FranchisingFeature food - part 1
Food Franchises:
Everyone’s Gotta Eat be bold:
Why Taking a Stand Can Strengthen Your Brand
Restaurants and QSRs: How to Capitalize on ‘Near Me’ Searches and Increase Revenue
oct ob e r 2 0 18
foo d FR A NCHSI NG FE AT U RE - pa rt 1
what’s new! Artichoke Basille’s Pizza Opens First Connecticut Location as Part of Multi-Unit Agreement Artichoke Basille’s Pizza, the famed New York pizza concept with locations from coast to coast, will open its first Connecticut store at 2391 Berlin Turnpike in Newington this Fall. This location is part of a multi-unit agreement inked earlier this year with franchisee and Connecticut local, Matthew Rusconi. The upcoming Newington location will be the first freestanding store in the Artichoke empire, thus creating a new footprint for larger standalone Artichoke franchises in the future. The Newington outpost will span just over 1600 square feet, and will include seating for 35 people and space for a full-service bar. The freestanding location will also feature many of the same design elements, like exposed brick and antiqued tin, that characterize the existing Artichoke Pizza locations, bringing the heart and soul of the New York stores to the Connecticut community. Artichoke Basille’s Pizza, which specializes in serving a unique style of “authentic” New York pizza, was founded in 2008 by cousins Francis Garcia and Sal Basille. After successfully testing slivers of their signature Artichoke Pie in the breadbaskets of their family’s Staten Island restaurant, Garcia and Basille opened the first Artichoke Pizza location in Manhattan’s East Village. Since then, the Artichoke empire has grown to include 12 locations in New York, Miami, and Berkeley, CA, with more than 10 stores in development in New Jersey, Northern California, and Connecticut. To learn more about Artichoke Basille’s Pizza, visit www.artichokepizza.com.
Franchising USA
Baskin-Robbins, announces its continued expansion Baskin-Robbins, the world’s largest chain of ice cream specialty shops, announced its continued expansion in Ontario, specifically in the Greater Toronto Area with the signing of 18 new store development agreements with six new and existing franchise groups. The first Baskin-Robbins shop under these new agreements opened this summer. Currently, there are nearly 100 Baskin-Robbins locations throughout the Greater Toronto Area. The franchisee groups and their development plans include: • New franchisee, Sulman Muhammad, plans to develop 11 Baskin-Robbins shops throughout the Greater Toronto Area. • Existing franchisees Sunita Patel and Jayant (Jay) Patel have teamed up with new franchisees Vivek Patel, Rahulkumar Patel and Nimal Patel to open three shops in Burlington. • Existing franchisee Imtisal Kiran signed a new development agreement to bring one Baskin-Robbins to the southwest area of Toronto. • Qais Hakeemi signed a single unit agreement to bring one Baskin-Robbins shop to the town of Ajax. • New franchisee Lori and Frank Malavolta, will be opening a new shop in LimeRidge Mall Hamilton, along with their Kernels Popcorn franchise in the mall. • Lu Tian, along with her husband Mike Pomerleau, recently opened a combo Baskin-Robbins and Kernels Popcorn location within the Rideau Centre shopping mall in Ottawa. Franchise opportunities remain available in select communities throughout Canada. Baskin-Robbins Franchising Managers are available to speak with qualified candidates interested in developing the brand in Canada. For additional information, visit the Baskin-Robbins franchising website or contact the Baskin-Robbins Franchising Team at franchiseinfo@baskinrobbins.com or 781-737-5530.
It’s A Grind Identifies Phoenix As Prime Growth Market
After conducting an in-depth market analysis that identified the greater Phoenix area as a prime growth market, It’s A Grind Coffee House is focusing its expansion efforts in the region. Poised to own a larger share of the nearly
$10 billion roast coffee segment, the brand is seeking passionate franchise candidates
looking to expand their business portfolios with an established coffee concept, as
well as to present those who are new to
franchising with an opportunity to succeed in the booming specialty coffee industry.
“With nearly 25 years of experience in the specialty coffee segment, we’ve developed a formula for success enabling our franchise partners to thrive. We’re targeting markets where customer demand for exceptional specialty coffee is high, and we’re confident the unique experience that It’s A Grind offers will do very well in the greater Phoenix area,” said Laina Sullivan, RFG’s Director of Franchise Development. It’s A Grind is a neighborhood destination serving high quality signature coffee in a comfortable, relaxed atmosphere, and features an innovative mix of menu
items, including flavorful hot beverages, refreshing Ice Blended drinks and more. The brand sources 100% of its coffees from exotic locations across the globe, with every bean roasted in its Southern California headquarters, which includes a test kitchen for ongoing R&D, and a complete roasting and processing facility managed by the company’s fulltime master roaster. To learn more about It’s A Grind’s franchise opportunities and what makes it a standout concept in the competitive specialty coffee segment, visit www.itsagrind.com/franchise.
