This is the first in a series of highlights from the 2017 Annual Franchise Development Report (AFDR). The 2017 AFDR, unveiled in late September at the Franchise Leadership & Development Conference, is based on responses from 167 franchisors representing 60,989 units (51,789 franchised and 9,200 company-owned).
Participants in the survey consisted of franchisors that completed an extensive online questionnaire. Responses were aggregated and analyzed to produce a detailed look into the recruitment and development practices, budgets, and strategies of a wide cross-section of franchisors. The data and accompanying commentary and analysis provide the basis of the 2017 AFDR.
This week: Recruitment budgets.
Average budget plans for 2017 for franchise sales and recruitment (advertising and media expenses, not including brokers and employee compensation) among respondents was $181,510, with a median of $125,000. This is an increase from last year, when the corresponding numbers were $162,821 and $120,000. This could indicate more intense competition not only for quality candidates, but also higher internal costs stemming from salaries and commissions for the best salespeople.
The complete 2017 AFDR, with analysis and benchmarks, is available for $345. For ordering information, call Sharon Wilkinson at 800-289-4232 x202, email sales@franchiseupdatemedia, or visit http://afdr.franchiseupdate.com.
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