Drive-thru, delivery and takeout oriented food franchises are set up for success in the new normal
The coronavirus pandemic struck our country with blazing speed and consumer behavior flipped overnight. We are entering a new era where consumers seek drive-thru, take-out and delivery food over traditional sit-down or counter service that is vastly unavailable.
As fast as the virus has spread, the changes in social distancing will likely take several months for consumer behavior to return to normal.
But there is a silver lining. The same business model that has helped Wienerschnitzel hot dog franchise owners thrive and prosper for nearly 60-years, is now helping them do the same in a time of crisis. In the middle of the virus pandemic that has closed more than half of U.S. restaurants and driven sales down for the large majority of operators, many of our franchisees have seen an uptick in sales over an already record year. The QSR industry as a whole has seen an 11% increase in traffic as well* (*Nation’s Restaurant News 3/19/20)
Wienerschnitzel’s business model is built for drive-thru, take-out and delivery, along with family pack meals that make feeding a group at home easy. In addition, our price point is affordable, making a bundle of our much-loved chili dogs a simple but easy meal solution any time. Wienerschnitzel locations are dominated with drive-thrus and our food is well-established with third-party delivery services.
The opportunity for smart operators to discover and invest in this business is now – similar to buying stock at the low end of the market, the QSR landscape has changed in some specific ways:
- Real estate and leasing prices are already plummeting
- Construction demand has decreased, creating more competitive availability
- Equipment costs become more competitive
- There will be pent-up demand in underserved markets
- Developing a store should take less time to open when the pandemic should ease
Ready to own a hot dog franchise?
If you are thinking that there must be a silver lining to this epidemic and you are able to think several months ahead, now is an excellent time to research and learn more about investing in a proven Wienerschnitzel business for your market.