Fazoli’s Keeps Sales Momentum Going
Fazoli’s continues to have the edge on its competitors with impressive sales numbers this summer, as the brand saw a 4.5 percent increase in franchise sales, with company locations increasing 4.1 percent in June.
The quick-service Italian chain ended Q2 with 3.9 percent sales growth and an impressive 33 franchise sales records. Fazoli’s undeniable success is being attributed to its limited-time menu launches, investments in new technology and a system-wide brand refresh.
“Summer is often a challenging time for restaurants, but our sales continue to be on the rise with key strategic initiatives,” says Carl Howard, Fazoli’s president and chief executive officer. “We have craveable value offerings to drive traffic and innovative menu items that build sales during off-peak dayparts. While we're driving positive traffic, we've challenged our teams to focus on providing an unparalleled guest experience and deliver on our brand promise. Fazoli’s came out of the gate strong this year, and the brand is proving there is no slow down in sight.”
Fazoli’s has embraced the change in consumerism and implemented strategic investments in technology to keep the brand relevant and competitive in the industry. The brand is using technology to its fullest advantage, capitalizing on the data to better understand its guests and what they crave from Fazoli’s. The insight from the brand’s mobile app and rewards allows Fazoli’s to tailor offers and share new menu items and promotions with their fans. As a result of their strategic planning and these new opportunities to connect with guests in more ways, more often, sales and traffic continue to outperform the industry.
The system-wide brand refresh is also boosting top line sales with its newest round of restaurant upgrades complete, Fazoli’s has a goal of completing a total system remodel by the end of 2021. After seeing close to a 12 percent sales and traffic lift in remodeled locations, we are seeing existing franchisees jump on board. The Fazoli’s team has worked tirelessly to bring down the current remodel expenditure, and it’s now 75 percent less than where it started in 2016. It’s significantly below what Fazoli’s competitors are spending, and the results are unmatched with a very quick ROI.
Along with the top line sales results significantly outpacing the industry, the brand is on a development roll with new and existing franchise groups. The brand just signed three new deals for a total of nine locations. Most recently, new Fazoli’s restaurants opened in Dothan, Ala. and Norco, Calif. With sales and traffic on the rise, the Fazoli’s is poised for growth and new opportunities to expand the brand footprint.
Until the end of the year, Fazoli’s is offering one of the best franchise incentives on the planet and bringing new franchisees into the system. Seeking multi-unit operators across the U.S. to join it’s growing, successful franchise network, the new incentive program offers a guaranteed savings of at least $125,000 for franchisees developing at least three locations.