Preliminary communication

The impact of promotion in franchising

Iva Buljubašić ; Josip Juraj Strossmayer University of Osijek, Department of Culturology, Osijek, Croatia
Marta Borić ; Josip Juraj Strossmayer University of Osijek, Department of Culturology, Osijek, Croatia

Abstract

Franchising is a model of company growth, which significantly reduces uncertainty in the riskiest stages of
growth: business start–up and growth phase. The impact of promotion in franchising has not been investigated
in relevant literature. Therefore, this paper examines the impact of promotion on franchising through
unconventional marketing on the example of private company X which is the main context of the present
study. This private company X was chosen as a relevant example because it was selected in 2012 as one of
the most successful Croatian franchisee companies in the segment of automotive industry and also because
of the quality of service. The results show that the most successful promotional tool is “word of mouth” that
attracts the largest number of clients. However, it must be emphasized that conventional marketing is very
important, too, because it contributes to the visibility of the company. Conventional marketing is a diverse
field which includes many forms of advertising like print, broadcast, direct mail, telemarketing etc. and is
still widely recognized by the audience.

Keywords

franchising; franchisee; franchisor; promotion

Hrčak ID:

132837

URI

https://hrcak.srce.hr/132837

Publication date:

24.12.2014.

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