Category: Quick-Service Restaurants (QSR)

When Jim Weaver founded Wings Etc. Grill & Pub in Mishawaka, Indiana, in 1994, he was an entrepreneur realizing a dream. Weaver set out to create a family-friendly sports bar, offering big-screen TVs, great (but simple) food, friendly service and lots of cold beverages.

“Sports bars were just coming onto the scene. Chicken wings were just hitting the scene. My timing was right, and everything worked out very well,” Weaver says — so much so that he opened a second location in 1998 in South Bend, Indiana.

Weaver didn’t work alone for long. He wanted to open a third store; Rob Hensmann, now CEO at Wings Etc. Inc., and Eric Stuczynski, now chief procurement and development officer and president of The Wings Etc. Foundation, approached him about opening a Wings Etc. restaurant.

“Rob and I had the opportunity to meet with Jim Weaver in the Mishawaka, Indiana, store. And we immediately just fell in love with the menu,” says Stuczynski. “It was fun food, you know. Wings was fun, and it still is fun.”

Soon after, the trio formed a franchise company and began pursuing franchise growth, in addition to opening new corporate locations.

The concept has expanded to include 80 locations (more than half of which are franchised). Technology, online ordering, the popularity of carryout and delivery, and more adventurous and vocal consumers all have changed the restaurant landscape in the past 30 years. But good food and good service remain at the crux of the Wings Etc. model.

“We’ve always had great wings,” Hensmann says. “Back in 1994 and 1998 and 2004, we won best wings in most of the markets that we’re in. We’ve been in the Michiana market for almost 30 years now, and we’ve won best wings every year since. And that continues to be really the secret for success with us.”

“The one thing that hasn’t changed is, people expect good service. So that is all-important,” Weaver says. “They wanted good service in 1994, they want good service in 2024, and I assume 30 years from now they’ll still want good service.”

Also on the horizon in the coming years: a new restaurant concept focusing on to-go orders. “The big thing right now is our smaller footprint, which we hope appeals to not only customers but investors also. Our model now is 30 years old, so it’s taking some tweaking. The housing downturn in 2008 didn’t help us; COVID in 2020 didn’t help us. But we got through them, and we’ve learned a little about life and business through each of those,” Weaver says.

“And so I think the emphasis is not only to continue with our model, but also to be a little bit more flexible and get into a smaller location. Offer cheaper (franchise) entry fees and appeal to Generation Z or whomever it is that may be choosing to eat at home but still want restaurant-style food.”

Of Wings Etc.’s 80 locations, 54 are franchisee-owned. Long-time, multi-unit franchisees speak to the success of the formula: Mark and Crystal Crossland of Springfield, Ill., have been franchisees since 2005, and nine franchisees have more than one location. Backing up their sentiment, Wings Etc. was recognized as a Top Franchise for 2024 by Franchise Business Review in its ranking of the 200 best franchise opportunities as rated by franchise business owners. Wings Etc. also was named one of the top 500 franchises in Entrepreneur’s Franchise 500® for its outstanding performance in areas including unit growth, financial strength and stability, and brand power.

“We have a lot of opportunity, really focusing east of the Mississippi, to get into markets where they’re in need of something like this — going into small to midsize cities where they’re in need of entertainment and a sports bar-themed kind of restaurant,” Stuczynski says. “So I think you’re going to see that over the next five to 10 years.”

The company offers single and multi-unit franchise options. The initial franchise fee is $39,500, with a $350,000 liquid cash investment and $700,000 minimum net worth requirement for interested prospects. Wings Etc. offers one of the lowest startup costs and break-even franchise opportunities in the full-service restaurant segment. Priority growth markets include Florida, Kansas, Kentucky, Ohio, South Carolina, Tennessee and Texas.

“We want to position ourselves for the future,” Weaver says. “And I’m not kidding when I say I believe our intentions are to be around and to pass on to a younger generation, a legacy that they can build on, that we can leave to our families, that we are still a relevant restaurant operation, and that we will still be around and hopefully have many more locations than 80 units by then.”

