What is the future of virtual restaurants?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Robbie Earl, the co-founder of Virtual Dining Concepts.
The company is now the largest operator of digital-only brands, which operate inside other restaurants, ghost kitchens and other facilities. They typically do not have a traditional storefront.
Virtual brands were all the rage during the pandemic but for various reasons they have slowed coming out of it. Some of them have been quite successful and others not so much.
We talk about how virtual brands can ensure the restaurants they work with produce quality food. We discuss whether they should open more brick-and-mortar locations. We ask about Virtual Dining Concepts’ relationship with MrBeast Burger, currently embroiled in litigation.
And we talk about what makes a good virtual brand partnership and whether anything has changed more recently.
This is a fascinating discussion about a fascinating topic so please check it out.
What happens when you combine high-tech miniature golf and food?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Vrankin, the CEO of the fast-growing eatertainment concept Puttshack.
Puttshack is an 18-unit chain that combines a full-service restaurant with an indoor game of minigolf—neither of which is all that standard. The minigolf features innovative games featuring a high-tech ball and the food is much better than traditional eatertainment fare.
We talk with Vrankin about the concept, the games and the food. We chat about consumers’ higher expectations for food and why a company like Puttshack cannot overlook the menu. We talk about real estate, and an awful lot about minigolf, and where the chain is going from here.
It’s a fascinating conversation about food and minigolf, so please check it out.
What is happening at the Restaurant Leadership Conference this year?
We decided to demand that Chris Keating, the EVP of Conferences for Informa Connect, RB’s parent company, talk about the conference, which runs April 14-17. And he was happy to oblige.
We ask about what’s happening at the event and the strategy behind it. We also chat about Martha Stewart, and Chris tells us some of his sports interview stories. And we also talk about whether the conference itself reflects the state of the restaurant business.
We’re talking RLC on a special edition of A Deeper Dive.
How did Wingstop fix its cost problem?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Michael Skipworth, the chicken chain's CEO.
Wingstop is hitting on all cylinders right now, thanks to the popularity of chicken wings and takeout but also because of its new line of chicken sandwiches, which have helped lure new customers in during different times of day.
But it has also helped the chain with food costs. Chicken wings are the most volatile commodity, certainly among proteins. One year they could hit record prices and the next year they come down considerably. It has given plenty of executives massive headaches trying to deal with them.
But Wingstop’s move into boneless options, like the chicken sandwich, has helped change things. Skipworth talks all about it.
He also discusses technology, delivery and Wingstop’s plan to build its own tech stack and reach its goal of 100% digital transactions.
We’re talking chicken on A Deeper Dive, so please check it out.
How is Happy Joe’s modernizing its brand?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Tom Sacco, the CEO of Happy Joe’s.
The 52-unit, Iowa-based chain has been around for 50 years. It was sold just before the pandemic. Sacco was brought in as CEO after a career with BJ’s, Ponderosa, Red Robin and Ghiradelli.
The pandemic forced the brand to rethink how it does business, and so Sacco talks about how Happy Joe’s modernized its operations coming out of that period. For instance, it didn’t count transactions.
We discuss the 2022 bankruptcy involving the chain’s corporate units and what led to that. And we talk about the brand’s surprising recent growth. We also discuss the chain’s penchant for small towns as well as taco pizzas and pickle pizzas and how Happy Joe’s was an early developer of both.
How are restaurants making their C-suites more diverse?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Therese Gearhart, the president and CEO of the Women’s Foodservice Forum.
WFF’s leadership conference is coming up next week, and we figured it’d be a great time to check in on the industry’s track record of hiring women into leadership roles.
The answer is that it’s doing better. Several restaurant chains, including Denny’s and Dutch Bros, have recently hired women to be their CEOs. Three restaurant chains in just the last day hired women to be CEOs: Taco John’s (Heather Neary), Smashburger (Denise Nelsen) and Handel’s Homemade Ice Cream (Jennifer Schuler).
Therese discusses these issues and talks about how restaurants are doing getting people into management roles.
We talk about why it’s financially beneficial for restaurants to do these things. We talk about the upcoming conference, and Therese gives tips for up-and-coming employees to move up in the business and how companies can create more inclusive working environments.
We’re talking women in restaurants on A Deeper Dive, so please check it out.
What is Corner Bakery doing to right its ship?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Chris Dharod, the CEO of Corner Bakery.
Dharod is with SSCP Management, a franchisee of Applebee’s and Sonic and owner of Cici’s Pizza and Roy’s. The company bought Corner Bakery out of bankruptcy last year.
We had him on the podcast to talk about Corner Bakery and chat about the way in which the acquisition was made.
SSCP acquired the brand by buying the debt on the secondary market and then using that to take over the company out of bankruptcy, a process some folks call loan to own. Dharod talks about that process, its risks and what SSCP looks for in its investments, as well as how it turns them around, which it has done with Cici’s.
Corner Bakery is a particularly difficult process. The brand was owned by the same owner as Boston Market and was having many of the same problems. It didn’t pay many of its bills and was burdened by lawsuits and serious issues.
We talk about what the brand is doing to fix all that, what kind of people it brought in and what kind of sales the brand is generating now.
We’re talking Corner Bakery on A Deeper Dive so please check it out.
Never compromise on your unit economics.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Justin Rosenberg, the founder of the fast-casual chain Honeygrow.
Rosenberg founded the bowl chain in 2012 and it was going quite well until 2018. He talks about why the company stopped growing that year and what the it did to get back on the growth track.
Hint: Honeygrow stopped making compromises on its unit economics.
We also talk about where the chain is growing and why smaller towns are apparently a recipe for success. Indeed, sometimes they’re too successful. And we also discuss how he started the chain.
This is an interesting conversation on A Deeper Dive so please check it out.
How important is value right now?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Robert Byrne, the director of consumer and industry insights at RB sister company Technomic.
We talk extensively about value. There’s a lot of concern about traffic in the fast-food world, with McDonald’s and Wendy’s saying that lower-income consumers are cutting back. McDonald’s specifically said that people are more likely to stay at home.
Byrne discusses whether this is a broad problem or more likely to hurt McDonald’s. We also talk about what consumers mean when they think value and why they keep spending on restaurants despite soaring prices.
We also talk about loyalty programs. Many restaurant chains are focused on loyalty, but last quarter Starbucks did really well with its loyalty customers but lost business from anyone else.
We’re talking about the state of the consumer on A Deeper Dive, so please check it out.
What will the restaurant industry do in 2024?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Hudson Riehle, the senior vice president of the research and knowledge group with the National Restaurant Association.
Riehle joined the podcast to talk about the association’s annual State of the Industry Report and what it says about restaurants in the coming year.
Restaurants and bars are expected to generate $1.1 trillion in sales this year, crossing the trillion mark for the first time. We chat about how big the industry really is and how many people it employs.
And we talk extensively about labor, labor costs, labor availability and efficiency. We talk about demands for technology among operators and why it’s important to target younger generations these days.
It’s a packed podcast on A Deeper Dive, so please check it out.
How does an emerging brand break into a new market?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Otto Othman, the cofounder of Pincho, who discusses a wide range of topics.
Pincho is based in Miami and specializes in two things: kebabs, or pinchos, and burgers. The company received an investment from the Salt Lake City-based private-equity group Savory Fund.
Savory has injected some operations expertise, not to mention investment, into the fast-casual brand, and we talk about a lot of that.
Some of that expertise came in play when the chain opened restaurants in Houston recently. We chat extensively about all that the company did to expand in the city and what kind of technology it used.
We also talk about the chain's recent kitchen upgrades and how that cut the company’s service times in half.
It’s a fascinating conversation on A Deeper Dive, so please check it out.
How do you get an 87-year-old brand ready for expansion?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Flynn Dekker, the CEO of the 352-unit donut and kolache chain Shipley Do-Nuts.
Shipley is an institution in its hometown of Houston, something Dekker discovered after he took over as CEO last year.
But it is also an old brand. It’s been around for nearly 90 years. The longtime family-owned chain was sold to Peak Rock Capital in 2021 and since then has taken numerous steps to change operations and processes to bring it into a more modern age.
We talk about all of that on the podcast, including the company’s efforts on marketing and what that's doing to the brand, along with processes, franchising and technology. We also talk about kolaches and what that does for the brand’s business.
It’s a fascinating conversation with an interesting brand, so check it out.
How is Cici’s becoming more like Chuck E. Cheese?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Jeff Hetsel, the president and COO of Cici’s Pizza.
Hetsel discusses the chain’s rapid shift into something of an eatertainment concept. Many of the brand’s locations have been adding larger and larger game rooms, complete with tickets and prizes, much like the aforementioned classic pizza-and-games concept.
We talk about what games is doing for its business and why franchisees are the ones who led the charge.
We also talk about a variety of other topics, including the labor situation in the restaurant industry and what Cici’s and its operators are doing about it. We also talk about the brand’s new loyalty program.
You can also find out what the most expensive pizza to make is—it’s not what you think.
It’s a fascinating discussion of pizza so please check it out.
How is private equity impacting food costs?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features John Davie, the CEO of Buyer’s Edge Platform.
Buyer’s Edge is a digital procurement platform that helps restaurants use data and other tools to source food and other supplies. It operates numerous technology brands, including Consolidated Concepts.
As much as the restaurant industry focuses on front-of-house technology like mobile ordering and kiosks, back-of-house tech is also important—particularly with food cost inflation.
We talk about that inflation and why Davie believes that pre-pandemic food cost levels are not returning anytime soon. Hint: It has something to do with ownership of the vendors that produce that food.
We talk about how long that rate of inflation could last, and what operators can do to offset it after three years of looking for profits where there weren’t any before.
We’re talking food costs on A Deeper Dive so check it out.
Subway could avoid some problems if it consulted more with its franchisees. Or so says the head of its biggest association.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Bill Mathis, a Subway operator out of Minnesota and chairman of the North American Association of Subway Franchisees, or NAASF.
Subway remains the largest restaurant chain in the U.S. by unit count, with some 20,000 stores domestically. But thousands of those locations have closed over the past decade.
NAASF represents much of that franchisee base. The association rarely speaks publicly, but Mathis is breaking that silence on this podcast, specifically to talk about some of the group’s concerns with current strategies.
We talk about communication between management and the association and what impact that could have on some of the chain’s strategies.
But we also talk about several other issues, including slicers and the impact they have had on food and labor costs. We also talk about Subway’s recent requirement that franchisees accept digital coupons—and what that is doing to franchisees. Mathis also discusses the purchase of Subway by Roark Capital and the association’s view on that. And we talk about the general financial condition of franchisees and the state of food and labor costs right now.
It's an in-depth discussion with one of the most-prominent franchisees in the country’s biggest sandwich chain, so please check it out.
Starbucks is the most complicated simple business on the planet.
This week’s episode of the Restaurant Business podcast is all about Starbucks. I’m joined this week by RB Editor-at-Large Peter Romeo.
Peter and I toured headquarters and have a series coming up on restaurantbusinessonline.com.
We talk about how Starbucks has evolved over the years, from a simple coffee shop chain into a global behemoth selling customizable beverages through numerous ordering channels.
And we talk about the impact that has had on the workforce and how it has fed into an unprecedented union drive.
We also talk about new CEO Laxman Narasimhan, and how his six-month immersion into Starbucks culture is playing a role in all of this.
And we talk about our apparently higher-than-expected caffeine tolerance.
We’re talking Starbucks on A Deeper Dive so please check it out.
Can a slider concept use modular buildings to get big?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Maria Rivera, the CEO of the rapidly growing slider chain, to talk about its unique method of growth.
Smalls is a rapidly growing quick-service slider chain. The company has been quickly adding locations throughout the South over the past year, using its “cans,” or 750-square-foot facilities that are manufactured off site and placed onto the restaurant site.
Maria calls them “cans.” And she talks extensively about the potential benefits these units can have on franchisees’ ability to open locations more quickly and more strategically, along with potential financial benefits.
We talk about the chain’s history and the simplicity of its menu—customers order sliders, fries, drinks and shakes. We talk about the company’s franchising strategy and its plans for growth.
It’s an interesting conversation with the CEO of a fast-growing slider chain so please have a listen.
The last episode of the Restaurant Business podcast “A Deeper Dive” is, perhaps unsurprisingly, a look back at some of the year’s best episodes.
The episode features clips from some key guests, including marketing expert and author Chip Klose, speaking about, well, marketing.
We speak with executives from Dave’s Hot Chicken on its fascinating start. CapitalSpring’s Jim Balis gives us some news on delivery demand.
Technomic’s Lori Rakoczy talks about inflation. And our own Peter Romeo and I rant about the U.S. tipping culture.