I Love Juice Bar Debuts New Fall LTO: “Save the Pumpkins” I Love Juice Bar is launching an initiative this Autumn to save the pumpkins. The premium fresh juice franchise, already known for delicious, healthconscious juices, smoothies, smoothie bowls, juice shots and food, will be adding two all-new fall-inspired drinks to its menu beginning September 24th. Available for a limited time, its Autumn Spice Smoothie and Ginger Spice Juice deliver all the fall flavor consumers love, but without the stuff they don’t. And as a twist, the spiced creamy smoothie and bold spice juice are handcrafted without pumpkin. Thousands of pumpkins will be spared this fall as I Love Juice Bar encourages consumers to “Save the
Pumpkins. Drink A Smoothie or Juice.” I Love Juice Bar uses only 100% whole fruits and vegetables, with no added sweeteners, syrups or artificial ingredients of any kind, freshly made to order. In addition to the two new drinks, I Love Juice Bar will feature its incredible lineup of full flavored soups, including the popular vegan Black Bean Soup. These menu offerings will be sure to warm up guests through the cold months and offer just another reason to visit I Love Juice Bar. About I Love Juice Bar -- Founders John and Vui Hunt started the first I Love Juice Bar as a gathering place for healthminded customers: people who appreciate fresh-made juices and smoothies
made with local ingredients, as well as gourmet vegetarian fare, in a convenient environment. The business boomed from the start, and the franchise will soon have more than 50 locations in 15 states. For more information contact info@ilovejuicebar.com.
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 23
foo d FR A NCHSI NG FE AT U RE - pa rt 1
what’s new! Plant Power Fast Food Opens Third Location in Redlands Plant-Based Restaurant Continues its Aggressive Growth Plans in the Trendy Redlands Packing House District Plant Power Fast Food, a plant-based fast food chain founded by Mitch Wallis, Zach Vouga and Jeffrey Harris, expanded to the Inland Empire with its first franchised location in Redlands, California. The location is in the Redlands Packing House District complex, which is located just off Highway 10 and at the gateway to Historic Downtown Redlands. The Sprouts-anchored, 88,000 sq. ft. Packing House District complex is being billed as the Inland Empire’s “culinary marketplace” in that tenants are curated based on the quality of products and services as well as if they meet a health and wellness purpose. The first Plant Power Fast Food restaurant opened in 2016 in San Diego, California and quickly become a favorite with the local community. A second location opened in Northern San Diego in 2017 and the chain is set for rapid expansion with two more openings slated for fall of 2018 along with aggressive growth plans in 2019. Plant Power Fast Food offers a 100% plant-based menu, joining the flourishing business of plant-based chain restaurants. The marked determination to change the fast food space is evident. Co-Founder and CMO, Jeffrey Harris, states “Everyone loves the taste and convenience of fast-food, but the present fast-food model based on animal agriculture is wrecking our health and our beautiful planet.” He further laments, “We’re committed to offering better choices for those who desire quick, tasty and convenient food.” For locations, menus and other details, visit plantpowerfastfood.com.
Franchising USA
Sandra Lee and KitchenAid Go Pink with Valpak in Support of Susan G Komen Valpak, one of North America’s leading direct marketing companies, announces the launch of a powerful collaboration that turns the spotlight on the fight to eradicate breast cancer. In partnership with Susan G. Komen® (Komen), KitchenAid® and renowned television chef and breast cancer survivor Sandra Lee, Valpak has turned its iconic blue envelope pink in support of the 1 in 8 women who will develop breast cancer at some point in her life and the countless loved ones affected by the disease. Highlighting Sandra Lee as a breast cancer survivor, advocate for women’s health and a Komen More Than Pink Hero, the campaign launched on September 25th and also presented a related sweepstakes campaign that recognizes and celebrates the heroes who’ve taken action in the fight against breast cancer. The sweepstakes campaign invites consumers throughout the month of October to nominate a hero and share how they are making an impact in the fight against breast cancer. Twenty-five lucky winners will receive the KitchenAid Cook for the Cure collection of pink appliances which includes a stand mixer, blender, immersion blender and hand mixer. The Valpak October delivery will also feature a special surprise for 500 consumers, who could instantly win a KitchenAid immersion blender just by looking through their specially marked Valpak envelope. For more information, please visit www.valpak.com/komen.
Curry Up Now Finalizes Multi-Unit Franchise Deal to Expand into New Jersey next six months. The New Jersey outposts will be the first for the brand in the Northeast, joining more than 50 franchised units in development around the country.
“The creativity and unique essence of the brand is what impressed me the most when I first discovered Curry Up Now. They not only pay attention to the taste of the food, but also how it is presented, and that is something that isn’t available on the East Coast yet,”
said Benjamin. “I am thrilled to start this venture with Curry Up Now and am proud to be bringing the brand’s creativity, passion, and food to future fans across New Jersey.”
