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A&W Restaurants has signed agreements with multi-unit restaurant operators Ronald and Nadyne Jennings for three locations in the Gastonia and Kings Mountain areas of North Carolina, as well as the Rock Hill region in South Carolina. Ron and Nadyne, who are multi-franchise owners, also own Schlotzsky’s and Moe’s Southwest Grill locations throughout the Carolinas.
Established in 1919 in Lodi, CA as a roadside stand, A&W Restaurants now stands as a thriving part of the American experience. With 500-plus locations across the country, including300 standalone restaurants, the brand remains a one-of-a-kind true original. Even its signature A&W Root Beer, served in an iconic frosty mug, is handcrafted at the restaurant. Today, that traditional approach is resonating strongly with consumers, who are looking for authentic brands.
What You’ll Learn In This Episode
- Experience expanding A&W in the Carolinas
- The decision to join the A&W franchise
- The most appealing about A&W
This transcript is machine transcribed by Sonix
TRANSCRIPT
Intro: [00:00:07] Welcome to Franchise Marketing Radio, brought to you by SEO Samba Comprehensive, high performing marketing solutions for mature and emerging franchise brands to supercharge your franchise marketing. Go to SEOSamba.com that’s SEOsamba.com.
Lee Kantor: [00:00:32] Lee Kantor here, another episode of Franchise Marketing Radio, and this is going to be a fun one today on the show, we have Ron Jennings. He’s a franchisee with A&W restaurants. Welcome, Ron.
Ron Jennings: [00:00:43] Well, thank you, Lee. I definitely appreciate being here, getting a chance to talk to you, and I’m excited.
Lee Kantor: [00:00:51] Well, before we get too far in the things, share with our listeners a little bit about the concept that AMW concept.
Ron Jennings: [00:00:59] Well, ANWR is is an old brand. It’s a very iconic brand one. Well, actually a couple of things that they have that is very, very iconic. But one is the fact is they are actually the creators of the bacon cheeseburger. I’m pretty sure everybody loves bacon bacon and they are the first inventors of that. And then also every single location that you go to, you get fresh brewed and root beer. And the brand has been around for well over 100 years now.
Lee Kantor: [00:01:38] So you’re you own several franchises. This is one of several that you’re a part of, right?
Ron Jennings: [00:01:45] Yes, that is correct.
Lee Kantor: [00:01:47] Now I’m starting to see a trend I’m not starting to see, but I’m just for the first time observing a trend that as we come out of the pandemic, it seems like there’s more and more what I call professional franchisees, the people who have done well with one franchise and are cobbling together a portfolio of maybe complementary or similar type brands. Are you that kind of describes you, right?
Ron Jennings: [00:02:14] Yes, it does. And, you know, whenever you build a portfolio, a lot of people, what they like to do is actually diversify a little bit. So, you know, that’s exactly what we’re doing. We’re we’re diversifying, diversifying our portfolio right now.
Lee Kantor: [00:02:30] But within the kind of restaurant category, right? Like you’re not now doing a Jiffy Lube, you’re the kind of restaurant oriented.
Ron Jennings: [00:02:39] Yes, that that is correct, actually, we started off by purchasing two car washes. My wife and I and then from there we transition over to the restaurant industry and we just been growing, growing the restaurant industry.
Lee Kantor: [00:02:55] So now talk about kind of those early days, like what was the impetus to even choose franchising as a path at that point was that had you had your own business, were you part of a, you know, a larger enterprise and then kind of decided to change directions?
Ron Jennings: [00:03:14] Yeah, so I would say probably around the time after graduating high school, my mother set me up with a business. It was a packaged goods business and I did that for roughly about five years, five to seven years. And then after that, I graduated college and, you know, got my degree in finance and accounting, you know, climbed the corporate ladder and then said, you know, I felt like something was missing. And I went back to being the business owner. And then from there, we purchased two car washes and then I just noticed that the car wash that we purchased, even though that they were buy the same, you know, from the same owner, there really wasn’t any systems or processes in place to duplicate. You know, at both locations and then from there, you know, I always was interested in food. And excuse me, especially the brands that we have now and ANWR was top of mind. And I started speaking to ANWR immediately. So I’ve been talking to ANWR now, probably for roughly about four years.
Lee Kantor: [00:04:28] So you started out, though, as you had one restaurant or one brand restaurant brand. And then and then that started doing well and you started to see like, Hey, let me kind of build a little empire here and then start kind of expanding. And then at some point you were like, Hey, if I can do this with this, I’ve already got the infrastructure, the systems in place. It’s kind of it makes sense at that point, right to go, what if I got another brand going? I already know I got the lay of the land here. Is that Howard just kind of organically happened like opportunities just started presenting, you started to see opportunities?
Ron Jennings: [00:05:07] Yes, that that is that is very that is very, very true. So it actually started with one brand which was slot skis. And then, you know, we noticed with with the pandemic that a lot of people that actually had their restaurants, you know, for 10 or 20 or 30 years, they decided to retire. They they were done. So we actually started buying restaurants from people that were, you know, in their mid-60s, ready to retire. And these were established brands and establish locations. And we quickly grew from our first location back in December to five locations within six or seven months.