So, take a look back at the year that was with us on this very special episode of A Deeper Dive.
How did Potbelly turn its business around?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Bob Wright, the CEO of the Chicago-based sandwich chain.
Potbelly struggled going into the pandemic, which hammered its core business in urban markets. Wright took over as CEO three years ago. On the podcast, he talks about what it’s like to take on a struggling concept during that time.
Wright discusses the changes Potbelly has made during those three years. The company closed around 30 locations its first year, but the brand has seen strong same-store sales the past couple of years. It expects to grow unit count about 10% this year.
Wright talks about getting the chain’s price-value equation right—without resorting to discounts or hammering profit margins. He also talks about the company’s efforts to improve operations, its development strategy and why Potbelly plans to franchise going forward.
We’re talking Potbelly on a Deeper Dive so please check it out.
Are restaurants becoming like Taylor Swift?
Well, sort of. This week’s episode of the Restaurant Business podcast A Deeper Dive features Matt Tucker. He is the senior vice president with Squarespace and is head of the reservation platform Tock.
Tock was cofounded by restaurateur Nick Kokonas and was sold in 2021 to Squarespace. The company sells prepaid restaurant reservations to customers.
Those reservations act like tickets, which customers can resell. And that could create a market that operates like online ticket sales, where brokers gobble up the best tickets—like Taylor Swift concerts—to resell them at substantial markups.
We talk with Tucker about this, and why restaurants do not want their reservations resold. Tucker talks about what his company does to prevent this. But he also talks about the benefits to restaurants of a model in which diners prepay for their reservations, such as the ability to do more dynamic pricing.
We talk about general trends in restaurant reservations. For instance, is 6 p.m. really the new 8 p.m. and why is that? What are consumers looking for in reservations these days and what is demand for those restaurants right now.
It’s a fascinating conversation about reservations, so check it out.
Why is the FTC looking into Subway?
This episode of the Restaurant Business podcast “A Deeper Dive” features John Gordon, a restaurant consultant out of San Diego, who discusses the apparent investigation of the sale of Subway to Roark Capital.
The investigation is apparently examining whether the acquisition of the sandwich giant would give the private equity firm Roark too much power.
We discuss that issue, and how much of the restaurant market Roark really would have if the sale were to go through and whether that is all that unusual. (Hint: It’s not.)
We also talk about some of the chain’s efforts to push discounting through its app, including its upcoming requirement that franchisees accept digital coupons. As we reported in September, Subway wants franchisees to accept the offers by the end of this month.
But we also discuss what this review could mean for the restaurant business as a whole.
We’re talking Subway and the FTC so please check it out.
Customers are increasingly questioning the value of their restaurant visits.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Lisa Miller, a consumer strategist and author of the book “The Business of Joy.” And we talk about consumer attitudes on the value of restaurants right now.
Miller surveys consumers every month and she has had some interesting insights on how diners view the restaurant industry, in particular their views on the price-value equation.
We talk extensively about tipping, and what consumers think about the practice. A growing number of consumers are frustrated with tipping and we talk about why that is.
And we talk about consumers’ views on whether their restaurant visits are worth it. An increasing number of consumers think their visits aren’t worth it and more than half of fast-food customers say they get sticker shock when they visit a restaurant. Fast-food restaurants have raised their prices 30% since the pandemic, which has frustrated diners.
We also talk about what restaurants can do to make their offering more worth it to consumers. Hint: Do not skimp on the training budget.
It’s a fascinating conversation on consumer attitudes so please have a listen.
How do you dust off a brand that has been dead for 15 years?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Paul Mangiamele, the CEO and chairman of Legendary Restaurant Brands, the owner of Bennigan’s.
Mangiamele discusses his decision to open Steak & Ale, which is scheduled for next spring.
Bennigan’s and Steak & Ale were in the same group that filed for Chapter 7 bankruptcy in 2008, which shed a light on problems with the casual dining sector. Bennigan’s franchise system was saved from liquidation by its secured lender. But Steak & Ale was shuttered, seemingly for good.
Mangiamele bought Bennigan’s and has operated it since. But he also owned the rights to Steak & Ale. Now he plans to bring it back, a potentially rare comeback from Chapter 7 by a restaurant brand.
We talk with him about why he’s making that decision and why now. Paul also talks about what he’s doing to adapt the chain to a new market.
What do you do with Pollo Tropical?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Alex Macedo, the chairman of Authentic Restaurant Brands, to talk about that company’s recent acquisition of Pollo Tropical.
Authentic Restaurant Brands, or ARB, is owned by the private equity firm Garnett Station Partners. Macedo is a former executive with Burger King and Tim Hortons and is overseeing the multi-concept operator, which also owns Primanti Brothers, PJ Whelihan's and Mambo Seafood.
Pollo Tropical has long been one of the industry’s most intriguing concept. The fast-casual chicken chain operates 169 locations and generates some industry-leading restaurant-level profits. But it has long struggled to expand outside of Florida—so much so that many buyers were reticent to acquire the company when it was put on the market two years ago.
Macedo talks about that, and he discusses why he believes there is plenty of growth in Florida and nearby communities. He also talks about ARB’s acquisition plans, how many companies it is talking with, and what the company does once it acquires a restaurant chain.
It is an interesting conversation with the chairman of a new multi-concept operator so please have a listen.
What is the state of the labor market right now?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Brian Miller, the CEO of management recruiting firm Patrice & Associates.
Miller works with hospitality companies to recruit executives and managers. We talk a lot about the labor market, which has been resilient—surprisingly so, at least if you ask economists.
We talk about why that market has been so resilient, and what impact that could have on restaurants’ ability to hire and retain workers going forward.
Restaurants have seen improvement in the labor market this year, though it remains tight. We discuss those issues on the podcast.
We also talk about the best strategies for retaining employees. More companies have been working harder to retain their top managers and we explain why. But we also talk about the best strategies for retention. Hint: It’s not that hard.
We’re talking labor on this week’s A Deeper Dive so check it out.
Loyalty programs are all over the place. But are they really necessary?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Stephanie Meltzer-Paul, the EVP of global loyalty for MasterCard, to talk about loyalty programs.
We asked Meltzer-Paul to join the podcast given how popular these programs have become. Just about every major fast-food chain, and many casual-dining concepts, have one of these programs, many of which were added only recently.
But there have been some high-profile upgrades of these programs that haven’t always gone over well with loyal customers, often creating bad press in the process.
We ask Meltzer-Paul about these issues, and why so many companies are spending so much effort on these programs. We talk about whether these programs are truly necessary—she has an interesting answer for this—and why it may sometimes be necessary for popular programs to accept some angry customers as their programs mature.
And we ask her about the future of loyalty programs and what kinds of trends can be expected out of them in the coming years.
It’s all about loyalty on A Deeper Dive so check it out.
Will restaurants need to serve more healthy food in the future?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features RB Executive Editor Lisa Jennings and we spend the entire time talking about the concept of a healthy fast-food restaurant.
Lisa and I have had numerous debates over the years about this topic and we thought we’d let you in on some of them. We chat about Ozempic and drugs like it, and whether these medications could ultimately change the restaurant industry by curbing the appetite of a potentially large number of Americans who could end up taking those drugs.
We talk about why there hasn’t yet been a truly healthy fast-food restaurant, and about the types of chains that are doing something about it, such as Everbowl, Salad & Go and others. And we talk about the success of chains like Cava and Chipotle.
We also debate about the restaurant industry’s role in the obesity crisis, and whether it has a responsibility to change that.
It’s a healthy debate on A Deeper Dive this week, so check it out.
Is the tip credit dead?
It sure seems that way, given the way big cities and states are doing away with the credit. So, for this week’s episode of the Restaurant Business podcast “A Deeper Dive,” I’m joined by RB Editor-at-Large Peter Romeo to talk about these things.
Peter has been reporting on a rapid and increasingly successful movement around the country to do away with the tip credit, the sub-minimum wage restaurants pay to servers who get tips.
This led into an extensive conversation about the rapid rise of service fees in the industry, an effort by the government to regulate such fees, and the impact on restaurants and their consumers.
With the fees, the regulation and the decline of the tip credit, we wonder whether the industry is going to need another model for paying its employees altogether.
It’s a fascinating discussion on tipping, service fees and the tip credit, so check it out.
Why are the public markets good for Cava and not Panera Bread?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Ron Shaich, the chairman of Cava and former CEO of Panera Bread.
Shaich has turned his attention to investing in and building brands since Panera was sold to JAB Holdings in 2017. He recently wrote a book, “Know What Matters, Lessons from a Lifetime of Transformation.”
We took the opportunity to talk with Shaich about a wide range of issues, including why Panera Bread thrived while many other players in the bakery-café segment could not. We also talk about the decision in the 1990s to sell Au Bon Pain and focus on Panera.
We also talk about some of the other chains Shaich’s Act III Holdings has invested in, including an upscale bakery-café concept, a plant-forward concept and an eatertainment brand.
But we also talk about public companies and activist investing. After the sale of Panera, Shaich has been highly critical of the public markets and their focus on short-termism, particularly that of activist investors. We asked why he would then take Cava public in the face of that criticism.
It’s a fascinating conversation with one of the industry’s more innovative figures, so check it out.
Let’s meet 7 Brew, one of the fastest-growing chains in the country.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features John Davidson, CEO of the rapidly growing drive-thru coffee chain.
If you haven’t been to a 7 Brew, just wait: One will probably show up near your house sometime soon. The company’s unit count nearly tripled last year—enough to make the brand No. 3 on the Restaurant Business Future 50 ranking. It has grown even faster this year.
But anybody who listens to this podcast probably knows that such fast growth comes with serious risks, and we talk with Davidson about how the brand set itself up for growth and how it’s been able to grow that quickly. And it will only continue to grow quickly in the coming years.
We also talk about why drive-thru coffee is so popular—several fast-growing chains in the U.S. serve drive-thru coffee in fact. And we talk about the chain’s expansion into smaller markets. We also talk extensively about training and operations. And why Davidson wants 7 Brew to be “the Dollar General of coffee,” and what that means.
We’re talking 7 Brew on A Deeper Dive so please have a listen.
How do you build a restaurant brand platform?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Gregg Majewski, the longtime industry executive and founder of Craveworthy Brands.
We spoke with Gregg at the FSTEC Conference in Texas earlier this month. Majewski had worked for years in the industry as an investor and executive, most recently as CEO of Mongolian concepts BD’s Mongolian Grill, Genghis Grill and Flat Top Grill.
Earlier this year he created Craveworthy Brands, which hopes to strike gold by finding the next big concept. It has several brands under its umbrella, including the Mongolian concept and emerging chains like Lucky Cat, Krafted burger bar, Budlong Hot Chicken and Wing it On.
The company is on the verge of a trio of acquisitions, one of which Majewski reveals on the podcast.
We talk about the strategy behind the acquisitions and why it makes sense to operate many brands under one umbrella. We talk about the market for mergers and acquisitions and where that’s headed in the future.
And we talk about other issues, such as third-party delivery and why Majewski thinks more brands should hold off on excessive charges on third-party delivery orders.
It’s a fascinating conversation with the latest restaurant brand collector so please have a listen.
How can a small restaurant operator think about marketing?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Chip Klose, the host of the Restaurant Strategy podcast and author of the book The Restaurant Marketing Mindset.
We wanted to talk with Chip about marketing, and why it’s so important for restaurant companies. We initially thought we’d discuss some recent industry marketing trends but we ended up talking entirely about how small brands and operators should think about it.
Klose coaches operators on the topic. And he believes that marketing is vital for operators and that they should get into that mindset even before they open their doors. He discusses the best way for operators to get into that mindset.
We also talk about social media and the best way to leverage that medium to keep pace with large brands. It’s not as simple as just having someone “do social media.” And we talk about where the best marketing takes place. Hint: It’s not far from the restaurant.
It was a fascinating conversation about marketing so check it out.
Why are consumers and franchisees so interested in chicken tenders?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Andy Howard, the CEO of the chicken chain Huey Magoo’s.
Howard has had a long history in the chicken business, a history that mirrors the evolution of the chicken business. He talks about Huey Magoo’s, the Florida-based concept he acquired a few years ago, and which has become one of the fastest-growing chains in the U.S.
He talks about the company’s growth in recent years and the factors behind that growth. We also talk extensively about consumer demand for chicken and how that demand has evolved. An abnormally large number of the fastest-growing chains in the U.S. sell chicken.
We also talk about demand from franchisees, and why Howard is the one who leads franchise sales for his brand. And we discuss what he looks for in a franchisee, and what kind of real estate the brand looks for.
