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Each year at the Multi-Unit Franchising Conference (MUFC) in Las Vegas, conversations with operators reveal more than any single session ever could. Between meetings, panels, and hallway discussions, clear themes begin to emerge. These are practical lessons shaped by real-world experience.
This year, four perspectives stood out across conversations with franchisees, franchisors, suppliers, and industry leaders. These real-world observations reflected the realities operators are navigating today and the strategies shaping growth ahead.
There was one phrase repeated across panels and hallway conversations: unit-level economics.
For years, growth in franchising was measured by unit count. Today, many operators are shifting their focus toward performance discipline.
Lauren Johnson, a multi-unit franchisee operating The UPS Store and Smoothie King, described this change directly. She explained that her expansion decisions are increasingly selective, noting that she is “only moving on sites where the unit economics are undeniable.”
Her approach reflects a broader shift across franchising. Before committing to new locations, operators are strengthening existing stores by tightening labor models, evaluating costs, and improving operational performance.
Brooke Wilson, a multi-unit franchisee with Two Men and a Truck, reinforced this mindset. She emphasized the importance of protecting operational fundamentals before pursuing aggressive expansion.
This shift does not signal slower growth. It signals more disciplined growth, expansion built on performance rather than pace.
Private equity’s role in franchising continues to expand, particularly among multi-unit operators seeking new pathways to growth.
However, operators emphasized that success with private equity depends first on choosing the right capital partner, one that builds a strong, collaborative relationship and understands the unique dynamic that must exist between franchisor and franchisee.
This year, Susan Black-Beth, founder of Auspicious Owl Group, delivered a clear message to franchisees evaluating outside capital: Success begins with clarity of purpose, a process that starts with the reason behind pursuing capital before focusing on the deal itself.
That purpose, whether growth, liquidity, succession planning, or operational scale, determines how partnerships are structured and how businesses evolve.
Alec Fogarty of TSG Consumer Partners and Blake Lantero of Uncommon Equity reinforced that perspective. Investors are not evaluating financial performance alone. Leadership strength, operational discipline, and franchisor alignment remain critical indicators of long-term success.
Private equity is no longer viewed simply as a funding tool. It is becoming a strategic growth partner but only when the partnership is built on shared expectations, long-term alignment, and trust.
Operators today face a more disciplined customer, one who expects value but defines it differently than in years past.
Across conversations at the conference, one message stood out: Price alone no longer defines value.
Gary Robins, a multi-unit franchisee operating Supercuts and Waxing the City, described value as the combination of quality, convenience, and hospitality measured against price.
That formula reflects how customers evaluate experiences today. They expect consistency, convenience, and service that justifies every dollar spent.
Operators are responding accordingly. Rather than relying solely on price increases or staffing reductions, many are strengthening training programs, refining workflows, and improving operational consistency.
Customer expectations have not declined; they have sharpened. Franchisees can meet these expectations by strengthening loyalty and protecting long-term growth.
Artificial intelligence was once viewed as an emerging trend. Today, it is becoming an operational reality.
Operators described how AI tools are improving forecasting, scheduling, and customer engagement. These technologies are not replacing employees; they are strengthening teams.
Wilson described how technology investments, including AI-enabled scheduling tools, are becoming essential to maintaining efficiency in today’s cost-conscious environment.
The conversation around AI has changed. The question is no longer whether operators will adopt these tools; it is how quickly they can do so responsibly.
What connects these perspectives is a shared understanding: Franchising continues to evolve, and successful operators are evolving with it.
They are grounding expansion in strong unit-level economics. They are embracing new capital structures while maintaining disciplined partnerships. They are redefining value through customer experience. And they are adopting technologies that strengthen performance.
The franchise model has always been defined by adaptability, and the conversations at this year’s conference made that clear. Successful operators in the years ahead will apply these lessons with clarity, discipline, and long-term focus.
Matt Haller is president and CEO of the International Franchise Association.