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yourself and the franchisor – rupturing what needs to be a good communicative relationship. It may feel you’re experiencing the consequences of something beyond your control. In other scenarios, you may feel the reason for the boycott is one you stand by – creating a realisation that the brand you’ve built your business on is maybe not what you thought when you invested, spurring on an identity crisis. “When faced with a boycott against their franchisor, franchisees should take the opportunity to review their franchise agreements, so they can gain a fuller understanding of their rights and obligations,” says Riley Gardiner, founder of No Strings Public Relations. “I also recommend seeking expert legal advice to assess the potential implications and explore your options.” Alternatively, the boycott could be localised and the result of your actions. In which case, you may feel nervous that your franchisor will opt to terminate the franchise agreement under the grounds of reputational damage rather than support in mending the situation. Sometimes franchisors will cut loose specific locations under fire in a move that they see as protecting the rest of the network. In fact, it’s legally far easier for franchisors to terminate the agreement over the matter than it is for franchisees, should either party deem a boycott the final nail in the coffin for a working relationship. Where do you stand? Encountering the repercussions of your franchisor’s actions may feel wholly unfair. It is perhaps one example of the downsides to being associated with a well-known brand. However, before emotionally reacting to what may feel like an unprovoked attack on you, it’s important to listen to consumers. “I think it’s our nature that when somebody’s yelling at us that we want to interrupt.We need to take a step back. Deep breathe. Listen, listen deeply,” says David – who has witnessed businesses react by dismissing activists as ‘just unreasonable people’. “They think that these aggrieved individuals know very little about organisation’s plans, marketing strategies and so on. And what often is the case is that when these two warring parties come together to meet, the so-called leaders are shocked because the activists know so much more about the organisation.” Instead, he recommends approaching the situation with curiosity and emotional intelligence.Why are they boycotting? Do you agree with their discontent? For example, what if the eco- conscious cleaning franchise brand you’ve invested in has actually been plugging products that have traces of hazardous chemicals? You could feel you’re now representing a brand that doesn’t align with your values, and the holistic clientele you’ve built over years may have dissipated. “This would also be a good time for franchisees to evaluate the long-term viability of their franchise relationship,” says Riley. “In my opinion, it’s worth weighing up the financial implications of termination by assessing your ability to operate independently.” Alternatively, you may feel fully in support of your franchise brand in which case you need to forge a way forward by working closely with your franchisor to understand the messaging and actions being taken, as well as informing them of your experience and insights on the ground. “Transparent communication with the franchisor can help clarify the situation, possibly opening the door to an amicable resolution,” says Riley. The emotional fall out Boycotts can be a particularly tricky scenario to navigate. The fall out can last longer than expected, reputation sometimes never fully recovers as trust can be hard to regain. The majority (70%) of UK business owners say they are “very concerned” or “somewhat concerned” about reputational risks particularly in the context of ethical and environmental boycotts, according to a 2023 report from gov.uk. The research also found that 57% of business owners were fearful of profit loss during boycotts, which in some cases had * KPMG BOYCOTTINGGREENWASHING 18% of UK consumers have changed their mind about a company due to misleading green claims 54% would stop buying products and services from companies found to have greenwashed 25% of Londoners have changed their minds about a business over green claims 38% would stop investing in a business that has misleading green claims Environmental issues are a concern for consumers. 41 WHAT-FRANCHISE.COM Ana lys i s | FEATURE