Wings Etc. Timeline

• 1994: Jim Weaver opened the first Wings Etc. store in Mishawaka, Indiana.
• 1998: Weaver opened a second store in South Bend, Indiana.
• 2004: Rob Hensmann, now CEO, and Eric Stuczynski, now chief procurement and development officer and president of the Wings Etc. Foundation, opened a restaurant in Elkhart — the first standalone — and help draft a Franchise Disclosure Document with Weaver for Wings Etc. Inc.
• 2005: Wings Etc. Inc. signed its first franchisee, Jeremy Bayles, in May 2005 in Niles, Michigan; he opened a store in 2007.
• 2006: Mark and Crystal Crossland opened the first franchisee store in Springfield, Illinois.
• 2008: Hensmann, Stuczynski and Weaver opened store 11 in Goshen and merged their locations into Wings Etc. Operating Company (WEOC). WEOC currently operates 26 Wings Etc. locations.
• 2009: Introduced Angry Chicken and Big Chicken as spokes puppets.
• 2014: Wings Etc. expanded its beverage program to include spirits offering full bar service to its guests.
• 2016: Online ordering began.
• 2023: The Wings Etc. Foundation was formed to codify Wings Etc.’s expansive program of giving back, even as individual stores maintained their own sponsorships and fundraisers as well.
• 2024: The Wings Rewards loyalty program app launched, and Wings Etc. debuted a new logo.

Join the Party

Wings Etc. will host a birthday bash at participating locations on August 28, 2024, with discounts on wings and schooners. They will offer birthday cake on a first come-first served basis.

About Wings Etc. Grill & Pub

Wings Etc. is proud to celebrate 30 years of growth and good times this year. Founded in 1994 by Jim Weaver in northern Indiana, Wings Etc. is a family-friendly grill and pub featuring award-winning jumbo Buffalo wings, 21 signature sauces and rubs, dozens of TVs tuned to sports programming and a casual, non-corporate-y, laid-back vibe that makes people want to just come in and hang out. See wingsetc.com.

The Wings Etc. Foundation is a 501(c)(3) charitable organization committed to improving children’s lives. See www.wingsetcfoundation.com. 

Heidi Capozzi, McDonald’s executive vice president and global chief people officer, is departing the company to pursue a new opportunity, the company announced Wednesday. She has served in her role since April 2020.

Current senior vice president and chief people officer for McDonald’s USA Tiffanie Boyd has been promoted to assume Capozzi’s role, effective Aug. 19. She will oversee the company’s human resources operations around the world, including talent management, talent acquisition, total rewards, learning and development, diversity/equity/inclusion, culture, and organization effectiveness.

Related: Why McDonald’s missed its fourth quarter expectations

Boyd joined McDonald’s USA as CPO in 2021. Prior, she spent 23 years with General Mills, working her way up from various plant-based roles to director of HR to VP of HR.

Under her leadership at McDonald’s, the U.S. system reached record levels of restaurant crew retention, engagement, training, and roster size, the company said. She implemented “safe, respectful, inclusive” workplace standards across the system, and has improved talent management through initiatives like leadership education, career planning tools, and succession planning processes.

Boyd holds master’s and bachelor’s degrees from the University of Michigan.

“Tiffanie is an exceptional HR leader who understands that great people are the bedrock of the McDonald’s business. Since she joined the company a few years ago, Tiffanie has quickly established herself as a collaborative, values-driven leader who has championed several transformational programs like our People Brand Standards and talent development initiatives that have turned our U.S. business into a role model within the system,” chief executive officer Chris Kempczinski said in a statement.

Shammara Howell, current vice president and chief field people officer for McDonald’s USA, will serve as interim CPO for the domestic system. Howell has been with the chain for more than seven years, starting in 2017 as director of HR. Prior, she was the director of HR at PetSmart. She also has HR experience at Sam’s Club.

Contact Alicia Kelso at [email protected]

Flynn Group LP, the franchise operator, has acquired Wendy’s restaurants in Pennsylvania and New Jersey, bringing its domestic portfolio to 277 restaurants in six states and Washington, D.C., the company said today.

San Francisco-based Flynn Group in 2023 has invested in Wendy’s in Australia and in May acquired Wendco (NZ) Ltd., the sole franchisee of the brand in New Zealand.

