Jim’s Group launches ‘Franchisee Satisfaction Survey’ to review franchisee experience

• Jim's Group engaged FRANdata to develop and deliver the nation's first and largest
  independent franchise satisfaction survey
• The survey was undertaken across all Jim's Group divisions
• To ensure honest feedback, franchisees were assured that FRANdata would not share individual responses with Jim's Group or anyone else. Only the summary figures were to be provided.
• The results show that a high percentage of Jim's Group franchisees are satisfied with their experience
• Jim Penman wants the national survey concept to be adopted by all franchise groups each year, and the results published online

Jim Penman is determined to see better protection for franchisees. He sees the current disclosure document as so complicated and legalistic that few prospective franchisees even read it. Far more is needed.
 

For many years he has been calling on the federal government to commission an annual franchisee survey, at the expense of franchisors, to be undertaken by an independent agency and published on-line. The results would help prospective franchisees make better decisions, rather than relying on marketing materials and the doubtful advice of lawyers and financial advisors. It would also pressure franchisors to provide better support, so as to improve their survey ratings.
 

In 2024, he decided to lead by example. He engaged FRANdata, a world-leading franchise research analysis company, to develop and deliver the nation's first and largest independent franchisee survey of Jim's Group franchisees.
 

FRANdata recently undertook the external and independent survey across all Jim's Group divisions, to review the experience of franchisees. The Survey asked for a response to four statements:

1. The reality of operating a Jim's franchise has lived up to the promise for me
   (Agree/Disagree),
2. I am positive about the future of my business (Agree/Disagree),
3. I would recommend this franchise to a friend (Agree/Disagree); and
4. I would rate my income as (Good/Satisfactory/Poor).
    

A link to the survey was emailed to franchisees in July, followed up by several reminders. The data collection period was closed in August 16, 2024.

"The results of our survey are not all positive. Some franchisees are struggling, and not every franchisee is happy with their decision to join. Not every person is suited to running their own business. But a clear majority of our franchisees are happy and doing well. We believe we give the best possible chance of success in business, given that some 90-95% of independent trades businesses fail in their first year," Penman said. 'Our first-year attrition rate is around 12%".
 

"These surveys, which we have been running internally for the past 15 years, also tell us how and where we need to improve. And they also give prospects a chance to see how each division compares."
 

These were the responses:

• 79 percent of franchisee respondents agreed that the reality of operating a Jim's franchise has lived up to the group's promise,
• 83 percent are positive about the future of their business,
• 74 percent would recommend a Jim's Group franchise to a friend; and
• 84 percent rated their income as satisfactory/good.

"We also encourage people interested in investing in a Jim's Group franchise to talk to our franchisees," Penman said. "In fact, this is the advice we would give to anyone interested in buying any franchise. One of the few very positive aspects of the Franchising Code is that it demands that prospects be given a list of current and past franchisees, with contact numbers. "
 

"My hope is that by sharing our franchisees' feedback with the world, that the federal government will take real action to protect franchisees by requiring all franchisors to commission such a survey. Even without this, we challenge other franchisors to commission a similar survey, and we will publish their results alongside ours without charge."
 

About Jim's Group

Jim's Group was founded by Jim Penman in 1989, and now has over 5,400 franchisees in more than 40 divisions. It is the largest franchise chain in the Southern Hemisphere.

www.jims.net
Ph: 131 546