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Here's how Chick-Fil-A generates the highest sales per store of any fast food restaurant, despite being closed every Sunday:
In 1946, Truett Cathy opened a diner called Dwarf Grill, where he invented the original Chick-Fil-A sandwich.
Today there are over 2,800 locations.
Each location averages $4.5mm in sales vs. $2.9mm for the avg. McDonald's.
Why is this?
Their
1. Marketing
2. Franchise model
3. Customer service
4. Drive-thru
5. Quality
separates them from the competition.
Let's break down each one down.
MARKETING
In 1995, Chick-Fil-A was a scrappy regional chain competing against established nationals like KFC & Popeyes.
They couldn't outspend 'em, so they had to outsmart 'em.
That yr, they launched the “EAT MOR CHIKIN” campaign, which helped 2x company sales in 5 yrs.
The EAT MOR CHIKIN campaign is still running today & by my back-of-the-envelop math, has racked up more than 50b impressions.
FRANCHISE MODEL
• Starting a Chick-Fil-A franchise is 99.95% less expensive than other major chains
• They are super selective about who they choose
• Franchisees act as operators, not investors
• Each franchisee can only operate 1 unit & have no other biz ventures
CUSTOMER SERVICE
Chick-fil-A has ranked #1 in the ASCI's customer satisfaction poll for 7 straight years.
The service is so good it’s memeable, & that creates millions in free advertising.
This TikTok vid, “How Chick-Fil-A would be if they had delivery 🤣,” has 4.7mm likes.
Fun Fact:
Chick-Fil-A stole the idea of saying "my pleasure" instead of "you're welcome" from The Ritz-Carlton.
DRIVE-THRU
Chick-Fil-A’s drive-thru strategy is built around speed & accuracy.
They use
• double drive-thrus
• dedicated drive-thru teams
• a face-to-face ordering strategy that moves the line faster
• a conveyor belt to move food from the kitchen faster
QUALITY
The A in Chick-Fil-A stands for the "Grade-A" quality of the chicken.
They
• fry in peanut oil
• use small birds which yield more juicy meat
• pre-butter the buns, which creates an umami flavor
• invented a hydraulic system that makes their grilled chicken juicier
Writing this thread has been my pleasure.
If you liked it, follow me @JohnIsBuilding, where I tweet about all things growth.