In other news from the judiciary, the 11th Circuit Court of Appeals, based in Atlanta, Georgia, reversed an earlier decision by the district court in Miami that dismissed a lawsuit filed by Burger King workers over the company’s “no-hire” policy. Burger King previously had a clause in its franchise agreement – as did many franchises…
Read More »Speaking of the Golden Arches, McDonalds held its Q3 earnings call this week and reported strong Q3 sales and earnings, especially in the US. US same store sales were up 14.9% vs. 2019, and 9.4% against 2020. All dayparts–breakfast, lunch and dinner were positive in same store sales with breakfast and dinner up plus 10%.…
Read More »Starbucks announced last week that it was now testing a new vegan breakfast sandwich, the Plant Powered Breakfast Sandwich in the outskirts of Seattle, Washington. The company also announced that it was tying future executive compensation together with its diversity efforts. Specifically, the company has set a goal of 30% BIPOC (black, indigenous, people of…
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Dunkin’ and Other Chains Assessing “Meatless” Performance When Dunkin’ tested the Beyond Sausage sandwich in Manhattan in 2019, customer reaction exceeded expectations. The meat-free breakfast sandwich – yielding 10g of plant-based protein – became a welcome addition to the menu at 9,000 Dunkin’ restaurants nationwide. That debut into plant-based fare, along with the brand’s 2019…
Read More »Starbucks announced earlier this week that it is making enhancements to its loyalty program in order to attract new members to their program and engage them more quickly. Effective April 16, Starbucks Rewards members will be able to redeem rewards once they’ve accumulated 25 points vs. the current threshold of 125 points. The company claims…
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Many franchisors utilize so-called “no-poach” clauses in their franchise agreements, and such clauses may be structured in a way that limits a franchisee’s ability to hire employees of other, same-brand franchisees and/or employees of the franchisor. Recently, a group of state attorneys general and prominent legislators began pressing franchisors to cease use of so-called “no-poach”…
Read More »McDonald’s announced Q1 financials on Tuesday of this week, and its focus on all day breakfast, $1 coffee /$2 espresso drinks and the Big Mac promotion are acknowledged to have gained market share. Their Same Store Sales were up 1.7% as it continues to work its McCafé platform with new advertising and baked goods coming…
Read More »As long expected, Tim Hortons Canada franchisee problems with the Burger King (RBI) franchisor have finally boiled up – with store support and supply chain problems at the fore. The franchise owners have set up an association for the first time ever and hired Canada’s leading franchisee-focused legal firm to begin corrective negotiations. All of…
Read More »One of the bigger news items this week was the $1.8 Billion acquisition of Popeyes by Tim Horton’s and Burger King parent, Restaurant Brands International. That announcement was followed shortly thereafter by another confirming that the acquisition was being investigated for possible breaches of fiduciary duty! Notwithstanding, both of those items have received plenty of…
Read More »With Q1 earnings calls being held over the past week or so, DDIFO restaurant analyst John Gordon of Pacific Management Consulting Group noted much about competitors: Starbucks (SBUX) reported very solid Q1 earnings results last week with same store sales +7% (2% in traffic and +5% in ticket value). They also introduced a boatload of…
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