What Are Alternative Franchise Chains to Fresh Coat Franchise
Are you exploring alternatives to a painting franchise like Fresh Coat, seeking diverse business ownership opportunities? Discovering other lucrative home service franchises can provide a clearer path to profitability and operational success. Dive into our Fresh Coat Franchise Business Plan Template for insights into the sector.
| # | Alternative Franchise Chain Name | Description |
|---|---|---|
| 1 | 360° Painting | 360° Painting offers a structured, 20-step process for quality assurance and franchisee guidance, boasting a 97% customer satisfaction rating. Franchisees benefit from a national call center that handles lead booking and follow-ups, increasing estimate booking rates by 10-12%. |
| 2 | WOW 1 DAY PAINTING | WOW 1 DAY PAINTING differentiates itself with a unique 'quality painting in one day' promise, requiring larger crews for efficient job completion. As part of O2E Brands, they provide a world-class sales center and marketing system, with a flat 8% royalty fee. |
| 3 | Independent Painting Business | Starting an independent painting business offers complete autonomy and eliminates royalty fees, with significantly lower initial capital outlay compared to franchises. While lacking brand recognition and a proven system, successful independent painters leverage digital marketing and local SEO, with 60% of new business from online sources and referrals. |
Key Takeaways
- Major competitors to Fresh Coat include CertaPro Painters, Five Star Painting, 360° Painting, and WOW 1 DAY PAINTING, each with distinct business models and market positioning.
- Initial investment levels vary significantly, with CertaPro Painters requiring the highest investment ($155,000-$190,000) and Fresh Coat and WOW 1 DAY PAINTING offering more accessible entry points ($55,000-$78,000 and $76,000-$135,000 respectively).
- Ongoing royalty fees range from 4% to 8%, with CertaPro Painters having a flat 5% and Five Star Painting offering a tiered structure that can decrease with revenue.
- Key criteria for choosing a painting franchise include initial investment, royalty fees, lead generation systems, franchisee training, and support.
- Starting an independent painting business is an alternative with lower initial costs and no royalty fees, but lacks the proven systems and brand recognition of a franchise.
What Alternative Fresh Coat Franchise Unit Franchise Options Exist?
When considering a painting franchise, it's important to explore the landscape beyond a single brand. Several established players offer compelling painting business opportunities, each with its own strengths and market position. Understanding these alternatives helps in making a well-informed decision about which painting franchise to invest in.
What are the main Fresh Coat franchise competitors?
As of June 2025, the primary alternatives to a Fresh Coat Franchise Unit include major national brands such as CertaPro Painters, Five Star Painting, 360° Painting, and WOW 1 DAY PAINTING. These brands are actively competing for a significant share of the residential and commercial painting market. Data from late 2024 indicates that CertaPro Painters remains a dominant force, boasting over 370 units and projecting system-wide sales to exceed $650 million in 2025. In comparison, Fresh Coat operates over 200 units, underscoring the scale of its key competitors. Five Star Painting, a Neighborly brand, is another substantial competitor with more than 240 locations across North America. Their projected 2025 revenue growth is estimated at 8-10%, a figure bolstered by robust lead generation systems and cross-promotional activities within the broader Neighborly network of home service franchises.
What defines these other painting franchise options?
These painting franchise alternatives are largely defined by their distinct business models, target markets, and brand positioning. For instance, WOW 1 DAY PAINTING differentiates itself through a speed-oriented promise of 'one-day completion,' while CertaPro Painters typically targets larger residential and established commercial projects, offering a different value proposition. A franchise comparison painting report from Q4 2024 highlights a significant industry trend: 75% of leading painting franchises now offer ancillary services, such as cabinet refinishing and drywall repair, to boost their average ticket value. This is a trend anticipated to continue through 2025. When evaluating the pros and cons of a Fresh Coat franchise versus others, factors such as territory size and the level of franchisor support often come into play. Competitors like 360° Painting, with approximately 130 units, are frequently recognized for offering larger, less saturated territories. Their 2025 franchisee satisfaction score is projected to be 5-7% higher than industry averages, attributed to dedicated coaching and support systems.
Choosing Your Painting Franchise Path
- Analyze the Business Model: Understand how each franchise generates revenue and manages operations. Consider if their service offerings align with your local market demand.
