The multi-unit mistake that almost killed Anna's business

I just interviewed Anna Day on the podcast, and she shared something every multi-unit franchisee needs to hear.

Anna owns multiple franchise brands across Cleveland. When she opened her first Smoothie King, the location exploded out of the gate with numbers she says she'll never hit again. 

The community knew her from her Anytime Fitness and Clean Eats locations nearby. Her mom had taught in those schools for 35 years. 

Opening day was basically a reunion!

So when Anna opened a second Smoothie King twenty minutes away, she didn't sweat the marketing. 

Why would she? She knew how to run a successful location.

Then opening day came. 

Beautiful standalone drive-through, perfect setup, and Anna's watching an empty parking lot. 

No lines. No cars. Nothing.

"I thought I'd just put it up and they'd come," she told me. "I didn't think I needed to worry about marketing."

What Anna discovered that day is something I see constantly: 

Franchise owners confuse their personal equity with brand equity. 

Her first location succeeded because she'd spent years building relationships in that specific community. 

Every customer who showed up on opening day knew Anna, not just Smoothie King.

That second location? Nobody knew her!

She was starting from zero, just another franchise in a strip mall.

This is a very common mistake. 

You pour yourself into location one, doing grassroots marketing, joining the Chamber, sponsoring Little League teams, learning customer names. 

When it works, you think you've cracked the code. You open location two expecting the franchise system to carry the weight while you manage from afar.

Anna had to completely reset her approach. 

She started:

• Investing in real marketing for that second location

• Building relationships from scratch

• And doing all the community work she'd taken for granted when she had home field advantage.

Today, that second location significantly outperforms her first. 

But only because she recognized that every new location is actually a new business launch, regardless of the name on the sign. 

Your reputation doesn't transfer. Your relationships don't transfer. 

The only thing that transfers is your willingness to do the work again in a new market!

If you're planning multi-unit expansion, budget for more than just build-out costs. 

Budget for building a completely new presence in a community that doesn't know you yet.

Until next week,

Erik