Your new revenue horizon.
Ad Giants has created a simple pathway for increased franchisee revenue with little to no work.
Current Franchisee Situation
On average and based on 2020 numbers, the average Fast Signs location can generate around $86,992.00 a month in gross sales. (With the assistance of an outside sales person.) The average number of monthly customers isn't known so we cannot state with any confidence the average value of that customer.
The Ad Giants Model
Based on a 6-month pilot, the Ad Giants model and platform created the following income and recurring revenue with only 30 customers:
Average Monthly Revenue Per Customer
Average Package Order
Average Monthly Net Income Per Customer
*We feel we can prove the monthly value to be $250.00
Average Monthly Gross Revenue
Average Monthly Net Income
Breaking out the numbers for Fast Signs Franchisees.
Consultant receives 10% commission from gross package sales + $25 subscription per customer
Balance of subscription fee is $60 and goes to franchisee
Average margin per package is 20% | That margin goes to franchisee
Franchisee has no need for in-house designer/staff because Ad Giants can deliver better product just as quickly. Cut that significant expense from budget
Based one 250 customers per month, a franchisee can add $54,750 in net revenue per month
50 Customers = $10,950
100 Customers = $21,900
150 Customers = $32,850
200 Customers = $43,800
That would increase the average monthly income for one location to well over $125,000!
Benefits & Reality
Franchisee has solid option to eliminate an employee position and associated costs and challenges
Ad Giants system fills that gap and adds greater value, responsiveness and a higher level of talent
Ad Giants system provides a wider swath of marketing services currently unavailable but important to your customers; such as digital media, social media, website building, etc.
In-store marketing of the Ad Giants offering is basic and can be accomplished with simple signage and collateral
Fast Signs Business perception will broaden to "your local, affordable, full-service ad agency for small business"
Incorporating Ad Giants into your franchise system.
6 Month Pilot Program
Identify franchisee participants. (We suggest no less than 12 to get a predictable sample, ranging from weak performers to top performers.)
Create new POS for each location, including collateral
Make big announcement of new partnership on location websites
Create "Announcement Email Campaign" to existing customers
Any other marketing tactics corporate uses to push customers to each location
Ad Giants Role.
This is where our partnership is key. Ad Giants will continue to source, train and manage all advertising consultants involved with our system.
Ad Giants will continue to source, manage, update and add new vendor partners throughout the entire process and beyond. Including:
Specialty & Promo
Ad Giants will create monthly reports that cover all aspects of platform utility and customer purchases, as well as all customer-related data.
Taking the leap together.
David Farmer is the majority owner of the company, representing over 80% ownership. This approach is and was meant to be completely strategic. No bankers and private equity people involved. Just a straight-forward connection between two companies that can help each other.
That being said, the singular goal is to prove out the success of this additional business services expansion to your system and to verify the "per customer value." From there, we'll sit together to create multiples based on that customer value and make sensible projections to come up with a realistic value of what Ad Giants is worth as a potential acquisition for Propelled Brands.
Financial Projections & Proforma
Rather than simply post our model here, we request a quick zoom meeting to walk you through our actual model because of the complexity. We're happy to schedule a zoom meeting at your earliest convenience.
As always, we're here for any questions and ready to go! We look forward to next steps with our platform demo and a presentation to your selected franchisees!
Beyond the pilot.
We're prepared and look forward to success for both parties, and if we're in the position of going through with an acquisition, our entire team would remain in place to insure total success during a set transition period.