Discovery Map CEO Peter Hans on Why Print Still Wins in a Digital World and How the Brand Is Building Its Next Chapter

Discovery Map has spent more than five decades helping travelers discover the best restaurants, attractions and local businesses through its iconic hand-drawn maps. While much of the publishing world has struggled with the shift to digital, CEO Peter Hans believes the brand has found a unique position by combining trusted print products with an expanding digital platform that gives franchisees additional ways to serve local businesses.

Hans, who acquired the company in 2005 after spending much of his career in investment banking and corporate finance, has overseen the brand's growth from 64 map locations to roughly 120 markets across North America. Today, Discovery Map publishes approximately 14 million maps annually while continuing to expand its home-based franchise opportunity for entrepreneurs seeking a low-overhead business.

“Because our publications are free, we're not facing the same pressures that newspapers have,” Hans said. “When someone arrives in a destination, they pick up a Discovery Map because they're about to make purchasing decisions. That's incredibly valuable.”

Hans joined 1851 Franchise Publisher Nick Powills on a recent episode of Meet the Franchise to discuss his journey from banking to franchising, why Discovery Map remains relevant in an increasingly digital marketplace and how the company's new mobile app is creating another revenue opportunity for franchisees. An edited transcript of the conversation appears below.

Nick Powills: How did you accidentally fall into franchising? What's your franchise backstory?

Peter Hans: It's a peculiar one. I was a banker, then an investment banker, for most of my career, first in the U.S. and then in Europe. When I came home, I moved back to Waitsfield, Vermont, which is basically a little ski town. I was working for a small defense contractor as chief operating officer when one of my colleagues said, “You should look at buying my parents' company. They're looking to exit.”

I looked it over and thought it made sense. It was contract-based, which fit my finance background, and it was also a people business. It seemed like a good fit, so I moved forward.

Powills: Was it already a franchise at the time?

Hans: It was. I acquired it on Halloween in 2005. I think it had been franchising for roughly 10 years before I bought it.

Powills: How large was the system then?

Hans: There were 64 locations and probably 50 to 55 franchisees. Today we're at about 120 locations with roughly 100 franchisees.

Powills: If you could go back and tell yourself that's where the business would be today, would you be proud?

Hans: It's certainly a significant departure from where we started. I think we've done some really good work over the years. I'd like to see us growing faster than we are today, so that's something I'm pushing hard on, but overall it's a good business.

Powills: Who is the typical Discovery Map franchisee?

Hans: They really come in all shapes and sizes. We have advertising agencies, marketing agencies and destination marketing organizations like chambers of commerce and convention and visitors bureaus. Our core franchisee, though, is probably someone leaving the corporate world or someone looking for a business after raising a family. It's typically an individual owner, although certainly not exclusively.

Powills: What still excites you about the business today?

Hans: The challenge. In print media, I think we're about as well positioned as a print publisher can be. Because our publications are free, we're not facing the same pressures that newspapers have. When someone arrives in a destination, they pick up a Discovery Map because they're about to make purchasing decisions. That's incredibly valuable.

The challenge has always been creating a meaningful digital presence that complements the printed map. That's what's kept me interested. We've gone from competing with local publishers to competing against major internet companies. That's a very different game, but we've made some really encouraging progress recently.

Powills: You came from corporate finance into entrepreneurship. Did you have to completely change the way you thought about business?

Hans: Absolutely. In banking, everything was about commercial transactions, returns and the bottom line. When I bought Discovery Map, suddenly I was dealing with real people who had real personal challenges. That was a huge change, but ultimately it was a very positive one. I enjoy working with real people.

Powills: Before researching your company, I honestly didn't realize this was even a franchise category.

Hans: We hear that a lot. Outside of agencies and destination marketing organizations, our franchisees are mostly individuals. We've also produced more than 20 custom maps for destination marketing organizations outside of the franchise model, but our franchise network remains the heart of the business.

Powills: It seems like there are a lot of opportunities beyond tourism.

Hans: There certainly are. The interesting part is how the franchise business operates. The intensive work happens during the advertising sales cycle. Our maps are published annually, so franchisees spend one to three months focused heavily on selling advertising. Once that's complete, distribution and keeping map racks stocked becomes a much lighter responsibility. Many franchisees even outsource that work. When you look at the total hours invested versus the income generated, it's actually a very attractive return.

Powills: Do you include an Item 19 financial performance representation?

Hans: Yes. Our current average is just under $60,000. There is a lot of variation between markets because we've been around for decades, and many of our earliest markets were in rural Vermont, which naturally affects the averages.

Powills: What's the investment to get started?

Hans: The initial franchise fee is $25,000. Additional startup costs generally run somewhere around $8,000 to $14,000. Overall, it's about a $40,000 investment to get up and running.

Powills: Looking at it objectively, it's a pretty compelling return relative to the investment. What's your vision for Discovery Map going forward?

Hans: I want to reinvigorate growth across the franchise system. Print is still our backbone, but we've also launched the Discovery Map app, and it's growing rapidly. We started locally in Burlington, Vermont, and we're now rolling it out nationally. Right now it's free for our advertisers. Businesses that aren't map advertisers can also participate for a small fee.

Our expectation is that, within about a year, there will be enough users and enough value that the app becomes a meaningful additional revenue stream for franchisees.

Powills: Do you consider yourself an entrepreneur now?

Hans: I suppose I do. The first year or so is pretty scary because you're used to receiving a regular paycheck. Suddenly you realize that if you don't perform, you don't get paid. Eventually, though, you build confidence. You understand that you can do it. I'm very glad I made the change.

Powills: What would you want someone considering the franchise to know?

Hans: We print approximately 14 million maps every year across North America. Today we're in roughly 120 markets, and we're continuing to grow in destination markets, but we've also found that medium-sized cities perform extremely well. Most importantly, we've now built a meaningful digital complement to our printed maps through the Discovery Map app. Together, they create a really compelling business.

Powills: Fourteen million printed maps is an incredible number.

Hans: I hadn't really thought about it that way before, but you're probably right.

Powills: When advertisers think about impressions, they usually focus on Google or social media. But people hold onto your maps all day while they're actively deciding where to eat, shop and explore.

Hans: Exactly. Everyone talks about cost per thousand impressions, but I think people often overlook the value of the impression itself. A digital ad appears for a moment and disappears. Someone picks up a Discovery Map, folds it into their pocket, carries it around all day and brings it back to the hotel.

They're in buying mode the entire time. That makes those impressions incredibly valuable.

Powills: Peter, thanks for sharing your story.

Hans: It was great talking with you. Thank you.

Watch the full episode above or on YouTube.