A Decade of Insights: The 80/20 Rule in Multi-location Marketing Technology 

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In my decade-long journey working with franchises and multi-location brands to implement marketing technology, I’ve observed a fascinating recurrence of the Pareto Principle, or the 80/20 rule, that I believe many in our industry can learn from.

Multi-location marketing: What is the 80/20 rule?

Let’s break down a hypothetical franchise network of 125 franchisees (this applies to any multi-location organization)

According to the 80/20 rule:

General Group (100 Franchisees – 80%):
These franchisees prefer to rely on the franchise headquarters for their marketing efforts. They are less comfortable with or interested in handling marketing technology and strategies themselves. They represent the bulk of your network and are the primary recipients of centralized marketing support and campaigns like email marketing.

Proactive Group (25 Franchisees – 20%):
This smaller group of franchisees takes an active role in their marketing. They utilize the tools and strategies provided by the headquarters but also supplement these with their own initiatives. They are more likely to request additional features or more autonomy in their marketing campaigns.

Super Users (5 Franchisees – 20% of the 20%):
Within the proactive group, these are the top performers or the most enthusiastic about leveraging marketing technology to its fullest. They experiment with new features, innovate within the provided frameworks, and achieve notable success in their local markets.

Innovator (1 Franchisee – 20% of the 5 Super Users):
This individual stands out even among the super users as a leader in innovation and results. They not only fully utilize the marketing technology provided but often seek out and successfully implement new solutions and strategies. This person sets the benchmark for what can be achieved within the franchise system.

Actionable insights

Empowerment through training

For the General Group (80%) who rely on headquarters, structured training programs tailored to build confidence and competence in marketing can gradually transform them into more independent marketers.

Resource allocation

Recognize and support your (20%) of go-getters. Provide them with advanced tools and perhaps more autonomy in their local marketing campaigns. They can pilot new initiatives that, if successful, can be rolled out network-wide.

Community building

Facilitate stronger networks where franchisees can learn from each other. Encourage your super users (20% of the 20%) to share their insights and successes. Peer learning is incredibly powerful and generally underutilized in franchise systems.

Feedback loops

Implement systems to gather feedback on the tools and support you provide. This feedback is crucial for iterative development of your marketing support and technology stacks.

Utilizing the ‘1’ innovator franchisee

The ‘1’ represents a franchisee who is not just a super user but a true innovator. This person is a key asset to the franchise network and should be utilized in several strategic ways:

Pilot testing

Use this franchisee as a testing ground for new marketing technologies and strategies. Their willingness to adopt and adapt makes them ideal for pilot projects. Their feedback can help refine these initiatives before a broader rollout.

Case studies and success stories

Document their successes and use these as case studies to inspire and educate the rest of the network. This not only showcases what’s possible but also provides a tangible roadmap for others to follow.

Peer mentoring and training

Encourage this franchisee to lead training sessions, webinars, or workshops. Their firsthand experience and success make them an excellent mentor for other franchisees, particularly those in the proactive group who are looking to advance their own marketing efforts.

Feedback and consultation

Regularly consult with this franchisee on marketing strategies and tools. Their insights can be invaluable in shaping the future direction of the franchise’s marketing technologies and methodologies.

Brand ambassador

Leverage their success and reputation by featuring them in external marketing and promotional materials. This not only highlights the potential of the franchise but also attracts potential franchisees who aspire to be like this innovator.

Conclusion

By effectively utilizing this top-performing franchisee, the headquarters can not only improve the effectiveness of the franchise’s marketing efforts across the board but also foster a more innovative and proactive culture throughout the network. This strategy ensures that the franchise system not only grows but thrives in an increasingly competitive market.

By understanding and acting on these dynamics, we can improve the efficiency and effectiveness of our franchise marketing efforts and foster a culture of innovation and self-reliance. leverage the 80/20 rule as a pathway to greater empowerment and success in your franchise community.

Multi-location marketing with ActiveCampaign HQ

One of the biggest challenges of multi-location marketing is balancing a unified brand that has a local impact. With so many different people touching marketing and communication, wires can easily get crossed.

That’s where ActiveCampaign HQ comes in. ACHQ lets you do multi-location marketing across one piece of software that can be accessed with multiple accounts. That makes it easier for your marketers to stay on the same page and still create localized campaigns for their locations.

ACHQ also gives multi-location marketers one of the best email deliverability rates possible, a one-stop dashboard for data analysis, A/B testing, marketing automation, and more.

Click here to learn more about ACHQ