These Are the Secrets to Long-Term Franchise Success, According to Top Industry Leaders Want to build a lasting franchise? Copy these strategies from executives at top brands.

By Tracy Stapp Herold Edited by Carl Stoffers

Key Takeaways

  • Franchise leaders emphasize that success in franchising depends on strong leadership, clear communication and a focus on people and operational excellence.
  • Staying fresh requires continuous improvement, whether through new technology, enhanced training or customer-driven innovation.
  • From AI-driven efficiencies to personalized customer experiences, the industry is shifting toward a model that balances innovation with authenticity.

This story appears in the March 2025 issue of Entrepreneur. Subscribe »

Franchising is a dynamic industry that requires a balance of innovation, leadership and adaptability for long-term success. To gain insights from those at the forefront of the industry, we asked franchise leaders to share their perspectives on what drives sustained growth, how to keep a brand fresh and what the future holds for franchising.

Their responses reveal the essential strategies behind thriving franchise systems, from prioritizing strong communication and innovation to embracing new technology and evolving consumer expectations.

Related: Considering franchise ownership? Get started now to find your personalized list of franchises that match your lifestyle, interests and budget.

What is the key to long-term success in franchising?

"Franchising success comes from understanding the business from all perspectives. Starting as a franchisee before becoming CEO gave me invaluable insight into the challenges and opportunities our operators face, allowing me to lead with empathy and a shared vision. Equally important is having a product that stands out, and above all, staying true to a clear mission and vision." — Wan Kim, CEO, Smoothie King

"Having open and direct communication within your system is critical for the sustainability of your franchise. Make this a part of your culture so franchisees are always clear on the vision and goals of the brand. It's important they are on board with the direction of your franchise, but let them own their local decisions and local impacts." — Chris Rowland, CEO, Pet Supplies Plus

"The key to long-term success in franchising boils down to two things: People and processes. You can't win with just one piece of the puzzle. But if I had to choose just one, it would be people." Jeff Oddo, owner and CEO, City Wide Facility Solutions

Related: Taco Bell Is More Than 60 Years Old — Here's the Brand's Secret to Staying Relevant, According to Its CEO

How do you keep an established brand fresh and innovative?

"One of our guiding principles is 'franchise members first.' By actively seeking and incorporating feedback from our franchisees as well as their customers, we ensure our services, technology, and marketing are industry-leading." — Mike Cline, chief development officer, Allegra Marketing Print Mail and Image360

"Innovation has been in our DNA since day one. When I founded Cruise Planners in 1994, I took a risk on a home-based model, long before remote work was mainstream. Today, we stay fresh by continuously improving our processes and investing in smarter, more efficient solutions. In 2025 alone, we launched 25-plus marketing, training, and technology initiatives." — Michelle Fee, founder and CEO, Cruise Planners

"We are committed to research and innovation, while also remaining anchored to our mission. We are continually enhancing our curriculum and evolving our franchise model to adapt seamlessly into any community to meet the need for high-quality early education and care." — Jo Kirchner, CEO, Primrose Schools

Related: After Decades of Hard Work, This Couple Is Living the Entrepreneurial Dream. Here's How They Achieved Generational Wealth

How has the franchise industry changed since your brand began franchising?

"Franchising has evolved to become more diverse, inclusive, regulated, and innovative. There is now a greater emphasis on advanced technology, enhanced training and support, and a stronger focus on brand consistency and cohesiveness across the industry." — Kathy George, president, Spherion Staffing & Recruiting

"The franchise industry has become more crowded, offering countless options. To stand out, brands must cut through the noise and clearly showcase the value and support they provide to franchisees. Authenticity and transparency have never been more important." — Kristen Pechacek, president and CEO, MassageLuXe

"The industry has experienced significant changes, especially in technology and customer expectations. Digital tools have transformed how we connect with guests, from online reservations to loyalty programs. Customers today seek personalized, sustainable dining experiences, challenging brands like ours to adapt and innovate while staying true to the essence of Japanese BBQ." — Aki Yamaguchi, COO, Gyu-Kaku Japanese BBQ Restaurant

Related: These Women-Founded Franchises Surpassed a Major Milestone — Against the Odds. Here's How They Did It.

What do you think the future holds for the franchise industry?

"The industry will continue to grow as entrepreneurs seek opportunities to own businesses with established support systems. The key will be adaptability. The entire industry will have to be open to embracing innovation while maintaining a clear vision of what makes our different brands unique." — Heather Nykolaychuk, president, Budget Blinds

"The incorporation of artificial intelligence into every franchise model is a given. AI is becoming a game changer on streamlining processes, reducing costs, and enhancing efficiency." — Jen Chaney, vice president of franchise development, Right at Home

"The future of franchising will be shaped by the growing demand for authentic experiences and meaningful connections. While technology will continue to advance, successful franchise systems will be those that maintain their human touch while embracing innovation, that can adapt to changing consumer preferences while staying true to their core values and mission." — Brian Britton, president and CEO, Kilwins

Related: Greg Flynn Owns 1,245 Restaurants and Makes $2 Billion A Year. Here's How He Did It.

Embracing change

As these franchise leaders highlight, the key to long-term success in the industry lies in a strong foundation of people, processes and a clear mission. Brands that foster collaboration, stay ahead of industry trends and adapt to an ever-changing landscape will continue to thrive.

Whether through AI-driven efficiencies, customer-first innovation or a commitment to authenticity, the future of franchising will be shaped by strong leaders who embrace change and can communicate effectively.

Related: See Which Brands Topped Entrepreneur's 46th Annual Franchise 500

Tracy Stapp Herold

Entrepreneur Staff

Tracy Stapp Herold is the special projects editor at Entrepreneur magazine. She works on franchise and business opportunity stories and listings, including the annual Franchise 500.

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