By Tony Libardi, Marco’s Pizza

 

As we look back on this year and where the industry is headed in 2024, three key areas will continue to stand out as priorities: technology, real estate and product innovation.

Respond to the Technology Demand

The IFA 2023 Franchising Economic Outlook predicted we would see an increased reliance in technology this year, and the predictions were spot-on. Technology is a driving force, and one franchise brands need to invest in to remain relevant for consumers and properly support its franchisees.

For example, Marco’s Pizza recently announced a partnership with Magna, a global mobility technology company, to explore a variety of last-mile delivery platform options. Each of these options provide Marco’s franchisees with purpose-built, dedicated delivery solutions that are low-cost and environmentally friendly. Some of these platforms include: an electric, autonomous on-road last-mile delivery vehicle; an electric, autonomous sidewalk delivery solution; and a low-speed, electric two-wheel bike.

We expect for this collaboration to maximize our franchisee’s profits while meeting the needs of modern customers.

Find Your Real Estate Niche

Today’s real estate landscape poses unique challenges. What will breed success for franchisors as we head into another year will be staying informed on current trends and economic indicators.

With how dynamic the market is, securing ideal sites is ever competitive. Ditch the one-size-fits-all approach and lean into adaptation to adjust your real estate strategies.

Marco’s has doubled our store footprint within the last six years and we have no intention of slowing down, with more than 200 stores in various stages of development and hundreds of agreements signed. We leverage this momentum and brand recognition to adapt and find suitable sites that align with our growth strategy. Also at the top of our list is conducting a proper market analysis — looking at population density, income levels, proximity to residential and business areas, local zoning regulations and more.

When it comes to real estate, regardless of the size of your brand, do your due diligence.

Prioritize Product Innovation

When it comes to restaurant brands, consumers expect for regular menu enhancements and changes. From a business standpoint, committing to product innovation will serve as a strong competitive advantage.

For franchisors to achieve longevity, it’s essential to stay relevant and attract new customers while retaining loyal ones. Product innovation also affects the overall dining experience, whether you’re sitting down to enjoy a meal or picking up pizza to enjoy at home.

This year alone, Marco’s rolled out several new limited-time menu items including two new pizzas in Q1, boneless wings with various flavors in Q2, and most recently launched the Hot Honey Magnifico Pizza, in partnership with Mike’s Hot Honey. Each of these innovations were strategic, intentional and done with our consumers and franchisees top of mind.

Franchisors cannot be stagnant in this ever-changing world. Identify the trends, be forward-thinking and determine which strategies and innovations will make the greatest impact for your brand.

 

Tony Libardi is the president & co-CEO of Marco’s Pizza. For more information about IFA franchisor member Marco’s Pizza, please visit franchise.org/franchiseopportunities/marcos-pizza.

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