By Alysa Huglen
Franchise Times

Leaders in franchising touted a promising outlook to kick off the general session at the 2025 IFA Convention in Las Vegas.

Speakers highlighted global impacts on franchising and advised franchisors, franchisees and suppliers to strengthen industry relationships over the three-day conference and beyond.

2025’s Outlook

“We are poised to make 2025 the year of franchising,” IFA President and CEO Matt Haller said.

Haller called attention to an anticipated surge in franchising, referencing the newest IFA Franchising Economic Outlook report.

The annual report predicts a 20,000-unit increase and more than 210,000 jobs in 2025, with total franchise output exceeding $936.4 billion.

Haller announced the organization’s rebranded logo and website. The rebrand builds off the pending acquisition of Franchise Update Media, announced last fall and expected to close July 1, with the changes meant to illustrate IFA’s work as an “information agent” and franchise resource.

“A door has opened in franchising … and we must take advantage of this opportunity,” Haller said.

Taking advantage involves combatting what Haller said are attacks on franchising by the likes of labor unions, academics and lawmakers. Critics, he said, have outweighed advocates.

“We already know that people believe in franchising, but we need to create more champions of franchising in government,” he said. “In other words, we must get the positive story of franchising in front of policymakers who impact the future of your businesses.”

Haller unveiled a three-point plan in response. He recommended industry players be bipartisan, highlight the local stories and connections made in franchising, and be proactive in clearly articulating needs to policymakers.

“Policymakers need to hear from you,” he said. “When you leave here, that is your mission—help us proactively tell your franchise story.”

Same guy, different president

“I can’t remember a sense of more possibility, both good and dangerous, for businesses any year I’ve ever worked in Washington,” said Bruce Mehlman, founding partner of Mehlman Consulting and former assistant secretary of commerce for technology policy under President George W. Bush.

The franchising world faces different challenges and opportunities under a second Trump presidency. Unlike eight years ago, Trump having presidential experience in the role shakes things up, Mehlman said.

“He understands the possibilities. He understands the power,” he added. “The first time, the entire establishment couldn’t believe he was here; all he really was trying to do was disrupt it. He now has an agenda he wants to accomplish.”

A different administration make-up, pressure from new opposing activists and significant global tensions lead the many changes.

Uncertainty in trade is “historically high” over the next four years, Mehlman said, as businesses prepare for an unpredictable future as a result of potential trade wars and shifting policies.

Trump’s mass deportation efforts also drive significant changes. Mehlman anticipates increased pressure on labor as a result, particularly in the agriculture and construction industries.

Trust and transparency

IFA awarded Restaurant Brands International Executive Chair Patrick Doyle with the 2024 IFA Hall of Fame Award for his successes over decades in franchising.

“I love this business,” Doyle said. “This business is what gets me excited every day to come to work, and hopefully it will continue to really do great things.”

Doyle worked at Domino’s for more than two decades prior to joining RBI, the owner of Burger King, Firehouse Subs, Popeyes and Tim Hortons, in November 2022.

Trust has been at the foundation of Doyle’s franchising journey, and he referenced his commitment to transparency in reporting franchise analytics. The cash-on-cash return for franchisees is the most important metric in his business, he said.

“If the franchisee and franchisor know we are all focused on the one metric that matters most … things move,” he added. “Change comes faster. It is an incredibly powerful thing.”

With trust comes recognizing the respective roles of franchisees and franchisors. Franchisors create strong economic opportunity for franchisees, Doyle noted, while franchisees utilize components provided by franchisors to drive success.

“The relationships with our franchisees are getting better and better because they see it, because they know that’s what we’re working with,” he said. “That’s the magic of this business.”

Mary Kennedy Thompson echoed these sentiments, speaking to the crowd shortly after IFA announced her as its new chair.

“We cannot talk at our franchise owners. We must connect with them first,” she said. “If we want to change what they’re doing and help them be the most successful version of what they can do, then we must make sure we make those connections.”