Lee Kantor: [00:05:54] And then when you did that, like something you were doing was working, so what enabled you to grow so effectively where maybe they had plateaued?
Ron Jennings: [00:06:03] Um, it was it was it was really the fact that a lot of the the people that actually used to own it, they were they were just tired. So when we took over the locations, what we noticed was there was a lot of systems that were not in place, for example, like PA sheets, things of that nature. And we utilize inventory better inventory management processes. We actually went ahead and followed the franchise model. And then our revenue actually increased dramatically. Our first location, we I think we increase revenue by 20 to 30 percent within three months. And that now is one of the the top locations of slot skis right now in the world.
Lee Kantor: [00:06:56] So how did you go about kind of choosing which brands to kind of pursue because there are so many of them?
Ron Jennings: [00:07:05] Yes. So I actually went ahead and looked at a couple of brands that was in the area, and I really focus on the fact of the food, the food quality slot, skis we absolutely loved. You know, the sandwiches, everything was made fresh and you’re probably going to notice you’re going to notice a similarity between all of them. When we acquired Moz, we went there because everything is made fresh to order as well. And then we went to AMW. Excuse me, with the fresh air, fresh root beer.
Lee Kantor: [00:07:46] And so that that’s kind of the thing that draws your attention, and then once you kind of are digging in deeper, you have to like kind of the systems and the processes and the brands that are, you know, semi recognizable that you know, you can build market share around.
Ron Jennings: [00:08:03] Yes, exactly. So and and a lot of the consumers now they they really pay attention to the freshness and the quality. And then if you have better inventory management, the food gets the food is fresher then than your competition around you.
Lee Kantor: [00:08:23] So now, as an owner of multiple franchises, is there any advice you can give that person who has maybe one brand and hasn’t kind of taken the plunge to to kind of own several brands?
Ron Jennings: [00:08:37] I would say follow the systems that are in place. That’s what we did. That’s how we were able to grow very fast. If you follow the systems that are in place and then if you embrace technology, that’s something else that we also notice to as well. A lot of the locations that we acquired, you know, they were not utilizing technology at all. And that’s what we that’s what we embrace to grow as fast as we did. And then also get a very strong support team, AMW, even though the the other brands you might see more often. The one reason why we’re growing with AMW and growing very, very fast. You know, we signed on to having three locations right now, but we do see ourselves adding on even more as we grow is to is to support AMW, the management team there. They really, really support our support, our group. And that’s one reason why we have chosen the AMW brand to accelerate our our growth with.
Lee Kantor: [00:09:49] Now what’s an example, like something that someone could kind of latch onto, and it’s an example of them being more supportive than maybe other brands like what’s something that they’re doing that stands out to you, that you’re like, Wow, that is really helpful.
Ron Jennings: [00:10:06] Um, the excuse me, the fact that I could actually get on the phone with management and ask them questions such as How do I grow our current portfolio from five to 10 or even 20? Um, what systems and what systems should I have in place? They will direct me over to another franchise that might have 20 or 50 locations to help me. And also they they have knowledge, you know, a brand like this that’s been in existence for over a hundred years. The team have has a lot of knowledge and they support me 100 percent.
Lee Kantor: [00:10:55] Now you’re in the Carolinas. Can you talk about what that market looks like in terms of opportunity is there are a lot of opportunity for your growth there in that region as well as maybe other complementary brands.
Ron Jennings: [00:11:09] Yes, actually, the Carolinas is is is poised for growth with with AMW, and that’s where we really, you know, going to branch out to because the Carolinas really doesn’t have that many and they have maybe the old concept of AMW with, you know, combined with Kentucky Fried Chicken and. And, you know, other brands underneath one umbrella that they that they did back in the day before they became their own entity, but to build out a single unit AMW, there really is not that many in this market. And that’s why we’re expanding very fast with them now.
Lee Kantor: [00:11:57] Has the size of the restaurant changed at all, like post-pandemic?
Ron Jennings: [00:12:03] Um, the restaurant right now, they are looking at roughly about twenty two hundred square feet size. Size wise and and of course, they are focusing more on speed and getting customers in and out, you know, improve and drive, drive through performance and things of that nature.
Lee Kantor: [00:12:25] So drive throughs a critical element in the well, not in all the brands you chose. But then they end up you.
Ron Jennings: [00:12:33] Uh, yes, yes. Yes, it is.
Lee Kantor: [00:12:36] Now in the other brands, I would imagine curbside and to go things like that, maybe third party delivery, that’s an important component.
Ron Jennings: [00:12:45] That is a very, very important component and we have notice of, you know. A great uptake in the online sales and also catering, catering is, you know, you could really grow with catering just as long as you focus on accuracy and timeliness. And that also goes with online ordering in general.
Lee Kantor: [00:13:10] And that’s something that may be a new franchisee wouldn’t think about as a potential revenue stream. But if you that could be really attractive and and a nice addition to your kind of the growth of a given store, right? The catering element.
