes”][vc_column width=”3/4″][penci_text_block style_block_title=”style-title-13″ title=”Gen Z Expectations of Ongoing Development” block_title_align=”style-title-left” custom_markup_1=””]An organization’s values are one of the first things a member of Gen Z looks at when looking into investing in a franchise. A major thing prospective franchisees in this age group are looking for is a franchise brand with strong core values and a reputation for operational excellence. They want to see that a brand is nimble and can adapt to change quickly, while also providing platforms for ongoing skill development.
“How quickly does a change that’s happening in the marketplace make it into the actually system’s changes? We’ve found that the change of speed and the system’s evolution is critical. The franchise advisory councils, any kind of learning we do, it’s about cycling that back to actual changes in the system because all of a sudden, a system can feel out of date if you’re not taking all that and bringing continuous skill development and growth into the organization.”[/penci_text_block][vc_empty_space]