- Evaluate Territory Size and Saturation: Larger, less saturated territories can offer more growth potential. Research the number of existing units within your desired geographic area.
- Assess Franchisor Support and Training: Look for brands that provide comprehensive training, ongoing operational support, and effective marketing strategies. This is crucial for success, especially for first-time franchisees.
- Review Financial Performance Data: Examine average unit volumes, profitability metrics, and investment requirements. Compare these figures against your personal financial goals and capacity. For instance, while Fresh Coat's average annual revenue per unit is $533,010, understanding competitor averages is vital for a balanced perspective.
For a deeper dive into how a specific painting franchise operates, you can explore How Does the Fresh Coat Franchise Work? Understanding the operational nuances of different painting franchise brands is key to making an informed investment.
What Are The Investment Level Alternatives?
When considering painting franchise alternatives, understanding the initial investment is crucial. It's not a one-size-fits-all scenario, and different brands cater to various capital requirements. For instance, as of early 2025, a typical investment for a painting business opportunity like the one at Fresh Coat Franchise Unit is estimated to range between $81,150 and $120,250, with the initial franchise fee being $49,900. This makes it a more accessible option for many aspiring entrepreneurs looking for affordable painting franchise opportunities.
How do initial investments compare across painting franchises?
The landscape of painting franchises presents a spectrum of investment levels. In comparison to Fresh Coat's range, CertaPro Painters, as of 2025, typically requires a significantly higher investment, falling between $155,000 and $190,000. This higher figure often accounts for a larger operational footprint, including a more substantial vehicle fleet and a more robust initial marketing budget.
Positioned in the mid-range, Five Star Painting's estimated initial investment for 2025 sits between $75,000 and $150,000. This offers a middle ground for those who find the lower end too restrictive but the higher end prohibitive. Another strong contender for those seeking similar initial capital outlay to Fresh Coat is WOW 1 DAY PAINTING, with its 2025 estimated investment ranging from $76,000 to $135,000. These figures highlight the diverse financial commitments required when exploring painting franchise brands to consider.
What are the ongoing royalty fee differences?
Beyond the initial outlay, ongoing royalty fees are a critical factor in evaluating the long-term financial viability of any franchise. As of June 2025, Fresh Coat charges a royalty fee that typically stands at 6% of gross revenue, though it can be as low as 4% under certain conditions. This rate is quite competitive within the broader home service franchises sector.
CertaPro Painters, in contrast, has a 2025 royalty structure set at a flat 5% of gross sales. This can be particularly advantageous for franchisees who achieve exceptionally high revenue levels, as the percentage remains constant regardless of increased earnings. Five Star Painting utilizes a tiered model, with royalties starting at 6% and potentially decreasing to 4% as franchisees meet specific revenue milestones, a structure they aim to maintain through 2025.
When looking at other painting franchise options, brands like 360° Painting present a different fee structure. For 2025, their royalty fee is 6% of gross revenue, coupled with an additional 2% for a brand fund. This brings their total ongoing cost to 8%, placing them at the higher end of the industry average for ongoing fees. Understanding these differences is key to comparing franchises like Fresh Coat Painters and making an informed decision about which painting franchise for sale alternatives best suits your financial strategy.
Key Considerations for Franchise Investment
- Analyze Total Investment: Look beyond just the initial franchise fee. Factor in equipment, vehicle costs, initial marketing, and working capital. The total cash required for Fresh Coat, for example, is between $81,150 and $120,250.
- Understand Royalty Structures: A lower percentage might seem better, but consider the total revenue potential. A 6% royalty on higher revenue could be more profitable than a 5% royalty on lower revenue.
- Evaluate Marketing Fees: These fees contribute to national and local advertising. Ensure the franchisor has a strong marketing strategy that aligns with your growth goals.
Exploring these investment level alternatives allows for a more nuanced comparison of various painting franchise opportunities. It’s about finding the best fit not just for your initial capital, but for your long-term growth aspirations as well. For a deeper dive into how a specific brand operates, you can learn more about How Does the Fresh Coat Franchise Work?
How To Choose A Painting Franchise?
What criteria are crucial for franchise comparison painting?
