Joel Libava
As you’ve probably heard, Burger King is experimenting with “Burger King Beer,” in Miami, Florida…
Maybe it’s time for Burger King executives to invite their franchisees over for one. (A Beer!)
Carrolls Restaurant Group is a tiny Burger King franchisee, which only owns 312 Burger King restaurants. So, what their executives have to say, probably doesn’t wield much power in the Burger King ranks.
According to the folks at QSR magazine, the $1 Double Cheeseburger generates about 10 percent of revenues for
Carrols’ Burger King units, even after a slowdown in orders since
December, the promotion’s second month on the menu.
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“Although we are still selling a lot of Double
Cheeseburgers, we have a gradual tapering off from the initial levels,”
said Carrolls president Dan Accordino.
The executives of Carrolls Restaurant Group didn’t dispute that the $1 deal
boosted traffic and sales after its late-October introduction. Flanders
called the November increase in traffic “a dramatic improvement,” with
comparable sales for that month rising 2.8 percent.
But the average check for the last quarter of
2009 fell 5.8 percent, eclipsing the 2.1 percent rise in traffic for
those three months. Same-store sales fell 3 percent for the quarter.
It looks like Burger King is getting ready to roll out some higher-end breakfast products, soon, and the folks at Carrolls Restaurant Group see this as a problem. Read why
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About the Author
Joel Libava is The Franchise King® — an independent franchise advisor with 25+ years in the industry, two published books on franchising, and his writing has been featured in The New York Times, Forbes, CNBC, Entrepreneur® Magazine and others. In addition, he wrote exclusively for the U.S. Small Business Administration blog for eight years. He doesn't sell franchises. Instead, Joel helps you figure out if franchise ownership is actually right for you — and if it is, teaches you his powerful, proven-to-work franchise research techniques, so you can make a smart, informed decision on a franchise to own and be your own boss.
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