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Restaurant Review, January 2007
The Arby’s Alternative
Arby’s extends its reach, as well as its product offerings, to offer a fresh alternative to traditional quick-service fare. Susan Fishman
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Atlanta-based Arby’s Restaurant Group owns and operates 1,000 of its 3,500 restaurants in the United States. Arby’s also has three Market Fresh restaurants currently in test mode — one in suburban Chicago and two in Atlanta.
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With more than 3,500 restaurants worldwide, Arby’s is entrenched in the quick-service segment, and the company continues to expand its reach with the signing of commitments to develop 34 new Arby’s restaurants.
Atlanta-based Arby’s Restaurant Group, Inc. is the owner and operator of more than 1,000 of those 3,500 restaurants located in the United States. Founded in 1964, Arby’s quick-service restaurants specialize in offering slow roasted and freshly sliced roast beef sandwiches as well as its Market Fresh deli-style sandwiches, wraps and salads, and one-of-a-kind menu items, including the Beef ‘n Cheddar, Curly Fries and Jamocha shakes. Arby’s Restaurant Group also owns and operates the T.J. Cinnamons brand and is a subsidiary of Triarc Companies, Inc.
With new products debuting at the end of 2006, including an extension of the Market Fresh menu line and Arby’s Chicken Naturals (made with 100 percent all-natural chicken), the company is continuing to enhance its product offerings. With the success of the Market Fresh line, Arby’s launched a Market Fresh test restaurant in a few in-line locations a couple of years ago.
“We wanted to introduce some other menu items but focus it around the Market Fresh product line to fill a niche between traditional fast food and what Panera Bread and some of those types of concepts are offering,” says John Todd, senior vice president of development for Arby’s.
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Most Arby’s restaurants are freestanding stores with a drive-thru.
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The new concept offers premium products, such as oven toasted subs, soups, Panini items and a salad tossery, which offers up to 48 different ingredients, tossed right in front of the customer.
The company plans to continue to pursue in-line locations and currently has three Market Fresh restaurants in test mode — one in Schaumburg, Illinois, a suburb of Chicago, and two in Atlanta.
“We believe we’re attracting a different customer than we might have had before,” notes Todd, “so we think there’s some real opportunity there.”
Meanwhile, the traditional Arby’s restaurant pursuit is in full swing. The new franchise agreements, which include three new and 10 existing franchisees, provide for the development of new Arby’s restaurants in Arizona, California, Florida, Georgia, Illinois, Iowa, Michigan, Ohio and Texas.
Most Arby’s restaurants are traditional, freestanding stores with a drive-thru window. But there are non-traditional venues as well — ranging from airports to mall locations to in-line locations that may not have a drive-thru window.
“We’re very focused on growing the brand and very active in markets,” says Todd. “We want to add more Arby’s units to improve our customer satisfaction and convenience, and we’re looking at multiple ways to do that beyond just the traditional freestanding locations, even though that’s primarily our growth model right now.”
In key markets, Arby’s has conducted, and continues to conduct, market studies in trade areas that are viable for a future Arby’s. “If it’s a franchise market or a co-developed market, we share that information with our franchise sales team and franchise operations support team to make franchisees aware of what we believe are viable trade areas,” Todd notes.
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Arby’s latest interior design is open and contemporary.
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Franchisees, of course, must meet certain financial qualifications, but they don’t necessarily need restaurant experience, adds Todd.
“We ultimately look for people who have good business experience and can be successful in our system,” he says.
What helps those franchisees reach success is a higher quality brand, according to Todd, from the food to the building design.
“It’s a cut above any of our competition,” he explains. “We have a glass, pinnacle front that goes above the roofline and an open, contemporary interior design — it’s not your plastic seats and playgrounds. We have a very distinct, signature product and higher-end quality sandwiches in the Market Fresh line, and we believe our building design delivers on that same expectation from a customer perspective.”
©2007 France Publications, Inc. Duplication or reproduction of this article not permitted without authorization from France Publications, Inc. For information on reprints of this article contact Barbara Sherer at (630) 554-6054.
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