Recipe for a Spiced-Up Restaurant Franchise Portfolio: Quaker Steak & Lube
It makes sound financial sense for seasoned restaurateurs to expand their portfolios with varied restaurant investments. Still, for owners who have been in the industry for years, it can take a very special concept to pique their interest.
Quaker Steak & Lube restaurants are like no other dining destination in the world—an engaging environment that combines unique décor, craveable food and enticing promotions that make every guest visit a special event.
With a distinct identity and concept, Quaker Steak & Lube is an ideal brand to spice up franchisees’ portfolios.
A Franchise Concept Fueled by Expertise
Quaker Steak & Lube started out in 1974 as a single restaurant for local Sharon, Pa., motorsports enthusiasts to gather and cook their own steaks. Through organic and franchise growth, Quaker Steak & Lube is now a national casual-dining restaurant chain known for great food and unmatched high-octane events, offering guests much more than a typical dining experience.
As one of the most brand-differentiated restaurants in the casual-dining segment, Quaker Steak has expanded into 12 states with more than 40 restaurant locations. The brand has succeeded in bringing exceptional experiences to guests and unmatched business opportunities to franchisees for decades.
Since opening it first franchised restaurant in 1997, Quaker Steak & Lube has established a world class support team with more than 200 years of combined restaurant and food service expertise. Led by a seasoned restaurant franchise operations and development professional, and supported by a corporate chef, corporate beverage manager and full operations and marketing teams, the franchise support team is poised to help drive success and continuously grow the brand.
In 2018, Quaker Steak & Lube experienced an average unit volume of $2.51 million* in sales, higher than many other casual dining concepts. Franchisees can benefit from the brand’s business model that features multiple revenue streams, as well as ongoing operational and marketing support. Quaker Steak’s engaging atmosphere, paired with an array of trendy and timeless menu items, has made it the restaurant of choice for thousands of loyal fans, as well as a strong restaurant portfolio investment.
The Unique Restaurant that Puts Owners in the Driver’s Seats
Quaker Steak & Lube offers a unique concept and approach to franchising that allows operators to enjoy a variety of options and flexibility in developing their restaurants, while staking their claim as an owner of a novel eatery with a unique competitive advantage.
A Quaker Steak & Lube franchise is unlike any other concept. Motorsports themed décor combines with a high-energy atmosphere, a wide variety of craveable menu items, a full bar menu with handcrafted cocktails and spirited events that draw in hundreds, or even thousands, of guests.
The brand is the first chain to master entertainment and events, with restaurant designs featuring multiple dining and bar spaces, areas for larger parties, patios to enjoy outdoor events and parking lots for special events and entertainment.
Quaker Steak franchisees are encouraged to get involved with local philanthropic organizations and host benefit events to position themselves as cornerstones of their communities. This enables owners and operators to tailor events to support causes important to them and their local markets.
Franchisees also can exercise entrepreneurial flexibility through customization of their restaurants’ décor to fit their markets. For instance, a Quaker Steak & Lube restaurant in Daytona, Florida, may feature NASCAR themed décor while a restaurant in Sturgis, North Dakota, may be geared more toward motorcycle enthusiasts. Even though Quaker Steak & Lube is a national chain, franchisees are offered independence and autonomy they might not enjoy with other brands.
These competitive differentiators have driven Quaker Steak’s nationwide growth, numerous awards and accolades and 45-year tenure. More importantly, however, they are strong reasons to expand a franchised restaurant portfolio.
The Roadmap for Success and Scalability
Multi-unit ownership has become more and more appealing to entrepreneurial restaurateurs. In fact, the trend has drastically shifted away from the single-unit owner-operator model, with multi-unit owners now controlling more than three-fourths of franchised restaurants.
Franchisees are also becoming multi-unit/multi-brand owners looking to diversify their investments and mitigate risk, while maintaining growth in an existing market or breaking into entirely new markets.
Franchisees looking to add to their restaurant portfolios are likely already familiar with—and successful at operating within—the franchise business model. By dividing and conquering from an operational standpoint, they are able to scale their businesses and delegate day-to-day restaurant operations to onsite general managers or leadership teams.
Multi-unit ownership has its advantages no matter the brand. More locations can yield more success, and by operating multiple restaurants, franchisees can increase their market share and efficiently spread out costs. Whether a multi-brand/multi-unit owner or a successful single-brand owner, Quaker Steak & Lube is the perfect scalable investment for restaurant entrepreneurs to facilitate growth.
Quaker Steak & Lube offers additional incentives to multi-unit owners who expand with the brand. A 0.25 percent reduction in royalty rate is offered with the opening of a third Quaker Steak & Lube location, and another 0.25 percent reduction when a fourth restaurant is opened.
With Quaker Steak & Lube’s growing brand, unique concept, expert leadership, support teams and scalable multi-unit development opportunities, this restaurant franchise is the perfect solution for restaurateurs looking to spice up their portfolio with a proven concept.
*Average revenues for full-service restaurants open at least 6 months at beginning of fiscal year 2018 for the 52-week period ended December 31, 2018. For supporting and additional information, please see Quaker Steak & Lube’s April 20, 2018, Franchise Disclosure Document. Individual results may differ. There is no assurance that new franchisees will achieve the represented levels of performance.