Podcast Summary: The Mindset & Methods of Successful Franchise Owners
Podcast: The Brian Beers Show (Business with Beers)
Host: Brian Beers
Guest: Cliff Kennedy, CEO of Frios Pops
Episode: 205
Date: May 6, 2024
Episode Overview
In this engaging episode, Brian Beers welcomes back Cliff Kennedy, CEO of Frios Gourmet Pops, to have a wide-ranging, honest conversation about the realities of franchising. Drawing from both their experiences—Brian as a seasoned franchisee and franchise consultant, and Cliff as a growing franchisor who just crossed 100 units—the discussion focuses on the misconceptions, mindsets, and methods that underpin successful franchise ownership. Both share hard-won lessons, actionable advice, and a candid peek behind the franchise curtain, making this a must-listen for entrepreneurs considering franchising or current operators wanting to level up.
Key Themes & Discussion Points
1. The Meaning of Unit Count in Franchising
[00:58–03:51]
- Myth Busting Unit Count: Cliff and Brian discuss the fixation with hitting big franchise unit milestones (e.g., 100 units) and why those numbers are often more about private equity or marketing than true operational excellence.
- Cliff: "I've come to really realize that that number only matters to private equity groups. It matters to the franchisor so they can claim triple digits, but in reality, it doesn't mean much." [01:33]
- The number of franchisees (people) often matters much more than territories or units on a spreadsheet.
- FDD Limitations: The Franchise Disclosure Document (FDD) only lists units, not the number of actual franchise owners, making it hard for prospective franchisees to assess the real structure.
2. Common Misconceptions about Franchise Ownership
[03:51–06:18]
- "Run it for me" Myth: Many new franchisees expect the franchisor to do the heavy lifting.
- Cliff: "That's the great thing about franchising—we all say you go in business for yourself, but not by yourself. Sometimes I feel they put a lot of the pressure on the franchisor to run their business." [04:08]
- No Guaranteed Traffic: The belief that a franchise automatically brings in customers, like a McDonald's or Starbucks, is often misplaced for less-known brands.
- Brian: "If nobody shows up for my shop, [people think] they're going to send somebody who's going to run it, right? And like, no, no, it's not what's going to happen." [04:40]
3. The Importance of Local Effort & Marketing
[06:18–08:52]
- Multi-Channel Marketing: Success flows from blending digital marketing with on-the-ground, face-to-face efforts.
- Brian: "What are the key metrics that drive traffic?... it's always a combination of things."
- Digital is Volatile: Algorithms change; you can’t just rely on digital.
- Old-School Still Works: Guerrilla tactics—cold calls, knocking on doors, handshakes—are irreplaceable.
- Cliff: "What really has never changed and what always works is getting out of your car, meeting the people, shaking their hands, knocking on doors. As much as people think that's old school, old school still works." [07:47]
4. Building an Outbound Mindset
[08:52–13:13]
- Overcoming Fear: Franchisees often resist outbound sales or feel uncomfortable. Cliff’s method:
- Start with friends/family to build confidence
- Practice scripts and iterate
- Gradually escalate to true cold calls
- Cliff: "You'll get really comfortable being uncomfortable, as they say." [09:06]
- Rejection is Normal and Necessary:
- Brian: "What's the worst that can happen? They hang up on me. What's the best that can happen? They buy, and then that person loves it so much, they refer you to five other people…" [09:43]
5. Mindset and Grit Separate Winners from Strugglers
[13:13–15:13]
- Franchisee Expectation Gap: Even with a proven system, the first year is hard work—there is no automatic “rainbow.”
- Cliff: "I think they believe that once they come into a franchise, they buy into the system, there's going to be no struggles."
- Brian: "Those first couple months are hard, like, no matter what business it is… franchising makes it easier… but, at the end of the day, you gotta go still and get that plane off the ground." [13:52]
6. Simplicity and Focus Trump Complexity
[15:13–18:28]
- 80/20 Principle: Focus on what works, cut the rest.
- Cliff: "You probably only need 10 flavors at one time… there’s only about three or four of them making all your sales. Focus on the 20% that works."
- Simplicity Wins: Brands that try to be everything to everyone lose their edge.
- Brian: "That's one of the things I'm looking for… is the simplicity. That's why painting's pretty simple. Like, we're putting paint on walls." [16:58]
- Cliff: "Just be a master of one, not a jack of all trades." [17:18]
7. Franchising as a Scalable Learning System
[18:28–24:51]
- Leveraging Shared Mistakes: Franchising’s biggest non-obvious benefit is the network effect: you (and the brand) learn from others' mistakes, making the system better.
- Multi-Unit vs. Single-Unit: Multi-unit operators can build bigger, more resilient businesses with stronger teams and better margins.
