Welcome to the Franzy Five — your 5-minute fix on what’s moving in the franchise world.

Franchising is projected to grow faster than the U.S. economy in 2025, driven by demand in sectors like home services, wellness, and digital marketing. From remodeling brands being recognized for profitability to health franchises capturing recurring revenue, the opportunities are diversifying far beyond food.

Also in this edition:

📈 Why franchising is outpacing the broader economy
🛁 Five Star Bath Solutions earns recognition for profitability
🌿 Health and wellness concepts attract recurring demand

Let’s get into it.

📈 Franzy Insights: Franchising Is Outpacing the Economy

Franchising is set to grow faster than the overall U.S. economy in 2025, according to the International Franchise Association’s latest Franchising Economic Outlook. While U.S. GDP is projected to expand by 1.9%, the franchise sector is expected to grow by 2.4%, showing the strength and resilience of this business model even in a cooling economy.

Here’s the deal:

• The number of franchise establishments is projected to rise to 821,000+ locations in 2025, adding nearly 20,000 new units.

• Franchise employment is forecast to reach 8.9 million jobs, with more than 210,000 positions created this year.

• Total franchise output is expected to hit $936 billion, a 4.4% year-over-year increase.

• Growth will be led by personal services from health and beauty to pets and wellness, reflecting consumer demand that stays steady even during economic uncertainty.

Our Take:

This is another signal that franchising isn’t just keeping pace, it’s pulling ahead. The sector’s ability to generate jobs, open new units, and deliver above-average growth in a softer economy highlights its staying power. For operators, the opportunity is especially strong in non-food sectors like wellness, home services, and pet care, where recurring demand and demographic shifts are fueling expansion.

The bottom line: while the broader economy slows, franchising’s diversification across industries is its greatest strength. Smart operators will look beyond food and into service categories that offer stability, scalability, and long-term demand.

Link to Entrepreneur →

🥤 Chick-fil-A Wants to Compete with Starbucks

Summary:

• Chick-fil-A is branching out beyond chicken with the launch of Daybright, a new beverage-focused concept now being tested in Athens, Georgia.

• The menu emphasizes teas, lemonades, and seasonal refreshers, along with customizable add-ins like flavored syrups and sparkling options.

• Daybright is designed to capture the growing market for specialty drinks and all-day refreshment occasions, competing with brands like Starbucks Refreshers, Dutch Bros, and independent juice/tea shops.

• Unlike a traditional Chick-fil-A restaurant, Daybright operates with a smaller footprint and streamlined menu, opening the door for new real estate opportunities and faster service models.

Our Take:

Daybright signals Chick-fil-A’s willingness to experiment with concepts outside its core chicken menu, and it could be a savvy play. Specialty beverages come with higher margins, lower overhead, and repeat visits that aren’t tied to mealtimes. For operators, the question will be whether Chick-fil-A chooses to franchise the concept or keep it corporate-run during its early stages.

Either way, Daybright highlights a trend we’ve been watching: single-category concepts built around high-frequency, high-margin products. If successful, it could pave the way for other food service giants to launch spinoffs in adjacent categories.

Link to Today.com →

🤖 Signarama Advances AI and Tech Integration to Power The Sign Shop of the Future

Summary:

• Signarama, the world’s largest sign and graphics franchise, is rolling out a suite of AI-powered tools and new technologies to give franchisees a competitive edge.

• The upgrades include a next-generation CRM system, enhanced financial benchmarking dashboards, and improved lead management platforms. Together, these tools aim to streamline operations, strengthen customer relationships, and improve overall franchisee performance.

• As part of its broader “Shop of the Future” strategy, Signarama is focusing on blending traditional signage expertise with cutting-edge digital solutions to help franchise owners capture more market share in a rapidly evolving industry.

Our Take:

Franchises that invest in technology aren’t just upgrading systems, they’re future-proofing their operators. By integrating AI into sales, marketing, and operations, Signarama is giving franchisees the ability to scale smarter and compete more effectively against independents.

For prospective owners, this highlights an important trend: franchisors that prioritize tech adoption tend to drive stronger unit-level performance. In industries like signage, where margins can be tight and competition is fierce, these tools can make the difference between surviving and thriving.

Link to Franchising.com →

🌿 Wellness Franchises Offer a Feel-Good Investment

Summary:

• A recent Franchising.com report highlights the surge in health-related franchise brands, from IV therapy and recovery centers to nutrition and holistic wellness concepts.

• The wellness category is benefiting from powerful consumer shifts: growing interest in preventive health, demand for personalized care, and the desire for lifestyle services that support long-term well-being.

• For franchisees, the appeal lies in recurring revenue models, loyalty from health-conscious consumers, and a wide range of entry points, from boutique wellness centers to larger multi-service operations.

Our Take:

Wellness is no longer a niche, it’s becoming part of everyday spending for millions of consumers. That creates durable opportunities for franchise operators who can balance credibility with accessibility. The most successful brands are those that blend science, convenience, and customer experience, offering services people return to regularly.

For investors, the lesson is clear: health-related franchises aren’t just “feel-good” businesses, they’re strategically positioned to capture recurring demand in a growing sector.

Link to Franchising.com →

📰 Other News in Franchising

💋 National facial franchise opens in Stamford, first location in New England (CT Insider)

🛁 Five Star Bath Solutions Named One of 2025’s Most Profitable Franchises (Franchising.com)

📺 Reshift Media Named to Entrepreneur’s Top Franchise Marketing Suppliers (PR Newswire)