Curry Up Now was founded in 2009 by husband and wife duo, Curry Up Now, the largest and fastest growing Indian fast casual concept in the United States, has finalized a multi-unit franchise deal to bring its innovative Indian eats throughout New Jersey. Franchisees Pritesh Benjamin and Tejavsi Patel plan to open Curry Up Now locations in the Central and Northern parts of the state, with sights set on opening their first location in the
Akash and Rana Kapoor, and ably supported by co-founder and Senior VP of Operations Amir Hosseini. In the last year alone,
Curry Up Now has been featured in QSR’s 40 Under 40, Nation’s
Restaurant News’ 2018 Breakout Brands, and was listed as #38 in Fast Casual’s Top 100 Movers & Shakers. For more information, visit www.curryupnow.com/franchise.
Chicken Salad Chick to Open 1st Restaurant in Oklahoma and 17th in Florida Chicken Salad Chick, the nation’s only southern inspired, fast casual chicken salad restaurant concept, recently announced the openings of its newest franchised locations in Pensacola, Florida and Broken Arrow, Oklahoma. Located at 5050 Bayou Boulevard, the Pensacola restaurant opened on September 19th and marked the brand’s third location along the Florida Gulf Coast and 17th location in the state. Owned by veteran franchisees Tommy and Stephanie Lauderdale, the new restaurant features a variety of dining options including a drivethru, takeout and catering. “We’ve been eager to open a Chicken Salad Chick in Pensacola and are excited to welcome more residents into our Chick family,” said Stephanie. Additionally, Chicken Salad Chick celebrated the opening of its first restaurant in Oklahoma. Located in the Tulsa area at 1320 East Hillside Drive in Broken Arrow, the new restaurant opened on September 20th and is owned and operated by first-time Chicken Salad Chick franchisee Molly Robinson. Previously a multi-unit operator of McDonalds, Robinson is an industry veteran with more than 18 years of experience in restaurant management. “Expanding into a new state is a testament to our aggressive
development efforts and widespread brand appeal,” said Scott Deviney, CEO of Chicken Salad Chick. “Oklahoma’s thriving business community continues to evolve to not only meet the needs for local businesses, but the needs and desires of the surrounding consumers as well. We are thrilled to be opening in Broken Arrow and are excited to welcome new franchise owner Molly Robinson to our team.” For more information on franchising opportunities, visit www.chickensaladchick.com/franchising.
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 25
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Featu re
b y G i n a G i l l Fr a n c h i s i n g U S A
food feature part 1
of Americans easier and even more delicious. According to Franchise Direct, “69% of adults said purchasing meals from take-out and delivery restaurants makes it easier for families with children to manage their day-to-day lives.”
In the last decade food has taken on a whole other dimension. Between Millenials seizing the moment and enjoying dinner out more often than their parents did and social media accounts competing for the best presented dish, food is a whole new business market. Franchising USA
Food delivery used to be limited to pizza joints, but business models like uber eats has redefined the industry. People want choice and they want immediacy and the food business has responded tenfold. The advancements in communications and technology has made the market more vulnerable and more competitive, while also offering a free marketing platform. Hidden gems have gained a lot of momentum through hashtags and shares without paying a cent. This has not only been a benefit to the small niche of local restaurants, but it also has created new franchises opportunities. Consumers’ needs changed the food franchise for the better to make the lives
People are now willing to pay for convenience, and a service that saves time, plus they are looking for a lot more choices. We all like to have some added flavour in our lives and when it comes to food, the choices are endless. They want it all and they want it brought to them, in a timely manner.
Takeout and Delivery First up on the franchising list is a service providing exclusive takeout and delivery services rather than a full scale restaurant. A benefit to this type of franchise for the investor is definitely the low startup fee. Compared to other food franchises, this one comes at a relatively low cost. There isn’t much serving staff nor location feesm but
“When it comes to comes to business opportunities in the food industry, the world is your oyster.” mainly food preparation. For those who are interested in a business opportunity rather than a customer experience, this would be the better option. A franchise is a great choice for this type of business because it would be well branded and well known. With a menu that is already familiar and enjoyed by the public, franchising is an easier sell than a unique start up. It’s a easy work life balance with a business plan that runs itself. A franchisee wouldn’t have to participate in the function of the business, unless under emergency circumstances. For an easy new business in the food industry, this would be a safe and successful choice.
Restaurants A restaurant is also worth consideration when looking at food franchises. However, nowadays there is a lot of competition with small businesses in this area. More unique and local restaurants are popping up more often and well-received by the public. People enjoy a variety of services and atmospheres and appreciate a different experience, instead of a bulk product. That being said, franchise restaurants have responded to the new consumer demands and chave created new atmospheres with a different aesthetic that feels like a completely unique and upscale experience. For those interested in a restaurant, it’s best to research many different layouts and designs when considering an investment, as well as a review of the menu to get a feel for the place. Even though local restaurants are a competitor, franchises are well known to many consumers and the brand and menu is familiar and appreciated, making for an easy profit.
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 27
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Featu re
b y G i n a G i l l Fr a n c h i s i n g U S A
“When it comes to franchising, the food industry is endless. Like the many tastes of Americans, so too are the choices in business opportunities.”
Franchises restaurants have a template that is tried and true, with great training and
support that is a recipe for success. A long standing restaurant franchise can pretty much run itself. The marketing is well
done and taken care of and advertisements are placed without any worry for the franchisee, giving a leg up on the competition.
