How to use empathetic leadership to drive business growth

Why demonstrating the all-important human touch is a key growth driver for successful franchise brands in 2024

Like all businesses, franchise brands must navigate a world of viral videos and clickbait in the ongoing competition for consumer attention.

But while traditional marketing formats promoting a brand’s products and services remain an important part of connecting with new audiences, demonstrating a human touch is proving vital too, as deeper connections become more important to customer and colleague communities alike.

We no longer live in a corporate world characterised by grey suits and briefcases. Even in the business space, you would have to do some digging to find a cutting-edge brand that still operates successfully without a sense of personality and humanity. And honestly, who wants that?

Over the last decade, accelerated in part by the rise in social media, brands have found fewer opportunities to ‘hide’ behind corporate curtains. As such, we’ve seen a culture of openness, vulnerability and empathy become a key driver behind the growth of successful brands in 2024.

As entrepreneurs turn to the franchise space to seek caring communities where they have the freedom to flourish, it has never been more important for us to celebrate not only the human touch, but the humane touch in equal parts.

Morale matters

Research is conclusive about the importance of morale in the modern workplace. In fact, a staggering 50% of employees would sacrifice their salary for a job they enjoy. But while, financially, this sounds like a quick-fix approach to attracting new talent and growing a franchise brand, the general workplace is still playing catch-up on these shifting attitudes and priorities.

With just 30% of UK businesses having employee engagement initiatives and 42% having employee wellbeing programmes, it is vital that franchisees and franchisors take control of their team’s wellbeing and morale as a way of securing a business’s foundations ahead of future growth. And boosting morale through such initiatives is not just a way of looking ahead.

As we know, the franchise industry thrives off innovative, supportive and creative entrepreneurs who are taking control of their current environment and industry.

Empathetic leadership from franchisors and franchisees creates an environment where employees feel heard, valued, and understood. This helps brand communities further establish the foundations of trust and collaboration, which ultimately inspires and drives effective communication – all vital characteristics of successful franchise brands today.

And with empathetic leadership, anyone joining a franchise or using a brand’s services or products will see a culture of psychological safety.

Ultimately, this approach will become natural, which promotes team building and demonstrates a deeper understanding of the feelings and relationships within a well-oiled franchise operation.

Empathy increases productivity

Empathetic leadership is not just effective for consumer and employee morale. Around 61% of employees with highly empathetic senior leaders were reported to be ‘innovative’ at work, while 76% of employees were found to be ‘often’ or ‘always’ engaged at work.

Thanks to operating within an environment that fosters a positive and engaging culture, teams naturally feel protected in a space where they can flourish. This devotion to creating a permanent ‘safe space’ within franchise operations increases engagement and productivity, improves franchise-wide job satisfaction and ultimately contributes to a brand being scaled and developed with an aligned network of devoted professionals.

The extent of a brand’s empathy determines how well a franchise becomes embedded within a community and its level of care for others. This sense of unity in a well-established environment of openness can be a huge factor in determining if a team believes in a brand’s vision, mission and goals.

Care leads to growth

Of course, growth is achieved through people. People are the most important aspect of any business, and with the increasing devotion that franchise brands are showing those same people – in their personal and professional development, their families and their overall wellbeing – it’s impossible to discount empathy as a core factor in the continued healthy growth of the franchise industry.

When empathetic leadership is discussed, it is often within the context of manufacturing a welcoming environment where managers and bosses have a strong sense of self-awareness and avoid angry outbursts.

However, this angle misses a fundamental reason why empathy should be a priority when growing a franchise business: we all have an obligation to care for our peers, and leaders all have an obligation to help their team reach its full potential. This can only be achieved through care and trust.

At the beating heart of the Tezlom brand lies the importance we place on collective wellbeing and growth. Every member of the team – whether they are a franchisee or one of our exceptional staff members – contribute heavily to our culture.

So, if they don’t feel protected, nurtured and rewarded, our whole operation is hindered.

“Tezlom is just one example of the incredible opportunity franchising is presenting to prospective business owners in 2023,” explains group brand manager, Kay Lou Haskins.

“Thanks to an infrastructure built on the foundations of care, empathy and openness, no one across the network is ever left behind – and this is very visible to prospects.

“The franchise industry is continuing to see the benefit of reverse-engineering business models centring on ‘people’ as opposed to solely focusing operations on financial or growth targets.

“Business growth comes naturally through levelling the playing field and ensuring business owners have a team behind them that they can trust, both personally and professionally.

“Everyone is entitled to the best possible mental health and wellbeing, and I’m humbled that I can support Tezlom as we continue to inspire change in franchising – we’re changing the game so that everyone can play! With personal wellbeing in business becoming increasingly championed, I encourage other brands to follow suit and employ a culture of care and empathy at every level in their workplace.”

Future proofing

These core factors of empathy in franchising certainly highlight the immediate benefits. However, it is equally important to point out that by establishing initiatives and programmes that protect teams’ wellbeing and development, franchisees and franchisors are future proofing their businesses.

Put simply, empathy is a definitive aspect of any high-quality franchise’s collective vision for the future. This devotion to improving interpersonal relationships between staff, workforce and customers drives a brand’s vision and ultimately helps them maintain relevance and demand through trust and loyalty.

In just a year, Tezlom has welcomed eight new franchise territories and celebrated expansion across its network. By employing empathy as the core driver in our business, we feel we have got the balance just right.

How to lead with empathy

• Show a genuine interest in the individuals who make up your team. Building personal connections enhances trust, loyalty and a stronger sense of belonging.
• Pay attention to well-being. Be mindful of workload, stress levels and mental health and provide your colleagues with resources and support, such as wellness programmes, mental health initiatives, or flexible work arrangements. When your team feels supported in achieving a healthy work-life balance, they will be more motivated and engaged.
• Be transparent about your business’s goals, challenges and decisions and share your vision and values openly and authentically to encourage trust and open communication.
• As a leader, demonstrate empathy in your actions and decisions. Show compassion, understanding, and consideration for the well-being of your team and set positive examples for others to follow.
• Create opportunities for collaboration and team building. Encourage camaraderie (where appropriate) and provide a supportive environment for individuals to work together.
• Empower individuals to reach their potential by providing resources, training, and mentorship opportunities.
• Acknowledge and celebrate hard work and achievements to foster a sense of pride and motivate employees to continue giving their best.
• Create a culture of openness, seek feedback regularly and act upon your colleagues’ suggestions to improve processes, policies, and the overall franchise experience. Taking a collaborative approach demonstrates that you value opinions and are committed to continuous improvement.
• Extend empathy beyond the internal team and apply it to all your interactions with customers and clients. Actively listen to your customers and show empathy by addressing their feedback and finding solutions that meet their expectations for outstanding customer service.

The author
Ryan Armitage is managing director of healthcare recruitment franchise, Tezlom.