In The Face Of Rising Labor Costs, Teriyaki Madness Embraces Change To Emphasize Franchisee Profitability
The Fast Casual Teriyaki Shop Concept is Rolling Out A New Menu Pilot And Packaging As Part Of A Greater Initiative To Reduce Prime Costs For Its Owners
DENVER (PRWEB) September 24, 2019 - There is, as they say, a method to the madness. While the old adage doesn’t seem to carry the weight it once used to, Teriyaki Madness has taken upon itself the task of breathing some life back into the phrase - namely, in its efforts to compete with rising labor costs on behalf of its franchisees.
With the impressive growth that the fast casual teriyaki shop concept has seen in 2019, the need to support the profitability of the rising number of franchise owners entering its system was a top priority for the brand. And as rising labor costs across the country continue to affect restaurants and businesses of all kinds, TMAD has made it a priority to explore all available ways to reduce prime costs systemwide.
“Although we’re always looking at how to make our shop owners more profitable, one of the biggest drivers that sparked us taking a deeper look at all things related to prime costs was the rise in labor costs,” said Teriyaki Madness VP of Marketing Jodi Boyce. “We need to be as proactive as we can to reduce costs wherever we’re able to effectively combat these kinds of external forces that are beyond our control.”
In a recent Wall Street Journal article, Teriyaki Madness CEO Michael Haith discussed how the proposed overtime pay proposals in several states could affect the brand’s decision to grow or expand there. While acknowledging the complexities these proposed overtime rules would present, Haith said TMAD is exploring ways to create efficiencies in all corners of its business to keep costs manageable.
“We’re entrepreneurial and we’ll react,” Haith told the publication. “Will it affect some business models? Sure. It will be evolve or die.”
So evolve is exactly what TMAD has chosen to do.
With EVP of Logistics Joe Gordon spearheading the initiative, Teriyaki Madness has begun exploring everything from new packaging to refining its recipes to uncover areas where the brand can be nimble without compromising on the quality or taste of its food in any way. This company-wide analysis spans across TMAD’s finance, analytics, operations and marketing teams, with the entire company working together toward a goal of reducing prime costs by 5-10% of sales. The brand has also been able to leverage its rapid growth to find economies of scale with production and explore establishing more all-encompassing contracts with larger vendor partners.
“Every business decision we make at Teriyaki Madness is done with our franchise partners in mind. That’s the best way to make our business grow,” said Gordon. “Reducing cost of goods sold and prime costs is a win-win for all parties - shop owners become more profitable faster and can then open their next shop sooner, which lends to the overall growth of the brand, bringing about more profit and success for all.”
About Teriyaki Madness
Teriyaki Madness, a fast-casual teriyaki shop concept, is committed to unconditionally satisfying guests by offering delicious, made-to-order Teriyaki dishes prepared with fresh, all-natural ingredients served quickly and at a reasonable price in a fun, relaxed atmosphere. The simple menu lets guests choose their protein, type of rice or noodles and desired vegetables for a fully customizable bowl made as healthy as the customer wants. The brand is dedicated to “Spreading the Madness” so everyone can experience the best teriyaki on earth. Teriyaki Madness was recently recognized among Entrepreneur Magazine’s Top Food Franchises of 2019 and was named one of FastCasual’s 2019 Movers and Shakers, and has been named to the Inc. 5000 list for three straight years. Founded in 2003, the brand currently has franchise agreements in place for nearly 150 shops across the U.S. Teriyaki Madness offers franchising opportunities nationwide for their concept to qualified single and multi-unit candidates.
No Limit Agency
SOURCE Teriyaki Madness