Ask the marketing team what the social media and advertising plan is for the upcoming years; it’s important that
Franchising USA
the restaurant reaches all ages and demographics. It’s important to look at the many services offered by the restaurant. Does it have a delivery service? If som are you responsible for such a service or can it be taken care of by an outside vendor? Are there any extra curricular activities within the restaurant, such as children’s parties or meeting rooms? What’s on the menu? People have recognized a lot more dietary needs
nowadays. There are a lot more palates to please than ever before. Are there gluten options? Are allergies considered? And what about vegan and vegetarian plates? The more preferences you cover, the more mouths that can be fed! Is there alcohol on tap? Having wine and beer options increases profit and a different type of audience. People appreciate a drink menu, and the restaurant could become more of a bar venue in the evenings. However, it depends on what a franchisee is looking for long term. A restaurant franchise can’t be narrowed done to one simple choice; it’s truly dependable on the franchisee, their goals and interests.
Desserts and Coffee A smaller scale food option is the coffee house. A great opportunity for those interested in the food industry but find the restaurant life too busy and take out only service a bit too impersonal. Coffee houses are the place to be and have been for awhile now. You can lounge and work from your laptop while surrounded by desserts and coffee, making for a great experience or meet friends for a gathering or even a work meeting. Some franchises are competing with local houses, which have gained some momentum in the last few years. There also seems to be a coffee franchise on every street corner, which makes nailing down a location difficult. A land survey of interested areas would be a good idea as a first step. Sweep the land and then ask yourself what you would like to bring to the table as a franchisee of a coffee house. While the marketing and support would be well established with most franchises, what’s the atmosphere like? Are small meals served ? Do you cater to the many dietary needs of everyone? Is it high end or family friendly? Similar to a restaurant franchise, it’s wise to take time and really look at what the pros and cons of each option are for you as an investor. Start with your own goals and move on from there. When it comes to franchising, the food industry is endless. Like the many tastes
of Americans, so too are the choices in business opportunities. Food will always create a profit, because everyone needs it. However, now more than ever the industry has been completely redefined by the public: more choices, with more considerations for sensitivities, as well as a unique atmosphere. Although aesthetics is important, the American family is also privy to
convenience. At the end of the day, everyone is hungry, tired and cooking a big meal or heading to a restaurant can be exhausting. People want the luxury of restaurant meals, but don’t always want the experience. In 2009, an NDP Group study stated that the number of restaurant meals eaten at home would grow 20% in the next decade. More restaurants offer a lot of options, whether it be delivered, picked up or even an outside vendor bringing an experience to consumers right to their home. Franchisees simply need to survey the area and really consider what type of food franchise suits them and their lifestyle, then speak to other franchisees and narrow down their options. When it comes to comes to business opportunities in the food industry, the world is your oyster.
ABOUT THE AUTHOR: After receiving an English Degree, followed by a Journalism Diploma, Gina Gill became a freelance journalist in 2008. She has worked as a reporter and in communications, focusing on social media. She currently works as a community information officer with Epilepsy Society, while pursuing her writing career at the same time.
Franchising USA
busin foo ess au d tomot serv FR Aices NCHSI i v e FRNG A NCH FE AT ISIUNG RE FE - pa ATrt U RE 1
Page 29
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Josh Allen, Director of Marketing, Location3
Restaurants & QSRs
How to Capitalize on ‘Near Me’ Searches and Increase Revenue According to Deloitte, roughly $3.7 trillion dollars are spent annually on consumer purchases in the United States. However, only 8% of that is spent on e-commerce, indicating that the clear majority of consumer purchases still happen inside brick-and-mortar businesses. In many cases, when consumers are
Franchising USA
looking for products and services that they intend to purchase either immediately or at least within 24 hours they often conduct research on mobile devices and search for a specific product or service – while not necessarily searching a particular brand name or business. For restaurants and QSRs, an opportunity exists to drive incremental revenue from brand-agnostic consumers searching for things like “best burger near me” or “family restaurant in Denver”, if their websites and local business profiles on places like Google My
Business are optimized for visibility. Let’s look at a few key tactics that franchise locations can focus on right now to increase their chances of appearing for “near me”-related searches and send more customers through their front doors.
Being Mobile-First Google data indicates that of people who search for something nearby on their smartphone visit a related business within a day, and 28% of those searches result in a purchase. When it comes to “near
me”-related searches, Google has also seen growth in this area of more than 150% on mobile searches in the last two years alone. For restaurants and QSRs, ranking well in mobile search results and being visible to potential customers searching on mobile can be the difference between a sale or lost opportunity. Optimizing your website or franchise microsite to rank well in mobile results is even more critical today than ever before, as your mobile site performance has a direct impact on how you rank for even desktop searches. Your site should be built using responsive design elements, allowing the content to adjust properly to any screen size, and should also include key technical markup like “local schema” that indicates your site represents a physical business location to search engine crawlers. From a user experience perspective, it’s also important to consider the action you want a potential customer to take when they find your site; do you want them to call your business to make a reservation? Do you want them to find dining and menu options easily? Is there an offer that should be featured prominently on the homepage, enticing customers to visit your location? Ranking well in mobile searches is certainly critical to performance but ensuring consumers can find the information they seek with ease using your site has the potential to convert more customers in-store. Because Google dominates the search engine market, optimizing for performance in Google (and for mobile Google searches) should be your website’s top priority.
