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The Franchise Economics Behind Slurpee Day
We’re breaking down the surprising economics and brand power behind 7-Eleven’s annual Slurpee giveaway — and why smart franchisors should take notes.
Chris Wright
July 10, 2025
Welcome to this week’s Franzy Five — your 5-minute fix of what’s shaping the franchise world.
This week, we’re digging into:
What Slurpee Day actually means for 7-Eleven franchisees (and why it’s genius)
The latest federal bill giving franchisees and frontline workers a real tax win
How Gen Z’s love of the past is reshaping restaurant strategy
Plus: a quick scan of the headlines worth knowing
As always, hit reply if you have feedback, ideas, or just want to chat franchising.
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🍧 Franzy Insights: Economics of 7-Eleven’s Slurpee Day
Slurpee Day began in 2002 as a birthday promo. The next year, it went national — and now, every July 11th, 7-Eleven gives away millions.
📊 By the Numbers:
~7 million free Slurpees given out every July 11
At $2 retail, that’s ~$14M in forgone revenue
That breaks down to ~$1,110 per store in forgone revenue
With ~15% COGS, product cost is closer to $2.1M
Most customers buy something else, boosting AOV
Local news + social buzz = free national ad campaign
🔍 Our Take:
This is what great franchising looks like: rituals, not just promotions. Slurpee Day taps into identity and emotion — and it’s sticky. Most of us have memories tied to it: post–Little League runs, summer pit stops, a few bucks from the glovebox.
That kind of brand love pays compounding dividends. When evaluating a franchise, ask: does this brand create moments people care about?
🗽 ‘One, Big, Beautiful Bill’ Passes with Major Wins for Franchise Owners
Summary:
Key changes include an extension of the 199A deduction for pass-through entities, continued bonus depreciation, and a shift from EBIT to EBITDA for business interest deductions.
Franchise owners can now expense major purchases more quickly and deduct more interest on loans, aiding expansion and reinvestment.
The bill also eliminates federal taxes on tips and overtime pay, increasing take-home pay for millions of frontline franchise workers.
Our take:
This is a big win for the franchise world. The tax changes give owners more room to grow — whether that’s opening new locations, upgrading equipment, or reinvesting in their teams. And for employees, more money in their pockets from tips and overtime means franchise jobs just got more appealing.
Franchise systems work best when owners and workers both feel the upside. This bill helps make that possible — and we’re glad to see franchising getting the attention it deserves in national policy.
🍗 Gen Z Nostalgia Is Fueling Restaurant Innovation
Summary:
McDonald’s is bringing back the Snack Wrap, tapping into Gen Z’s deep appetite for nostalgia paired with modern utility — portable, protein-rich snacks.
Successful nostalgia-driven launches combine emotional resonance with real relevance; it’s not just about reviving old ideas but solving current needs.
Brands like Rivalz and Drumroll are revamping early 2000s favorites with better-for-you ingredients, while McDonald’s updated the Snack Wrap with a new McCrispy Strip to elevate quality.
Our take:
Franchise brands can learn a lot from this. Gen Z loves nostalgia — not because they lived it, but because it feels fun, familiar, and simple in a world that’s anything but. That’s why something like the Snack Wrap works: it’s easy, comforting, and now upgraded to fit how people actually eat today.
If you’re a franchisor, it’s worth asking: is there something in your history — a product, a vibe, a name — that people already love? And if so, how do you bring it back in a way that actually makes sense today?
You don’t need a gimmick. You need something people remember and want again.
🎧 Face Foundrié’s Michele Henry on Franchise Growth & Lessons Learned
Summary:
Michele Henry shares how she built Face Foundrié with franchising in mind from day one, after realizing she missed that opportunity with her first business.
The brand launched its franchise program just before COVID — and used the downtime to improve systems, ultimately selling 34 units in its first year.
Michele emphasizes the importance of strong internal teams, knowing your numbers, and working with the right legal and operational partners.
Our take:
This is a great listen for any founder thinking about franchising the right way. Michele didn’t just fall into growth — she planned for it, surrounded herself with the right team, and stayed super clear on who she wanted in her system. The fact that she calls it “inviting” franchisees says a lot.
Her story is also proof that even tough timing (like launching in March 2020) can turn into an advantage if you’ve got the right mindset. And it’s a good reminder: systems win. Face Foundrié isn’t just growing fast — it’s growing on purpose.