It’s a fascinating conversation with the owner of one of the fastest-growing chains in the U.S., so check it out.
o you get a popular local concept ready for prime time?
This week’s episode of the RB podcast “A Deeper Dive” features Greg Vojnovic, the longtime development executive, who joins the podcast to talk about his small chain, called the Hot Dog Shoppe.
Greg has had a long career in the restaurant industry and used to head development for Popeyes and then Arby’s as it formed Inspire Brands.
He has since taken on an 80-year-old hot dog and fries concept out of Youngstown, Ohio. He believes the concept has all the right ingredients for expansion. And we ask him all about what it’s like to prepare a brand like that for expansion outside of its home market.
Greg has spent the past two years getting it ready to franchise. We talk about what he’s done to do that, how the brand can translate its Ohio success to places like Florida, and what kind of locations the chain can go into. I also ask him if the world is ready for more hot dogs.
It’s a fascinating conversation about taking a local concept national so please have a listen.
How will Subway’s sale change the sandwich business?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Michael Goldberg, the CEO of the 100-unit California chain Ike’s Love and Sandwiches.
Goldberg, who has been with the chain for more than four years, discusses a wide variety of topics. He discusses Ike’s history and its plans for growth. He also talks about the surge in sales for the chain’s catering program, and some of the steps the company is taking to meet that demand.
He also talks about the restaurants’ return on investment and why Ike’s loves corporate locations. The chain prefers opening in second-generation locations, including closed Subway restaurants.
That leads into a discussion on the overall sandwich market and the recently announced sale of Subway to Roark Capital. Goldberg has some interesting things to say about that sale and Subway’s impact on his chain and the market.
We’re talking sandwiches on the podcast this week, so check it out.
The restaurant industry has had plenty of its share of fraud, accounting scandals and outright theft.
This episode of the Restaurant Business podcast A Deeper Dive features a discussion on some of the more interesting such events in the past and features Editor-at-Large Peter Romeo, host of the Restaurant Rewind podcast.
Romeo is the unofficial historian of the restaurant business. We look back at some of the most famous events in the industry, such as the accounting issues at Buca di Beppo and Krispy Kreme 20 years ago, and the impact those events have had on financial reporting.
We also talk about some smaller frauds, like the guy in Michigan who used his company’s loyalty program to take from the till. And my personal favorite, the restaurant in California that used a fake priest to elicit confessions of wrongdoing from its employees.
What is going on with Big Boy?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Tamer Afr, the CEO of the family-dining chain, to talk about the state of the brand.
Afr has an interesting story. He had never been in the restaurant business until just less than five years ago, when he bought Big Boy as a potential growth opportunity.
He then had to learn the industry while fixing a chain with an 87-year history. Afr talks about what kind of changes he’s been making, such as its reach into delivery and its foray into international markets.
And we talk about what kinds of things Big Boy is doing now, why the brand has so many different alternative names such as Frisch’s Big Boy and Bob’s Big Boy and how they’re all related. And we talk about the chain’s new drive-thru concept it just opened in Michigan.
It’s an interesting conversation about buying and fixing a legacy brand, so please have a listen.
Where are commodities headed in the coming months?
This week’s episode of the Restaurant Business podcast A Deeper Dive features David Maloni, the principal with the consulting firm Datum FS, to talk about where food prices are headed.
Maloni is a recognized expert in commodities forecasting and supply chain issues. We talk about the state of food prices in the U.S. and his projections for costs going forward. In short: Maybe don’t consider marketing a bacon double cheeseburger.
Beef costs are going up and will likely stay there for a while. Maloni discusses why and how long it could take for those prices to ease. We talk extensively about chicken, and why those costs are so cheap. And we talk about other commodities such as pork belly, grain prices and cheese.
We’re talking food costs on A Deeper Dive so check it out.
What do Subway, Chipotle and Texas Roadhouse have in common? They’re all subjects of this week’s episode of A Deeper Dive.
I asked a pair of, uh, veteran editors to join me on the podcast to talk about a single event they covered over the past decade that was particularly memorable. Restaurant Business Editor-at-Large Peter Romeo and Executive Editor Lisa Jennings were happy to oblige.
The rule: We could not talk about the pandemic, because that was too obvious. But the result was an interesting discussion on a trio of seismic events that had a major impact on the industry and particularly the aforementioned restaurant chains.
We talked about Subway and the infamous Jared Fogle incident, about Chipotle’s foodborne illness outbreak and the death of Texas Roadhouse founder Kent Taylor.
Check it out.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Scott Lawton, the CEO and cofounder of bartaco.
Bartaco operates 27 locations, specializing specifically in tacos. Lawton talks about how the chain was founded and discusses its current growth plans.
We also talk about the lure of tacos and why they’re so popular these days. And I ask him about loyalty, and how the chain has been able to build it among its customer base.
But we also talk extensively about service charges, which have grown in popularity in restaurants—and many other industries, for that matter. Lawton discusses his reluctance to add them to one of his restaurants, and why the chain ultimately gave in and may add them elsewhere.
We’re talking tacos and service charges on A Deeper Dive, so check it out.
What’s the state of the restaurant business and M&A right now?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jim Balis, the managing director with the investment firm CapitalSpring.
We talk about the state of the industry at the moment. With 2023 halfway over, we wanted Balis to talk about where the industry is going, both on a revenue and costs front but on mergers and acquisitions.
He discusses industry sales and why they’ve kept pace despite soaring prices, and we speculate about why that is. We talk about the state of labor and food costs as well as the impact of technology.
But we also talk about mergers and acquisitions and how those are going. The M&A markets have been frozen for the past year and a half amid high interest rates and a lack of agreement on prices between buyers and sellers.
But there are signs that it’s improving of late. Jim talks about why that is and where the market is headed.
It’s an interesting discussion on a deeper dive this week so please have a listen.
What is the story behind Burger King’s comeback effort?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Tom Curtis, president of Burger King in the U.S. and Canada.
Curtis has overseen Burger King over the past two years after coming over from Domino’s. And he has come at a time when the chain has been in trouble. The brand struggled during the pandemic, particularly after its upgraded chicken sandwich, the Ch’King, didn’t perform well.
Struggling sales and high inflation last year proved to be an ugly combination. Two major franchisees of the brand filed for bankruptcy and a Michigan operator closed all its locations.
But the company has shown some real progress of late, thanks to marketing and improved operations and the company’s $400 million “Reclaim the Flame” investment announced last year.
We talk with Curtis about all of this, how that investment has paid off, what changes in operations the company has made and how it can keep customers after marketing gets their attention. We also asked why the Ch’King didn’t work.
We’re talking Burger King on A Deeper Dive so please have a listen.
Grocery stores are preparing to come after your business.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Heather Lalley, the editor-in-chief of RB sister publication Winsight Grocery Business. We chat about, shockingly enough, the grocery business.
Specifically, Heather and I discuss the competition between grocers and restaurants. We talk about the move grocers are making into restaurants’ territory, and how these companies plan to generate more of their business with prepared foods.
Grocers, she said, are starting to “think like restaurants.”
We also talk about a potential shift by supermarkets into lower prices, and why that might sap some business from restaurants in the coming months.
We’re chatting grocery on A Deeper Dive so check it out.
What’s going on with MrBeast Burger?
In this week’s episode of the Restaurant Business podcast “A Deeper Dive,” Senior Technology Editor Joe Guszkowski joins me to discuss virtual brands and, in particular, MrBeast Burger.
If you haven’t heard, the YouTube star MrBeast has said publicly that he has pulled his support from his virtual brand, MrBeast Burger. He has since pulled the tweets in which he has said this, but the comments generated a LOT of attention.
MrBeast Burger is the most successful of a generation of virtual brands. I talk with Joe about what MrBeast’s complaints are, what that might do to the virtual brand itself and what it means for the whole trend if he is indeed stepping away.
We also talk about NextBite, another virtual brand company that was recently sold to the owner of rival C3.
But most of our discussion is on Mr.Beast Burger and that whole mess.
We’re talking virtual brands on A Deeper Dive so please check it out.
No one outpizzaed the Hut in the first quarter. Can Pizza Hut keep it up?
David Graves, president of Pizza Hut U.S., joined me on the “A Deeper Dive” podcast this week to discuss the state of the brand and how its efforts have won over customers.
Pizza Hut struggled for years but appears to have turned a corner more recently. Its 8% same-store sales growth in the first quarter outpaced its pizza delivery competitors.
Much of that is due to the brand’s innovation, including its Melts sandwiches. We talk about that product and its ability to generate a different type of sales for the brand.
We also talk about the impact third-party delivery has had on Pizza Hut, and about consumers’ nostalgia for the brand. Graves discusses many other things, including technology and artificial intelligence.
We’re talking Pizza Hut on this week’s A Deeper Dive so please have a listen.
How have urban markets changed since the pandemic?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Chip Wade, the CEO of Union Square Hospitality Group.
Wade has a long and distinguished career in the restaurant industry. He was named CEO of Union Square last year after working with the company since 2019. Before that he worked for 17 years with Darden Restaurants and had previously worked with Legal Sea Foods and Carlson Restaurants.
We talk about a wide range of issues. He provides some interesting insight on how the New York market is different now than it was in 2019 before the pandemic and how the company has adjusted. He discusses adjusting to that business while also talking about adjusting to what he calls a "new workforce dynamic" these days.
We also talk about all kinds of other topics, including an update on the Union Square business, building and maintaining a strong culture inside of restaurants and how the transition has gone since he took over as CEO from Danny Meyer.
It’s a great conversation with the CEO of Union Square Hospitality Group so please check it out.
Can Peter Piper go fast casual?
This week’s episode of the Restaurant Business podcast A Deeper Dive features David McKillips, CEO of CEC Entertainment, the parent company of Chuck E. Cheese and Peter Piper Pizza.
CEC has had an almost literal roller coaster ride in the three years since David became CEO. The pandemic pushed it into bankruptcy and then the reopening helped it come back remarkably strong as fun-and-games chains proved popular among consumers who wanted to get out of the house.
We talk about those issues and we also talk about Peter Piper, the regional pizza chain CEC operates. David talks about the company’s efforts to break out of its core market.
Specifically, he talks about a new type of fast-casual concept based on the Peter Piper name that CEC has started to test. That could give the company a third brand it can grow with.
It’s a newsy discussion on pizza and games on A Deeper Dive so please have a listen.
Where are sales and traffic going in 2023 and who will win?
This week’s episode of the Restaurant Business podcast A Deeper Dive features R.J. Hottovy, head of analytical research with the data firm Placer.ai.
R.J. has covered the industry for more than two decades and knows a thing or two about the restaurant and retail sectors and we like having him on every so often to talk about the state of industry traffic. R.J. joined us at the recently concluded National Restaurant Association Show.
We discuss the potential impact of a recession on industry sales and traffic. Consumers have been increasingly reliant on credit card debt to pay various expenses, leading many to believe that cutbacks in spending are coming.
Who will win in that scenario? And who will lose? R.J. and I talk about those issues on this week’s episode of A Deeper Dive so please have a listen.
What happens when a giant brand suddenly gives you a marketing gift?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Barry Westrum, chief marketing officer for Taco John's.
Westrum joined me on the podcast at the National Restaurant Association Show less than a week after taco bell asked the U.S. Patent and Trademark Office to cancel Taco John’s registration for “Taco Tuesday.” Taco Bell has since then brought in NBA star LeBron James to assist in the effort.
Taco Bell is many times the size of Taco John’s. Taco Bell’s campaign almost instantly gave the less-than-400-unit Taco John's a ton of attention.
We talked with Westrum about how the company responds to an opportunity like that and what the company thinks about the whole thing. We also discuss how things are going at the chain and what kind of interesting things they may have coming down the pipe.
We’re talking Taco Tuesday on A Deeper Dive, so please have a listen.
How long will people keep paying high delivery prices?
This week’s episode of A Deeper Dive features Restaurant Business Senior Technology Editor Joe Guszkowski, who joins me on the podcast to talk about DoorDash’s push to get operators to keep delivery prices the same as regular menu prices.
Joe and I discuss his recent report on the menu price markups on delivery compared with buying in the restaurant, and why operators do this. We also discuss why DoorDash’s algorithm punishes those restaurants that charge higher menu prices, and what the provider’s push on the topic means for broader delivery demand.
Consumers have been shifting away from pizza delivery, perhaps in part over inflation. Is DoorDash’s move a sign they’re worried about the same thing? We talk about that on the podcast.
It’s an interesting discussion on the future of delivery so check it out.
Will menu price inflation ultimately hurt restaurants?
Michael Swanson, an agricultural economist and consultant with Wells Fargo, joins the Restaurant Business podcast A Deeper Dive to discuss the economy and the outlook for inflation.
