Grow Your Franchise With These Tips
Tips for Growing a QSR Franchise
You know them as some of the most popular restaurants in the country. Fast, affordable and convenient, quick service restaurants, or QSRs, now make up a decent chunk of all U.S. franchise establishments, and are the most common franchising segment. QSRs are now found all over the world, serving a range of different types of food – burgers, fried chicken, Mexican, pizza – the list goes on.
QSRs are usually defined by limited on-site seating and drive-thru for quick and easy meal ordering. And, as the numbers show, both the food offerings and business model is what customers want – in the U.S., consumer spending in the QSR sector was $304.8 billion in 2021, up from the previous year’s total of $272 billion! Now, there are nearly 188,500 fast food franchise establishments in the U.S.
Franchising within the QSR segment can be a boon for aspiring business owners. But it of course depends on the brand. Some franchise systems require too high of franchising fees, making it not financially viable to start a location. Other brands are not well known, making it hard to become established in a community and drive sales. There are some franchise opportunities, however, that offer a business model that’s proven for growth, all with a strong brand awareness to back it up. In steps Charleys Philly Steaks, America’s favorite spot for the classic Philly cheesesteak and more.
Charleys Makes it Easy to Grow Your Franchise
By specializing in delicious, classic cheesesteaks, Charleys Philly Steaks is a franchise that not only stands out in a crowded segment, it also doesn’t compete with other brands in the category offering the same old menu offerings – burgers, pizza, Mexican, etc. For franchise owners, this is a huge advantage for multi-unit entrepreneurs seeking to diversify their portfolio and first-time entrepreneurs looking to bring something unique to their markets. And with demand incredibly strong, Charleys Philly Steaks makes it easy to grow your franchise.
“We exist to help our franchise owners become successful in business,” says Charley Shin, CEO of Charleys Philly Steaks. “One of the best ways entrepreneurs investigating a franchise opportunity can gauge if the brand is worth the investment is to look at how many existing franchise owners are reinvesting. We’re proud to say that more than half of our growth comes from franchise owners reinvesting in new locations. This means that we’re doing something right, and we honor their commitment to us by providing them with the resources they need to thrive in business.”
Adding a Drive-Thru
According to industry studies, drive-thrus can add as much as 30% in sales to a company’s bottom line, making it an essential part of any successful QSR. According to a report in QSR magazine, “Quick service and fast casuals were consistently gobbling up shares from their full-service peers. The pandemic accelerated that pace as consumers flocked to quick services—with their drive-thrus, mobile apps, and bundle deals—for safe, convenient, value-driven offerings.”
At Charleys Philly Steaks, our business model can work easily in freestanding units with drive-thrus. What’s more, our new innovative and modular container store, which has a much smaller footprint than traditional stores, also includes a full-service drive-thru to support a ‘To-Go’ model. It’s just one of many ways franchisees can grow their business in their community with drive-thru layouts.
Let’s face it: online ordering apps like Uber Eats and DoorDash have now become household names. Uber Eats, for instance, has an estimated 81 million users, with gross booking sales surpassing $50 billion in 2021! To stay ahead of the curve, QSR restaurants must offer third-party delivery services, which Charleys has been doing for years.
In fact, third-party delivery has been one of the key drivers in same-store sales growth. Charleys also launched an easy to navigate, user friendly online ordering option to make placing an order even easier. “We look at all the trends, and we know that more people are ordering food from their couches than ever before,” Shin says. “We live in a Netflix culture now, and we’re evolving to stay ahead of what the customer wants.”
There’s no doubt about it, customers love loyalty rewards programs. At Charleys, our loyalty programs keep customers engaged and coming back for more. Just by signing up with Charleys Rewards, customers receive $5 and then earn points on every dollar they spend. Rewards members can also enjoy perks such as exclusive offers and sneak peeks, an order ahead & skip the line option, as well as a free treat on their birthday!
“We know that customers want an experience,” Shin says. “We’re always working on ways to increase our customer base, and by adding wings to our menu, we get to broaden our appeal. Our cheesesteaks are already head and shoulders above anything found in Philadelphia, and we’re just going to continue to treat our customers as individuals and ensure that they’re happy when they leave our restaurants. This has been the secret to our success.”
Franchising with Charleys Makes Franchise Growth Easy
If you have aspirations of multi-unit ownership, look no further than Charleys Philly Steaks. With ambitious plans to expand from 700 to 3,000 new locations in the coming years, now is the time to invest in a brand that’s on the brink of taking the U.S. by storm. Franchising with Charleys Philly Steaks is easy, because our business model is uniquely designed to be simple to operate, easy to scale, and removes any barriers for successful franchise owners that want to grow their business.
“We’re in business to help our franchisees thrive in their restaurants,” says Shin. “We’ve worked hard to make our business model efficient, profitable, and deliver a product and customer experience that leads to long-term growth. The success that we’re having is evident in how many of our existing franchisees are investing in new restaurants. In fact, 70% of our current growth comes from our existing franchisees scaling up to multi-unit ownership, which tells us that we’re on the right track – and that’s incredibly exciting for us.”