---
title: "Hospitality Technology: A&W’s Growth Plan Prioritizes Drive-Thru"
url: https://burnaze.com/article/4624e555-2d8f-43ce-85ec-46e125a14074
source: "1851 Franchise"
original_url: https://1851franchise.com/hospitality-technology-aws-growth-plan-prioritizes-drive-thru-2716460
category: "Burger"
industry: "Restaurants"
segment: "Burger"
topics: ["Technology","Operations"]
published: 2021-08-18T13:08:00.000Z
modified: 2026-11-01T02:13:16.399Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/bc3bdc301fad714f04b9eaf0cbdae23d7237.jpg
---

# Hospitality Technology: A&W’s Growth Plan Prioritizes Drive-Thru

**TL;DR:** A&W is prioritizing its standalone drive-thru model in 2021, with nine new U.S. locations featuring drive-thrus. The brand plans to open 20 new locations in 2021, following its ninth year of consecutive growth.

*originally published in 1851 Franchise on 2021-08-18. [Read the original](https://1851franchise.com/hospitality-technology-aws-growth-plan-prioritizes-drive-thru-2716460).*

## Story

In an interview with Hospitality Technology, John Palumbo, senior director of franchise development of A&W, discussed the brand's plan to prioritize its standalone drive-thru model in 2021. A&W, the iconic franchise with 500-plus locations across the country and 300 standalone units, has inked nine new U.S.

locations, all which include drive-thrus. This expansion comes at a time when nine out of 10 consumers are visiting drive-thrus according to The State of What Feeds Us Study. The 102-year old brand experienced a sales growth of 19.

6% over 2020 and while many quick service restaurants are scaling down the size of their locations, A&W is resisting the trend.

“Some operators are looking to reduce the size of their dining rooms – to reduce costs and buildout costs,” said Palumbo. “Not A&W. Dining rooms are important for our legacy model. You can’t have a Root Beer in a frosty mug through the drive-thru.”

A typical A&W restaurant is around 2,100 feet, which allows for a dining room area to cater to guests coming for a nostalgic experience. A&W’s plan for standalone location growth stems from the brand experiencing its ninth year of consecutive growth, and it plans to open 20 new locations in 2021.

*The total investment necessary to begin operation, not including rent or land costs, is $871,000 to $1,454,750 for a Freestanding Restaurant; $401,000 to $1,013,750 for an Inline Restaurant; and $276,000 to $704,000 for a Captive Restaurant, including a $15,000-$30,000 franchise fee.*

## Entities

- 1851 Franchise (publication)
- Restaurants (sector)
- franchise development (topic)
- A&W Restaurants (company)
- quick service restaurants (topic)
- John Palumbo (person)
- growth plan (topic)
- drive-thru expansion (topic)

---
Originally reported by 1851 Franchise (https://1851franchise.com/hospitality-technology-aws-growth-plan-prioritizes-drive-thru-2716460). Summarized by Burnaze (https://burnaze.com/article/4624e555-2d8f-43ce-85ec-46e125a14074).
