Brand audits can help with the downside of brand protection: debranding.
Debranding happens when a franchise or headquarters company revokes the license of a franchise owner or licensee. It can happen because the franchisee leaves, or because they weren’t meeting the corporate requirements, such as maintenance, upkeep, and decor, necessary to carry that brand’s name.
We’ve seen it happen frequently to different hotels carrying the name of a national brand. Their standards slip, and a few months later, it’s a completely different (local) name on the front of the hotel. Or stores that are no longer allowed to carry specific brands because of a business relationship that’s gone sour.
It’s important for the national brand to make sure the franchisee has completely decommissioned the license. That means no sign on the front of the building, no signage, no products on display. Nada.
When a company decommissions a franchisee’s license or terminates a relationship, they should conduct brand audits to make sure their brands, logos, and materials are not being used. After all, if the franchisee is no longer paying licensing fees, and their license has been revoked for any reason, they should not be allowed to benefit from its continued use.
But rather than assuming everything is taken care of, or waiting for stories to eventually reach back to the home office, brand audits can ensure everything is done correctly.
The brand audits can be completely anonymous, handled through a mystery shopping agency, or it can be a scheduled spot check done by a regular inspector. The reports are delivered back to the marketing department and/or licensing department for further action.
We recommend these debranding brand audits be done a few times a year. There have been instances of former franchise holders using the assets and branding of the corporation to market their company or sell products. It may not happen immediately after the relationship has ended, but it could. Quarterly brand audits can ensure it doesn’t happen to your brand.
The Mystery Shopping Experience 