Google My Business as the “New Website” To capture more customers searching for “near me” terms related to your QSR location or products, it’s also important to consider Google My Business as an extension of your website. When mobile users search for local business information on Google Search or Maps, the results are often displayed in what is called the Google Knowledge Graph. This information can contain key business details such as address, phone number, hours of operation, business photos and much, much more. As Knowledge Graph features continue to evolve and
expand, there becomes less of a need for consumers to visit your own brand or franchise website because customers can find all of the information they need to make a purchasing decision without ever leaving the Google interface. One key local search ranking factor is a user’s proximity to your business, which is determined by a combination of their physical location and your business profile in Google. Ensuring your Google My Business profile is accurate in detail and complete with robust Knowledge Graph information about your restaurant can dramatically increase your chances of being found by a customer using a search like “____ near me”. Take advantage of options like Google Menus and GMB Posts, and always be sure to engage with your customers on Google Reviews. As more and more users turn to Google My Business as a source of truth for information about franchise restaurant locations, it’s imperative each and every one of your franchise profiles on GMB is routinely optimized and updated under comprehensive management by real people.
In Summary Ranking well for “near me” searches related to your business can have a significant impact on your bottom line revenue as a franchise owner – especially when it comes to connecting with customers on mobile devices. By having a mobile-friendly website for each of your franchise QSR locations
Josh Allen
and managing your Google My Business franchise profiles with consistent content updates, you can give your business more opportunities to capture a customer looking for a product or service in their immediate vicinity when their purchase intent is at its highest. As Director of Marketing, Josh Allen is responsible for planning, developing and managing Location3 and LOCALACT brand strategies, with a focus on establishing new business partnerships among franchise systems and multilocation brands. He also works with Location3 client partners to establish key initiatives for increased franchise engagement and growth. He is an active member of the International Franchise Association and has previously been featured by the American Marketing Association, Franchise Update Media, MediaPost and more discussing franchise digital marketing strategy. www.location3.com/franchise-digitalmarketing
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 31
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Expert Advice: Christopher Conner, President of Franchise Marketing Systems
Food Franchises: Everyone’s Gotta Eat As one walked up the isles of the franchise gathering, the majority of the exhibitors in attendance were in the food service business. So many franchise systems focus on the food service category and it seems that the franchise buyer can’t get enough of the tasty franchises available not only in Toronto, but around the world.
Chris Conner
At the Toronto franchise exposition this past weekend, the franchise expo could have as easily of been a restaurant exposition showcasing restaurant products and brands. Franchising USA
My role with Franchise Marketing Systems is to sometimes help people find the right franchise and choose an investment that might fit their particular interests and goals for a franchise investment. So often, the interaction starts like this: “Mr. Conner, what’s the best franchise to invest in?” My responses vary, but follow the same track: “You need to evaluate what you would like to accomplish and what you like to do day to day before you can answer that question.” Food service franchises are notorious for investors jumping too quickly because they enjoy the product, love the taste of the sandwich and then get into a business only to find they don’t enjoy working in food service.
The reality is that food service businesses and franchise systems can many times be some of the toughest businesses to operate in the world and require intense, rigorous commitment to the business model. So what food service franchises do make sense? Someone’s making money in food service franchising, we see new brands pop up all the time and locations grow out of the ground in what seems like an instant. For one, the good food service franchises are generally very simple. If you need to be a seasoned food service professional to run the franchise, probably won’t work when you transition from your 9-5 office job. Good franchises have trimmed down menus, simple operating procedures and a business model that can be taught to anyone who is capable and willing to listen. Think Dunkin Donuts, Subway, Jersey Mike’s or some new brands like Gourmet Romano’s Pizza, Hummus Republic or Green District Salads. These are brands that were designed for scale and allow a food service franchisee to
“Great food service franchises have compelling brands that stand for something different and make an impact.” get into business as efficiently, easily and smoothly as possible. That doesn’t mean there isn’t hard work associated with a successful ramp up, but it does mean that the franchisee has a good shot to duplicate the business model. Great food service franchises have compelling brands that stand for something different and make an impact. Franchises that just state the obvious, “We Sell Hotdogs” just don’t cut it any more. Today’s consumer wants something cool, cutting edge and visually appealing. The brand needs to be sharp, the store design crisp and the overall feel should be cool. If you are like me, you probably don’t know what is cool, but it will feel right, like something that young people would be attracted to. Green District, Hummus Republic and Gourmet Romano all have looks, atmosphere’s and character that is appealing to today’s growing younger consumer base. They each boast themes that are relevant to today’s consumer as well, healthy, quick, high-quality and FUN. Make sure that the food you are selling is profitable. There is a term in food service franchising that we use at Franchise Marketing Systems often when developing operations manuals and evaluating concepts – Menu Costing. You should know what every item on the menu costs you as the food service franchise owner and make sure that the price you sell it for is more than the cost; generally a good principle in business! Hopefully, the franchisor has done this work for you and can show you how the numbers add up so that you aren’t digging yourself a hole with every transaction you make. In addition, by knowing what the most profitable
“Today’s consumer wants something cool, cutting edge and visually appealing. The brand needs to be sharp, the store design crisp and the overall feel should be cool.”
