A BUSINESS AND INNOVATION CASE STUDY BY WILL BAMBER
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BURGERFUEL store front
BURGERFUEL - NEW ZEALAND’S INSPIRATIONAL ANSWER TO FAST FOOD New Zealand is fast becoming a well-known nation that nurtures innovative start-up businesses that not only thrive on our own soil but also on a world stage (Why Design Matters, 2014).The successful businesses that thrive on a world stage spot an opportunity in the market and implement business models that allow them to develop their offerings and engage their customers as if they are part of the journey. BurgerFuel Worldwide Limited is just that. Redefining the meaning of fast food, BurgerFuel has found a niche in the industry, specializing in providing customers with gourmet burger experiences. Their innovations in the industry have led to the company flourishing not only here in the local market but now internationally as they begin to expand their empire internationally and in doing so, becoming an inspiration to future start-up companies. Founded by Chris Mason in 1995, BurgerFuel has slowly evolved from what was initially only a concept store on Ponsonby road (Our History, 2014) to a rapidly growing restaurant empire with over 55 stores in New Zealand, Australia and the Middle East with extensive expansion on the not so distant horizon. Mason’s business model was to finally serve New Zealanders with a healthy alternative to the “dirty old burger”, providing customers with trusted 100% home-grown and fresh ingredients all delivered within an exciting environment. Mason effectively identified two niche’ market factors that form the basis for a successful business model; identifying the customer and understanding what they
want (Clark, Osterwalder, & Pigneur, 2012). It was such an innovative take on the fast food concept, which in terms of sustenance is proven to be of lower nutritional value to that of restaurant quality food (Laufer-Cahana, 2013), that the company’s product offering and business model actually distanced itself from the fast food multinationals such as Burger King, McDonalds, and Carl’s Jnr etc. Burger Fuel established a new distinguishable market of healthy restaurant quality burgers with the same service efficiency of its fast food counter parts, delivered in a revolutionary environment. This meant that BurgerFuel had a true fighting chance in gaining a “share of stomach” within New Zealand culture. “Engineering the Perfect Burger” was only the beginning for the company and in no way did it guarantee a successful business story, it was one of the ingredients though. It had to be more than a supply and demand offering, the BurgerFuel burger had to come with an experience that could inspire a cult following. So when the Ponsonby store opened, customers were met with a bombardment of what it meant to fuel your body the right way, with the BurgerFuel burger. Flames and sleek design lit the desire of customers to “fuel and fire the human engine” (Our History, 2014) and this experience remains to this day. For need of an analogy for this unique customer experience, “the stores are our temples and the burgers are our religion.” (Our Company 2014). COUNTINUED
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BURGERFUEL’s enviro-chair
Above anything, what sets BurgerFuel apart is the genuine passion and excitement for the products, promotions and people; this is all part of what forms the Burger Fuel brand values. Cementing this further is the company’s commitment to remain true to their model and these values, regardless of their international expansion and development. Proof of this resides in BurgerFuel’s endeavours into the Australian and Arabic markets where being true to their business model has paid dividends with a great amount of franchise interest being generated around their 100% New Zealand naturally grown and halal quality meats which have played a particularly important role in the successful integration into the middle east market. By refusing to compromise quality in any aspect of the business from product offerings down to specific store locations, BurgerFuel ensures the integral story behind the business does not dissolve with their expansions. This meticulous application of original and core business values, allows a trust and consistency to be established between the brand and customer. By identifying the worth in remaining true to their original business model, BurgerFuel can develop a rapport with their customers which is truly innovative for the market and inspirational to future start-up businesses. BurgerFuel’s compulsion for innovation throughout their business led them to redesign vital aspects of how they operate and deliver to their customers. In 1999 and with only two stores operating, BurgerFuel completely revolutionised casual fast food kitchen design with their own modern and sleek interpretation that demanded no compromise in quality, efficiency or style (Our History, 2014); all in the mission to align all aspects of the business with the their core values and business model.