How good of a year did chain restaurants have in 2022, really?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Pawlak, managing principal with RB sister company Technomic, to talk about the Technomic Top 500 Chain Restaurant Report.
Specifically, we discuss the performance of chain restaurants, whose sales rose just over 8% last year. But that barely kept pace with menu price inflation.
We also discuss restaurants’ surprising unit growth last year, the remarkable unit volumes of certain chicken concepts, that sectors that stood out the most and why Raising Cane’s very well may be a Top 10 restaurant brand by 2030.
Joe and I also talk Subway, the pizza business and delivery.
It’s a loaded episode so check it out.
How is Duck Donuts evolving its prototype?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Betsy Hamm, CEO of the 115-unit chain, who joined me at the Restaurant Leadership Conference recently to discuss a wide range of issues.
Duck Donuts is based in Mechanicsburg, Pa., and is known for selling made-to-order doughnuts in tourist spots. The company generated $60.6 million in system sales last year, according to data from Restaurant Business sister company Technomic.
The company just released a new prototype designed to give operators more flexibility as they expand. It features kiosks, for instance, but it also designed to go into smaller spots.
We talk about a wide variety of other topics on the podcast, including where the chain got its name.
It’s an interesting conversation with a doughnut CEO, so please have a listen
Why is Smashburger ditching traditional drive-thrus?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Carl Bachmann, president of the fast-casual burger chain that is looking to get back on the growth path after some difficult years.
The chain is operated by the Philippines-based Jollibee Corp. It operates fewer than 250 locations, down by about a third over the past five years. But Bachmann talks on the podcast about why the brand is ready for growth again and what Smashburger has been doing to prepare for that growth.
And he talks a lot about the company’s new “virtual” drive-thrus, or mobile-order drive-thrus and why that will be the company’s option going forward. That goes in a different direction from many other fast-casual chains that have focused on increasing the number of traditional drive-thru lanes.
It’s an interesting discussion about fast-casual drive-thrus so check it out.
What are we to make of the situations at major burger chains these days?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Michael Halen, senior restaurant and foodservice analyst with Bloomberg Intelligence, to discuss what’s going on with McDonald’s and Burger King, in particular.
McDonald’s recently laid off hundreds of employees around the world, closing its U.S. field offices and eliminating its two-zone field office structure. This, despite the company’s generally strong results. We discuss those layoffs and what they mean to the company.
We also talk about Burger King, which has struggled with bankruptcy filings and restaurant closures of late. And we talk about the potential impact that former Domino’s CEO Patrick Doyle could have on the chain and its parent company Restaurant Brands International.
Who is Mike Hancock?
We find out in this week’s episode of the Restaurant Business podcast A Deeper Dive. Hancock recently took over as president of Firehouse Subs for longtime CEO Don Fox.
Hancock has worked for Firehouse Subs parent company Restaurant Brands International. He started with the chain as chief operating officer last year after serving in a similar role at the Canadian chain Tim Hortons.
Hancock discusses his views of Firehouse after a year with the chain, including its strengths and opportunities. He discusses technology in particular and the brand’s foundation. We also get into a discussion on the future of the brand. And I can’t help but ask him about Tim Hortons.
What happens when you mix ice cream and cinnamon rolls? We’re about to find out.
This week’s episode of the Restaurant Business podcast Deeper Dive features Jim Holthouser, CEO of the Atlanta-based brand operator Focus Brands, which operates Cinnabon, Auntie Anne’s, Carvel, McAlister’s Deli, Schlotzski’s, Jamba and Moe’s.
He discusses the status of these brands and the company’s plans for them. He talks about the future of development in and out of the mall. And he talks about the potential for McAlister’s to become a $1 billion brand.
But Holthouser also talks about Swirl, a concept Focus is developing that combines Cinnabon and Carvel in a new type of co-branding arrangement.
In addition, I talk about the future of restaurant IPOs, franchisee optimism, and why tipping culture will never change.
How important is tipping to a restaurant employee?
In this week’s episode of the Restaurant Business podcast A Deeper Dive, Associate Editor Reyna Estrada joins me to discuss tipping.
Estrada is a former restaurant worker herself, having spent years as a server at Steak n Shake (before it went limited service) and then as a Panera Bread employee. She relied on tips the entire time.
We discuss the practice and she discusses how much it meant to get those tips, both at the full-service restaurant and at the fast-food concept. She talks about where she made the most money and whether the tips influenced her service.
In addition, I talk about the Starbucks CEO, restaurants that sold for high multiples and joint employer.
What is the future of third-party delivery? How about virtual brands or ghost kitchens?
In this week’s episode of the Restaurant Business podcast A Deeper Dive, Senior Editor Joe Guszkowski joins me to talk about the state of some of the biggest trends during the pandemic.
We talk about delivery. Some data is suggesting that third-party delivery demand is growing. But other data suggests the opposite. We try to get at the real story. We also talk about virtual brands and what the future of those concepts. And we get into a discussion on ghost kitchens in light of Wendy’s pulling back on its deal to open in some 700 Reef Kitchens locations.
Meanwhile, three things I’m thinking about right now.
Who is going to buy Subway?
In case you haven’t heard, the fast-food sandwich chain is on the market. In this week’s episode of the Restaurant Business podcast A Deeper Dive, I speak with John Gordon, a restaurant consultant out of San Diego, to discuss the chain.
Subway has hired JP Morgan to help find a buyer. Reports suggest a host of large private equity firms, including Goldman Sachs and Bain Capital, are looking at it, with a price tag of $8 billion or more. John and I discuss that sale and the price tag. We also talk about the numerous changes Subway has made over the past two-plus years and how they are influencing the company and the sale process.
I also give my thoughts on Bojangles, Wendy’s and Sardar Biglari.
What is the future of Bojangles?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jose Armario, the CEO of the 800-unit chicken chain.
Armario took over the chain after it was sold in 2018 to Durational Capital Management, and he takes time to discuss how the chain did last year. He also discusses the brand’s future, including plans to expand well beyond its Southeastern roots.
And he reveals some interesting information about the company’s menu as it looks to expand into new markets.
In addition, some thoughts on pizza fatigue, the Corner Bakery bankruptcy and M&A markets.
What is the future of restaurant automation?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Matt Newberg, the founder of the media platform Hngry.
Hngry is a subscription media platform that examines how technology is reshaping our food system through trends like ghost kitchens, microfulfillment, fungi-based proteins, personalized nutrition and other things.
We talk about the state of technology and automation and how all this technology will influence customer service inside the restaurant.
In addition, I give some thoughts on franchisee profitability, electric vehicle chargers and the weather.
Why are chocolate milkshakes so important to Cameron Mitchell?
This week's episode of the Restaurant Business podcast A Deeper Dive features Mitchell, founder of Cameron Mitchell Restaurants and one of the country's most successful restaurant creators.
Mitchell's company operates 64 restaurants in 20 brands, including the fine dining brand Ocean Prime. He talks about his reasons for starting a restaurant company and why culture was so important to him from day one. We talk about a range of other topics, including the state of fine dining and how his company was able to emerge from the pandemic.
He also talks about hospitality and chocolate milkshakes but we will let him tell that story.
It’s a great conversation with one of the industry’s more accomplished restaurateurs. And this week, I give you thoughts on three big stories this week, including Subway, Chipotle and Patrick Doyle.
The plant-based meat trend is dead. Or maybe it isn’t.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” is about plant-based meat, and specifically, why fake meat hasn’t quite taken off at fast-food restaurants the way many predicted three years ago.
Nancy Kruse, RB’s menu trends columnist, joins me on the podcast to discuss the topic.
While products like Impossible Foods and Beyond Meat burgers were all the rage in 2019, sales of both appear to have slowed considerably—both companies have laid workers off, for instance, and brands like McDonald’s have not followed through on hoped-for plans for plant-based offerings in the U.S.
We discuss why that trend hasn’t quite matched some of the early promise and whether that early promise was a bit overblown. We also talk about the reasons why average consumers have not been as accepting of such products as many hoped.
What happens when you combine chicken wings and sandwiches?
This week’s episode of the Restaurant Business podcast A Deeper Dive features David Bloom, chief operating and development officer for Capriotti’s, a Las Vegas chain of sandwich shops.
Capriotti’s acquired Wing Zone in 2021. Capriotti’s operates 175 locations. Wing Zone now operates 61.
Bloom talks about that combination and what the company saw in Wing Zone and how it has integrated that chain into its system. He also discusses both chains’ growth plans, as well as its overall franchising strategy. Both brands have strategies in place to ramp up unit growth in the coming years.
We talk about plenty of other things, including commodities and why Capriotti’s sometimes has to hoard stuffing.
We’re talking sandwiches, wings and stuffing on A Deeper Dive, so please have a listen.
How are younger consumers reacting to inflation?
This week’s episode of A Deeper Dive features Lori Rakoczy, associate principal with Restaurant Business sister company Technomic and one of the co-authors of the blog Technomic’s Take. And we’re talking about inflation.
Specifically, we’re talking about how younger consumers are dealing with high prices. Menu prices have taken off over the past year-plus—they were up 8.5% year over year in December.
Rakoczy wrote recently that younger Gen Z consumers are not necessarily cutting restaurant dining out altogether as a result of the higher prices. But they are changing their behaviors. They’re more likely than other consumers to price shop and keep eating out.
Rakoczy discusses how operators should adapt and what this could mean for restaurants. She also talks about convenience and why that is so important in the restaurant business.
We’re talking about Gen Z consumers on A Deeper Dive so please have a listen.
What is Killer Burger and where is it going?
This week’s episode of the Restaurant Business podcast A Deeper Dive features John Dikos, CEO of the 20-unit Killer Burger, along with VP of Financial Planning Adam Sanders.
The episode was recorded at the ICR Conference, where we spoke with the two about the burger chain and its overall growth strategy.
Killer Burger operates 20 company and franchised locations in the Pacific Northwest and says it is “redefining” the American diner burger for the “modern world.” The company is part of a generation of fast-casual concepts that promise a higher level of service along with alcohol.
Dikos and Sanders talk about how they plan to grow, what they’re doing to get the company ready for that growth and the overall state of the industry.
How is Cava Group’s integration of Zoe’s Kitchen restaurants going?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Brett Schulman, the CEO of Cava Group, who talks about a wide variety of topics, but particularly his company's integration of Zoe’s Kitchen.
Cava acquired Zoe’s in 2018 in one of the more interesting deals of recent vintage. Both were fast-casual Mediterranean chains but Zoe’s was publicly traded at the time. Since then, Cava has been converting Zoe’s restaurants into Cava locations.
Such conversions used to be relatively popular in the industry in the 1990s but have been relatively rare since, though First Watch used conversions to grow quickly several years ago. Schulman Talks about why that strategy makes sense and what it’s doing for Cava.
He also talks about digital sales, the current state of delivery and Cava’s potential plans for catering. And Schulman talks about his company’s strategy to balance demand from all these channels.
We’re talking with one of the premier fast-casual executives in the industry on A Deeper Dive so please have a listen.
What is the story behind Dave’s Hot Chicken?
This week’s episode of the Restaurant Business podcast A Deeper Dive features two people behind one of the hottest chains in the country: Bill Phelps, Dave’s CEO, and Arman Oganesyan, one of the company’s cofounders.
Dave’s is the fastest-growing restaurant chain in the U.S. right now. The chain, which sells a menu of spicy chicken tenders or sandwiches, was started out of a California parking lot in 2017. It went from seven locations in 2020 to more than 100 now, with deals for another 750 and locations coast to coast.
Bill and Arman tell the story of the chain and its growth. They also talk about the strategies to avoid the pitfalls of overly fast growth, something that has caused problems at many concepts over the years. But they also talk about the secret behind the brand’s seemingly overnight success.
It is a fun look at one of the most interesting restaurant chains in the country today so please have a listen.
Restaurants are in a stronger financial position now than they were before the pandemic.
This week’s episode of A Deeper Dive features Michael Swanson, an agricultural economist and consultant for Wells Fargo.
Swanson has been on the podcast before and talks about the current and future state of food costs. Commodity price inflation hammered the industry last year. Those costs have started to ease already and Swanson talks about what to expect come 2023.
We also talk about the state of the industry after the pandemic. Restaurants that survived the pandemic are in better shape. Profits actually soared in 2021, thanks to the combination of government assistance and improving sales. And though margins were squeezed in 2022 because of inflation, it still puts the industry in a better position heading into a potential recession.
In addition, Swanson talks about why consumers remain reluctant to cut much from their food spending in a downturn.
Is tipping out of hand at fast-food restaurants?