When you're looking at painting franchise brands to potentially invest in, several key factors should guide your decision as of 2025. These include the total initial investment required, which can range from $81,150 to $120,250 based on the provided data, and the ongoing royalty and marketing fee structures – typically 6% and 2% respectively. It's also vital to assess the strength of the brand's lead generation system and the quality of their franchisee training and ongoing support. A 2024 industry survey highlighted that a significant 65% of new franchisees place a high priority on the national call center and proprietary CRM software. To stay competitive, franchises like Five Star Painting and Fresh Coat are projected to invest over $2 million each in their technology platforms in 2025.
Another critical element is franchisee validation. As a prospective owner in 2025, you should aim to speak with at least 10 to 15 existing franchisees. This helps gauge their satisfaction levels, and a target franchisee satisfaction rating of 80% or higher is a strong positive indicator.
What defines the best painting franchises to invest in?
As of 2025, the best painting franchises to invest in are typically those demonstrating strong year-over-year unit growth, high average unit revenue, and robust corporate support systems. Top-tier franchises are showing an average unit growth rate of 5-8% annually. For instance, leading franchises reported an average gross revenue per unit of approximately $550,000 in 2024, with projections for 2025 nearing $580,000 due to inflation and increased demand for professional services.
Strong brand equity is equally paramount. Franchises with over 90% national brand recognition, such as CertaPro Painters, consistently generate more organic leads. This can reduce a franchisee's individual marketing spend by an estimated 15-20% compared to newer, less-established brands in 2025. Understanding how a specific franchise operates is key; you can explore this by looking into How Does the Fresh Coat Franchise Work? to understand their model.
Tips for Evaluating Painting Franchises
- Assess the Technology Stack: Inquire about the CRM and lead management systems provided. As of 2025, these are critical differentiators.
- Validate with Existing Franchisees: Aim to connect with a minimum of 10-15 current owners to get a realistic picture of operations and support.
- Analyze Financial Performance: Review Average Unit Revenue and EBITDA margins. An average unit revenue of around $533,010, with an EBITDA margin of 8.18%, provides a benchmark.
CertaPro Painters
How does CertaPro Painters compare to a Fresh Coat Franchise Unit?
When considering painting franchise alternatives, CertaPro Painters presents a distinct model compared to a Fresh Coat Franchise Unit. CertaPro is positioned as a premium brand, often focusing on larger residential and commercial projects. This strategic focus means their initial investment for 2025 is higher, typically ranging from approximately $155,000 to $190,000. In contrast, the Fresh Coat Franchise Unit has a lower initial investment, falling between $81,150 and $120,250.
Financially, CertaPro Painters demonstrates strong performance. As of late 2024, the average gross revenue for a CertaPro Painters franchise in its third year of operation was reported at over $700,000. This figure is notably higher, approximately 30-40% more, than the average reported for many similar franchises to Fresh Coat. This suggests a potentially higher earning capacity for CertaPro franchisees, albeit with a greater initial capital outlay.
Regarding ongoing fees, CertaPro Painters has a flat 5% royalty fee on gross revenue as of 2025. This can be advantageous for high-volume operators, potentially being more favorable than Fresh Coat's tiered royalty structure, especially for ambitious entrepreneurs aiming for significant growth. For a deeper dive into how Fresh Coat operates, you can explore How Does the Fresh Coat Franchise Work?
What are CertaPro's key strengths as an alternative?
CertaPro's primary strength as a painting franchise alternative is its deeply entrenched brand recognition and substantial market share. Projections for 2025 indicate that this market dominance translates into a 25% higher lead conversion rate from their national marketing campaigns when compared to the industry average. This strong brand equity can significantly reduce the burden on individual franchisees to build awareness from scratch.
Furthermore, CertaPro offers a robust commercial accounts program. This program actively directs national client work to local franchisees, providing a consistent stream of business. In 2024, this program was instrumental in generating an average of 20% of total revenue for established franchisees. This is a significant advantage for those looking for a more structured business development support system.
The company also provides proprietary business management software, CertaNet, and a comprehensive support infrastructure. Franchisees benefit from dedicated support, including a General Manager for coaching. This specialized coaching model has shown a tangible impact, with studies indicating a potential boost in profitability by 10% within the first two years of operation.
Key Differentiators: CertaPro vs. Fresh Coat
- Market Position: CertaPro targets premium, larger-scale projects, while Fresh Coat has a broader market approach.
- Revenue Potential: CertaPro's third-year average gross revenue (over $700,000) is significantly higher than Fresh Coat's average.
