Lisa Jennings

Executive Editor

Articles by
Lisa Jennings

Page 36
Emerging Brands

Area 15 Ventures takes full ownership of Daddy's Chicken Shack

The private-equity firm had already made an investment in the buttermilk fried chicken sandwich brand, but now has acquired the remaining equity.

Operations

Will Panda Express be the first $10B 'mom-and-pop'?

Still run by its founders after 40 years, the fast-casual chain dominates its category and sees plenty of runway ahead.

The acclaimed chef opened two restaurants with the group in recent months, including Le Select in Chicago and Cafe Basque in Los Angeles.

But with commodity deflation expected for the rest of the year, the fast-casual chain has brought back a value promotion that is already driving traffic, the company said.

The fully automated makeline is described as faster and more accurate, and could cut labor costs in half. A second location, converted from an existing restaurant, will come later this year.

Baines plans to stay on as a consultant for another 12 months while a replacement is found. COO John Iannucci will lead as interim.

John Mackey and several former Whole Foods execs are building a restaurant brand around the notion that food is medicine. The plant-based restaurant is only one part of the brand, which will later include medical services and wellness programs.

He joins the growing chain as it nears its 100th store opening and accelerates growth into new markets around the country.

The long-awaited automated format will open first in Naperville, Ill. A second one is coming later this year at a converted existing restaurant.

In the ongoing effort to boost profitability, the in-store technology has proven to be the highest-margin channel for the brand and kiosk sales doubled in the first quarter.

Investments in national advertising during NBA and NFL games drove traffic during the first quarter. Also the new chicken sandwich line is attracting new users and boosting frequency.

But the research was underwritten by the SEIU, which also backed the controversial Fast Act bill. Industry reps say the data has "zero credibility."

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