Wienerschnitzel is turning up the heat on growth. The world’s largest hot dog franchise is celebrating the first opening of a 20-unit exclusive development agreement in Arkansas, and looking to grab the spotlight at the National Restaurant Association Show this month in Chicago. It’s all big news for the brand that serves up more than 120 million hot dogs annually.
Multi-unit franchise operator Tejas Dogs, is spearheading the new 20-store deal for Arkansas with plans to open their first two Wienerschnitzel locations this summer – the first store to open in Bentonville in early June and the second in Springdale the first of August.
“At its core, Wienerschnitzel is a brand with simple, cost-effective and delicious food, and that’s why we’re so excited for the Bentonville community to fall in love with this brand just as we have – not only that, but low food costs and easy operations are exactly what make this concept an amazing opportunity for operators,” said Brian Shinall of Tejas Dogs.
Elsewhere, the brand recently signed a 15-unit development deal in Ecuador, while back at home it’s targeting expansion in the Midwest and South on its way to 500 locations worldwide. Low costs, easy operations, and incentive packages have been generating a buzz for Wienerschnitzel and entrepreneurs are taking note.
Wienerschnitzel’s focus on a simple menu and streamlined processes are the driving factors behind how the brand keeps operating costs low. The menu is laser-focused – hot dogs. The simple menu differentiates the brand from other QSR models like burgers, chicken, tacos, and pizza that can be saturated in most markets. Furthermore, keeping things simple helps maintain consistent quality throughout the brand. Of course a simpler business model also keeps overhead costs low, and that results in higher profit margins for franchise owners and a quicker return on investment. Top all that off with a smaller real estate footprint and a strategy to target ideal locations for efficient and cost-effective restaurants. Add it all up and you have a proven concept with a decades long history of success.
This year the brand introduced two new incentive plans for franchisees. The first is designed to encourage franchisees to enter new markets. It grants operators who agree to develop three stores a discounted royalty rate for four years, with the rate set at 1% of sales the first year and rising to 5% in the fifth year. Franchisees can also appreciate a $20,000 direct local marketing spend from the brand and inclusive owner/GMtraining fee. The second incentive is for single-unit agreements in existing markets and offers discounted royalties for two years alongside a $5,000 local marketing spend and the inclusive training fee. Franchisees must hit a generous development schedule to achieve the incentives.
“We’re trying to help franchise partners open as cost effectively as possible so that they can start making money,” said Ted Milburn, director of franchise development for Wienerschnitzel. “This incentive plan rivals most anybody out there.”
Later this month Wienerschnitzel representatives will be on hand at the National Restaurant Association Show in Chicago, May 20-23. The event is the largest annual gathering of foodservice professionals and brings together people, ideas, products, and solutions, and provides networking opportunities for those in the restaurant space. Wienerschnitzel will be at Booth #11103 and representatives will be eager to discuss the brand’s unique opportunity.
“Wienerschnitzel has incredible brand equity with a very unique identity,” said Milburn. “We’ve reinvested significantly in our brand: a new restaurant design with a smaller footprint, a marketing team going after the next generation of customers, and new technologies to help improve operational efficiencies.”
With nearly 350 franchise locations in 10 states, and dozens more units in various stages of development in the U.S., Wienerschnitzel is charting a course to 500 locations. To learn more about the brand, and find out what it takes to become a Wienerschnitzel franchise, visit wienerschnitzelfranchise.com.
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