Three Steps Franchisors Should Take Now

Jeff Lefler

September 15, 2026

Bright Ideas

Franchise Growth

Leadership

Step 1: Create a clear AI governance framework

This doesn’t need to be complicated, but it does need to be intentional. Franchise systems deal with sensitive information, including customer data, employee information, franchisee records, etc. That information shouldn’t be copied into random AI tools without rules.

A responsible framework should have the

Which tools are approved and who can use them
What information can and cannot be entered
How customer and franchisee data is protected
What content requires approval
How AI-generated content is reviewed
How errors are handled
Explain when a matter must be escalated to a person

Without that structure, AI can create privacy issues, legal exposure, inconsistent messaging, and brand risk. With the right structure, it can become a controlled advantage.

Step 2: Map the user experience before choosing the tool

Too many organizations start with software instead of starting with the business problem.

The better question is: where is the friction?

Once those pressure points are clear, the franchisor can determine where AI belongs. In some cases, it may support customer service. In others, it may improve CRM follow-up, training, or franchise development. The right use case depends on the business problem.

AI implementation should be tied to measurable improvement, not just the desire to appear innovative.

Step 3: Pilot, measure, train, and then scale

The measurement matters. AI shouldn’t be thrown across the entire system without testing. A controlled pilot gives the franchisor a chance to see what works, what creates risk, what franchisees actually use, and what customers respond to positively.

These are the questions that turn AI from a novelty into a business tool with real results and ROI for a franchise system.

Did response times improve?
Did customer satisfaction increase?
Did franchisees save time?
Did conversion improve?
Did fewer issues get missed?
Did the brand become more consistent?
Were there complaints, errors, or privacy concerns?

A franchisor might begin with customer service FAQs, appointment reminders, local marketing drafts, or franchisee. The point is to start with a defined use case, measure the outcome, and refine the process before expanding it.

Jeff Lefler Founder, Franchise Grade and Lead Sales, Altius Franchise Group

Jeff Lefler is the Founder of Franchise Grade, an independent research and analysis firm helping prospective and existing franchisees evaluate opportunities with objective, data-driven insight rather than brand appeal alone. Based in Ontario, Jeff has over 25 years in small business and franchising, starting as a multi-unit franchisee in bread distribution before serving as President of the National Bread Network, an independent franchisee association, where he led Canada Bread–franchisee relations, government and media relations, and strategic planning.

Jeff is a sought-after speaker and authority expert on business acquisition and franchise ownership, drawing on his own track record and two decades of franchise research in North America.