Madrid Network explores the use of AI and data in franchising

Artificial intelligence and data analytics are changing the conversation about how to manage a franchise network. The Franchising Forum: From the Traditional Model to the Intelligent Model, organised by Madrid Network and Probusiness Place at EAE Business School, brought executives and specialists together in Madrid to discuss this transformation. Their shared message was clear: technology can support growth, but it cannot replace sound management or the commitment of those running each outlet.

A forum on transforming management

According to a report published on 16 October by El Diario de Madrid, the event featured representatives from the technology, food service, wellbeing and consultancy sectors. Discussions focused on digitalisation, artificial intelligence and the use of real-time information to improve business operations.

The approach shifted attention from replicating a business concept to understanding and managing what happens at each outlet. For the franchise community, this evolution affects day-to-day operations as well as plans for new openings and relationships with customers.

Participants examined tools that could support profitable, sustainable growth. However, they stressed that these tools need to sit within a well-organised business structure: adopting technology does not remove the need for clear processes or hands-on leadership.

Using data to understand each outlet better

One of the forum’s central themes was the shift towards the intelligent franchise. This model uses digital tools to gain a more accurate picture of how each outlet operates and improve coordination across the network.

Experts highlighted the potential to use these tools to anticipate needs, identify operational problems and optimise resources. Real-time data analysis was therefore presented as an aid to decision-making, rather than simply a standalone technology upgrade.

The reliability of information also featured prominently in the discussion. Having data and using it to make decisions are closely connected: the value of digitalisation depends on whether the information helps managers understand what is happening in their outlets and respond appropriately.

From this perspective, the transformation discussed at the event is not simply about replicating a business with more tools. It means strengthening the network’s monitoring and coordination capabilities while keeping sound business management at the heart of decision-making.

Growing without making new openings the sole objective

The forum also addressed the risks of expanding too quickly. Participants agreed that growth should be guided by profitability and sustainability, rather than allowing outlet numbers to become a target disconnected from business performance.

This message links plans for new openings to a clear understanding of the existing business. Technology can speed up certain processes and provide information to inform decisions, but attendees stressed that it neither replaces good organisation nor guarantees well-managed expansion on its own.

The focus was therefore on the relationship between growth and control. Rather than presenting digitalisation as an end in itself, the forum positioned it as a tool to support business models that can grow without losing sight of operational and financial performance.

Customers and people remain essential

The customer experience was another key topic. Participants highlighted the importance of maintaining a distinctive offering while adopting new ways of managing businesses and engaging with customers.

Alongside this commercial dimension, the discussion emphasised the commitment of those running each outlet. Technological capability and personal involvement were presented as complementary elements, not alternatives to choose between.

Practical takeaway: for franchisors and franchisees alike, the priority is to link digitalisation to specific management decisions. Reliable information, well-organised processes and a focus on customers should underpin any investment in artificial intelligence or new outlets.