5th Annual Franchise Marketing Report: Marketing Team

Benchmarking data and analysis at its best

Results from the 2023 Annual Franchise Marketing Report (AFMR) were revealed this summer at the Franchise Customer Experience Conference, or FCXC.

The AFMR was created at the request of our FCXC conference advisory board to develop relevant content for CMOs and to learn more about their needs and challenges. Its purpose is to provide the data and analysis CMOs and other top marketing executives need to measure their success and learn how they can do better at a job that seems to get more complex with each passing year. (Think digital!)

The AFMR delivers invaluable benchmarking data that provides franchise consumer marketers with the insights they need to know how they stack up against other franchise brands and their industry. In short, the report is a unique resource franchise marketers can use to improve the effectiveness of their marketing efforts and make the most efficient use of their marketing budgets.

Data was collected from a group of marketing leaders at 65 franchise brands who each completed an in-depth questionnaire. Respondents’ roles ran the gamut: co-founder, CEO, president, COO, CMO, chief growth officer, VP of marketing, director of marketing, marketing and operations director, director of advertising, marketing and communications director, general manager marketing, director of digital marketing, and VP of franchise development. Their responses were aggregated and analyzed to produce an in-depth look into the marketing practices, budgets, and strategies of a wide cross-section of franchise brands and sectors.

What follows are selected highlights from the 2023 AFMR, which offers commentary and analysis that provides context, insights, and a detailed look into the data contained in the report.

MARKETING TEAM

Increases in their number of locations, franchisees, and sales volume all play a role in how franchisors determine the size of their internal marketing team. Requests from franchisees for more support also play into this decision. Respondents said that when demand increases sufficiently and their budget allows, they will hire additional staff. Some of those using advertising and marketing agencies indicated that when their agency spend exceeds the hiring and salary costs of a role, they will bring that role in-house. For brands that increased their staffing, most hires were related to digital marketing (no surprise there), followed by field marketing.