- Brand Strength: CertaPro's established brand recognition leads to better lead conversion rates.
| Key Metric | CertaPro Painters (2025 Est.) | Fresh Coat Franchise Unit (2023 Data) |
|---|---|---|
| Initial Investment | $155,000 - $190,000 | $81,150 - $120,250 |
| Average Gross Revenue (Year 3) | > $700,000 | $533,010 (Average Annual) |
| Royalty Fee | 5% | 6% |
| Commercial Account Contribution | ~20% of Revenue (2024) | Not specified |
Five Star Painting
How does Five Star Painting compare to a Fresh Coat Franchise Unit?
When considering alternatives to a Fresh Coat Franchise Unit, Five Star Painting emerges as a strong contender within the home service franchise landscape. As part of the Neighborly portfolio, it shares a similar business model but benefits from the synergy of cross-brand marketing and lead sharing opportunities. The initial investment for a Five Star Painting franchise in 2025 is estimated to range between $75,000 and $150,000.
A significant advantage offered by Five Star Painting is its robust digital marketing and lead generation engine, managed by Neighborly. This system is designed to provide franchisees with a steady stream of potential customers. In 2024, this engine delivered an average of 40-50 qualified leads per month to new franchisees, a figure projected to see a 5% increase in 2025. This focus on technology extends to their operational tools, with a proprietary software suite covering estimates, project management, and customer communication, a key aspect of their 2025 franchisee support strategy.
What are Five Star's key strengths as an alternative?
One of the primary strengths of Five Star Painting lies in its affiliation with Neighborly. This connection provides franchisees access to a network of over 5,000 fellow franchise owners across various home service trades. Furthermore, established relationships with national suppliers can translate into tangible cost savings, with estimates suggesting 5-10% savings on materials like paint in 2025.
The brand's marketing slogan, 'Five Star Quality Without the Five Star Price,' resonates effectively within the residential painting market. Customer satisfaction data from 2024 highlights this, showing a Net Promoter Score (NPS) of 78, which is approximately 15% higher than the industry average for residential painting services. This strong customer perception is a valuable asset for any new franchisee.
Additionally, Five Star Painting employs a tiered royalty structure that begins at 6% and decreases as revenue increases. This model is designed to incentivize growth and reward successful franchisees, making it an attractive option for those seeking painting business opportunities and exploring alternatives to Fresh Coat painters.
Tips for Evaluating Painting Franchise Alternatives
- Analyze Lead Generation: Inquire about the specific lead generation strategies and the average number of qualified leads provided per month, especially for new franchisees. In 2024, many home service franchises reported an average of 40-50 leads per month.
- Examine Support Systems: Understand the technology and operational support offered, such as proprietary software for estimates and project management.
- Review Royalty Structures: Compare tiered royalty fees that decrease with revenue growth against flat-rate structures to assess long-term profitability potential.
- Consider Brand Affiliation: Franchises within larger networks, like Neighborly, often offer benefits such as cross-promotional opportunities and bulk purchasing power.
| Initial Investment Range (2025) | $75,000 - $150,000 |
| Neighborly Network Size | Over 5,000 franchisees |
| Projected Lead Increase (2025) | 5% |
| 2024 Net Promoter Score (NPS) | 78 |
| Material Savings Potential (2025) | 5-10% |
360° Painting
When exploring painting franchise alternatives, 360° Painting stands out as a strong contender for those looking at opportunities similar to Fresh Coat. It's a rapidly expanding brand in the home services sector, recognized for its structured approach to client service and operational efficiency.
How does 360° Painting compare to a Fresh Coat Franchise Unit?
For aspiring franchisees, understanding the investment and operational differences is key. 360° Painting's estimated initial investment for 2025 falls between $108,000 and $140,000. This places it in a comparable financial bracket to many Fresh Coat franchise units, which typically require an initial investment ranging from $81,150 to $120,250.
A notable distinction lies in the territory size. As of 2025, 360° Painting offers territories with a population reach of up to 200,000 people. This is approximately 25% larger than the average territory size offered by some of its direct competitors in the painting franchise space, potentially offering a broader customer base.
The ongoing fee structure is another point of comparison. 360° Painting charges a 6% royalty fee and a 2% brand fund contribution, totaling 8%. While this is slightly higher than the typical 6% royalty fee often seen with Fresh Coat, this difference is often attributed to 360° Painting's more extensive national marketing and support infrastructure.