This week’s episode of A Deeper Dive I speak features Robert Byrne, director of consumer and industry insights with our sister company Technomic, who talks about convenience, value and tipping.
Byrne oversees consumer surveys with Technomic talks extensively about consumers’ views on a host of issues related to restaurants.
He discusses why consumers use restaurants, including why convenience is so important to consumers and what they think about when it comes to value right now.
He also talks a lot about tipping. More counter service restaurants have been adding tipping as an option but have also run into at least some consumer resistance when they do. Are QSRs asking for too much when they suggest a tip? Is that a risk to their relationship with consumers.
Byrne discusses these and all other issues.
Why do companies franchise their business?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Gary Occhiogrosso the founder of Franchise Growth Solutions, who talks about the opportunities and challenges involved in franchising.
Occhiogrosso has been involved in the business for a long time and we talk about his history, first as a franchisee and later as the founder of a franchise development and sales firm.
Franchising remains a popular method for restaurants to expand, but not everyone can expand successfully and there are a number of potential pitfalls when chains start selling the right to operate their brand to individual investors.
Occhiogrosso discusses this and what goes into taking a successful restaurant and making it a franchise. We talk about the factors that go into franchising a business. He also provides some recommendations for companies considering the option.
Did Starbucks win its labor battle?
This week’s episode of the Restaurant Business podcast A Deeper Dive features a debate between myself and Peter Romeo, the editor at large of RB, on the success of Starbucks’ pushback against unions.
For some time, it seemed that another Starbucks store formed a union every few hours. The push, the most successful effort to unionize a restaurant chain, contributed to massive changes at the Seattle-based coffee giant, particularly in the executive team. That push has slowed in recent months. Romeo and I debate whether that’s a sign that Starbucks has won.
We also talk about a potential rail strike, which could inject yet another black swan event onto a restaurant industry that has dealt with several of them over the past three years. And we talk about the U.S. Small Business Administration’s recent decision to send out more Restaurant Revitalization Fund grants to operators.
Restaurant automation is coming rapidly. But how much of an impact will it have?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Juan Martinez, principal with the consulting firm Profitality, who talks about the growing use of automation.
Martinez is a periodic guest on the podcast and he works with restaurants to improve their overall profitability.
Automation has been one area that restaurants have been targeting over the past couple of years as they faced numerous challenges, including the pandemic, resulting labor shortage and now wage inflation.
But there have been doubts about the true impact of automation on labor costs. Martinez talks about this, and he provides some recommendations for operators that are looking into using machines to take over some of employees tasks.
Can dine-in pizza still work?
This week’s episode of the Restaurant Business podcast A Deeper Dive features a trio of executives from Mountain Mike’s Pizza: co-CEO and brand owners Chris Britt and Ed St. Geme and COO Jim Metevier.
Mountain Mike’s is a California-based chain that operates about 270 locations. Britt and St. Geme bought the chain about six years ago.
The trio talk about the history of the brand and its growth since Britt and St. Geme acquired the company. They talk about the impact the pandemic has had on its takeout and delivery business, which has grown strongly over the past three years. But they also talk about the pull of the chain’s dine-in business.
Dine-in pizza has struggled over the years but there is some evidence that people are coming back to it, either for nostalgia reasons or to get out of the house. Brands with an entertainment element have done well and Mountain Mike’s may help prove that.
We also have some interesting discussions the owners’ time as Burger King operators.
What is the future of casual dining?
This week’s episode of the Restaurant Business podcast A Deeper Dive features John Cywinski, the president of the casual-dining brand Applebee’s, to discuss that very topic.
Bar and grill chains like Applebee’s had generally struggled since the Great Recession. And then the pandemic forced them to figure out takeout and delivery, and many of them did.
But the pandemic culled supply of dine-in restaurants and those concepts that made it through that era have seen a strong recovery in dine-in traffic as consumers unleashed pent-up demand. Applebee’s is coming off a particularly strong quarter, featuring the best three-year same-store sales in its history.
Cywinski talks about all of that. He discusses the future of takeout in the full-service space and where takeout and delivery stand with the company. He also talks about the company’s franchising strategy and how it affects the management of the chain. And Cywinski talks about the status of Applebee’s virtual brands.
Does the fast-casual sector exist?
In this week’s episode of a Deeper Dive I’m joined by my colleague Lisa Jennings to talk about the blurring of the lines in the restaurant industry—particularly between fast-casual and quick-service restaurants.
The fast-casual sector represented a group of higher-end limited-service concepts and until the pandemic largely dominated industry growth over the past two decades.
But since the pandemic, a lot more of these chains have added drive-thrus, such as Shake Shack, Sweetgreen and Chipotle. And a lot more quick-service chains like Chick-fil-A have raised their prices to match what is often seen at traditional fast-casuals. Add it all up and the two sectors look so much alike it makes sense to wonder whether we should do away with that differentiation altogether.
Meanwhile, Lisa and I also talk about recent earnings results from McDonald’s and Chipotle. McDonald’s is gaining low-income diners. Chipotle is losing them. We wonder whether the two industry giants are trading them with one another.
Amusements have been, quite literally, a game-changer for Cicis.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jeff Hetsel, the president of the 300-unit pizza buffet chain.
Cicis has had a strong performance coming out of the pandemic, with sales up 14.5% last year, according to Technomic.
One of the big reasons is video games. The company has been convincing operators to expand their game rooms from the eight games they used to have to much larger rooms with prizes and token cards.
That has been a major sales boost for the company. Hetsel talks about just how much of a sales lift video games can have for an individual operator. What’s more, that sales lift is far more profitable than the sale of pizzas.
Hetsel touches on other topics, including other drivers behind the company’s sales increase.
How can restaurants avoid becoming a political football?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Kefauver, the managing partner with public affairs firm Align Public Strategies and cohost of the RB-hosted Working Lunch podcast.
Kefauver discusses a variety of topics, including a backlash against corporate ESG strategies. ESG stands for environmental, social and governance. Many corporations believe that having a strong ESG framework can create shareholder value over time because it can improve their reputation.
But there’s been something of a backlash by conservative groups over these policies. He talks about this trend and how companies can avoid it, if they even can.
He also talks about the Fast Act in California and efforts by restaurant chains to get that act in front of voters in the state, and why this topic is so important. And he discusses unions and why there hasn’t been many efforts to unionize companies outside of the coffee giant Starbucks.
How can operators avoid price increases as their own costs increase?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Rich Shank, senior principal with RB sister company Technomic. He discusses the challenging operating environment when it comes to menu pricing.
Restaurants have been raising prices aggressively this year as higher prices for food and labor eat into margins. Menu prices are up 8% over the past year.
But there are signs that consumers are starting to reject these price increases, enough that Shank wrote in RB that operators may need to rethink their price increases. He explains the consumer environment and how operators can offset their own higher costs without hurting consumers.
We also talk about another piece of data: the decline in restaurant use by the older and bigger Baby Boom generation, and what that means to certain types of concepts.
The beverage business is rapidly changing and drive-thru coffee concepts like Scooters Coffee are right in the middle of it.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Thornton, the president of Scooter’s.
Scooter’s has quietly been one of the fastest growing restaurant chains in the U.S. System sales and unit count have nearly tripled over the past five years, according to RB sister company Technomic.
Thornton talks about that growth and what has been key to the business. He talks about the brand’s franchising model and its focus on its drive-thru coffee kiosks, which sell a selection of beverages and food from 600-square-feet shops.
He talks about the brand’s real estate strategy and where the company fits in a rapidly changing and shifting beverage business.
If you haven’t come across a bubble tea concept yet, you will quite soon.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Paul Reynish, who was named global CEO of the bubble tea concept Gong Cha earlier this year.
Gong Cha was founded in Taiwan in 1996 and is now based in London. It has quietly been one of the fastest-growing chains in the country. It operates more than 1,600 locations globally. It finished 2021 with nearly 170 locations in the U.S., up 700% over the past five years.
Reynish was hired after stints at Dunkin’ and Five Guys. He talks about the brand’s plans for growth, including how many units it expects at the end of this year. He talks about the bubble tea trend generally, about the rapidly changing U.S. beverage market and where Gong Cha fits in that market.
He also discusses the chain’s plans for food.
How big of a deal is the unionization effort at Starbucks?
This week’s episode of the Restaurant Business podcast A Deeper Dive features my colleague Peter Romeo, who talks about the ongoing unionization campaign at the coffee giant.
More than 200 Starbucks locations have voted to form a union. The company has undertaken a massive effort to stop it. Peter and I discuss that unionization campaign, Starbucks’ response, whether it’s working or not, and whether other restaurant chains should worry at this point.
We also talk about the California Fast Act, and the potential impact that newly passed law could have on fast-food chains and other restaurant employers in the state. We also talk about whether that law could spread to other states.
The nation’s opioid crisis grew much worse during the pandemic. And it has hit restaurants particularly hard.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Rick Van Warner, a former longtime industry executive and ex-CEO of the Tex-Mex chain Tijuana Flats.
He is also on the board at Project Opioid, a Florida-based agency that works with employers on the opioid crisis. Van Warner is also the author of the book On Pills and Needles, where he tells the story of his son’s addiction to opioids and the family’s long struggle to help him recover.
Van Warner tells his story and we talk about the risk restaurant workers face from opioids and in particular, synthetic opioids like fentanyl. He also has recommendations for employers on how they can deal with the issue.
Can fries fix Quiznos?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Mark Lohmann, the president of Rego Restaurant Group, which owns Quiznos as well as its sister chain Taco Del Mar.
Quiznos has gone from nearly 4,700 U.S. restaurants in 2006 to just 200 now, plus fewer than 300 internationally, a 90% reduction in total unit count that is unprecedented in restaurant industry history.
These days the brand is trying just about everything to stop that decline. That has included a new prototype featuring a new menu that includes grilled steak, subs featuring eggs and even French fries. Those are all made by new fryers and grills that Quiznos previously didn’t have. Lohmann talks about that plan and what it means for the chain’s future.
He also talks about some of the chain’s other strategies, such as its new prefabricated prototype it is testing elsewhere as well as other changes.
He talks about Quiznos’ unique advantages and why he believes the chain is at an Inflection point.
How did Smoothie King convince franchisees to go along with a complete menu overhaul? And how did customers react?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Wan Kim, the CEO and owner of the Texas-based Smoothie King brand.
Kim was a franchisee of the brand in South Korea before he bought the company and moved to the U.S. Smoothie King has been one of the country’s fastest-growing chains and smoothies are increasingly popular among consumers. The brand’s sales grew 25% last year alone.
Kim discusses a wide range of topics, including the smoothie business, the impact of McDonald’s smoothies and where the brand is headed.
Yet he also reveals the risk the chain made when it decided a few years ago to cut back on sugar, even at the expense of some customers and even some operators.
Getting attention is the name of the game in the ultra-competitive restaurant industry, and Krispy Kreme has been doing quite a bit of that lately.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Dave Skena, the global chief brand officer for the doughnut chain.
Skena’s job is to get attention for a well-known brand and the company has been doing some interesting things lately to accomplish that, sometimes taking a few risks in the process. That includes last year’s notable vaccine promotion, offering a free doughnut to customers who could offer proof of vaccination.
He discusses the company’s numerous other marketing promotions, such as one offering customers a dozen doughnuts for the price of a gallon of gas. He talks about the chain’s overall strategy and the challenges of marketing a brand that is evolving into an omnichannel concept that sells doughnuts in a lot more places than just a shop.
Pumpkin spice season comes earlier every year. Why?
This week’s episode of the Restaurant Business podcast A Deeper Dive features RB Senior Editor Pat Cobe, who joins me to talk about what’s on the menu at fast-food chains.
We speak first about the recent news that Taco Bell has a partnership with the dessert concept Milk Bar. The two are launching the Strawberry Bell Truffle at a limited number of locations, two Milk Bar units and one Taco Bell. We discuss such ultra-limited time offers.
We also talk about the plant-based trend and what it means that McDonald’s McPlant test apparently didn’t quite fly.
And of course we chat about pumpkin spice, and why such products keep arriving earlier every year.
How is the restaurant industry dealing with the difficult operating environment?
This week’s episode of the Restaurant Business podcast A Deeper Dive features an interview with Michelle Korsmo, who took over as CEO of the National Restaurant Association in May.
Korsmo discusses her career to date. She has worked in public policy at the state and federal levels and most recently was chief executive of the Wine and Spirits Wholesalers of America before taking over the top post at the association.
