AI and machine learning in business are pushing the world towards a more profitable future. By 2020, 85% of client conversations will be managed by machines. Sixty-one percent of marketers already use it as a core part of their strategies. It has also been shown to improve productivity by up to 40%, so it’s not surprising that franchising relies on it for its business functions. Machine learning applies artificial intelligence to help systems to improve hands-free. It can churn vast amounts of data and refine it into metrics that inform businesses. It then automates that work, reducing expenses while maximizing profits.
AI and machine learning in business are as diverse and ranging as the case studies that represent them. Many of the world’s most reputable brands use them:
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IBM’s AI-enabled Chef Watson develops recipes for food franchises.
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Experian uses marketing data to make automated decisions for financial products.
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Infervision helps radiologists to detect early signs of cancer while reducing human errors.
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Volvo’s AI collects and generates information to predict vehicle failures. Its machine learning can even develop autonomous cars.
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Retail brand, Burberry, uses AI to nurture customer relationships.
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IT brands leverage chatbots to answer client queries and introduce customers to new products.
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Tourism companies like Disney use AI to track visitors, provide extra services, and prevent traffic jams.
AI in Franchising
The franchise industry mirrors industries in the traditional business world. AI and machine learning thus tend to play out in the same way in both structures. Still, the franchising model is uniquely demanding of AI. Franchisors must carry out repetitive tasks with each franchisee, many of which can be automated. AI can empower franchisees in several other ways:
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Provide automated training and onboarding
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Make intelligent site selections for franchisees
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Offer predictive franchisee and customer service
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Generate knowledge bases so that franchisees can gain support independently
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Tap into client pools via speech recognition technology
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Generate franchisee leads to increase sales
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Handle development agreements so that franchisees can begin trade faster.
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Gather marketing data into metrics that improve profits
The most successful franchises nurture relationships with franchisees. AI improves those connections through algorithmic decision making and data. This way, all strategic choices become evidence-based—and that lets franchisors control their future one chunk of success at a time. Think of AI as the road towards more fact-based operations. It detects unproductive approaches in all departments, from human resources to product development.
Predicting the Future
The best indicator of future behavior is past behavior. The strategies that have worked before are likely to work in the future. Machine learning doesn’t just gain insights you can act on later, though. It also lets you develop tactics in iterative spurts. As AI tests new processes, it learns so that the next process it tests carries you to a new level of profitability. Every lesson has a dollar value in the form of profits. Lean business methods are especially important to franchising, which relies on repeatable strategies. Intelligent data sets ensure that every franchise you sell has its best chance of success. Now that’s something worth celebrating.
AI can carry a unit from its first sale to its last without human intervention. That means you can spend your valuable hours sourcing new franchisees and improving your strategies. Imagine software that can track your opening schedules and manage your equipment. Imagine AI that can plan the resources of every franchise so you don’t have to. Imagine having your field service materials and royalty tracking expertly handled on your behalf. AI and machine learning in business are your best chance of success.
