This post is the second of two parts. To read Part 1, please click here.
Low Cost of Entry
Those figures put Jake’s at the lower end of burger franchise concepts in terms of investment, and favorable unit economics make the concept attractive to potential owner/operators, Chemero said. Instead of 3,000-square-foot units, like some of its competitors have, Jake’s operates typically within a 1,600-square-foot space. There are about 50 seats in each store. It also heavily markets its online ordering service, which saves customers time, offers them convenience and cuts down on the need for sit-down space in individual units.
“You can have fresh-made food to order and be in and out of our store in three minutes if you order online,” Chemero said, noting Jake’s personalized service of using the customer’s name for ordering and pickup, rather than a number, like most other chains.
And Jake’s encourages customers to keep coming back by marketing Burger of the Month and Milkshake of the Month limited time offerings.
Limited Time Offerings
“We’ve been doing it for 22 years and every month we come up with crazy burgers for 30 days,” said Chemero, citing as an example the recent grilled chicken, cheddar, bacon and ranch on a pretzel roll.
To make things easy on franchisees, Chemero said, the company uses ingredients that are already in a store to create its promotional items. That helps keep costs down for owner/operators. New items are also offered first at test stores to gauge their success before being offered system-wide.
In addition to participating as a test store, select franchisees comprise Jake’s National Franchise Advisory Council, which meets every 90 days to discuss operations, marketing and other issues within the system.
“We involve the franchisees every step of the way,” Chemero said.
In fact, one of Jake’s featured items, the Triple Triple Burger, a mountain of a sandwich that is offered somewhat as a dare for customers to eat, was invented by a franchisee before being adopted by the corporate team as a marketing tool throughout the system. The nine-patty burger is a high-profit item for franchisees, Chemero said.
Launching International Sales