Strategies for Successful Restaurant Expansion: The Mo'Bettahs Case Study
Discover how Mo'Bettahs, a Hawaiian cuisine concept, achieved rapid growth and expansion while maintaining focus on key operational fundamentals.
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Introduction to Mo'Bettahs' Growth Story
Mo'Bettahs, a Hawaiian cuisine concept founded by brothers Kimo and Kalani Mack in 2008 in Bountiful, Utah, has emerged as a major player in the restaurant industry. With a focus on introducing authentic Hawaiian food to a broader audience, Mo'Bettahs capitalized on the demographic shift of native Hawaiians moving to the U.S. mainland. The brand's strategic approach and dedication to quality have propelled it to significant success, reaching about $80 million in sales and expanding to over 50 locations by the end of 2023.
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Operational Discipline and Growth Strategy
CEO Rob Ertmann, a seasoned industry professional who took the helm in 2021, emphasized the importance of strategic growth over reckless expansion. By prioritizing key operational fundamentals such as food quality, service, and margins, Mo'Bettahs ensured sustainable growth. Ertmann's focus on maintaining store-level margins in the mid-20% range and average unit volumes close to $2 million has attracted significant development interest, paving the way for continued expansion.
Efficiency and Process Optimization
Mo'Bettahs' success lies in its efficiency-driven approach to operations. The company constantly evaluates processes to enhance efficiency, from in-house preparation of ingredients to labor optimization. By refusing to compromise on product quality and portion sizes while seeking opportunities to streamline operations, Mo'Bettahs has managed to improve margins and control costs effectively.
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Strategic Expansion Planning
The strategic expansion roadmap of Mo'Bettahs revolves around building upon established corridors while identifying new growth opportunities. By focusing on existing markets with strong distribution and operational infrastructures, the brand ensures sustainable growth. Ertmann's cautious approach to expansion ensures that new locations are within manageable distances to maintain operational efficiency and profitability.
Photo by Austin Distel on Unsplash
Future Prospects and Nationwide Potential
Looking ahead, Mo'Bettahs has ambitious plans for further growth, anticipating well over 100 units within the next three to five years. Ertmann envisions the brand's Hawaiian barbecue and plates appealing to a national audience, highlighting the potential for nationwide expansion. By staying true to its core values of quality, comfort, and value, Mo'Bettahs aims to carve out a unique space in communities seeking authentic and wholesome dining experiences.