items on the menu are, you can adjust your interaction with the customer and suggest things that are more profitable to the customer. At it’s core, a food service franchise is still comprised of numbers; if you know the financials, it’s easier to make money in the business. The reality to it all is that food service can be a great business; it just takes approaching the industry segment logically and without being driven by emotional decision making. “I like the sandwich, so I bought the franchise” doesn’t work well when looking for reasoning to invest in a food service franchise. Christopher Conner is the President of Franchise Marketing Systems
and has spent the last decade in the franchise industry working with several hundred different franchise systems in management, franchise sales and franchise development work. His experience ranges across all fields of franchise expertise with a focus in franchise marketing and franchise sales but includes work in franchise strategic planning, franchise research and franchise operations consulting. For more information on how to choose the right food service franchise, contact Chris Conner at Chris.Conner@ FMSFranchise.co.m www.fmsfranchise.com
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 33
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Expert Advice: Mary Jane Riva, CEO, Pizza Factory
Be Bold: Why Taking a Stand Can
Strengthen Your Brand “As leaders, we have an undeniable, powerful opportunity to make a difference through our words and actions—so make sure you’re standing for something.” stand and how, here are three reasons why being bold can end up strengthening your company:
Support Your Mission Mary Jane Riva
Risky. Bold. Purposeful— three words that describe the most successful brands today. If you’ve thumbed through Instagram posts or watched television ads lately, you’ve likely noticed that the content is more authentic. To bolster the public’s trust and appear more human, companies are finding unique ways to be socially conscious and support initiatives that aim to make the world a better place. Nowadays brands have the opportunity to use their power and influence to stand for something or stand for nothing. If you’re wondering why your brand should take a
Franchising USA
Whether you’re hosting a company-wide donation drive for a national charity or publically commenting on a hot button issue, these authentic actions will help position your company as socially responsible and supportive of community endeavors. Plus, when you align your actions with a cause that’s reflective of your company values, it’ll further support your brand mission. If you’re wondering where to start, reflect inward on your founding principles for inspiration and creative opportunities to make a difference. At Pizza Factory, we pride ourselves on being the go-to neighborhood spot for families and friends. As a brand, we dubbed our family-friendly restaurants No Bully Zones, meaning we don’t tolerate bullying on our property— and this is
message is printed everywhere. We even print tips on how to deal with bullies and uncomfortable situations on our napkins and uniforms. When you acknowledge bullying head-on by not allowing it to happen, everything changes and that’s why we’ve made it a standard across all of our locations. We do our best to make sure our managers, hourly staff and the rest of our teams are on the same page when it comes to treating others with respect, and the best way to do this is through new employee orientation and training. Beyond the anti-bullying aspect, our larger message is strongly tied to a better treatment of other through kindness and acceptance. It’s our hope that by setting an example with our positive teams and our No Bully Zone policy, that we can always be the go-to for families and communities looking to relax and grab a bite to eat.
Engage With Community Besides reinforcing your company’s
“Being bold and voicing your opinion on important matters can be an effective way to strengthen your brand and open the door for a deeper, emotional connection with your customers.” core values, taking a stand on societal issues (when appropriate) can be a great opportunity to interact with your fans and potential customers. In fact, nowadays, people want brands to speak out—a 2018 study by Cone/Porter Novelli found that 71% of Americans expect companies to connect with them emotionally on issues that matter to them personally. For Pizza Factory, the signage, napkins and other messaging about the No Bully Zone prompt a lot of questions from our guests, which is great because we’re able to open up a conversation with them about the issue. And, it’s our hope that the conversation continues around the table when we walk away. After implementing the No Bully Zone, we’ve heard guests say they feel more comfortable dropping kids off with their friends knowing they’re in a welcoming and positive environment. But the No Bully Zone is not only awesome for guests, it’s also great for employees. Mentorship is a huge part of career development at Pizza Factory. So,
when we hire younger adults and students, we view it as an opportunity to positively shape and influence a person. It’s our hope that all of our employees are inspired by our No Bully Zone and that they take those values with them wherever they are.
