Franchise advertising strategies must evolve beyond Pay-Per-Click (PPC) to ensure long-term growth, sustainable lead generation, and stronger brand value. While PPC offers a path to fast results, today’s market realities highlight major drawbacks in over-relying on this channel – especially as cost per lead rises sharply for franchises and competition heats up.
The Rising Cost Per Lead in PPC
Recent industry data shows that the average cost per lead (CPL) in franchise advertising using PPC channels like Google Ads or Facebook Ads ranges from $30 to $100, with some reports seeing high-end franchises paying up to $200 per lead. In some scenarios, particularly when in-house teams manage campaigns or target highly competitive sectors, CPL can spike as high as $250 to $1,000, making it extremely difficult to achieve a low cost per sale. For franchises, where only a fraction of leads will convert to an actual sale, these rising acquisition costs can pressure marketing budgets and limit investment in other innovative channels.
Over-Reliance on PPC: A Major Pitfall
- Channel Saturation: As more franchises crowd PPC platforms, cost per click (CPC) and CPL continue to climb with diminishing returns.
- Short-Term Focus: PPC drives immediate leads but lacks the long-term brand-building power of awareness channels (like OTT, display, or local sponsorships), risking a decline in organic interest if PPC budgets are cut.
- Missed Audiences: PPC primarily captures active searchers; it misses potential franchisees who might be interested if exposed through broader awareness channels (streaming TV, programmatic display, podcasts, or local events).
The Value of Integrating Awareness Channels
- Enhanced brand recognition from display, OTT, and local media creates a stronger foundation for conversion, making every PPC dollar work harder.
- Diversifying touchpoints helps franchises remain top-of-mind for candidates, even when they’re not actively searching for a new opportunity.
- Combining channels enables smarter attribution, optimizing spend across the entire marketing funnel, not just last-click leads.
A Better Path Forward
Modern franchise advertising works best when budgets support a blend of PPC for immediate demand capture and awareness channels for scalable, long-term growth. Working beyond PPC helps franchises lower their average cost per sale, drive higher-quality candidate engagement, and foster a more resilient, recognizable brand.
