TL;DR
Saladworks believes strong delivery is almost a requirement for its business model and encourages franchisees to transition from third-party providers to in-house delivery. The brand recommends using third-party providers like GrubHub initially for new stores to help with marketing, then switching to in-house delivery to save on fees.
“Delivery is almost a requirement now, at least in my slice of the industry—fast casual,” says Paul Steck, president and CEO of Saladworks, a fresh-tossed salad concept based in Conshohocken, Penn., with more than 100 franchised units. “You have to offer it; that’s not a question anymore. The question now is how to do it.”
Steck says Saladworks encourages its franchisees, particularly new store owners, to transition from using a provider such as GrubHub or DoorDash initially into doing their own in-house delivery. “Our take on it is, if you open a new store, GrubHub is important to help with marketing—it’s another website with your logo and name, and it helps non-users try you out,” he says.
However, Steck adds, after becoming established, operators can avoid delivery sites’ fees, which can be 20 percent of an order. “We recommend a new store [outsource] only for the first few months, then bail off and do delivery yourself where you can save that money,” he says. “That seems to work for most franchisees in [our] newer restaurants.”
With their own in-house delivery program, franchisees can make sure drivers are well trained, dressed in a uniform and have the right demeanor and attitude to also deliver excellent customer service, Steck adds. “A good-looking delivery vehicle also lends credibility while [at the same time] marketing your brand,” he says. “A logoed vehicle driving all over town is a moving billboard.”
In this story
This story was originally published in 1851 Franchise on February 23, 2016. Burnaze summarizes and links to the original reporting.
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