Make a Difference Considering the amount of public influence a brand has, it’s most important to consider the effect our actions can have on the world. I’ve had several employees come forward and express that seeking employment with Pizza Factory was partially due to the antibully atmosphere, which is awesome. We even had one staff member make a video about the No Bully Zone covering their volunteer work. For our most recent initiative, we’ve been donating “Friends are Awesome” benches as a way to extend our antibullying message into the schools. We personally travel to different Pizza Factory markets, visiting elementary schools to
present them with a symbolic bench and to speak to the importance of friendship and inclusion when the kids are at an impressionable age. In the end, being bold and voicing your opinion on important matters can be an effective way to strengthen your brand and open the door for a deeper, emotional connection with your customers. As leaders, we have an undeniable, powerful opportunity to make a difference through our words and actions—so make sure you’re standing for something. Mary Jane Riva is the CEO of Pizza Factory. Founded 30 years ago, the brand has become well known for serving fresh, high-quality pizza, sandwiches, salads and more. Pizza Factory brand is also widely recognized for its close community connection, which includes its iconic “No Bully Zone” program and impactful fundraising partnerships. pizzafactory.com
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 35
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Expert Advice: Ed Yancey, Director of Franchising, PizzaRev
How to Choose a Franchise That Will
Stand Out from Competition “A brand’s customer service reputation is integral to establishing long-lasting customers, so you want to be certain the brand you’re investing in is committed to choosing the right franchisees to build and maintain that reputation.” While these are essential to running a business in today’s environment, they are not especially unique and won’t make the consistent impact on your bottom line that you’re after.
Ed Yancey
There are many tactics successful fast-casual restaurants use to distinguish their locations from competitors, including state-of-the-art technology designed to save time, strategic marketing to reach customers across touchpoints, and menu innovation to keep guests interested in your product. Franchising USA
To truly move the needle, do what many fast-casual restaurants have overlooked in today’s fast-paced environment: the customer experience. In an era of on-thego lifestyles and quick in-and-out service, putting extra effort towards guests takes a back seat to racing toward the next task. Sometimes going back to the basics is just what a business needs to stand out in a crowded field. Marketing and technology will surely build brand awareness and bring convenience to customers, but creating an unmatched customer experience is what will keep those customers coming back and sharing every welcoming interaction with other potential customers.
What to Look for in Franchisors Identify the Right Brands Early On When you begin exploring potential franchisors to partner with, you’ll want
to make sure you’re aligned with their brand’s approach to customer service. Remember, a brand’s customer service reputation is integral to establishing long-lasting customers, so you want to be certain the brand you’re investing in is committed to choosing the right franchisees to build and maintain that reputation. One way to do this early on is by analyzing the questions they ask you. Do they dig deep into your values and your approach to customer service? Are you being asked about your commitment to the community, and how you plan to engrain your business locally? Are They Committed to Your Success? As you get further into your selection process, make sure that any potential franchisors you are considering will be dedicated to empowering you to run the most profitable business possible. Do they provide ample customer service training sessions? Are continued education courses on customer experience best practices available? Do they provide you with resources dedicated to online reputation management? Do they provide
“To truly move the needle, do what many fast-casual restaurants have overlooked in today’s fast-paced environment: the customer experience.” a Franchise Business Consultant and/or an internal customer relations representative? Providing you with the right resources to build a business that is committed to customer service should be a top priority for potential partners, so make sure you ascertain that commitment ahead of making your investment.
Implementing Best Practices After Opening Educate Your Employees Teaching employees the importance of customer service and how to approach it early on will get them off to a strong start. Customer service is much more than smiling and greeting guests. It is making each person’s experience a positive and memorable one, whether that means kindly answering questions, addressing concerns, educating customers on products or services, and getting to know your customers on a personal level. Things as simple as positive speaking, gestures and body language make staff members appear approachable. If a customer walks in and sees an employee sulking or complaining to another coworker, they are not as likely to approach said worker – and ultimately could ruin the entire experience for the customer. It may sound elementary, but it is absolutely crucial to treat each guest with respect and as a priority, which is why one of the most important skills a franchisee can teach their staff is patience. Customers will appreciate an employee that helps them with any inquiry, no matter how large or small, and will be more likely to give repeat business if interactions with staff are positive.
Implement Daily Continuous Training
struggling to maintain your customer service standards, let them know.
It has been proven time and time again that good habits fade over time, so continuous training on effective customer service practices is essential. Refreshing the staff on these tactics on a regular basis can keep the previously stated tips top of mind.
Of course, hospitality and customer service are the bedrocks of any business, and they are paramount in the dining segment. Implementing customer service excellence into the everyday practices of your franchise will not only make employees stronger assets, it will improve the reputation of your business locally and drive new and repeat business – setting you apart from your competition.
