National Milestones in Brand Expansion

Thank you. And we likewise have Clinton Anderson, the CEO of Fourth, who will be moderating the conversation with Jason. So Jason, how about I let you provide the audience some info about your background and you can also inform them a little bit about Chop Store. And after that I'll let you take it from there, Clinton.

Thanks Christina. My name is Jason Morgan, CEO of Original Chop Shop. I have actually been doing this for about 9 years now. We bought the brand name in 2016three unitsand I've grown it to 26. Prior to this, I have actually invested many of my profession in hospitality in some shape or type. After a quick stint of trying to be an accountant for about a year and a half, I transitioned into casino home and operated in corporate financing.

I was the first worker there after private equity purchased business. Assisted grow that from 20 to 150 areas, took it public in 2014, and after that left about a year and a half after going public to do this at Chop Store. My hope is that we can replicate the success we had at Zos, and we're off to an actually excellent start.

We're at the counter, we bring the food to the table. The secret to the program is we have a beverage part as well with fresh-squeezed juices and protein shakes.

Freddy's Frozen Custard & Steakburgers

A little more complex than a few of the walk-the-line principles that are out there, however we believe we've got something quite unique. We're going to add another shop this year and a minimum of 4 shops next year. So we will be 31 or two shops by the end of next year.

Expansion News: Regional Milestones for 2026

Hey, everyone. It's excellent to be with you again. My name is Clinton Anderson. I'm the CEO here at 4th. I have actually remained in this role for about six years. Fourth, as many of you know, is a leading service provider of software services to the restaurant and hospitality industry. Our goal is to help our consumers achieve success in driving success and being efficientmanaging labor, managing inventory, and basically supplying them with tools they require to deliver their vision.

It's unusual to have companies that are cherished and growing quickly, that can duplicate that success year after year. Jason, among the factors I was so ecstatic to have you join our session is the success at Zos was fantastic. I have actually just met a handful of brands where there was such a strong consumer affinity for the brand.

And now you're doing the very same thing at Chop Store. When you speak to customers about Chop Shop, they love the location. They discuss its differentiation. And to be able to take what is a reasonably complex principle in regards to providing an excellent experience for the customer, and be able to grow that from a couple of stores to now north of 30 shops next yearit's remarkable.

We're going to speak about how to scale a restaurant business. Every restaurateur I ever talk to has dreams of taking one shop, two shops, five stores, and turning it into something much biggerexpanding throughout the city, across the state, into multiple states, and ultimately national, even global reach. But it's not easy, specifically in today's environment.

Labor is difficult. Inventory expenses remain high. It's not an easy time to drive success and development at the exact same time. We're thankful to have you here today, Jason, due to the fact that we're going to dig into that topic. The questions are going to be really around: how do you grow a business? How do you scale it and make it effective? How do you replicate early success? And from there, after we discuss your experience and the lessons you've found out, we 'd enjoy to then state: well, look, how could technology assist? How can you use technology as a multiplier to duplicate early success to far-reaching success? Second, beyond innovation, how do you scale great teams? And last but not least, AI.

Essential Tips for Expanding Hospitality Brands

The first question I have for you, Jasonlook, you've done this two times now in the dining establishment industry. What has your experience been in terms of what it takes to actually drive success in expanding restaurants?

We talked a little bit before we began about LinkedIn, and I've got a post teed as much as follow this next week about what the playbook is likepoint by pointfor growing an organization. To me, among the key things, and I feel extremely fortunate, is that both brand names I have actually been included with are unique.

And there's nothing precisely like Chop Store in regards to what we're finishing with a large, diverse menu. Many brand names today are very singularly focused in regards to what they're using from a food product. I feel like we began at an advantage with both brands by having something special that filled a niche no one else was doing.

Since it's simply more difficult to stand apart when there are 10, 20, 50 concepts within a two- or three-mile radius attempting to do the exact same thing. So a lot of it begins with the brand name. Does your brand have something special that nobody else is doing? That's uncommon.

Regional Milestones in Corporate Expansion

The 2nd thingI came from a finance background, so a lot of my knowings are more financing and data-driven versus a lot of early startup restaurateurs who are imaginative types. They love the food, they developed the menu, they constructed the brand.

They don't know their breakeven sales. They don't understand how margin improves as sales increase. They don't understand cash-on-cash returns. I've seen many business where the numbers simply don't work. And yet individuals state: let's open 10 more. And I'll say: why? It doesn't make cash. Stop. You need to find a concept that is unique.

Freddy's Frozen Custard & Steakburgers

If you don't have those two things, you should not be constructing stores. Yeah, maybe both, right? Due to the fact that as I hear your description, you have actually highlighted 3 things: execution, brand name differentiation, and monetary practicality. You've got to start with execution. If you don't have an operating design that works, broadening it just multiplies issues.

How to Scale a Restaurant Brand

Second, you need a compelling brand or unique principle that resonates with customers. And another essential lesson is about getting in brand-new markets.

When we broadened to Dallas, I expected new shops to do 5070% of Phoenix sales in the very first year. Too numerous operators presume new markets will open at full volume day one.