• Puesto in San Diego, Calif.

  • DSR of the Month: David Kort of Premium Supply Co., Deer Park, N.Y.

  • Chain Profile: Bad Daddy’s Burger Bar

  • Educating Students at the Francis Tuttle School of Culinary Arts in Oklahoma City, Okla.

Foodservice News

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Blog Network

jCarbonara
Joe Carbonara

Go the Distance: The Most Important Three Feet in the House

Many foodservice professionals often refer to the tabletop as the most important three feet in the house. That's because the tabletop represents the aspect of the foodservice operation that diners interact with most. So it would seem logical, then, that most restaurant and foodservice operators would put in plenty of thought, minding every detail, when developing their tabletops (page 18). Unfortunately, the opposite is often true.

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jMartinez
Juan Martinez

Dining-Room Efficiency

Don't focus so much on the total seat count.

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jStiegler
Jerry Stiegler

C-Store Operators Mixed Feelings On Minimum Wage, Colorado’s Hiring Boom and Much More

New data on a minimum wage increase. Consumer prices for restaurants continue to climb but less than at supermarkets. Colorado is the tops in restaurant hiring. C-store consolidation picks up.

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Greg Christian
Greg Christian

Outcomes for Year One of a New, Self-Op School Lunch Program

As the 2014-2015 school year draws to a close, I'd like to share the final outcomes of Nardin Academy's new self-operated foodservice program.

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Highlights

Chain Innovators: Fatburger

If growing in a recession is tough, growing in a recession while emerging from bankruptcy is tougher still. Fatburger has done both, executing a turnaround strategy since it filed for bankruptcy protection in April 2009. Last year, the company landed squarely in positive territory, achieving double-digit unit growth and systemwide revenue gains of 4 percent. In its primary markets of California and Nevada, same-store sales rose more than 11 percent for the year, says Don Berchtold, president.

FatburgerAs Fatburger worked to come out of bankruptcy, underperforming units were closed as were some in high-rent real estate. The store's footprint, which had inched up from 1,200 sq. ft. to almost 2,500 sq. ft. was brought back down. Old equipment was replaced and, working with suppliers, changes were made to the grill, the burger grind and format to improve speed of service. A veggie burger was added as was a Fat Salad Wedge. Interiors were spruced up and localized, with photos of XXXL (King Burger) Challenge winners adorning the walls. Menu boards were updated and burger options renamed and simplified.

All but three company-owned stores were sold to franchisees, with the ideal being "conversions" — local independents who buy into the brand and convert their operations to Fatburgers. That profile jives with a new management strategy that encourages franchisees and managers to take ownership, participate in their local communities and operate like entrepreneurs. "We don't just tell them what to do, we teach them how to do it and why it's important," Berchtold says. "We didn't chase trends and make big menu changes. We tightened everything up and focused in hard on our attitude, our people and our service."

Fast Facts

  • Year founded: 1952
  • Headquarters: Beverly Hills, Calif.
  • Menu specialties: Beef burgers custom made to guests' tastes
  • Service Model: Quick service, fast-casual
  • Units: 105
  • 2010 Sales: $78 million
  • 2010 Growth: Revenue grew by 4 percent, units grew by 18 percent
  • Projected 2011 growth: 25 units to open in 2011
  • Key expansion markets: South Korea, Dubai, Lebanon, Saudi Arabia
  • Typical location: Freestanding, mall, food court, drive-through
  • Average unit size: 1,600–2,200 sq. ft.; 45–50 seats
  • Average kitchen space: 35 percent to 40 percent of total square footage
  • Average covers per day per unit: 250
  • Average check: $11.26
  • Total equipment investment per unit: $125,000
  • Total unit cost: $450,000

Key Players

  • Chairman: Andrew Wiederhorn
  • President: Don Berchtold
  • Vice President, Construction & Facilities: Bentley Hetrick
  • Smallwares & Equipment: TriMark SS Kemp, TriMark RobertClark, Concept Services
  • Food Distributors: Sysco Corp. and U.S. Foodservice
  • Design: Robert Lee
  • Purchasing: Procurement Plus
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