For example, if you run a fast-casual restaurant, keep some kind of signage behind the counter in employees’ line of sight reminding them to smile. The sign could also include a few greeting phrases. You can also keep posters around the workspace showcasing the company’s values and reminding employees why they are there: to serve a purpose and provide exceptional hospitality. It can also be effective to warm-up each employee at the start of a shift. Not only can management get them up to speed on daily promotions and other information, they can also give them a new customer service tip each day. Finally, address issues with your staff head-on. If an employee has been
Ed Yancey, director of franchising for Cleveland Avenue, parent company of PizzaRev, brings more than 20 years of franchising experience to PizzaRev. PizzaRev is a “build-yourown” fast-casual pizza concept that has revolutionized the way America eats its favorite food. They accomplish this by allowing guests to watch their personalsized pizza being crafted right before their eyes, then firing it in their custombuilt 900 degree, stone-bed oven. pizzarev.com/franchise
Franchising USA
foo d FR A NCHSI NG FE AT U RE - pa rt 1
Page 37
,)* $ 'LIIHUHQW )UDQFKLVH $SSURDFK ,)* $ 'LIIHUHQW )UDQFKLVH $SSURDFK ,)* $ 'LIIHUHQW )UDQFKLVH $SSURDFK $V D )UDQFKLVHH $V D )UDQFKLVHH $V D )UDQFKLVHH ‡ :RUN LQ D PDWXUH ILQDQFLDO VHUYLFH DUHQD ‡‡ :RUN LQ D PDWXUH ILQDQFLDO VHUYLFH DUHQD :RUN LQ D PDWXUH ILQDQFLDO VHUYLFH DUHQD ‡‡ :RUN IURP D KRPH EDVHG HQYLURQPHQW ‡ :RUN IURP D KRPH EDVHG HQYLURQPHQW :RUN IURP D KRPH EDVHG HQYLURQPHQW
Â&#x2021;Â&#x2021; %H SDUW RI D \HDU ROG LQWHUQDWLRQDO RUJDQL]DWLRQ Â&#x2021; %H SDUW RI D \HDU ROG LQWHUQDWLRQDO RUJDQL]DWLRQ %H SDUW RI D \HDU ROG LQWHUQDWLRQDO RUJDQL]DWLRQ Â&#x2021; <RXU JURZWK FRPHV IURP KHOSLQJ \RXU FOLHQWV JURZ <RXU JURZWK FRPHV IURP KHOSLQJ \RXU FOLHQWV JURZ Â&#x2021; <RXU JURZWK FRPHV IURP KHOSLQJ \RXU FOLHQWV JURZ Â&#x2021; &RQGXFW EXVLQHVV RQ \RXU RZQ WLPHWDEOH &RQGXFW EXVLQHVV RQ \RXU RZQ WLPHWDEOH Â&#x2021; &RQGXFW EXVLQHVV RQ \RXU RZQ WLPHWDEOH :RUN DQ\ZKHUH QR WHUULWRU\ Â&#x2021;Â&#x2021; :RUN DQ\ZKHUH QR WHUULWRU\ Â&#x2021; :RUN DQ\ZKHUH QR WHUULWRU\
9LUWXDOO\ QR SDSHUZRUN IUDQFKLVRU KDQGOHV DOO GD\ WR GD\ SDSHUZRUN Â&#x2021;Â&#x2021; 9LUWXDOO\ QR SDSHUZRUN IUDQFKLVRU KDQGOHV DOO GD\ WR GD\ SDSHUZRUN Â&#x2021; 9LUWXDOO\ QR SDSHUZRUN IUDQFKLVRU KDQGOHV DOO GD\ WR GD\ SDSHUZRUN 1R FROG FDOOLQJ ± WHOHPDUNHWLQJ DGYHUWLVLQJ RU GLUHFW PDLO Â&#x2021;Â&#x2021; 1R FROG FDOOLQJ ± WHOHPDUNHWLQJ DGYHUWLVLQJ RU GLUHFW PDLO Â&#x2021; 1R FROG FDOOLQJ ± WHOHPDUNHWLQJ DGYHUWLVLQJ RU GLUHFW PDLO Â&#x2021; 6WDUW ZLWK D PRGHVW ZRUNLQJ FDSLWDO DQG JURZ DW \RXU RZQ VSHHG
Â&#x2021; 6WDUW ZLWK D PRGHVW ZRUNLQJ FDSLWDO DQG JURZ DW \RXU RZQ VSHHG Â&#x2021; 6WDUW ZLWK D PRGHVW ZRUNLQJ FDSLWDO DQG JURZ DW \RXU RZQ VSHHG
:H EX\ LQYRLFHV WR DFFHOHUDWH RXU FOLHQWV FDVKIORZ :H EX\ LQYRLFHV WR DFFHOHUDWH RXU FOLHQWV FDVKIORZ :H EX\ LQYRLFHV WR DFFHOHUDWH RXU FOLHQWV FDVKIORZ :H GR QRW OHQG PRQH\
:H GR QRW OHQG PRQH\ :H GR QRW OHQG PRQH\ *HW D IUHH HERRN
*HW D IUHH HERRN IFGfranchise.com *HW D IUHH HERRN
IFGfranchise.com Gfranchise.com
)RU 0RUH ,QIRUPDWLRQ &RQWDFW 'DYLG %DQILHOG 3UHVLGHQW )RU 0RUH ,QIRUPDWLRQ &RQWDFW )RU 0RUH ,QIRUPDWLRQ &RQWDFW (PDLO LIJ#LQWHUIDFHILQDQFLDO FRP 'DYLG %DQILHOG 3UHVLGHQW
'DYLG %DQILHOG 3UHVLGHQW (PDLO LIJ#LQWHUIDFHILQDQFLDO FR