Other well documented product innovations also include the iconic ‘Doofer’ which acts as a simple solution to the famously large and juicy burgers falling apart during consumption. It’s such a clever and obvious solution to a commonly over sought problem that it’s almost difficult to believe that no one thought of it earlier. Within these product based offerings, BurgerFuel strives for new alternatives to remain environmentally responsible in all that they do. Whilst facilitating the currently on-going “envior-mental” campaign, BurgerFuel encourages customers to enforce eco-friendly design and consumption via their own sustainable products. Their flagship innovation was their in house designed, 100% recycled and recyclable eco-chairs which are now distributed throughout the majority of the franchises. Aligning with their completely biodegradable packaging, BurgerFuel was able to improve the efficiency of their restaurant seating capabilities whilst also creating an environmentally responsible image, which subsequently translates to potential customer appreciation and translation to sales depending on the consumer’s stance on the environment. Regardless of the potential sales outcomes, the investment for sustainable thinking within the business supports BurgerFuel’s image as an accurate example of what a successful New Zealand start up is and what future start-up’s should aspire to become; a company of which its customers can be proud of. Continued
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Radio BURGERFUEL
Innovations in product offerings extend beyond the tangible items but also in the service systems and delivery. From personal experience there is nothing more pleasing then to order a meal at a restaurant with respondent and genuinely happy staff members who appear to be enjoying their shift. ‘Business Model You’ states that “employees who care about the success of the enterprise as a whole are the most valuable workers (Business Model You, 2012). Speaking with past and present BurgerFuel employees, it is evident that the company recognised a value in hiring passionate employees. BurgerFuel achieves an enjoyable working experience for their employees by fair pay, building a team atmosphere and providing the ideal working environment. This positive atmosphere therefore transfers from the staff to the customer, which adds to their overall customer experience, all due to the fact that the employees are well looked after and in return are passionate about the brand and product.
completely sets the company apart from any other food outlet. The difference is the lack of invasion; modes such as product advertising which can traditionally be perceived negatively by the customer are engaging, relevant and generally humorous which all adds to the overall BurgerFuel experience. Secondly, BurgerFuel establishes a community that customers desire to be a part of which truly expresses their business model and underpinning style. They extend the regular restaurant experience beyond the doors in what can only be regarded as an energy drink approach to customer engagement. Hot cars, extreme sport events, social networks, clothing lines and even a radio station are just a number of examples that demonstrate the extent BurgerFuel will go in order to innovate the industry, engage with their customer and be more than just the ultimate burger destination but possibly a trend, a brand that is considered relevant to society and something to be a part of.
An integral part of a successful start-up business is customer engagement. Building and managing a strong rapport with customers is paramount to producing loyalty and long-term relationships (Customer Relations, 2014). The ultimate goal is to ensure the likely hood of repeat product or service purchases and outward recommendations to other potential customers. Innovation in customer engagement is crucial to a successful business maintaining relevance and competitiveness within such saturated markets. BurgerFuel achieves this in a number of ways. Firstly, an interesting and quirky media and design style is consistent throughout the restaurant chain empire. With their specific customer demographic in mind, BurgerFuel presents everything from advertising to visual media in their own modern-alternative style which
With all said, BurgerFuel Worldwide Limited is without doubt, a true testament of a successful New Zealand start-up business. Chris Mason and his associative founders successfully identified and established a niche’ market opportunity within the fast food industry, which has formulated the basis for their business success. BurgerFuel has proven itself as a truly innovative company in all aspects of product, service and experience, all of which ultimately make up the unique story and desirability behind the brand. BurgerFuel is a modern and relevant example of an inspirational start-up business that has implemented a well thought out business model which engages customers to feel as if they are part of and are responsible for the growth and expansion of the company. It’s a company, we as New Zealanders can be proud of. END
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BURGERFUEL ADVertising
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REFERENCES
IMAGES USED
Clark, T., Osterwalder, A., & Pigneur, Y. (2012). Business model you: a one-page method for reinventing your career: John Wiley & Sons.
Title Page: http://wsu.org.nz/wp-content/uploads/2014/02/ BurgerFuel-Wings-ENG-HR.jpg
Customer Relations. (2014). Retrieved from http://www.referenceforbusiness.com/encyclopedia/Cos-Des/Customer-Relations.html Laufer-Cahana, A. (2013, 01/31/2013 11:08 am). Study Grades the Nutritional Quality of Fast-Food Menus. Retrieved from http://www.huffingtonpost.com/ayala-laufercahana-md/fast-food-health_b_2581621.html Our Company (2014). Retrieved 12th April, 2014, from http:// www.burgerfuel.com/nz/worldwide/company
Page Two: http://1.bp.blogspot.com/_drPhndWvgoE/TIn0LIvJ5aI/AAAAAAAACEQ/WxgwLJyp_2U/s1600/IMG_1831.JPG Page Four: http://www.idealog.co.nz/images/blog/2013/06/ bf_enviro-mental.jpeg Page Six: http://www.burgerfuel.com/nz/worldwide/pod-images/jdsept12/20120929-BurgerFuelNZsounds-like-a-burger. jpg Page Eight: http://www.burgerfuel.com/nz/pod-images/ blog/20140318-BurgerFuelNZBFD_Freedom_Burgers_final.jpg
Our History. (2014). Retrieved 30th March, 2014, from http:// www.burgerfuel.com/nz/history Why Design Matters. (2014). Retrieved 30th March, 2014, from http://www.betterbydesign.org.nz/why-design/
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A BUSINESS AND INNOVATION CASE STUDY BY WILL BAMBER