The Melting Pot, a fondue chain, saw significant sales growth in 2021, earning it the No. 264 spot on the Franchise Times Top 500 list, an annual ranking of the 500 largest U.S.-based franchise systems by global systemwide sales.
In 2021, consumers treated themselves to a casual night out often enough to produce sales numbers that surpassed even pre-pandemic levels across the board.
“Within the industry itself, consumers were hungry to get back out and start to relive their lives again,” said Collin Benyo, franchise growth strategist at The Melting Pot. “I think that’s evident with anyone running restaurants in the United States.”
The Melting Pot, a fondue chain, saw significant sales growth in 2021, earning it the No. 264 spot on the Franchise Times Top 500 list, an annual ranking of the 500 largest U.S.-based franchise systems by global systemwide sales. The Melting Pot finished just short of $200 million in sales last year, compared to 2020’s $124 million. Sales surpassed pre-pandemic numbers as well. In 2019, Melting Pot brought in $187 million.
In the casual dining category, all but one company, Steak ‘n Shake, grew sales in 2021. The Melting Pot was at the top of its category in percentage sales growth, at 61.3 percent. The brand implemented new specials in 2021, such as “Thurs-date,” a date night special for couples to get folks out and about beyond the obvious weekend days.
The Melting Pot also invested in remodeling some stores. The remodeled units brought in an additional 42.7 percent in revenue over non-remodeled stores, Benyo said. The initial investment required to open a Melting Pot franchise ranges from $1.3 million to $1.5 million.
In 2020, FAT Brands acquired Johnny Rockets, a retro-style diner that increased sales by 59 percent in 2021, to $234 million across its 294 units.
“We saw the brand rebound very strongly, once many of the special venues that Johnny Rockets operates in were allowed to reopen, like Six Flags or Royal Caribbean cruises, things like that,” CEO Andy Wiederhorn said. Johnny Rockets climbed to No. 245 on the list, up nine spots.
Johnny Rockets typically operates in venues such as malls, cruise ships and theme parks—most of which had their share of pandemic-related disruptions in 2020 and 2021. The brand heavily focuses on the guest experience, with staff dancing and drawing smiley faces on plates with ketchup, Wiederhorn said.
“We try to just take Johnny Rockets back to its roots, and make sure that the guest experience is what people remember it from the ‘80s and ‘90s and 2000s,” he said. “It’s been effective.”
The brand took a stab at the plant-based market last year when it introduced burgers and milkshakes suitable for vegans and vegetarians.
In general, Wiederhorn said the casual dining category overall has recovered beyond expectations. It’s a sentiment reflected in the Top 500 data, as casual dining brands overall combined for $10.7 billion in sales, up 20.5 percent. The segment was down 21.2 percent overall in 2020.
Applebee’s, the largest casual dining brand on the Top 500, raked in an estimated $4.4 billion last year—a 33.8 percent increase from 2020. The brand came it at No. 32 on the Top 500 list. Other casual dining franchises above the billion dollar-mark are Chili’s ($3.8 billion) and Red Robin ($1.4 billion)—both of which failed to hit pre-pandemic sales numbers in 2021.