Our Ranking Methodology
We evaluate franchises using a comprehensive scoring system that weighs multiple factors to provide a normalized score on a 1-100 scale. Our methodology includes:
FINANCIAL | Investment Efficiency (30%): Measures the return on investment by analyzing gross revenue relative to initial investment requirements. This heavily weighted factor helps identify franchises that deliver strong financial performance relative to their startup costs.
FINANCIAL | Revenue Per Unit (5%): Analyzes the average revenue generation per franchise location, normalized against industry benchmarks.
SATISFACTION | Net Promoter Score Weight (35%): A crucial indicator based on customer satisfaction and loyalty metrics derived from Google review patterns. This looks at the ratio of highly satisfied customers (5-star reviews) compared to dissatisfied customers.
SATISFACTION | Google Rating Score (5%): Incorporates the overall Google rating on a calibrated scale.
VIRALITY | Franchisee Ratio (7.5%): Evaluates the ratio of franchisee units to total units, providing insight into what % of geographies are owned and operated by franchisees and the maturity of the company’s approach to supporting franchisees.
VIRALITY | Longevity Score (7.5%): Considers the franchise’s years in operation, with more established brands receiving higher scores (capped at 50 years).
VIRALITY | Customer Engagement Metrics (5%): Evaluates the number of customer reviews per location, indicating customer engagement levels.
VIRALITY | Visual Presence (5%): Measures customer engagement through photo contributions per location.
