Robust Transaction Growth Drives 3.7% Q2 SSS Sales Growth at Arby’s
Brand Reports 23 Consecutive Quarters of SSS Growth
ATLANTA - July 27, 2016 - (BUSINESS WIRE) - Arby’s®, America’s first nationally franchised sandwich restaurant brand with more than 3,300 restaurants worldwide, announced U.S. System Same-Store Sales (SSS) growth of 3.7 percent1 in the second quarter of 2016. Arby’s U.S. System two-year SSS were 11.3 percent.
Arby’s SSS growth was driven primarily by transactions. In fact, the Brand reported its ninth consecutive quarter of transaction growth. Arby’s U.S. SSS more than tripled a representative sample of the larger Quick Serve Restaurant (QSR) chains2. The growth represents23 consecutive quarters of SSS growth and 14 consecutive quarters of industry outperformance.
“I’m particularly pleased to see our continuous growth in guest traffic,” said Paul Brown, Chief Executive Officer, Arby’s Restaurant Group, Inc. “In the second quarter we added three successful LTO sandwiches to our permanent menu -- the Loaded Italian and beef and turkey Gyros. These premium sandwiches promoted alongside our affordable, high-quality sliders continues to reinforce our meat-focused approach at a range of price points that’s clearly resonating with guests.”
The second quarter also saw Arby’s announce its first international expansion since 2010. Arby’s franchisee, Kharafi Global, plans to open 25 locations in Kuwait and Saudi Arabia over the next seven years. Domestically, Arby’s sees the potential for more than 6,000 restaurants in the U.S., a significant increase from its current footprint of 3,206 restaurants.
Additional highlights from the second quarter include:
Top 10 Franchise Deal: In July, QSR Magazine named Arby’s one of the ten best franchise deals in America in their annual report.
- Surging Guest Satisfaction: The American Customer Satisfaction Index (ACSI) Report recognized Arby’s for achieving industry-leading improvement in guest satisfaction. The Report highlighted that Arby’s achieved an 8 percent improvement in guest satisfaction year-over-year, marking the second highest percentage improvement among all Limited-Service Restaurants surveyed.
- Inaugural PurposeFULL® CSR Report: Arby’s released its first PurposeFULL report highlighting progress across its Corporate Social Responsibility (CSR) platform. The inaugural report showcased Arby’s efforts in four key CSR pillars: YouthFULL® (empowering America’s youth), SkillFULL® (empowering team members), ResourceFULL®(reducing energy and water consumption), and FlavorFULL® (ensuring food quality).
- eSports Collaboration: Arby’s joined forces with Turner Sports and WME | IMG to become an official partner of ELEAGUE, a multi-platform eSports league. The competition is showcased weekly on TBS and allows Arby’s to tap into a world-wide community of more than 100 million e-sports and gaming loyalists.
1Source: Internal ARG data; Includes estimates for unreported franchisees at time of release.
2Source: The NPD Group/SalesTrack® Weekly reports same store sales collected weekly from 45 of the larger Quick Service Restaurant chains during Q2 2016, ending July 3, 2016.
Arby’s, founded in 1964, is the first nationally franchised sandwich restaurant brand, with more than 3,200 restaurants worldwide. The Arby’s brand purpose is “Inspiring Smiles Through Delicious Experiences®.” Arby’s restaurants feature Fast Crafted® service, a unique blend of quick-serve speed and value combined with the quality and made-for-you care of fast casual. Arby’s Restaurant Group, Inc. is the parent company of the franchisor of the Arby’s brand and is headquartered in Atlanta, Ga. Visit Arbys.com for more information.
With the current growth and momentum of the Brand, Arby’s is actively seeking new franchisees. To learn more about available markets and requirements, visit ArbysFranchising.com.