Related: Wendy’s gets a facelift as next-gen stores continue to take over restaurants

In 2023, Flynn entered into a master franchise agreement with Wendy’s in Australia to develop 200 restaurants in the coming decade. Following those investments, Flynn is now the sole franchisee for The Wendy’s Co. in both countries.

“We entered the Wendy’s system three years ago when we acquired over 190 restaurants here in the U.S.,” Greg Flynn, the Flynn Group’s founder, chairman and CEO, said in a statement.

“The resilience and strength of the brand, and the foresight and strategy put forth by its leadership, is unmatched,” Flynn said. “We could not be prouder to continue to grow and scale with Wendy’s both internationally and domestically, especially now here in the Northeast.”

The business will continue to be led by Rasheeda Clark, the Flynn Wendy’s brand president who joined the franchise company in 2022. The company said Clark’s leadership has been instrumental in driving growth, operational excellence, and elevating the guest experience across the entire Flynn Wendy’s franchise.

The Flynn Group, founded in 1999, owns and operates more than 2,900 consumer-facing businesses across the Applebee’s Neighborhood Grill & Bar, Arby’s, Taco Bell, Panera, Pizza Hut, Wendy’s, and Planet Fitness brands. It spans 44 states, Australia and New Zealand and generated $5 billion in sales.

Contact Ron Ruggless at [email protected]

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Starbucks has offered incoming CEO Brian Niccol a cash signing bonus of $10 million and a replacement equity grant with a target value of $75 million (60% of which is based on performance and 40% of which is stock based), according to a new filing with the U.S. Securities and Exchange Commission.

This is just what Niccol was offered to make up for the stock options he leaves behind at Chipotle Mexican Grill, where last year,  he made a base salary of $1.3 million, and received total compensation of $22.5 million in stock options and bonuses. In 2023, the ratio of Niccol’s salary to an average Chipotle hourly employee was $1,354 to $1.

Related: Will Brian Niccol be able to pull Starbucks out of its backward slide?

Now, in making the monumental move from heading one multibillion-dollar foodservice brand to another, Niccol will be earning an annual salary at Starbucks of $1.6 million, with an annual cash incentive opportunity of up to $7.2 million, and the eligibility to receive annual equity rewards of $23 million.

“Brian Niccol has proven himself to be one of the most effective leaders in our industry, generating significant financial returns over many years,” Starbucks said in a statement received by CNBC News. “His compensation at Starbucks is tied directly to the company’s performance and the shared success of all our stakeholders. We’re confident in his ability to deliver long-term, enduring value for our partners, customers and shareholders.”

Related: Brian Niccol’s résumé illustrates why he was chosen to lead Starbucks’ turnaround

When Niccol officially joins Starbucks as CEO on Sept. 9, he will inherit several challenges in attempting to right the course at the Seattle-based coffee chain. At the top of the list is communicating Starbucks’ value to price-conscious consumers. Analysts have criticized the company’s about-face under Laxman Narasimhan’s leadership, where he introduced value meal deals for the first time in Starbucks history. The challenge will be repairing Starbucks’ reputation as a premium brand, while also appealing to customers that are spending more on coffee at home these days.

Additionally, Niccol inherits a digital infrastructure in need of repairs or overhauling, operational hurdles for baristas, and a tense relationship with Starbucks’ growing union.

However, as NRN reported when Niccol was first announced as CEO this week, he brings to Starbucks a history of driving traffic — both at his time at Chipotle and at Taco Bell — as well as improving operational efficiencies on the front line, as evidenced by his Project Square One initiative to get back to basics at Chipotle.

Contact Joanna at [email protected]m

Susannah Frost has been named president of Chick-fil-A Inc., effective Oct. 1. Andrew Cathy will retain his role as chief executive officer, leading enterprise strategy and culture, while Frost will focus on core business operations. She will also lead the executive committee.

Chick-fil-A has historically operated with a CEO and president model, and Frost is now the sixth person to hold the president role since its founding in 1967.

Related: Chick-fil-A’s momentum continued in 2023 — and there’s no end in sight

“Susannah has demonstrated tremendous leadership throughout the business and has the range of expertise that will help the company continue growing with care and confidence,” Cathy said in a statement. “The timing is right to expand our leadership capabilities to include a president who will work closely with me and our executive committee to steward our domestic and global expansion.” 