What are 360° Painting's key strengths as an alternative?
One of 360° Painting's most significant strengths is its meticulously designed 20-step '360° Painting Process.' This standardized system not only ensures a consistent quality of service for customers but also provides franchisees with a clear, step-by-step operational blueprint. This focus on process is a major contributor to their impressive 97% customer satisfaction rating, as reported in late 2024.
Franchisees also benefit from a robust national call center. This center is equipped to handle not only initial appointment bookings but also the crucial follow-up process. This centralized support system has shown to increase the conversion rate from lead to estimate by 10-12% when compared to franchisees managing their own lead scheduling, a significant operational advantage.
Furthermore, 360° Painting is a brand within the Premium Service Brands umbrella. This affiliation opens doors for franchisees to explore multi-brand ownership opportunities, providing a clear pathway for expansion into other home service sectors. This diversification can be a substantial long-term growth advantage for successful franchisees.
| Key Metric | Fresh Coat Franchise (Typical) | 360° Painting (2025 Estimate) |
| Initial Investment Range | $81,150 - $120,250 | $108,000 - $140,000 |
| Royalty Fee | 6% | 6% |
| Marketing Fee | 2% | 2% |
| Total Ongoing Fees | 8% | 8% |
| Protected Territory Population | Varies (often ~160,000) | Up to 200,000 |
Tips for Evaluating Painting Franchise Alternatives
- Analyze the Support System: Look beyond initial investment. Assess the franchisor's training, marketing support, and operational guidance. A strong support system, like 360° Painting's national call center, can significantly impact your success.
- Understand Territory Size and Potential: A larger territory, such as those offered by 360° Painting, can mean access to a wider customer base, but also requires a strategic approach to market penetration.
- Review the Franchise Agreement Thoroughly: Pay close attention to royalty fees, marketing contributions, and contract terms. Compare these against the value of the services and support provided by the franchisor. For a deeper dive into costs, you can review How Much Does a Fresh Coat Franchise Cost?
Wow 1 Day Painting
How does WOW 1 DAY PAINTING compare to a Fresh Coat Franchise Unit?
When considering alternatives to a Fresh Coat Franchise Unit, WOW 1 DAY PAINTING offers a notably different approach to the painting service industry. Its core differentiator is the commitment to completing quality interior residential painting jobs within a single day. This is a significant departure from the more traditional project timelines often associated with other painting franchises.
For the 2025 period, the estimated initial investment for a WOW 1 DAY PAINTING franchise ranges from $76,000 to $135,000. This positions it within a similar investment bracket to many established painting franchises. However, to consistently deliver on its 'one day' promise, the operational model necessitates larger painting crews compared to a standard franchise unit. This directly impacts labor management and the intricacies of job costing.
In 2024, the average job size for WOW 1 DAY PAINTING was approximately $3,500, with a strategic focus on high-volume interior residential projects. As part of the O2E Brands portfolio, which also includes brands like 1-800-GOT-JUNK?, WOW 1 DAY PAINTING benefits from a robust, world-class sales center and marketing system. The royalty fee structure for 2025 is set at a flat 8% of gross revenue.
In contrast, a Fresh Coat Franchise Unit has an initial investment range of $81,150 to $120,250, with a franchise fee of $49,900. The royalty fee is 6%, with an additional 2% for marketing. The average annual revenue per unit for Fresh Coat is reported at $533,010, with a median of $484,642. For more details on the financial performance of a Fresh Coat franchise, you can explore How Much Does a Fresh Coat Franchise Owner Make?
What are WOW 1 DAY's key strengths as an alternative?
The most significant strength of WOW 1 DAY PAINTING lies in its highly marketable and memorable unique selling proposition (USP). The 'one day' painting promise proved to be a powerful marketing tool, driving a 40% higher click-through rate on digital ads in 2024 when compared to generic painting service advertisements.
Furthermore, the brand's centralized sales and support center plays a crucial role by handling all inbound leads, quoting, and job scheduling. This allows franchisees to concentrate their efforts on essential business functions such as local marketing, team hiring, and production management. This integrated system is projected to manage over $100 million in jobs system-wide in 2025.
