What Franchise - Issue 21.2

“DIGITAL-FIRST OPERATIONSWILL RESHAPE FRANCHISING’S LEGAL FOUNDATIONS” Emily Sadler, Senior Solicitor and Franchise Law Expert, Harper James “OUTWITH PDF MANUALS, AND INWITH KNOWLEDGE- SHARING ECOSYSTEMS” Penny Hopkinson, CEO, Manual Magic AI® “ROADSIDE RETAIL IS GETTINGA HEALTH KICK” Moiz Vas, Founder of Retail’s Best and multi-site operator In 2026, digital-first operations will increasingly become the norm, with cloud-based management platforms, integrated digital marketing and real- time performance analytics improving visibility, compliance and brand consistency. Contracts will evolve to reflect clearer expectations around system use, data security and monitoring. Sustainability and wellbeing will also become major differentiators. Circular economy initiatives (such as packaging return and reuse schemes) alongside transparent sourcing will resonate with increasingly eco-minded consumers. Franchisee wellbeing is also rising to the top of the agenda, giving brands that provide meaningful support a competitive edge. This requires robust legal drafting to ensure commitments are clear, accurate, compliant, and grounded in the underlying legal and commercial reality. Finally, alternative finance models such as revenue-based funding and crowdfunding will enable a more diverse pool of franchisees. These models are especially relevant in sectors with recurring revenue, including food and beverage, retail, fitness, education and tech, and demand clear documentation around disclosures and revenue allocation. In 2026, the best franchises will retire the PDF operations manual and run living, searchable knowledge-sharing ecosystems. Generational diversity will become an asset, not a headache. Gen Z will bring the habits of social video and peer-to-peer learning – quick, visual, collaborative. Gen X will bring the edge cases and the fixes that only experience teaches. Put both to work in one centralised hub, and your operations stop stalling. The result? Faster onboarding, fewer support calls, and cleaner audits. Updates go live in minutes, not months. Every read is tracked, so you knowwho’s current and who needs a nudge. The technology exists. The generational mix is already in place.What’s missing is the will to move from document management to knowledge management. The franchises that make this shift will set the pace for the decade ahead. The winners will be the brands that recognise operations manuals are no longer about control and compliance alone. They’re about enabling every team member to be brilliant at their job – and to make that job better for the person who follows . Drugs like Mounjaro are increasingly common and we’re already seeing the effects in roadside convenience.With appetite suppression becoming the norm, customers are drifting away from impulse treats and choosing foods that genuinely keep them going – higher- protein, lower-sugar and more functional. One of the strengths of roadside retail is having several offers under one roof.When a franchise operator runs a concession inside a convenience store, everyone wins: shared overheads, better protected profits and more choice for shoppers. Food is becoming more about refuelling than rewarding. This shift brings real opportunity – healthier, performance-led grab-and-go options. Importantly, home delivery will remain resilient. Emotional food choices will persist – people still want exactly what they want, when they want it. Franchises that balance functional everyday eating with occasional indulgence will thrive. “Experience is the new due diligence” Hamzah Alli, Director, Haute Dolci As we move into 2026, I believe the most successful franchise brands will be the ones that recognise that experience has become the first stage of due diligence for both customers and franchise investors. People are prioritising destinations that feel worth their time and money. They may go out less frequently, but they still seek moments that feel special, social, and memorable. That means their expectations have risen. A brand must deliver something distinctive and emotionally resonant to earn a spot in their plans. What’s interesting is that franchise prospects are behaving the same way. Traditional due diligence – financials, projections and market analysis still matter, but the emotional proof now comes first. At Haute Dolci, nearly all of our strongest conversations begin with someone who was a customer long before they were a prospect. They experienced the hospitality, the atmosphere, the theatre of our desserts, and felt compelled to explore becoming part of the brand. The experience itself validated the business case. This is a shift I expect to see accelerate: franchise systems built on memorable experiences will attract not just loyal guests, but serious operators who have already “tested” the brand from the other side of the counter. Experience has become the filter through which both audiences decide whether a brand deserves their commitment. It’s as simple as this: those who invest in creating meaningful moments will thrive; those who don’t will be overlooked by potential customers. 49 WHAT-FRANCHISE.COM Interv iew | FEATURE