Frost currently leads restaurant development and field operations for Chick-fil-A, overseeing the company’s real estate portfolio and field operations for more than 3,000 restaurants domestically. Prior to joining Chick-fil-A, she was a real estate attorney at Troutman Sanders, advancing to partner. Since joining the company in 2007, Frost has assumed higher degrees of responsibility within the legal department, restaurant development, and operations.

“The future continues to offer so much potential and promise as we look to grow our opportunities to provide care and great food as well as live out our corporate purpose,” Frost said in a statement. “We have the opportunity to scale care with excellence across 3,000-plus restaurants and international markets.”

Frost holds an undergraduate degree in mathematics from the University of Georgia and a law degree from Emory University. She also completed executive education programs at Columbia University and Harvard University. 

Additionally, Cliff Robinson has been named chief operating officer of Chick-fil-A, effective Oct. 1. Robinson currently serves as chief people officer and his responsibilities will expand to include leading field operations and restaurant development. Robinson began working at Chick-fil-A at a young age as the son of a Chick-fil-A restaurant owner-operator.  He joined the corporate office in 1990 and has held increasing roles of responsibility, including in field operations, development, and most recently CPO.

Contact Alicia Kelso at [email protected]

Carl’s Jr. has expanded its “More Bang, Less Buck” value meal to more than half of its more than 1,000 locations, the quick-service burger chain said Wednesday, adding that it plans to introduce it to more locations in the autumn.

The menu, which offers 10 items, each for less than $4, was offered at a few select restaurants earlier this summer, a company spokesperson said.

Related: Jimmy John’s, Hardee’s, and Taco John’s join the value-menu game

The menu includes the Spicy Chicken Sandwich, six Chicken Stars (Carl’s Jr’s version of nuggets), a small drink, small fries, chocolate chip cookie, and shake, as well as four small burgers:  

Cali Jr.: Beef patty, American cheese, grilled onions, Classic sauce, lettuce, and tomato on a toasted four-inch bun

Related: QSRs ramp up value promotions to win back traffic

Jalapeño Jr.: Beef patty, pepper Jack cheese, pickled jalapeños, Santa Fe sauce (a creamy Southwestern-inspired sauce with cumin, chile, and paprika), tomato, and lettuce on a toasted bun

Bacon Cheese Jr: Beef patty, American cheese, two strips of bacon, tomato, lettuce, and mayonnaise on a toasted four-inch bun

Guac Jr.: Beef patty, guacamole, Swiss cheese, mayonnaise, tomato, and lettuce on a toasted four-inch bun.

Additionally, the chain, a subsidiary of Franklin, Tenn.-based CKE Restaurant Holdings, is allowing guests to add an extra beef patty to any burger for 99 cents, although participation in that may vary.

“Carl’s Jr. guests won’t settle for any old value meal – they want bold, craveable flavors, all without breaking the bank,” vice president of brand marketing Anthony Nguyen said in a statement. “‘More Bang, Less Buck’ offers the bold ingredients Carl’s Jr. is known for, like crispy bacon, fresh guacamole, and fiery jalapenos, and we’re really proud to deliver a budget-conscious menu that doesn’t sacrifice on adventurous flavors.”

The “More Bang, Less Buck” meal joins another Carl’s Jr. value offering, the 2 for $6 Double Take, which offers customers a choice of any two of the following: French Toast Dips, small Hash Rounds, a Spicy Chicken Sandwich, a six-piece order of Chicken Stars, a small order of fries, a small cheeseburger, or a Spicy Lil’ Cheeseburger.

This is the latest in a flurry of value menus that have been introduced recently as customers, particularly low-income ones, have been pulling back on their spending, resulting in declining sales at most restaurant chains across the country, according to recent earnings reports.

CKE is privately owned, mostly by private equity firm Roark Capital, based in Atlanta.

Quick-service chains McDonald’s, Burger King, Taco Bell, Jack in the Box, Taco John’s, KFC, and Carl’s Jr.’s own sibling brand, Hardee’s, have all introduced value menus since May.

 

Contact Bret Thorn at [email protected] 

The first Chick-fil-A restaurant in the Canadian province of Alberta opened this week, part of the company’s previously announced plan to open up to 20 restaurants in the province by 2030. Alberta native Karleen Rhodes is the owner-operator for the new restaurant, which is located in West Edmonton Mall’s food court. It is open for dine-in and pick-up from 10 a.m. to 9 p.m. Monday through Saturday.

