Digging into Digital Leads 

Franchise Update Media has been researching franchise lead generation and franchise recruitment processes for more than a decade. An annual in-depth online survey queries franchise development professionals about a number of issues related to their lead generation and recruitment strategies. The results are presented each year in the Annual Franchise Development Report (AFDR).

The AFDR is a valuable resource that can provide crucial insights into franchise development, lead generation, and recruitment best practices. It’s the kind of information that can help brands assess what they are doing right, and what needs improvement.

The annual project seeks to identify what’s new and innovative in franchise lead generation, recognize the methods and approaches yielding the best results, and gain insights into franchisors’ perspectives on current and future business performance.

Survey participants were franchisors who completed an in-depth questionnaire online. Responses were aggregated and analyzed to produce a detailed view into the recruitment and development practices, budgets, spending allocations, and strategies of a wide cross-section of franchisors. The data along with accompanying commentary and analysis provided the basis for the 2025 AFDR.

The in-depth report features results from more than 110 organizations actively expanding their franchise systems. The thoroughly researched report spotlights the latest trends and reveals various franchise lead-generation and sales trends. The AFDR represents companies totaling more than 50,000 franchise units and 42 industry categories.

Franchise Update Media creates this report annually and shares its findings with franchise development teams to give them an edge in their lead generation and recruitment efforts.

Leading with Digital Leads

The AFDR looked at where franchises are getting their leads, as well as the sources of where they get both their leads and deals. Although digital advertising is the leader in each category, there are several other methods of lead generation worth noting.

Franchisors were asked the direct question of where they were currently getting their most leads. Not surprisingly, digital advertising received the majority of responses with 61 percent. In fact, only one other method – brokers at 16 percent – received more than 8 percent of the responses.

The report then asked franchisors of all the leads they received, what percentage came from a range of seven different sources. Digital advertising again topped the list with 52 percent. Brokers received the second-highest amount with 15 percent, followed by referrals with 9 percent. Other categories included public relations (5 percent), trade shows (5 percent), email marketing (4 percent), and print advertising (1 percent).

Franchisors were then asked about the number of deals they received and what percentage came from the same sources. Digital advertising received the highest response, albeit at a lower rate, with 41 percent. The number of deals that came through brokers (20 percent) and referrals (15 percent) were each higher. Trade shows (4 percent), public relations (4 percent), email marketing (3 percent), and print advertising (1 percent) were approximately the same.

For more information about the 2025 AFDR and how you can purchase the report, please scan the QR code below or click afdr.franchiseupdate.com/.