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Wendy's Eyes More Aggressive Expansion Plans Using Energy Efficient Design


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Credit: The Wendy’s Company

Wendy’s, the third largest burger chain in the world, announced they will open more than 600 new restaurants worldwide by 2020. Chief Development Office Abigail Pringle said “the company would continue to look for new ways to make the economics better for new development in high potential markets.” Wendy’s ended 2017 with 5,769 restaurants in the United States and estimated sales of $9.3 billion, according to Technomic Inc. Growth for the chain has been modest for Wendy’s and their competitors — McDonalds and Burger King — who operate in the largest and most mature restaurant category, which generates over $83 billion in annual sales in the U.S.

Growth in a mature menu category typically comes from unit expansion, which can increase the competitiveness of a chain restaurant brand. Sales are driven from competitor market share. Consumers often base their purchase behavior on location convenience, quality and price points. Wendy’s approach has been to raise the bar on quality with their fresh never frozen burgers and continued focus on their value menu. Recently, McDonalds shifted to fresh beef for their quarter pounders so the Wendy’s method is gaining a more widespread adoption in the industry.

But growth today isn’t just selling more or charging more, it’s building cost savings into a very lean margin structure and managing costs. Food quality improvements often increase a restaurant operator’s costs so when a company can make improvements to reduce cost and improve the environment, there is a big improvement in the eyes of the customer.

New energy efficient designs promote conservation and are a great example of corporate social responsibility. The new Wendy’s Smart 2.0 design features Energy Star certified equipment, LED lighting and furniture built from recycled materials. Additionally, new kiosk ordering systems reduce the need for interior menu boards. These efforts are expected to yield 20% reductions in energy by 2025.

Efforts to improve sustainability in foodservice serves a greater good, inspiring other businesses to follow. Consumers who are faced with very similar food choices away from home often look for emotional factors in deciding where to dine and serving the community and will often steer decisions toward brands that support the planet. Wendy’s has been a pioneer and a leader in eliminating trans fats and antibiotics in their food and continues to improve their efforts for a better foodservice.

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Credit: The Wendy’s Company

Wendy’s, the third largest burger chain in the world, announced they will open more than 600 new restaurants worldwide by 2020. Chief Development Office Abigail Pringle said “the company would continue to look for new ways to make the economics better for new development in high potential markets.” Wendy’s ended 2017 with 5,769 restaurants in the United States and estimated sales of $9.3 billion, according to Technomic Inc. Growth for the chain has been modest for Wendy’s and their competitors — McDonalds and Burger King — who operate in the largest and most mature restaurant category, which generates over $83 billion in annual sales in the U.S.

Growth in a mature menu category typically comes from unit expansion, which can increase the competitiveness of a chain restaurant brand. Sales are driven from competitor market share. Consumers often base their purchase behavior on location convenience, quality and price points. Wendy’s approach has been to raise the bar on quality with their fresh never frozen burgers and continued focus on their value menu. Recently, McDonalds shifted to fresh beef for their quarter pounders so the Wendy’s method is gaining a more widespread adoption in the industry.

But growth today isn’t just selling more or charging more, it’s building cost savings into a very lean margin structure and managing costs. Food quality improvements often increase a restaurant operator’s costs so when a company can make improvements to reduce cost and improve the environment, there is a big improvement in the eyes of the customer.

New energy efficient designs promote conservation and are a great example of corporate social responsibility. The new Wendy’s Smart 2.0 design features Energy Star certified equipment, LED lighting and furniture built from recycled materials. Additionally, new kiosk ordering systems reduce the need for interior menu boards. These efforts are expected to yield 20% reductions in energy by 2025.

Efforts to improve sustainability in foodservice serves a greater good, inspiring other businesses to follow. Consumers who are faced with very similar food choices away from home often look for emotional factors in deciding where to dine and serving the community and will often steer decisions toward brands that support the planet. Wendy’s has been a pioneer and a leader in eliminating trans fats and antibiotics in their food and continues to improve their efforts for a better foodservice.

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