Skip to Content

Is Your Franchise Program Keeping up with Industry Trends?

Published on July 25, 2017

Share Tweet Share

As the franchise industry continues to grow in both size and brand diversity, various components of franchise systems evolve and change.

A recent study by Franchise Grade revealed certain trends that have taken place from 2013 to 2016.

The report entitled Historical Trends of Key Franchise System Metrics focuses on four key areas:

  • Franchise investment
  • Ongoing fees
  • Franchisee rights
  • Financial transparency

The most notable changes are in on-going fees, franchisee territory protection and Item 19 Financial Performance Reports.

Franchise systems that strive to grow their network must maintain a competitive advantage over similar franchise systems. This means at minimum, they offer comparable features and benefits to prospective franchisees, such as: territory and its size, definition and protection. These are of immense importance to franchisees. If a potential franchisee finds that your franchise opportunity compares unfavorably to another in terms of the territory, there is a good possibility that they will choose the other franchise, all things being equal.


There is little doubt that the franchise industry continues to undergo changes and these changes manifest themselves in key areas. Franchisors need to be aware of these changes to confirm that their franchise opportunity is competitive. I urge franchisors to read the above report and compare the key trends to their franchise. Failing to keep up with changing industry trends can harm the efforts of a franchisor to grow.

Download the exclusive report on Historical Trends of Key Franchise System Metrics here.

About the Author: Jeff Stephenson
Providing thought leadership and a creative perspective. As a media specialist with experience on both sides of the franchising spectrum, I have a passion for helping people find their dream franchise and working with them to better their lives. Working as a Media Marketing Manager gives me the thrill of creating and contributing to many areas of this amazing industry. Each day I look forward to learning about the exciting news that is happening in franchising and sharing this with all the people in my network. With campaigns that have been recognized in Marketing Mag, I have crafted the ability to engage, inspire and relate to all of my clients throughout my career and personal life.

Thinking about buying a franchise?
Not sure how much can you afford?

Fill out our Franchise Affordability Calculator

Related Articles

Hidden Ways Franchisors Can Manipulate Item 19

60% of franchisors provide a financial performance representation (“FPR”) under Item 19 in their Franchise Disclosure Document.

Read More

Franchisors Prepare to Answer These Questions the Right Way

As part of a franchise candidate’s due diligence process, it should be expected that certain questions will be directed to franchisor staff.

Read More

An Office Flood Taught Us How to Manage Remote Employees

It was quickly apparent that some employees struggled working from home. They had never experienced the challenges associated with time management.

Read More

The Meaning of Changing Franchise Investments

There have been various changes in average franchise investments during this time, some changes were more dramatic than others.

Read More

Franchise Candidates Need to Dig Deeper

Before a prospective franchisee invests they must review the information disclosed in the Franchise Disclosure Documents.

Read More

Franchisors Need to Avoid Wasting Their Franchisee Leads

When franchisors strategize their system growth, the major focus is placed on the amount and quality of their franchisee leads.

Read More

Franchisings Biggest Problem – Consumer Driven Investing

A good consumer experience is not a reason to invest in a franchise. It skews the decision-making process of a prospective franchisee from start to finish.

Read More