“We are thrilled at the response from Albertans who are excited for Chick-fil-A,” Rhodes said in a statement. “I am really honored to bring Chick-fil-A’s delicious food and signature hospitality to Edmonton and can’t wait for everyone to enjoy their first bites.”

Related: Chick-fil-A plans to accelerate its presence in Puerto Rico

The new location will employ approximately 100 part- and full-time employees. Additionally, Rhodes’ restaurant will participate in Chick-fil-A’s Shared Table program, which redirects surplus food from the restaurant to local soup kitchens, shelters, food banks, and non-profits.

Chick-fil-A plans to open three new restaurants in Alberta this year as part of its broader goal. They will open in Calgary and Edmonton and are the first to open outside of Ontario since the chain made its debut in Canada in 2019.

“Alberta has an incredible growth story and is an exciting place for us to continue our expansion in Canada. We can’t wait to offer new guests in the province an authentic Chick-fil-A experience,” vice president of international Paul Trotti said in a statement earlier this year.

This debut in Alberta is part of the company’s long-term investment in the country. In 2022, it announced plans to open seven to 10 restaurants per year in the market, including additional units in Ontario. There are currently 13 existing locations across Ontario. These new openings also fit in with Chick-fil-A’s broader international development plans. Last year, the company announced a $1 billion initiative to expand its presence to five international markets by 2030. The company said it plans to open restaurants in Europe and Asia by 2026.

Canada is a growth target for several American chains of late, including Jimmy John’s, Jersey Mike’s, Taco Bell, Burger King, and Chipotle. According to a recent report from Circana, the market experienced 11% growth in visits last year and 18% growth in sales, with QSRs generating about 67% of all foodservice visits.

Contact Alicia Kelso at [email protected]

 

When it comes to technology investment, the question on many restaurant operators’ minds is, “to build or to buy?” While there are several reasons a brand might choose to go with proprietary solutions instead of partnering with tech vendors, much of that decision comes down to the freedom to choose exactly what you want in your tech stack.

When seven-unit Jeff’s Bagel Run first opened up its New York-style bagel shop in Orlando just before the pandemic, founders Jeff and Danielle Perera were working with Square as their first POS system. In March, the company hired one of its top investors, uBreakiFi founder Justin Wetherill, as Jeff’s Bagel Run’s first president, with the goal of taking the brand national.

To do that successfully, they decided they would have to build a custom tech stack because running a bagel shop is unlike most other foodservice operations: the back of the house has to have constant communication with the front of the house, and the bagel bakers have to know exactly how many bagels to continue making throughout the day to meet demand, but also not make too much product. In short, Wetherill and Aaron LeClair had to figure out how to automate much of the bagel-making process without compromising quality:

“We knew that we needed to automate as much of the process as possible so that the folks working in the store can be human and create good customer service,” Wetherill said. “Our intent is making a prep-baked product, which seems simple on the outside, but a lot of what our stores do is significantly different than what’s being done the rest of the industry. Our bagels are rolled daily, proofed overnight, baked the next day. We’re trying to bake them as close to the real-time need as possible, so that it’s the freshest, hottest product possible. They’re being baked constantly throughout the day.”

These days, the only non-proprietary technology in the stores are payment processing integrations and third-party delivery partnerships. The custom tech stack is divided into two applications: one has an in-store operations platform that has a point-of-sales system, kitchen display system, inventory management, as well as metrics and dashboards. The other component is the consumer-facing app. The POS launched last year, while the mobile app launched earlier in 2024.

The front of house and back of house are fully connected and integrated so employees at the front will always know how many bagels are at the back. A front of house employee can easily add available bagels and spreads through the interface. They can also see how many bagel orders are in the queue, and how many bagels are currently in the basket and oven. If a store runs out of dough, for example, an employee can easily pause the mobile app and all third-party delivery orders with the push of a button without having to manually tell customers that they’re temporarily out of bagels.

The machine learning model is able to predict how many bagels a shop needs to prepare on any given day, so that running out of dough is less likely to happen.

