Nowadays, joining a car beauty franchise has become a hot topic, with numerous questions online and a variety of answers. There are fewer positive reviews and more negative ones, leaving those who are truly interested in investing in this industry feeling overwhelmed. Especially for those without extensive work experience, it is even harder to make the right judgment. China Car Beauty Talent Network shares three major warnings about risks involved in joining car beauty franchises as follows:
1. In the field of car beauty, regarding brand sharing and brand value.
Franchise chains are indeed a sound business model in a market economy society with complete legal systems. However, in the domestic market, many "smart" businessmen have turned the "franchise chain" model into a money-making tool. Since it has developed its own "Chinese characteristics," we must analyze specific issues specifically. Regarding brand issues in the automotive aftermarket, I have already made a relatively clear explanation in the "market analysis." Please refer to that. Here, I will teach you a method to judge brand value. You just need to see who the audience of its advertisements is. That is, are its advertisements aimed at consumers or investors?
For example, McDonald's advertisements are relentlessly targeted at consumers, so it has brand-sharing value. But in the automotive aftermarket field? No matter how many advertisements are made to attract investors, they are only for making money! They don't have brand value.
2. The sample stores of the franchise headquarters are actually just for show, meant for investors to see!
Many sample stores of car beauty chain franchise headquarters are very impressive, which is necessary for project promotion. Sample stores are designed for investors to see, especially those who are not in the industry. Making a profit is not the purpose of the sample store; breaking even is enough. Of course, making a profit is better. The key for sample stores is good image design and busy storefronts. Achieving these two points is not difficult. My advisory cooperation focuses on this content.
Therefore, investors should learn to rationally analyze when examining the market and choose to cooperate with true experts. Investing first involves understanding oneself, and then understanding the market.
3. If you must try franchising, I suggest you start small!
If you insist on joining a certain "national car beauty chain," apart from admiring your "spirit of sacrifice" and courage, I would give you one suggestion: start with the lowest level of that "national car beauty chain" (not exceeding 20,000 RMB). (The franchise headquarters encourages you to go all-in at once, but that's just to get more franchise fees.)
Any business is about insiders making money from outsiders. As a rational investor, you should first become an insider. This is taking responsibility for your investment behavior. With the smallest investment level, you can become a quasi-insider, then review your investment behavior based on your own abilities. Even if there is an investment mistake, at least the loss is kept to a minimum.
If the investment succeeds, you will be more proactive. "Should you start your own business independently or increase your investment in a higher level?" It will be entirely up to you. I can assure you that no "national car beauty chain" will refuse your request for additional investment.
Source: http://www.qcmrrc.com/qicherencai/news/20111102103753.html