Korsmo discusses the state of the industry at the moment. And she talks about the Restaurant Revitalization Fund, and why the U.S. Small Business Administration is sitting on $180 million in leftover funding. The SBA may release those funds. She also talks about balancing the needs of those small restaurants with those of large chains. There is also a discussion on so-called “shrinkflation.â€
Why would you leave a 1,800-unit chicken wing chain for a salad upstart?
This week’s episode of the Restaurant Business podcast A Deeper Dive seeks to answer that question. It features Charlie Morrison, now the CEO of the nearly-60-unit Salad and Go.
Morrison is the now-former CEO of Wingstop, which he led for nearly a decade, growing it from 500 locations to about 1,800 units and helping to turn it into a powerhouse, one that would spawn dozens of competitors during the pandemic.
We asked him about that decision to leave that position to head up a chain of drive-thru salad restaurants that was relatively little known for the most part outside of its core market. He explains the move. And then we spend a lot of time talking about Salad and Go.
Morrison talks about the concept and why it’s able to sell its salads for just $6. He explains the growth strategy and why now is the time for a drive-thru-only salad chain.
How was Taco Bell able to get its latest prototype from idea to operating in less than two years?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Mike Grams, the chief operating officer for the Mexican fast-food chain, to talk about a variety of topics, from franchising to the reaction to its Mexican Pizza.
That includes its fancy new Defy prototype, the one that features four drive-thru lanes, three of them for mobile orders. The prototype was opened this summer less than two years after the local franchisee brought the idea to Taco Bell.
Grams talks about that story, which is interesting and helps explain the chain’s success. Taco Bell franchisees have generally been with the brand for a long time and the value of their restaurants is at record levels, in part because of the company’s willingness to let them lead the way on some of its new store ideas.
Mike also talks about labor issues and how these new stores fit into that. He also talks about the Mexican Pizza, why that was taken off the menu and why the company had to pull it back. He discusses supply chain issues, food costs and other topics.
Shahpour Nejad came to the U.S. to get his college degree. Instead he became a pizza guy.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Nejad, the CEO and cofounder of the Sacramento-based Pizza Guys, who discusses his personal history, the formation of his chain and its growth strategies.
Nejad’s parents sent him to the U.S. in the late 1970s when he was just 16, so he could go to school. The Iranian Revolution kept him here, and he ended up working with a pizza concept. We’ll let him tell you the rest of the story on the podcast, but it ultimately led him to create Pizza Guys out of Sacramento.
Today, the west coast chain has more than 70 locations and after years of slow and deliberate growth it is planning to get much bigger.
Nejad talks about the company’s story and his reasons for that slow and deliberate growth, and what his plans are going forward. But his personal story is fascinating.
Subway has made yet another massive change to its menu. Will it work?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Pat Cobe, the senior menu editor for RB, in a discussion about Subway’s latest menu chane.
Subway last year overhauled its menu with an “eat fresh refresh,” an upgrade of numerous ingredients, including its bread. Some longtime operators who recall the chain’s decision in the late 1990s to go with a more traditional split bread approach—rather the trench it used to dig into the bread—as a bigger deal.
This month, the company introduced a set of 12 new sandwiches that are designed to operate as its core menu. The company will work to focus customers’ attention on those sandwiches, rather than its countertop with all its ingredients. The goal is to shift away from the customized menu that had been its trademark.
Will it work? It may be vital for Subway’s future. Subway has closed about 6,000 units in the past eight years. Its unit volumes even after improving strongly in 2021 remain low and a number of locations are still underperforming pre-pandemic levels. Getting more people into Subway more often is vital.
In this case, that could mean going away from customization, which Pat and I talk about at length. The two of us attended a tasting of its new menu and we talk about what it could mean for Subway’s future, and why a fully customized Subway menu may not be quite as beneficial as people think.
How do you turn a well-loved local restaurant into a hot national concept?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Garrett Reed, CEO of Layne’s Chicken Fingers, to talk about his efforts to take that step.
Layne’s was founded near Texas A&M in College Station, Texas, in 1994. Reed and a partner later purchased the brand, intending on turning it into a franchise. The company currently has nine locations but has deals for many, many more.
Reed discusses that transition and about how the company has sold so many franchises this quickly. He also talks about the brand’s unique franchising strategy and how that should, hopefully, maintain culture even as the concept grows. He also discusses why that culture is important to a brand like Layne’s.
Everybody talks about having a good corporate culture. But what does that mean?
This week’s episode of the Restaurant Business podcast A Deeper Dive features James Pogue, the CEO of the leadership consulting firm JP Enterprises, to talk about culture and inclusivity.
Pogue is a former researcher and administrator who now works with companies—including many restaurants—to help them attract and retain younger employees.
We speak with him because we’re curious about what it means to have a good corporate culture, one that promotes inclusivity and diversity. Pogue is as good as anybody to talk about that topic.
He quickly notes in the podcast that a company has a culture whether it tries to have one or not. And he talks about how to promote that culture—particularly in a time when so many things are so divisive. He talks extensively about promoting an open and honest culture at a time when political divisions are raging.
How does a mall concept do well in stand-alone locations? With chicken wings.
This week’s episode of A Deeper Dive features Charley’s Philly Steaks President Candra Alisiswanto, who talks about Charley’s growth strategy.
Charley’s operates 670 locations. Most of those have traditionally been in mall settings. But more recently, the company began expanding outside of those shopping centers and into stand-alone locations, many of which have drive-thrus. It has done so in part with an expanded menu that features chicken wings in addition to its traditional menu of steak and chicken Philly sandwiches.
We spoke with Alisiswanto about this strategy, and why chicken wings have helped the company intensify its growth.
He talks about the difference between operating in malls and operating standalone locations and what it takes to make that transition. He also talks about technology and bringing kiosks and mobile apps to the malls. He talks about franchisee demand and how drive-thrus fit in Charley’s future.
How many restaurants does Subway need to close?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Trevor Haynes, president of North America for the Milford, Conn.-based sandwich giant, to talk about the chain’s future.
Subway remains the largest chain in the U.S. by unit count. But it has been shrinking for years. Franchisees have closed about 6,000 locations since the brand peaked at 27,000 restaurants in 2014. Restaurants have low unit volumes and franchisees on average own just two locations.
Haynes was acting CEO in 2018 and 2019 before giving way to John Chidsey. He talks about the likelihood of more closures ahead. But he also says the closures open opportunities for new locations, though the restaurants may be different and could feature things like kiosks and vending machines.
Haynes talks about the company’s plan to recruit larger franchisees and the future of business developers, the sometimes controversial operators who act as master franchisees and take on some of the roles of the franchisor. And he talks about the company’s efforts to build unit volumes.
How do you create a restaurant concept when so much about the business is uncertain?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jack Gibbons, the CEO of concept incubator FB Society, to talk about concept development and the industry’s future.
FB Society, formerly known as Front Burner Brands, is known most for creating Velvet Taco, which has since been sold—though FB still has an interest in the chain and is a licensee. The company has created several other full-service and fast casual brands including Sixty Vines, Mexican Sugar, Whiskey Cake and Son of a Butcher, among others.
Gibbons talks about how FB Society thinks when it creates a concept right now and what things they consider when developing full-service and fast-casual brands.
He also discusses consumers’ continued desire for service and the demand for high-quality restaurants and what kind of takeout consideration full-service restaurants should have. And he talks about whether fast-casual restaurants should focus on the dine-in business at all.
Gibbons also takes some time to talk about how best to win the labor shortage and about rethinking unit economics when everything costs so much.
How do operators overcome rapidly shrinking profit margins?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jim Balis, managing director with the investment firm CapitalSpring, to talk about the rising cost environment and how operators can overcome these problems.
Labor costs are soaring right now, with wage rates up more than 13% over the past year. But food costs are up even more, rising more than 16% according to federal data. Add in the higher prices for construction, equipment, real estate and interest rates and it’s difficult to improve profits. Menu prices are up 7.2%, not nearly enough to offset the higher costs.
In addition, a potential recession could push more consumers to shop on price, which may hurt operators’ ability to keep raising costs.
Balis is an operational expert and discusses strategies restaurants can use to offset the higher costs without simply raising prices. But he also talks about price strategy. And he talks about the technologies that could do the most to improve operations down the road.
What is the state of the restaurant industry this year?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Lance Trenary, the CEO of Golden Corral and chairman of the National Restaurant Association, to discuss the general state of restaurants.
Trenary joined the podcast from the association’s recently completed show, the first one in three years. The show was held just days after Congress could not muster enough votes to approve a package that would have provided $40 billion in funding for the Restaurant Revitalization Fund.
Trenary talks about what that means for restaurants that had been counting on receiving their grants. He also talks about the numerous challenges facing the industry, notably soaring labor and supply chain costs, and what impact this is having on operators. Trenary also talks about how his own chain, Golden Corral, has been able to deal with these issues.
Why are grocery prices going up so much?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Christine LaFave Grace, the executive editor of RB sister publication Winsight Grocery Business, to talk about last week’s consumer price index data.
The CPI rose 8.3% in April. Food prices have soared, rising 9.4%. That includes 7.2% at restaurants. But at grocers, prices are up 10.8%.
This affects restaurants in two ways. First, it increases overall costs for the base consumer, which may cause them to cut back on spending. Yet they also see the prices and start dining out instead, especially given the 3.5% gap in pricing between the two industries.
And indeed, restaurant and bar sales have continued to thrive this year.
We talk about this issue from the retailers’ perspective. Why are grocery prices increasing so much? How are consumers reacting when they do shop for their groceries? And how long is this all expected to last? We also provide some context on what this means for restaurants.
Restaurants aren’t the only businesses with labor problems. Distributors have their own challenges that are also driving up costs for operators.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Terry Walsh, the president of small California distribution company Southwest Traders, to discuss the impact of the labor shortage on distributors and how that affects restaurants.
A lack of truck drivers has been an increasing problem for distributors for years but was worsened during the pandemic, which has played a major role in an increase in supply chain costs while causing problems with delayed or even cancelled deliveries.
But a warehousing worker shortage has also caused problems. Terry talks about these roles, why companies have had problems getting these workers, and what distributors are doing about it. He talks about their impact on operators and overall costs and what steps operators can do to make life easier on drivers.
Walsh has more than 30 years in the distribution business and has president of Southwest Traders since 2016. He has spent 14 of those years on the board of the International Foodservice Distributors Association.
How did Crumbl Cookies go from an off-the-wall idea between two cousins into one of the country’s fastest-growing restaurant chains in just five years?
This week’s episode of the Restaurant Business podcast A Deeper Dive features Jason McGowan, the CEO and cofounder of the fast-growing cookie chain, to talk about its history and its growth.
McGowan founded the brand with his cousin, Sawyer Hemsley, in 2017. The brand has since grown to more than 400 locations that largely sell just cookies (as well as some ice cream). It was the fourth fastest-growing restaurant chain in the country last year, according to the Technomic Top 500 Chain Restaurant Report. Sales are up nearly 500% since 2019.
But there is a real foundation here. Crumbl’s locations average $1.7 million and generate more than $350,000 in net profit by largely selling just cookies. It also has a massive social media following.
McGowan talks about the company’s unique formation, its quick rise and the strategy behind its success. He talks about the company’s franchising strategy, which has thus far completely avoided any sort of advertising.
What can operators do to avoid raising prices too aggressively? Or should they?
This week’s episode of the Restaurant Business podcast A Deeper Dive features John Gordon, a restaurant consultant out of San Diego, to talk about the industry’s historic level of menu price inflation and whether consumers will ultimately respond.
Restaurants are raising prices at historically high rates, including 6.9% year over year in March, continuing a high run of price inflation. Restaurants are doing this because their own costs are soaring. Consumers at least thus far have yet to reject these higher prices.
Gordon discusses why consumers haven’t yet rejected higher prices. He also discusses how long this will last. There are growing fears that consumers will shift their spending habits in response to inflation.
Yet operators’ own prices continue to increase. Gordon discusses what they can do to avoid further price increases, and a potential consumer blowback, without having their margins hurt even more.
How did a small hot dog chain handle a sudden rush of customers after the pandemic?
This week’s episode of the Restaurant Business podcast A Deeper Dive features J.R. Galardi, the CEO of the Galardi Group, parent company of Wienerschnitzel, Tastee Freeze and Hamburger Stand.
Galardi was named CEO earlier this year but had been president and chief operating officer before that and has grown up with the concept, which was founded by his father and later run by his mother after he passed away.
He talks about taking over a family business, including some of the pressures, challenges and opportunities that presents. J.R. talks about what he plans to do with the brand.
He also talks a lot about the state of the business, including labor issues, supply chain concerns, franchising and expansion strategies.
Galardi discusses how much demand there was for the drive-thru after the pandemic, the challenges that presented, and what the company did about it.
