Repair, Remodel & Home Improvement Franchise Marketing Benchmarks (2026)
By Casey Slaughter Stanton, Founder & CEO, CMOx · Updated September 2026
Repair, Remodel & Home Improvement franchises charge a median royalty of 6% of gross sales and a median ad fund contribution of 2%, across 83 franchise disclosure documents filed with the Minnesota Department of Commerce. 61% set a local marketing requirement, with a median of 5% of sales. 30% require a designated marketing vendor, against 23% of all franchise systems.
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Repair, Remodel & Home Improvement franchise fees
| Term | Repair, Remodel & Home Improvement | Middle half | All franchises | Sample |
|---|---|---|---|---|
| Royalty | 6% | 5% to 6.5% | 6% | n=52 |
| Ad fund contribution | 2% | 1% to 2% | 2% | n=48, small sample |
| Local marketing requirement | 5% | 3% to 6% | 3% | n=27, small sample |
| Total mandated marketing | 6% | 5% to 9.75% | 5% | n=22, small sample |
| Local marketing dollar minimum | $2,000/mo | $1,500/mo to $4,000/mo | $1,500/mo | n=34, small sample |
| Technology fee | $345/mo | $192/mo to $597/mo | $274/mo | n=63 |
| Marketing-technology add-ons | $525/mo | $200/mo to $764/mo | $250/mo | n=21, small sample |
What repair, remodel and home improvement FDDs say about marketing money
| Clause | Repair, Remodel & Home Improvement | All franchises | Sample |
|---|---|---|---|
| Sets a local marketing requirementRequires local spend as a percentage of sales or a dollar minimum. | 61% | 46% | n=83 |
| Requires a designated marketing vendorFranchisees must buy marketing, advertising, digital or website services from a designated or sole vendor. | 30% | 23% | n=83 |
| Ad fund need not be spent in your marketNo obligation to spend fund money in the franchisee's market or in proportion to what it paid in. | 46% | 54% | n=83 |
| Ad fund may pay franchisor adminThe fund may pay the franchisor's administrative costs or the salaries of the people who run it. | 64% | 64% | n=83 |
| Co-op membership mandatoryFranchisees must join a regional advertising co-op if one forms. | 29% | 31% | n=83 |
| Discloses supplier rebatesThe franchisor receives rebates or commissions from suppliers franchisees must use. | 81% | 72% | n=83 |
| Franchisor sells marketing servicesThe franchisor or an affiliate is an approved supplier of marketing services to its own franchisees. | 17% | 7.6% | n=83 |
| Franchisor approves local adsFranchisee advertising needs franchisor approval before it runs. | 72% | 71% | n=83 |
Where repair, remodel and home improvement ad funds go
Across 42 repair, remodel and home improvement FDDs that disclose last year's ad fund spending, the average fund dollar went 45% to media placement and 18% to administration, against 39% and 18% across all franchises. 26% of these funds spent a quarter or more on administration.
- Media placement 45%
- Production and creative 19%
- Administration 18%
- Website, software and technology 12%
- Other 6%
- Public relations 1%
Where franchise ad funds go, across all industries
What growing systems do differently
Among repair, remodel and home improvement systems with three full years of Item 20 outlet data, 21% had fewer units at the end than at the start, and median unit growth was +13% (n=28, small sample). Across all franchise systems, 34% shrank.
Among home services systems, those that require a designated marketing vendor shrank 16% of the time (n=25, small sample), against 39% without one (n=66). Growing systems ask franchisees for less local marketing money and direct more of it. See the full comparison.
These are associations across current filings, not proof that any clause causes growth.
Frequently asked questions
What is the average royalty for a repair, remodel and home improvement franchise?
The median repair, remodel and home improvement franchise royalty is 6% of gross sales, and the middle half of FDDs charge 5% to 6.5% (52 FDDs). Across all franchises the median is 6%.
How much do repair, remodel and home improvement franchises charge for the ad fund?
The median repair, remodel and home improvement franchise ad fund contribution is 2% of gross sales (48 FDDs). 46% of repair, remodel and home improvement FDDs say the franchisor has no obligation to spend that money in the franchisee's market.
Do repair, remodel and home improvement franchises require local marketing spend?
61% of repair, remodel and home improvement FDDs set a local marketing requirement, as a percentage of sales or a dollar minimum. The median requirement is 5% of sales. Where a dollar minimum is set, the median is $2,000 a month.
What technology fee do repair, remodel and home improvement franchises charge?
The median repair, remodel and home improvement franchise technology fee is $345 a month, with the middle half between $192 a month and $597 a month (63 FDDs).
About these figures
Medians and shares across 83 repair, remodel and home improvement franchise disclosure documents filed with the Minnesota Department of Commerce, 92% of them 2026 filings. They describe the market, not any one brand's terms. No figure is shown with fewer than 20 FDDs behind it; 20 to 49 are marked small sample. Full method and every national figure: Franchise Marketing Statistics (2026). CC BY 4.0: cite freely with a link to this page.
Compare other industries
Other home services benchmarks:
- Fitness
- Beauty, Salon & Med Spa
- Health & Wellness Clinics
- Senior & Home Care
- Childcare, Education & Kids
- Pet Services
- Automotive
- Entertainment & Recreation
- Other Personal & Consumer Services
- Quick-Service & Fast-Casual Restaurants
- Full-Service Restaurants & Bars
- Coffee, Beverage, Dessert & Bakery
- Retail
- Business Services
- Real Estate, Insurance & Financial
- Hotels & Lodging
All franchise marketing benchmarks · Franchise marketing statistics (2026)
