Comments on: Children’s Orchard: Hyped to the Core?

By: CHILDREN’S ORCHARD: Overview & Links | Unhappy Franchisee

CHILDREN’S ORCHARD: Overview & Links | Unhappy Franchisee — Tue, 15 Sep 2009 00:49:05 +0000

[...] ORCHARD: New Site Exposes Blight (Franchise Pick) Children’s Orchard Website (The Bizop News) Children’s Orchard: Hyped to the Core? (Franchise [...]

By: guest

guest — Fri, 12 Jun 2009 18:10:16 +0000

This franchise system is shrinking very quickly and then take a look at how many lawsuits the franchisor has filed or is in the middle of and it will make you run away from investing in this company as a franchisee. The lawsuits filed this year alone is already at 4, and think how many franchisees who closed their store just settled with the franchisor as a means to an end. Perhaps they are making so much money in federal court, they don’t need to worry about their core business and it’s exponential shrinkage.

By: CHILDREN'S ORCHARD: Competitor WinMark is Thriving | Unhappy Franchisee

CHILDREN'S ORCHARD: Competitor WinMark is Thriving | Unhappy Franchisee — Sat, 06 Jun 2009 14:02:20 +0000

[...] Ann Arbor-based children’s clothing retail chain Children’s Orchard is closing stores and fending off internal criticism from its own franchisees, larger competitor [...]

By: CHILDREN'S ORCHARD & Taylor Bond | Unhappy Franchisee

CHILDREN'S ORCHARD & Taylor Bond | Unhappy Franchisee — Wed, 20 May 2009 13:35:04 +0000

[...] many Children’s Orchard franchisees dispute Bond’s dedication to franchisee welfare. A commenter on a post at [...]

By: Anonymous2

Anonymous2 — Wed, 20 May 2009 00:05:13 +0000

I too am a current franchisee totally confused by the strategy of COI to survive and grow COI as a system and brand! I have heard top people at COI over the past two years talk about how it is not the number of stores that make our franchise, but how successful the stores are.

Look at the numbers and, although our system in total has experienced sales growth (despite store count decline), store credit offers are a portion of this growth, which are reflected as sales by COI. Store credits were introduced by Bond in lieu of coupons. These work in growing traffic and sales but not necessarily profit.

“Getting rid of dead wood”, which has been a phrase used by COI to explain terminating or not renewing struggling franchisees, has more to do with the newly implemented “royalty minimums” as well as subjectivity regarding the maintenance of an existing franchisee.

Marketing to get new franchisees is limited to using the franchisees customer email lists. Additionally, friendly reception and open sales information is not easily forthcoming when contacting COI for information about becoming a franchisee. Resale of existing units is a struggle and COI does not always act in the best interest of all parties involved.

Ask alot of old time franchisees who are still in the game. This has always been a way to make a modest living by watching the pennies and managing it tight. However, Bond seems to want to compete with “big box” competitor Once Upon A Child who does great sales numbers with unsubtanciated profit per store.

We can survive, make money, help the enviroment and our community if we continue to grow the number of stores. Branding means nothing if the general public is unaware you are a franchise chain. Being a part of a franchise chain gives us credibility, reputation and a long standing presence. In a time of difficult challenges for the resale business (due to the passing of the new lead law) I continue to hope that Taylor and the management at COI will go back to the basics of Franchising 101. Grow your business with store count AND sales per store.

By: CHILDREN'S ORCHARD franchise: Overview & Links | Unhappy Franchisee

CHILDREN'S ORCHARD franchise: Overview & Links | Unhappy Franchisee — Wed, 13 May 2009 16:10:31 +0000

[...] Children’s Orchard: Hyped to the Core? [...]

By: Grace Carroll

Grace Carroll — Wed, 22 Apr 2009 18:52:21 +0000

Boy, it sure is a small world. I never thought I would be back here posting on this topic but I ran across a person who actually talked to the corporate office of this company. This person said that the corporate employee explained the store closures as being stores that were struggling in the first place, and needed help. Apparently, the new owner has been focused on trying to help those struggling stores and that is what has stilted the growth of new stores… his being distracted. I don’t quite buy into that reasoning, it sounds like an deflection tactic.

The person decided that this franchise would not be a good investment and felt that the response from the corporate office was strangely weak, overall a poor showing, with no energy about their own brand.

Just thought I would pass this on.

By: Anonymous

Anonymous — Fri, 27 Mar 2009 01:33:17 +0000

Yes,
Taylor Bond is a strange one. I am a CO franchisee. I have been scratching my head since Taylor purchased the company 4 years ago trying to figure out his strategy. He has done nothing to promote the growth of the company. He does no advertising for new franchises and does not participate in any franchise conventions. He preaches support of the franchisees but in truth all he cares about is the all mighty dollar. As the number of stores decline he claims that he is getting rid of dead weight or “hobbiest’s”. I don’t see him doing anything to replace them.
As far as profitability, it is very difficult to break even much less pull a profit. Many people think that resale stores should be doing very well right now. The truth is that the retailers are killing us with price cuts. Also the average ticket in a CO is lower than $20. In order to see a real jump in sales you must dramatically increase traffic. Most locations are in “B” centers that do not have the traffic that is needed to make it into the black.

Taylor, Taylor, Taylor you are a strange one!

By: Carol Cross

Carol Cross — Tue, 10 Mar 2009 14:52:57 +0000

Yes, Grace!

You are right! The contraction of units is a very bad sign! My remarks were meant to indicate that even those who are left, the 73, may not be operating at a profit and are just trying to avoid the debt on their lease that would be due if they default on the franchise/lease terms.

Since the owner of the two units in my area has not returned my call, I assume he/she/they have nothing to brag about.

The free fall is probably about lots of pain and even bankruptcies for those who are no longer a part of this franchise system.

http://unhappyfranchisee.com/2009/02/carolcross/

By: Grace Carroll

Grace Carroll — Tue, 10 Mar 2009 13:36:38 +0000

Lease agreements aside, I am more curious about the business model that can afford a stark nose dive and loss of units at the clip this particular franchise is experiencing. It was pointed out earlier that the system of this franchise was at 73. But that was then and this is now, because a cursory visit to their website to view current units, yields a count of 62.

Can this free fall be only about lease agreements?