What chains recovered the most from the pandemic?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Joe Pawlak, managing principal with RB sister company Technomic, to talk about the latest Top 500 Chain Restaurant Report.
The 500 largest restaurants grew sales by 18% in 2021—and more than 8% over 2019, effectively recovering from the pandemic. They generated $361.2 billion in total sales.
Pawlak talks about why they’ve been able to grow more quickly than anybody anticipated.
He talks extensively about what sectors did best, notably fine dining along with some of the biggest chains in the U.S.
Among the companies featured in this podcast are McDonald’s, Burger King and, of course, Chick-fil-A.
What are consumers getting when they order from a virtual kitchen?
This week’s episode of the Restaurant Business podcast A Deeper Dive features our editors speaking of their recent taste test of a handful of virtual brands.
The project was spearheaded by Senior Technology Editor Joe Guszkowski, who wrote about the experiences in a piece last week. We are joined by Editor-at-Large Peter Romeo and Senior Independents Editor Heather Lalley.
The brands we tried were MrBeast Burger, Man Vs. Fries, Grilled Cheese Society and Another Wing by DJ Khaled.
We rated them on delivery quality, food quality and appearance and overall value. You should check out the piece, which ran last week.
The editors discuss the results of their orders, including which brands they prefer, which brands they disliked, and their overall value. We discuss how much this says about delivery charges, and whether we would order this in the future.
Wendy’s has some big plans to add a lot of restaurants.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Abigail Pringle, the president of international and chief development officer for the burger chain Wendy’s. She talks about the chain’s numerous expansion strategies.
Wendy’s has a lot going on. The company has a deal with Reef Kitchens to expand into 700 ghost kitchen locations around the world. Pringle talks about the potential impact that deal will have on the company’s expansion strategy.
She also talks about the company’s move into international markets. Wendy’s recently opened units in the United Kingdom and is now targeting Mexico for expansion, among other locations. Pringle also talks about why Wendy’s has been behind its top competitors in international expansion.
She discusses the chain’s recently announced Own Your Opportunity recruitment effort, which is designed to increase the diversity of the Wendy’s franchise system. That effort includes considerable work on financing. Pringle talks about how that recruitment effort fits in with the chain’s development strategy.
Restaurants’ supply chain headache has evolved into a migraine.
This week’s episode of the Restaurant Business podcast A Deeper Dive features Keith Anderkin, the chief supply chain officer for the fast-casual chicken chain Zaxby’s.
Chains have been increasingly giving c-level status to their top supply chain officers. Anderkin took his position last year, and we wanted his insights into the challenges with the supply chain—why costs are going up so much, and what the company is doing about it.
The pandemic has changed restaurants’ deals with beverage companies, maybe forever.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Tim Harms, CEO of the consulting firm Enliven, to talk about the market for beverages at restaurants.
Enliven works with restaurants and other clients to negotiate their beverage contracts. Harms was recently named the firm’s CEO.
He discussed the state of beverage deals on the podcast, and how much the pandemic changed demand for restaurant beverages. Growth in takeout and delivery has led to decreased beverage attachment, which has changed the way restaurants have to think about their beverage contracts.
Despite a number of challenges, there remains plenty of demand for restaurants on the open market.
This week’s episode of the Restaurant Business podcast, A Deeper Dive, features Robin Gagnon, CEO and cofounder of We Sell Restaurants, to discuss the secondary market for restaurants.
That market remains strong. There are more buyers than there are sellers, driving up the price. This is especially true for quick-service restaurants. But there is plenty of demand for all kinds of concepts. The demand is strong despite high labor and food costs and the prospect of rising interest rates.
How does a small growth chain expand when the operating environment is so difficult?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Jason Morgan, CEO of the 17-unit Original ChopShop, to talk about it.
Original Chop Shop is a better-for-you fast casual chain. The company has done quite well during the pandemic and has some significant growth plans, but it has faced some challenges on that front.
How has life changed for Portillo’s since the brand went public?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Michael Osanloo, CEO of the hot dog and Italian beef chain, to talk about life as a public company.
Portillo’s has been a fast-growing chain of massive quick-service restaurants. It went public last year in what now looks like some bad timing. Stocks have struggled due to inflation concerns and the promise of higher interest rates. And investors have been particularly hard on some of the newly public restaurant companies.
What happens with third-party delivery from here?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” attempts to answer that question. Joe Guszkowski, RB’s senior technology editor, joins the podcast to discuss the service and some interesting data and trends.
Third-party delivery took off during the pandemic. It provided a lifeline for many restaurants. Yet it remains in flux.
Everybody wants a drive-thru these days. And that has an impact on the prices for real estate that can accommodate that wish.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Barry Wolfe, senior managing director of investments for the real estate investment firm Marcus and Millichap, to talk about the demand for drive-thru sites.
What is 2022 going to be like for restaurants?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Hudson Riehle, SVP of the research and knowledge group with the National Restaurant Association, to talk about the group’s recent State of the Restaurant Industry report.
The report is an annual compilation of data and surveys on the industry and provides a snapshot of where the business stands and where it’s headed during the coming year.
How has the omicron variant affected restaurant traffic?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features RJ Hottovy, head of analytical research with the data firm Placer.ai.
Hottovy is a longtime industry analyst who went to work with Placer last year. Placer tracks consumer traffic, and he talks about how that traffic has been changing of late.
Tracy Johnstone wanted to go into academics. Instead she found plenty of teaching opportunities with McDonald’s.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features the now-former, longtime McDonald’s franchisee, who discusses her more than 30 years in the business.
How does a small, Midwestern coffee chain compete with the big giants?
Bob Fish, the co-CEO and cofounder of Biggby Coffee, joins the Restaurant Business podcast “A Deeper Dive” this week to discuss the chain’s growth strategy.
Biggby is a 260-unit chain based in Lansing, Mich. The company has plans for some enormous growth in the near future after largely making it through the pandemic unscathed. It is doing this largely through a franchising model.
Fish talks about that growth. He also talks about the need to constantly change in a market where new trends come and go quickly. And he talks about the need for convenience—and why coffee chains could not survive on customers hanging out in cafes alone.
Virtual brands and ghost kitchens have been hugely popular since the outset of the pandemic. But just how big will they be?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Denny Marie Post, the former Red Robin CEO who is now an advisor to the virtual brand operator Nextbite, among other roles.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features staff editors, all discussing their takes on the year’s biggest stories.
Editor At Large Peter Romeo, Technology Editor Joe Guszkowski, Independents Editor Heather Lalley and Menu Editor Pat Cobe join me in discussing issues related to labor, technology, the plight of independents, finance and menu trends.
Will high labor costs derail restaurant industry mergers and acquisitions?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Nick Cole, head of restaurant finance for the Mitsubishi UFJ Financial Group, or MUFG.
The omicron variant is spreading. Will it cause problems for restaurants?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Roslyn Stone, chief operating officer of Zero Hour Health, who talks about this new variant and what it means for restaurants.
Will people eat enough salads to fuel Sweetgreen’s potential growth?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Nancy Kruse, RB’s new menu trends columnist.
A Deeper Dive: Jim Balis, managing director with CapitalSpring, joins this week’s episode to talk about overcoming labor and commodity inflation.
How is Andy Wiederhorn doing it?
In this week’s episode of the Restaurant Business podcast “A Deeper Dive,” the CEO of Fatburger and Johnny Rockets owner Fat Brands discusses his company’s latest deal, a $130 million acquisition of Fazoli’s.
It is the fourth major deal in 14 months, starting with Johnny Rockets, then Global Franchise Group and then Twin Peaks. All told, Wiederhorn’s company has made or announced more than $900 million worth of deals in that period.
Just how bad is the labor shortage?
In this episode of the RB podcast “A Deeper Dive,” I debate with Editor-at-Large Peter Romeo about that very topic.
Restaurants have been dealing with one of the worst shortages of labor in history, with many locations shortening hours or reducing services because they do not have enough workers. Operators are paying much higher wage rates and they’re paying more for benefits than they ever had.
Romeo in a recent column argued that these challenges will ultimately prove worse than the pandemic on the industry, citing the closures and a potential long-term loss of workers.
Yet I argue that the issue will ultimately prove better for the industry by forcing it to improve efficiency and employee retention, which will improve operations in the long-term.
Who is right? Check out this week’s episode and find out.
Want to grow your brand? Make sure you get your franchise relations right.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Darin Harris, the CEO of the San Diego-based burger chain Jack in the Box, to talk about the company’s growth plans.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Frances Allen, CEO of Checkers and Rally’s, who talks about the chain’s growth, the industry’s current challenges and her outlook going forward.
Checkers, traditionally a drive-thru-only chain, has thrived since the pandemic as consumers shifted more of their dining toward such service models. That has also given the chain the upper hand as more restaurant chains have started toying with drive-thru-only models.
Is there any positive outlook on the labor front?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Kevin Bazner, the CEO of A&W Restaurants, talking about the impact of the labor shortage on his company’s restaurants.
The U.S. Federal Trade Commission appears ready to take a harder look at franchising.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features two people who are asking the agency to do just that. Eric Karp, an attorney with the law firm of Witmer Karp Warner and Ryan, and Subway operator and franchisee advocate Keith Miller, explain their recent request of the commission to investigate nine franchises.
Those franchises include Subway, Dickey’s and 7-Eleven, along with IHG Hotels, Choice Hotels, the UPS Store, Experimax, Supercuts and Massage Envy.
When will independent restaurants catch a break?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features a discussion on the state of independent restaurants with Senior Editor Heather Lalley.
Restaurants are currently facing a major shortage of alcohol, which has made it difficult to get some specific brands—the latest in a string of shortages that have affected all kinds of businesses. Yet independents, unsurprisingly, are feeling the brunt of this.
Independents are also facing a host of other challenges and have not recovered quite as well as have chain restaurants. They are at a major disadvantage on labor issues, technology adoption and food costs, among other things.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Mark Rossi, the CEO of Avanti Restaurant Solutions, who talks about current challenges with the supply chain.
Challenges getting equipment in the door have caused all sorts of problems with restaurants.
Avanti works with restaurants to design their foodservice options and has been paying close attention to the problem. While he speaks specifically about equipment challenges, many of the issues—particularly a driver shortage—are affecting all kinds of industries that supply products to restaurants.
Fast growth isn’t necessarily the best growth.
This week’s episode of the Restaurant Business podcast features Pete Pascuzzi, the CEO of MRI Heritage Brands, to discuss the best strategies for unit and franchise growth in a post-pandemic era.
MRI is a Texas company that operates several chains, including Uberrito, Casa Ole, Monterey’s Little Mexico, Tortuga and Crazy Joe’s.
Pascuzzi talks about why the company is more deliberative with its franchisee and site selection. A lot of mistakes are made when chains quickly get franchisees into the system and push them into bad sites. He talks generally about site availability and the cost of getting into locations these days.
What did Sam Fox learn from his early struggles in the restaurant business?
Fox, the founder of Fox Restaurant Concepts, joins this week’s episode of the Restaurant Business podcast “A Deeper Dive” to talk about his career in the restaurant industry.
Fox is one of the industry’s most influential concept creators. He has created 20 unique restaurants, including North Italia, Flower Child, True Food Kitchen. In 2019 his company was sold to Cheesecake Factory in one of the industry’s most unique deals in recent years.
Restaurants have a love-hate relationship with third-party delivery services.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” covers that relationship. Senior Editor Joe Guszkowski joins the podcast to talk about the issue, including several recent developments in an ongoing battle about charges and other delivery companies' practices.
Why have restaurant industry sales recovered so quickly?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features David Henkes, senior principal with RB sister company Technomic, and Kevin Schimpf, senior research manager, to talk about where sales are and where they are headed.
Technomic compiles industry sales data, including tracking the largest chains in the U.S., and also publishes regular forecasts for sales.
How long will the boom in restaurant sales last?
This week’s episode of the Restaurant Business podcast features Michael Swanson, an agricultural economist and consultant with Wells Fargo.
Wells is a huge lender in the restaurant industry and Swanson’s focus is on consumer demand. He discusses the surge in industry spending this year and why sales are increasing—and how much price is affecting that increase. He also talks about how long operators can expect these sales to continue.
What are the best strategies for companies to improve diversity and inclusion in their organizations?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features James Pogue, CEO of JP Enterprises, a Dallas-based leadership consulting firm.
Pogue discusses issues related to diversity in management teams. He says that organizations need to be focused on recruiting and developing talent that can address their specific organizational challenges, picking the right people based on their ideas and not necessarily their background.
Can a franchisee succeed as a franchisor?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Tabbassum Mumtaz, CEO of Ampex Brands, and Ericka Garza, brand president for its latest acquisition, Au Bon Pain.
