O2 UK Ltd. accepted the Award for Enterprise from HSBC’s Head of Franchising, Cathryn Hayes, at a glittering Awards luncheon held at London’s Sheraton Park Lane Hotel.

The Awards, sponsored by Express Newspapers and HSBC Bank, seek out the top performing franchisors in the UK, rewarding individual excellence and highlighting the increasing influence of a market sector now worth £12.4 billion a year. 

This year, entries were accepted across three separate categories – the Express Newspapers Brand Builder of the Year, the HSBC Award for Enterprise and, for overall achievement, bfa Franchisor of the Year, where the theme was ‘now and then, five years on’.

Franchising has proved to be a solution for many business challenges, as telecoms network operator O2 recently discovered when they became one of the first major non-food brands to move into the franchise world.

Three years ago they developed and launched their franchise opportunity, based on a system and structure that allowed franchisee and franchisor to work together in partnership, and significantly, encouraged franchisees to challenge the way that the business is run. Feedback from franchisees is carefully monitored in order to make improvements, and the company also has a retail forum for entrepreneurial spirit.

Consistency is key to effective brand building and last year Dream Doors appointed top design agency Big Fish Creative to design all of its marketing material, including national advertisements, local franchisee ads, shop fronts, corporate literature and exhibition materials and equipment, creating a consistent and instantly recognisable brand image.

The O2 Franchise channel has outperformed the retail channel on both productivity and service, and allowed O2 to press ahead with ambitious expansion plans. The company opened 70 stores in an 18-month period and is on track to achieve a target of 110 stores open by the end of 2008.

O2 franchisees are granted the freedom to market their business using O2 approved material – the company spend £100 million per year on advertising and franchisees have access to that and can put their own call to action on it.  In the process, they benefit from the power of a recognised brand that is positioned among the top one hundred super brands. Naturally this has the effect attracting high calibre franchisee candidates, many of who are successful and seasoned franchisees from other leading brands in search of their next challenge.

In rolling out a well planned franchise programme, one that fosters a collaborative effort between franchisee and franchisor, O2 have overcome many of the obstacles associated with a growing a business, and ensured a win-win outcome for both the franchisee and the O2 Franchise business. 

HSBC’s Head of Franchising, Cathryn Hayes, said: “O2 is an excellent example of the flexibility of franchising and their success shows how a business can grow and flourish by applying the rules of franchising.”

 “The achievements of O2, along with the high standards demonstrated by all the finalists in the 2008 Franchisor Awards, underline the strength of the franchise market and encourage us to continue our commitment to this exciting sector.”

Director General of the bfa, Brian Smart, added: “The franchise industry is home to some of the UK’s most well-known brands and we are delighted to present O2 with the Enterprise Award. Their broad vision and ability to make bold decisions demonstrates the success franchising can bring.”

Express Newspapers’ Classified Advertising Director, Justin Mafham, added: “O2 has created and developed an exciting and innovative business that truly deserves recognition. We look forward to sharing his success with our readers.”