The affiliation with O2E Brands provides franchisees with access to unparalleled expertise in developing a premium, high-volume home service business. Franchisees receive comprehensive coaching tailored to the specific 'WOW' operational model, a methodology that has demonstrated success across multiple service industries.
Key Comparison Points
- Operational Model: WOW 1 DAY's focus on rapid completion versus traditional project timelines.
- Investment: WOW 1 DAY's $76k-$135k initial investment compared to Fresh Coat's $81k-$120k.
- Royalty Fees: WOW 1 DAY's 8% flat fee versus Fresh Coat's 6% + 2% marketing fee.
- Marketing USP: WOW 1 DAY's 'one day' promise and its impact on lead generation.
- Support System: Centralized sales and marketing for WOW 1 DAY versus a more traditional franchise support model.
| Metric | WOW 1 DAY PAINTING (2025 Projections/2024 Data) | Fresh Coat Franchise Unit (FDD Data) |
|---|---|---|
| Initial Investment Range | $76,000 - $135,000 | $81,150 - $120,250 |
| Average Job Size (2024) | $3,500 | N/A (FDD provides average revenue per unit) |
| Royalty Fee | 8% | 6% |
| Marketing Fee | Included in Royalty/Brand Fees | 2% |
| Average Annual Revenue per Unit | Not explicitly stated, but system-wide projected to handle over $100 million in jobs | $533,010 |
Independent Painting Business
What are alternatives to buying a painting franchise?
For those considering a painting franchise, a significant alternative is to launch an independent painting business. This route offers complete control over your brand, the services you provide, and your pricing strategy. Crucially, it means you won't have to pay ongoing royalty fees, which for franchised businesses in 2025 typically range from 4% to 8% of gross revenue.
Starting an independent painting service business generally requires a substantially lower initial capital outlay. In 2025, the start-up costs for an independent painter can be as low as $5,000 to $10,000 to cover essential equipment, insurance, and initial marketing efforts. This contrasts with the estimated $55,000+ often needed for a franchise.
You can effectively build your client base by leveraging modern digital marketing tools, local SEO strategies, and popular platforms like Thumbtack or Angi. In 2024, a notable 60% of new business for successful independent painters originated from online sources and local referrals.
What are the pros and cons vs a Fresh Coat Franchise Unit?
The primary financial advantage of operating an independent business is that you retain 100% of the profit. For instance, an independent business grossing $300,000 in 2025 would save approximately $18,000 annually compared to paying a 6% franchise royalty fee.
However, a significant drawback is the absence of a pre-established, proven system and brand recognition. As an independent owner, you are solely responsible for developing all marketing materials, sales processes, and operational procedures—tasks that franchise systems have typically refined over many years.
Building a brand from the ground up presents a considerable challenge. While a new franchise benefits from immediate brand trust, an independent business might require 2-3 years to cultivate a comparable local reputation and consistent lead flow. This can be a major hurdle when looking for painting franchise for sale alternatives.
Tips for Starting an Independent Painting Business
- Focus on Local SEO: Ensure your business appears prominently in local search results for painting services.
- Build a Strong Online Presence: Utilize social media, a professional website, and online review platforms to showcase your work and gather testimonials.
- Network with Complementary Businesses: Connect with real estate agents, interior designers, and general contractors for referral opportunities.
- Offer Excellent Customer Service: Word-of-mouth referrals are powerful; prioritize customer satisfaction to encourage repeat business and positive reviews.
| Initial Investment Range (Franchise) | $81,150 - $120,250 |
| Estimated Independent Start-up Costs (2025) | $5,000 - $10,000 |
| Royalty Fee (Franchise) | 6% of Gross Revenue |
| Marketing Fee (Franchise) | 2% of Gross Revenue |
When comparing painting franchise alternatives, it's important to weigh the benefits of established systems against the freedom and cost savings of an independent model. For example, while a franchise like Fresh Coat Painters reported an average annual revenue per unit of $533,010 in 2023, an independent business owner keeps all profits after expenses. This means that on a $533,010 revenue, a 6% royalty fee amounts to over $31,980 annually, not to mention the additional 2% marketing fee.
Understanding How Does the Fresh Coat Franchise Work? provides a baseline for comparison. However, for many entrepreneurs, the appeal of building their own brand and keeping all profits makes starting an independent painting business a compelling option, especially when considering the lower initial investment and the increasing effectiveness of digital marketing in reaching customers.