- Brian: "If you can grow same store sales … all the incremental growth is way more profitable than the first." [22:13]
- Cliff: "This is what you're doing in one territory; think of what happens if you buy two… you're not really adding much to your fixed costs… but look how much more revenue you can have." [24:51]
8. Evolving from Operator to Leader/Influencer
[25:34–36:55]
- Brian's Roadmap: From daily operations to building and leading teams, launching masterminds (“Eight Figure Franchisee”), and growing personal brand and impact.
- Brian: "It all starts with do cool shit in real life. Other than that, there’s no credibility." [26:05]
- Building an audience and community creates more opportunities and attracts top talent.
- Cliff’s Perspective: Social media consistency, sharing experience, building a brand—these are business multipliers, even outside franchising.
- Cliff: "You become bigger than your business and you become the business of what you've created because of your experiences and the content that you're putting out." [34:12]
9. Investing in Personal Growth & Coaching
[36:55–41:35]
- Real Success Requires Coaching: The most successful entrepreneurs and executives have coaches.
- Brian: "A lot of the most successful guys had coaches… I am successful because I've had great coaches."
- Coaches aren’t there to tell you how to run your business, but to help you reframe thinking, expand your options, and unlock mindsets.
10. Failure, Learning, and Self-Awareness
[41:35–52:01]
- Everyone Fears Rejection: Even experienced business owners battle doubt before starting something new (masterminds, products, franchise ventures).
- Failures are Lessons: Both Cliff and Brian share their biggest mistakes—failed expansions, picking the wrong franchise, losing money—and how these led to invaluable self-awareness instead of regret.
- Cliff: "You realize now I have very good clarity." [48:15]
- Brian: "That was probably one of the biggest lessons I learned—about myself, right, and the type of business that I would excel in." [49:06]
11. The Ongoing Entrepreneurial Journey
[52:01–End]
- Always Learning: Cliff is committed to product development—iterating new offerings until they’re perfect.
- Wearing Many Hats: As CEO, Cliff balances manufacturing, sales, and franchising responsibilities, constantly learning from franchisee feedback.
- Letting Go Fast: Making hard people decisions—hiring slowly, firing quickly, managing ego—is essential for healthy franchise/system cultures.
Notable Quotes
-
"It's great to market that we're 100 units… but it's about successful franchisees, making sure they're happy and validating the company that we're building."
— Cliff Kennedy [02:34] -
"You go in business for yourself, but not by yourself… but at the end of the day, it's their business. They have to run their business for themselves."
— Cliff Kennedy [04:08] -
"What really has never changed and what always works is getting out of your car, going to the people… knocking on doors… old school still works."
— Cliff Kennedy [07:47] -
"You'll get really comfortable being uncomfortable, as they say."
— Cliff Kennedy [09:06] -
"I have to do it—what's the worst that can happen? They hang up on me. What's the best that can happen? They buy and… refer you to others."
— Brian Beers [09:43] -
"Every day when you wake up, someone's got your money in their pocket—they just haven't given it. They just don't know it yet."
— Cliff Kennedy [12:36] -
"For the people that are never going to give up and are going to keep doing whatever it takes… that's where you have unlimited possibilities."
— Brian Beers [13:52] -
"Be a master of one, not a jack of all trades."
— Cliff Kennedy [17:18] -
"You become bigger than your business and you become the business of what you've created because of your experiences and content."
— Cliff Kennedy [34:12] -
"The point of the coach is to open up the frame so you see multiple options and you have choices… Now you feel like you have power."
— Brian Beers [39:04] -
"I took my shot. I'm done saying sorry. But you move forward from it. You learned a lot."
— Cliff Kennedy [45:26]
Timestamps for Important Segments
- 00:58–03:51 — The real meaning of unit counts in franchising
- 04:08–04:59 — Common franchisee misconceptions about support
- 07:47–08:52 — "Old school" marketing tactics vs. digital
- 09:06–09:43 — Getting comfortable with being uncomfortable in sales
- 13:13–15:13 — The realities of the first year in franchising
- 16:58–18:28 — Why simplicity outperforms complexity
- 18:28–24:51 — Multi-unit strategies and compounding economics
- 25:34–31:18 — Brian on evolving from operator to leader/influencer
- 34:12–36:55 — Cliff on personal branding through social media
- 38:23–41:35 — The impact of coaching on entrepreneurial success
- 45:26–48:15 — Hard lessons from mistakes and failed ventures
Final Takeaways
- Success in franchising requires personal grit, relentless local marketing, and a willingness to fail, learn, and adjust.
- Simplicity and focus are key ingredients to scaling profitably.
- Community, mentorship, and consistent personal growth dramatically amplify franchise (and entrepreneurial) outcomes.
- Both guest and host model how candor, humility, and an abundance mindset set apart the best operators—no matter how many units you own.
Connect with Cliff Kennedy:
- Twitter/X: @CliffKennedy3
- LinkedIn: Cliff Kennedy
- Email: cliff@friospops.com
Learn more about Brian Beers: