MODEL BEHAVIOUR

Food franchises are finding ways to embrace the new retail landscape.

Retailers are showing their innovation smarts with a host of new business models that bring greater opportunities to both franchisees and customers.

Why stick with traditional outlets in an ever-changing world? Retail is constantly looking for new ways to bring in business at a better price, and there has never been a better time to introduce fresh ideas to a franchise network.

Food brands in particular are striking out with concepts that take advantage of all the options available in the retail landscape, with the smaller-footprint store a firm favourite. And the extra good news is that costs are lower for the franchisee.

THE CHEESECAKE SHOP

This dessert favourite has revealed a new compact kiosk bakery and has plans to open 30 more stores within the next four years. The 15sqm concept store launched at Marketplace Leichhardt in Sydney in December. A typical store in The Cheesecake Shop chain is 90sqm.

The Cheesecake GM of franchise development Nick Avgerinos says a smaller store footprint means less rent, a reduction in fitout cost and less to spend on ongoing maintenance. “This new format will hopefully attract a new wave of franchisees who are chasing the dream of owning their own business.”

The “think small” strategy continues with new products suitable for smaller families and the taste preferences of inner-city inhabitants where the new kiosks will be located.

Mini-cakes have been introduced by pastry chef Paul Leiron, with a Temptations range that includes treat-size cheesecake desserts and tarts. The cakes and the theatre of artisanal cake decorating are the heroes of the new kiosk, set off by a dark monochromatic palette.

The new format kiosk will suit an owner/operater or an investor looking to own a franchise with minimal staff.

HOG’S EXPRESS

Hog’s Australia’s Steakhouse launched its new-generation restaurant, Hog’s Express, in the heart of Brisbane’s CBD late last year, in the Myer Centre.

CEO Ross Worth says the time was right to introduce a quick-service model that lets customers grab Hog’s favourites on the go.

“We know that consumers are increasingly busy and looking for quick, accessible and inexpensive food options, so we’re incredibly excited about the future of this model and the versatility it affords us to pop up anywhere from shopping centres and petrol stations to airports and cinemas,” he says.

The Hog’s Express model has attracted huge interest from potential franchisees, he says, so the new-style store could soon surpass the 28-year-old full-service Hog's Australia restaurant model.

Worth is also expecting the brand’s 8 million annual customers to grow.

“There are a massive number of opportunities in this space and we have a world-class offering, so the express model could easily overtake our restaurant portfolio in numbers,” he says.

“We invested heavily in research and development to ensure we were delivering a premier product, from the store design and atmosphere to the menu, which incorporates both old favourites and new flavours, down to the technology we use.”

The express menu signals a clear departure from the traditional restaurant fare with a burger range that includes Mac & Cheese, Pork Belly, Southern Chicken, Calamari & Whiting, Tex-Mex and Crispy Vegetarian.

Hog’s Squad members will be rewarded with 15 per cent off burgers at all Express locations.

Hog’s Express uses an iPad for customer ordering, and offers power and charging devices storewide for customers who dine in.

GM Geoff Hargreaves, who has a wealth of Hog's brand experience including a while as national development manager and as a franchisee, is running the concept store.

He will be responsible for driving the concept, along with experienced Hog’s franchisee and pioneer of the Hog’s Food Truck concept in Western Australia, Glenn Sell.

Worth says there is a target of 10 Hog’s Express locations in the next 12 to 18 months.