Understanding Human Behaviour Will Help You Lead

Psychology Helps Franchisees with Management, Marketing and More

Psychology and business weren’t always steady partnersBut these days, more than ever, those who run businesses realize that the edge they may need to be successful lies in the science of understanding other people. As a franchise owner, your ability to understand the psyche – the internal desires – of your customers, as well as your employees is going to be a big part of your job.

A recent report from CBS Las Vegas, profiled entrepreneur Shane Green, founder and president of consulting firm Shane Green Enterprises, who has degrees in marketing, business administration and social psychology.

According to Green, business has changed over the course of the last decade. We used to focus primarily on things like production costs. Now we focus on customers with a much more psychological approach. What do they want? How to build a relationship with them?

The study of psychology help your franchise in the following ways:


This is self-evident. A manager has a collection of employees, all with different personalities. Getting the best of all of them requires strong people skills. Chances are, one management technique won’t work with everyone. You’ll have to learn the personalities of your employees and figure out what best motivates those individual personalities.


What drives customers to make decisions? Before you can have a successful marketing plan, you need this knowledge. Studying human behavior can help you get a keener sense of this. Is it just your product customers like? Or is it the packaging, the delivery, the way you take their order? What really keeps them coming back?

New Products

How does a business figure out how to change to keep ahead of consumer trends? It takes a strong sense of figuring out the future.

It means deciphering how consumers will react to technological changes. Understanding psychology will help a business survive changing economies. As a smart business owner, you may want to invest in training your supervisors in the field of psychology. It transfers universal skills to their arsenals.

Healthguidance.org points out that every interaction you have is in some way psychological – including with customers and employees.

Every time you interact with someone this means that you will be using psychology. Psychology is essentially the study of how people think, so if you study this you will learn better to second guess what people are thinking at any time and you will have the skills that you need to impact or change what they are thinking and how they feel.

Now let’s be clear: no one expects you to become a trained psychologist to run your franchise. And some of this will come naturally to you. However, as you go forward, it’s a good idea to do some basic research on the topic, whether it be through online resources or in your local library. Also keep an eye out for new studies that might provide some tips on how to treat people.

When it comes to being a good boss to your staff, recent research suggests the old model of being a demanding and unforgiving leader doesn’t necessarily produce good results in the workplace. At the same time, the reality is Mr. Nice Guy isn’t always the answer either.

An ability to balance your own competitive drive as a franchise owner and the psychological needs of others will be an important skill to add to your repertoire.

About the Author

Andy Roe is the General Manager of SurePayroll, Inc., a Paychex Company. SurePayroll is the trusted provider of easy online payroll services to small businesses nationwide. SurePayroll compiles data from small businesses nationwide through its Small Business Scorecard optimism survey, and exclusively reflects the trends affecting the nation’s “micro businesses” — those with 1-10 employees. You can follow Andy on Twitter @AndrewSRoe.

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