What impact does technology have on franchising?
This question can be taken in at least two different ways, so let me respond in those two ways.
First, new technology either adds more industry segments or upgrades those already in play. For example, obvious changes in communications (the computer age) have spun out a multitude of home-based businesses. And of course, the technical expertise required to maintain new communications has added new franchise offerings, e.g., computer technicians and their attendant business opportunities.
Second, technology has changed the face of franchising in terms of operations, training, and marketing. Today it is much easier to investigate franchise opportunities via the Internet, and perform the necessary due diligence. Once past initial training, franchisees can receive operational updates via the franchisor’s intranet, and of course, reporting (of sales) through “point of sale” (POS) systems makes it easier for the franchisor to track income for royalty payments.
I’m sure that technology impacts the franchising in other ways but those I’ve described are readily apparent.