A&W Restaurants Closes Q2 With 9 Franchisees Signed, Eyes Continued Development in Second Half of 2022

A&W Restaurants has signed nine franchisees in the second quarter, with new restaurant grand openings seeing record-breaking sales.

Read the original at 1851 Franchise
A&W Restaurants Closes Q2 With 9 Franchisees Signed, Eyes Continued Development in Second Half of 2022

TL;DR

A&W Restaurants has signed nine franchisees in Q2 and is seeing record-breaking sales in new restaurant grand openings. The brand aims to reach 25 new franchise agreements and 12 new openings in 2022.

A&W Restaurants, the nearly 1,000-unit all-American restaurant franchise, is entering Q3 with unprecedented revenue growth and nine franchisees signed year to date. New restaurant grand openings have seen record-breaking sales, demonstrating the immediate profitability available to new franchise owners.

As consumers flock to the iconic restaurant chain and sales numbers forecast a prosperous future for the brand, savvy entrepreneurs are taking notice.

“We are seeing the strongest pipeline of interested parties that we’ve seen since A&W became an independent brand ten years ago,” said Kevin Bazner, CEO of A&W. “We are talking to people who have other concepts and are looking to expand their portfolio with us because of our sales growth, and we have a lot of white space out there. They’re coming to us because we’ve got plenty of opportunities to grow in their existing market. These are industry people educated in the QSR segment, and they look at our unit economics and like what they see.”

John Palumbo, senior director of franchise development, says the A&W brand resonates with people who seek authenticity, quality and value in their restaurants.

“We’ve developed a strong ability to fit into most markets — even those that other brands might pass over. Our presence has been established in smaller towns and large markets alike, and our mission has been to succeed in both,” Palumbo said.

A&W aims to reach 25 new franchise agreements and 12 new openings in 2022, and with the success the brand has had in finding qualified candidates, its ambitious goals are well within reach.

"The caliber of candidates at our most recent Discovery Day was impressive,” said Palumbo. “They are exactly what we look for in a franchise partner, and our team is confident that each of them will thrive with the brand.”

In the second half of 2022, A&W seeks qualified franchise owners for development in Iowa, Minnesota, Illinois, Wisconsin, North Carolina, South Carolina, Florida and Nevada.

“Now is a great time to invest because we have ten years of momentum and a lot of white space,” said Bazner. “We are better today than yesterday and the day before, and certainly better than we were ten years ago. The challenges in the industry like the pandemic and labor issues have forced us to improve and provide better support and strengthen our system. Interest rates are also at a historic low, so it is an excellent time to act now before they go back up.”

The total investment necessary to begin an A&W 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.

Established in 1919 in Lodi, California, as a roadside stand, A&W Restaurants now stands as a thriving part of the American experience. With 500-plus locations across the country, including 300 standalone restaurants, the brand remains a one-of-a-kind true original. Even its signature A&W Root Beer, served in an iconic frosty mug, is handcrafted at the restaurant. Today, that traditional approach is resonating strongly with consumers looking for authentic brands. For more information, visit

In this story

This story was originally published in 1851 Franchise on August 1, 2022. Burnaze summarizes and links to the original reporting.

Read the full story at 1851 Franchise

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