Accelerating Growth: The Franchising Strategy of Bonchon
Explore how Bonchon plans to accelerate its growth through strategic franchise development with industry experts Wheeler and Haddad.
Photo by Jean-Baptiste D. on Unsplash
Photo by Jean-Baptiste D. on Unsplash
Expertise Driving Growth
With industry veterans Wheeler and Haddad on board, Bonchon is poised for accelerated growth through strategic franchise development. Wheeler's experience overseeing development for renowned brands like Salata, Pollo Campero, and Cinnabon brings a wealth of knowledge to enhance Bonchon's expansion. Similarly, Haddad's background at Drive Shack and Sun Holdings, managing construction projects for major chains such as Burger King and Arby’s, reinforces Bonchon's commitment to quality and efficiency in building its franchise network.
Strategic Growth Goals
Bonchon's strategic aim to double its global units from 500 to 1,000 within the next five years sets a bold trajectory for the brand's expansion. Focusing on the U.S. market, where it already operates 147 stores, Bonchon's targeted growth areas include key markets like Chicago, Los Angeles County, and San Antonio. Leveraging the expertise of Wheeler and Haddad, Bonchon aims to capitalize on high-potential markets and establish a stronger presence in the competitive restaurant industry.
Photo by Jean-Baptiste D. on Unsplash
Unit Format and Revenue Streams
In line with its growth strategy, Bonchon plans to concentrate on its successful unit formats, particularly emphasizing the fast-casual model. While the brand's dine-in restaurants average around $1.6 million in revenue, its fast-casual units bring in approximately $1.1 million, showcasing the brand's revenue diversity. By aligning development efforts with these successful formats, Bonchon aims to optimize its revenue streams and capitalize on consumer preferences.
Photo by Jean-Baptiste D. on Unsplash
Innovative Prototype and Market Trends
Bonchon's forthcoming fast-casual prototype, developed in collaboration with its Korean team, represents a significant step towards enhancing the dining experience. This prototype, tailored for restaurants between 1,500 to 2,500 square feet, introduces a modern counter-service model with digital kiosks, aiming to elevate customer convenience and brand engagement. Moreover, with the rising demand for Asian flavors predicted by the National Restaurant Association, Bonchon's focus on authentic Korean cuisine aligns with evolving consumer preferences for unique dining experiences.
