Labor costs usually represent the highest, or second highest, expense as a percent of sales for a restaurant. As such, proper labor management plays a critical role in driving better unit economics for a foodservice concept. If you buy into this principle, continue to read, and if you don’t then it is more important for you to continue to read on.Read more...
U.S. retail sales turned positive in March and restaurant sales did fairly well. For the first time, restaurant sales exceeded those of supermarkets. McDonald’s franchisees are not in a positive frame of mind. Burger King’s founder thinks $15 an hour minimum wage will kill the dollar menu. These stories and a whole lot more in This Week in Foodservice.Read more...
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Extreme Pizza's take-and-bake business was launched in 1994 and didn't take off as anticipated — and after six months company founder Todd Parent was not above tweaking the concept.
Extreme Pizza ultimately became a fast-casual specialty pizza operator that capitalizes on the newest equipment and technology to stay true to its smaller footprint.
"We started with deck ovens, but there were challenges operationally, so we realized these would not work for us," Parent says. "Our vendor introduced us to conveyor ovens, which improved our speed of service. We also switched from hand-rolling dough to using sheeters, which increased our throughput."
Although Extreme Pizza's small footprints have helped keep costs down during the turbulent economy, one of the chain's franchisees recently launched a full-service site that has become one of the chain's best-producing units.
"We launched this larger concept, going with our 'never say never' attitude, after a franchisee in Wilmington, Del., came to us with the idea," Parent says. "It's nice to know this model variation works really well."
Extreme Pizza's concept stemmed from Parent's love of the outdoors and extreme sports. He had an epiphany after visiting France and seeing crepe stands on every corner. "While I knew the U.S. wasn't ready for a crepe revolution, it was my inspiration. There was incredible food at a reasonable price on every corner, and I wanted to bring that back to the states," Parent says.
The menu's 20 signature pizzas each have a subtle story that led to their creation. For example, the popular Pandora's Box Mediterranean-style pie that includes garlic, spinach, sun-dried tomatoes, artichoke hearts and feta, gets its name from both Greek mythology and an epic Colorado ski run.
Extreme Pizza's research and development team regularly produces new pizza varieties and looks to customers for suggestions. Quarterly contests between corporate store managers and franchisees provide a steady stream of innovative ideas so the brand remains fresh.