“You can see [predictions] right down to the individual types of bagel and what the machine thinks should be produced that day,” LeClair said. “Then we keep updating that model than based on current sales. Then we have our baking system, which serves up each tray. Then all the employees have to do is start prepping each type of bagel and throw it in the oven and start baking…. Then, it tells the front of house person that those bagels are fresh and hot, and they can communicate that with the customer and get them excited about that experience.”

The point of this system, LeClair said, is to reduce waste, make the employee experience easier, and improve the customer service. Throughout the process of creating the custom software, the team was able to make tweaks and changes in real time based on employee needs.

“When we when we first launched our espresso drinks, we were doing the old-school Starbucks way of writing names and orders on the cups with markers,” LeClair said. “It was getting crazy, so we decided that we needed an adhesive label system. We immediately turned around and started developing that with native integration with our system and our printers. It would have taken a year or two with [external partners] doing that for us, but we did it in a couple of months.”

With more than 40 stores in the pipeline, mostly in the Southeast, Jeff’s Bagel Run is poised for success and expansion with the exact right technology they need right out of the gate.

Contact Joanna at [email protected]m

Domino’s Pizza has enlisted TV personality, entrepreneur, and record executive Simon Cowell for its latest marketing campaign. Cowell appears in Domino’s latest TV ads as the restaurant chain’s “quality captain,” ensuring that every pizza is made perfectly before it goes into the oven. The ads begin airing today.

“Onstage isn’t the only place Simon Cowell demands excellence,” Domino’s chief brand officer Kate Trumbull said in a statement. “He has an eye for detail and demands perfection when it comes to making mouthwatering pizzas too. Domino’s has a longstanding history of making sure each pizza is delicious, but now, we’re taking operational excellence to the next level.”

Related: Why Domino’s may be winning the pricing wars

In the spots, Cowell joins a team of other “quality captains” – Domino’s team members in stores across the country – who check every inch of the pizzas to make sure they’re made exactly to order. In a statement, Domino’s chief restaurant officer Frank Garrido said the ads showcase the operational enhancements made throughout the years.

“Domino’s franchisees and their store team members are trained and focused on ensuring customers’ orders meet their expectations. Every order counts, and providing the most delicious, quality food is always top of mind. That includes checking pizza toppings before they go in the oven, to confirming each order has all of its items – down to each dipping cup,” he said.

Domino’s announced its “hungry for more” strategy at the end of 2024 to focus on marketing, menu innovation, operational excellence, value, and franchisees. As part of the “operational excellence” piece, Domino’s recently rolled out a new service program, called “delicious operations,” that includes three product training sprints focused on the dough, building products, and cooking products. During the company’s first and second quarter earnings calls, CEO Russell Weiner said the program is beginning to yield results, including faster service times.

Domino’s reported a 4.8% increase in same-store sales in the second quarter compared to Q2 2023, while revenues increased 7.1%.

Contact Alicia Kelso at [email protected]

Bojangles Inc. is expanding its menu with chicken wings and dipping sauces, the company said Monday.

The Charlotte, N.C.-based brand initially is launching chicken wings with house-made ranch dressing for a limited time.

Related: Bojangles is the latest chain to add catering

Other flavors of dipping sauces include creamy Buffalo, barbecue and classic, the company said.

“We know our fans love tailgate season, so we’re excited to offer these new wings that are not only tasty but also will make any party pop off with Bo Time,” said Marshall Scarborough, Bojangles’ vice president of menu and culinary innovation, in a statement.

“Whether you’re hosting a tailgate, a watch party at home or just craving a savory snack, Bojangles’ new chicken wings are the ultimate crowd pleaser,” Scarborough said.

A spokesperson said prices vary by market, but a five-wing combo is suggested at $9.79 and a 10-wing combo is $16.49. Suggested price for a 20-pack is $24.99 with $47.99 for 40 and $69.99 for 60.

The wings are available as an add-on to any order for a limited time. In a one-time only deal, Bojangles is offering 20% off a five-piece wings combo at checkout when customers order through the brand’s smartphone app.

Bojangles, founded in 1977, has about 800 restaurants in 16 states.

Contact Ron Ruggless at [email protected]

Follow him on X/Twitter: @RonRuggless