The two talk about what it takes for an operator to take over operations for an entire brand. A lot of franchisees have been buying up brands lately, taking advantage of favorable market conditions to add entire concepts to their collections.
Ampex operates hundreds of Yum Brands and 7-11 locations and recently acquired Au Bon Pain from Panera Bread. Mumtaz talks about the experience of owning a brand after years operating restaurants for other brands.
Garza, meanwhile, talks about the priorities for the brand itself and what it will take for the concept to succeed. Garza is a former franchising executive with Pizza Hut.
What makes a good fast-food burger? Or a chicken sandwich?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Bill Oakley, a writer and producer best known for The Simpsons, as well as shows like Portlandia and The Cleveland Show. He is also a prolific food reviewer on Instagram.
Oakley’s reviews, which are frequently done from his car and often feature major restaurant chains, have generated a strong following and are sprinkled with humor.
He speaks about those reviews and what he looks for when trying a fast-food burger. He also talks about chicken sandwiches, and which one of the many upgraded versions he likes the best.
So much for the idea of real estate availability.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Barry Wolfe, senior managing director of investments with Marcus & Millichap, who talks about the real estate market in the aftermath of the pandemic.
That market is hot. Wolfe works with investors, franchisees and retailers on real estate issues and he’s been busy. Very busy. Companies are looking to expand coming out of the pandemic, especially as their sales have been strong and financing, apparently, is readily available.
Wolfe discusses why it’s hot so quickly, what kind of sites are in the most demand, and what companies can do to find good locations. He also talks about what kinds of locations can be had for lower prices.
In this week’s episode of the RB podcast “A Deeper Dive,” senior editors Pat Cobe and Heather Lalley join me to discuss the state of plant-based meat at restaurants.
A lot is happening in that segment. Chains continue to experiment with plant-based meats, hoping to catch onto a segment of consumers who say they would like to order such items. Much of the focus is on pioneering companies like Impossible Foods and Beyond Meat. But more companies have been jumping into the market with their own versions, and fast-food chains like Wendy’s and Taco Bell have experimented with proprietary recipes.
The three of us talk about all of this on this week’s episode and talk about the future of plant-based meats at restaurants.
What happens with the Restaurant Revitalization Fund now?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Sean Kennedy, executive vice president of public affairs for the National Restaurant Association, to talk about the status of that fund and some other issues.
Congress allocated $28.6 billion in funds for grants to restaurants. They were quickly snapped up, but more than 3,000 operators whose grants were approved were later told that their funds were rescinded due to court rulings in lawsuits filed by those who claimed that the process was discriminatory—the funds were first targeted at women and people of color. The fund has since been closed, with little indication that those 3,000 will get their funds.
Donatos is expanding using any method it can.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Tom Krouse, the chain’s CEO, in a conversation about its various growth strategies.
Donatos was one of the country’s fastest growing chains last year, with system sales up more than 14%. Krouse talks about the chain’s interesting history, including the impact of its years under McDonald’s ownership and the recession.
But he also talks about its unique cobranding arrangement with the casual dining chain Red Robin and why that works for Donatos—and why it won’t keep the chain from growing in other ways. He talks about such other expansion strategies as using ghost kitchens.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Helen Lao, the founder and CEO of executive recruitment firm ClearPath Solutions.
Lao discusses the company’s recent move into franchise matchmaking with ClearPath Franchise. She also talks about the market for industry executives.
The track record of international concepts expanding in the U.S. is not great. Jollibee Foods plans to change that.
Maribeth Cruz, president of Jollibee Foods North America, joins this week’s episode of the Restaurant Business podcast “A Deeper Dive” to talk about the chain’s plans to change that.
Dela Cruz talks about the company’s aggressive plans to expand that number, and how the pandemic introduced U.S. consumers to the chain’s bone-in chicken and the rest of its distinct menu. She also discusses challenges finding real estate and the ever-present labor issue.
Jimmy John’s has shifted its marketing under Inspire Brands.
In this week’s episode of the Restaurant Business podcast “A Deeper Dive,” the chain’s chief marketing officer Darin Dugan discusses those changes, the chain’s thinking behind the changes and some of the impact.
Jimmy John’s has made a number of changes in recent months. That includes the menu, something that had rarely changed at the sandwich chain over the years. The company also introduced a new ad campaign starting with its first Super Bowl ad.
How are restaurant companies finding and keeping workers right now?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Editor-at-Large Peter Romeo, who joins Editor-in-Chief Jonathan Maze to discuss the labor shortage and how restaurants are combating the problem.
Restaurants of all kinds have reported difficulties hiring employees, to the point that many locations are closing early or for entire days because of worker shortages. Entire locations have been slow to reopen after the pandemic in part because of labor.
It’s not just inside the restaurants. The labor shortage is making it difficult for restaurants to get supplies because of a lack of drivers and there are some concerns that it’s causing issues throughout the supply chain.
The three biggest franchise brands in the world are all embroiled in disputes with their U.S. franchisees.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features John Gordon, a restaurant consultant out of San Diego, who talks about these disputes and why they’re happening.
The three brands are McDonald’s, Subway and 7-Eleven. At McDonald’s, franchisees have been pushing back against a $70 million technology fee and could take legal action to stop it.
Virtual brands are all the rage right now. But how do they work? And how can they succeed with so many of them out there?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” focuses on this topic and features Alex Canter, the founder of Ordermark, who provides advice and insight into the creation of these concepts.
Canter’s company includes Nextbite, a creator and operator of virtual concepts—which operate for a primarily delivery customer out of leased kitchens at places like restaurants or hotels or ghost kitchens. Nextbite’s brands include Grilled Cheese Society and Hotbox by Wiz Khalifa.
Canter talks about what differentiates successful virtual brands and how to best succeed at creating them. He also talks about his own history in the restaurant business.
How did Domino’s become a tech company?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Dennis Maloney, the Ann Arbor, Mich.-based pizza chain’s chief innovation officer who discusses the company’s effective use of technology.
Maloney talks about what it takes for a pizza chain to become a tech company. He also talks about robots, including Domino’s partnership with Nuro to use its robot to deliver pizzas in Houston. He also talks about what it will take for that robot to go into more widespread use.
The restaurant industry has enjoyed some remarkably strong sales so far this year.
The Restaurant Business team of editors want to know how long this will last. Senior Editor Heather Lalley, along with Editor-at-Large Peter Romeo, discuss the recent spate of strong sales numbers.
How was Jersey Mike’s able to outperform all of its competitors, and most of the restaurant industry, in 2020?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Peter Cancro, owner and CEO of the sandwich chain, to talk about the company’s performance.
Jersey Mike’s last year was the 10th fastest growing chain among the Technomic top 500 even as most of its competitors struggled, notably the giant Subway.
Consumers are changing again coming out of the pandemic, and that is expected to change the market for restaurant chains.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Dave Bagley, the managing director of Carl Marks Advisors, to provide an outlook for acquisitions coming out of the pandemic.
Bagley leads the restaurant group at the New York-based investment bank and has more than 20 years of experience in corporate finance, operations management, profit improvement and interim management roles.
The Technomic Top 500 Chain Restaurant Report, released earlier this month, has provided a clear picture of just how much the pandemic has influenced the restaurant industry.
Joe Pawlak, managing principal with Restaurant Business sister company Technomic, joins this week’s episode of the podcast “A Deeper Dive” to talk about the ranking, including what chains won and what chains lost.
Why are there so few Black and women CEOs? Activist investors.
Or so says James White, the former CEO of Jamba, and Thomas Lynch, senior managing director of the private equity firm Mill Road Capital.
White recently joined Lynch’s firm to be part of its newly created Progressive Governance Fund, which seeks to improve diversity at smaller companies through targeted investments.
White and Lynch argue that activist investors ultimately hurt the long-term value of the restaurant companies they target. But they also argue that activists hurt diversity, frequently by pushing out Black or women CEOs or board members and then nominating mostly white men.
The latest acquisition in Flynn Restaurant Group’s history was its biggest.
This week’s episode of the Restaurant Business podcast features Greg Flynn, the giant franchisee’s founder and CEO, who discusses the company’s recent acquisition of most of NPC International’s restaurants.
Flynn Restaurant Group has grown over the past couple of decades largely through a series of increasingly large acquisitions. But the purchase of NPC was likely the biggest in U.S. franchise history, essentially merging the two largest franchise operators in the U.S.
Fast-food chains are gung-ho for chicken sandwiches these days.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” explores why. Patricia Cobe, RB’s menu editor, discusses the industry’s sudden fascination with upgraded chicken sandwiches and why.
How will an upscale casual chain prepare for a potential flood of post-pandemic customers?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Tim McEnery, CEO and founder of Cooper’s Hawk Winery & Restaurants, to talk about the chain’s strategies coming out of quarantine.
Why have SPACs suddenly become so popular among investors?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Andy Pforzheimer, the longtime industry executive who helped create the Tastemaker SPAC with former Jamba CEO Dave Pace.
Del Taco has big plans for its new prototype.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features John Cappasola, CEO of the 600-unit Mexican chain, to talk about the chain’s “Fresh Flex” prototype and why the new design can help the company expand in the post-pandemic era.
How did Golden Corral, the country’s biggest buffet chain, survive a pandemic in which it couldn’t operate much if not all of its buffets?
Lance Trenary, the chain’s CEO, answers that question on this week’s episode of the Restaurant Business podcast “A Deeper Dive.”
Virtual brands are big and getting bigger. And they could change the restaurant industry.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features myself along with RB’s technology editor, Joe Guszkowski, to talk about what might be the biggest single trend in the industry: The proliferation of delivery-only restaurants, or virtual brands.
How does Hungry Howie’s compete in the pizza sector with so many giant competitors?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Steve Jackson, CEO of the 500-unit chain, who discusses the company’s response to the pandemic and its ability to grow in a market with so many bigger competitors.
Dutch Bros Coffee has quietly been one of the strongest growth chains in the U.S.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Joth Ricci, president of the 400-unit chain, to discuss its growth strategies, response to the pandemic, and its future.
Fast-food restaurant companies are busy developing new prototypes to take advantage of the growth in takeout. But they need more than that to succeed.
Or so says Juan Martinez, principal and founder with the consulting firm Profitality, who joins this week’s episode of the Restaurant Business podcast “A Deeper Dive” to discuss the proliferation of restaurant redesigns.
Martinez discusses the redesigns on this episode. Fast-food chains, including McDonald’s, Burger King, KFC and Taco Bell, have introduced innovative designs that feature multiple drive-thru lanes and additional points of service for takeout.
Bartaco has had a busy three years.
Scott Lawton, CEO and cofounder of the 20-unit taco chain, joins this week’s episode of the Restaurant Business podcast “A Deeper Dive” to discuss those years and how the company has had to overcome the challenge of the coronavirus.
Ghost kitchens are a big trend, and Nathan’s Famous is taking full advantage.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features James Walker, senior vice president of restaurants, with Nathan’s Famous to talk about the trend and why ghost kitchens work for the concept.
Papa John’s turned itself around last year. Its challenge in 2021 is to keep that momentum going.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Rob Lynch, the CEO of the Louisville, Ky.-based pizza chain.
There is no question what the biggest story of the year was.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” includes a discussion between Editor-in-Chief Jonathan Maze and Editor-at-Large Peter Romeo on the pandemic and its impact on the restaurant industry.
They also discuss the stimulus package and its potential to help the industry this time around. They discuss the vaccination program and how restaurant workers will be toward the front of the line when they get inoculated.
Ghost kitchens are popular right now. But how long will the trend last?
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Dan Rowe, the CEO of Fransmart and co-managing partner at The Kitchen Fund, to talk about a number of topics.
Restaurants facing a long pandemic winter have a number of strategies they can use to survive and thrive.
That, at least, is according to Navin Nagrani, who joins the Restaurant Business podcast “A Deeper Dive” to discuss what he calls the “gain train,” a number of strategies on finance, real estate, operations and acquisitions that operators can use to grow their business.
Restaurants seem to be more resistant to state shutdowns this time around.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features Editor-at-Large Peter Romeo, who sits down with host Jonathan Maze to discuss the current state of the pandemic.
Earlier this month, the fast-casual chicken chain Zaxby’s took a major investment from Goldman Sachs Merchant Banking Division.
Cofounder and CEO Zach McLeroy details the investment in this week’s episode of the RB podcast “A Deeper Dive.”
The restaurant industry is going to look a lot different once the pandemic is over.
This week’s episode of the Restaurant Business podcast “A Deeper Dive” features the consultant John Gordon, discussing this and a host of other issues.