Ron Jennings: [00:13:26] Yes. Yes. My wife and I, we that’s really where we focus a lot of our time on catering. You know, for example, this week we had a we had a very large catering order at one of our locations. It was roughly for roughly about 1200 sandwiches. Wow. Yes. So, you know, catering, you could definitely grow with catering. Catering is definitely, you know, one of our areas that we focus on a lot.
Lee Kantor: [00:13:57] Now is there any advice for people who aren’t kind of tapping into catering? Like, how do you get more catering business?
Ron Jennings: [00:14:04] I say you focus on. So what we have to our advantage right now with the brands that we do have is easy cater and we’re easy cater. There’s, you know, you can actually mark it right on the website, which is very good. So what we did do for a couple of our locations is they have a point system. It’s kind of like a rewards rewards thing that you know a lot of people have on their credit cards, right?
Lee Kantor: [00:14:34] The loyalty.
Ron Jennings: [00:14:37] Exactly. Exactly. So currently, you know, well. Before we took over, a lot of a lot of our locations actually only was given out one point. We actually update the five points and we have seen the growth there, definitely with that.
Lee Kantor: [00:14:57] That’s a that’s a great example of leveraging technology, though. I mean, to use technology to help build loyalty, which builds repeat customers may be coming more frequently. I mean, that could really move the needle.
Ron Jennings: [00:15:10] Yes, definitely. And also knowing your partners, too as well. So I actually have basically all my managers does this as well, too. They actually follow up with the customer afterwards just to check and make sure that the order arrive, you know, accurately and timely, because we also utilize DoorDash actually to do some of our deliveries for us, for the catering orders as well. So we just follow up. So this way the store is actually the last point of contact.
Lee Kantor: [00:15:46] Now how has the kind of the the war on talent impacted you and your brand? So you have any kind of solutions to that? Have you gotten some things that help keep employees there and keep them energized and productive?
Ron Jennings: [00:16:03] Yes, I think we have, you know, to our advantage since we are a family business. You know, that’s how we are starting out and we believe in the family culture at all of our locations. They get a chance to see, you know, I’ll go to one of the locations and I’ll pick up a broom and I’ll I’ll sweep the floors. My wife cleaned off the tables. Our daughters will be at either one of the locations working, you know, behind the counter, and we due to the various different drop ins at all our locations. And they they know when we come there, we’re not one of those owners that just sit behind the, you know, sit behind the desk. We actually get out there and we’ll actually help them on the line. You know, we’ll we’ll interact with the customers and, you know, even even with our car washes, it’s the same thing, too. We’ll go there and we’ll clean the car and we really have not had that much turnover. You know, as some of the other locations, all our locations actually have been open during the pandemic. And, you know, we’re building up that, you know, that that employee relationship that you know, that a lot of our employees are not leaving us, they they are actually sticking by us, you know, because they know we’re in it together.
Lee Kantor: [00:17:39] And that’s a great example for other people. People don’t quit jobs. They usually quit bosses. So if you have a culture that really cares and and the and it’s authentic, then your people are going to stay.
Ron Jennings: [00:17:54] Yes, that is very true. And that’s that’s what we focus on.
Lee Kantor: [00:17:58] So now is this kind of this kind of empire you’ve built with these multiple brands and just the expansion and so many of them? Is this how you envisioned this when you first started out? I mean, there was this kind of beyond your wildest dreams because this is quite an achievement.
Ron Jennings: [00:18:18] Yes, this is what I you know, it’s one of those things, this is what I envisioned, but I didn’t realize that. Well, I guess I did realize it, but the fact of the matter was that you could take something and you could visualize it, and you can actually, you know, make it make it happen. And that’s that’s where we where we’re enjoying this. This is this is fun for us. My wife, my kids, they really enjoy this. They talk about it every day, you know, and then also growing out the brands, we don’t only we grow out of brands, not only for ourselves, but also to support other families. So, for example, you know, with our location in Colombia, we’re building, we’re looking at more locations there because, you know, we have general managers, you know, in the Colombia market that eventually want to become a district manager. But, you know, with, you know, they know that grown with us, they will get that opportunity. You know, as we grow out more locations and then, you know, one of our other locations in Charlotte, you know, our GM there, she is absolutely ready. And I guess in the last month or so, she has hired several managers from local franchises, restaurants, well established restaurants, you know, to come in to support her. And they are all ready to go and build this out because they know our vision and they are looking forward to it.
Lee Kantor: [00:20:05] It’s an amazing story. Congratulations on all the success. I mean, the impact that you’re making in your community is real and the ripple effects are amazing. I mean, you should be so proud of yourself. This is such a great story to be able to do what you’ve done. Congratulations.
Ron Jennings: [00:20:22] Thank you. Thank you, Lee. Definitely appreciate it. And you know, we we would not be able to do it without them.
Lee Kantor: [00:20:30] Well, what I mean with I have a thing I talk about in my company is with the right partners, you can do anything and it sounds like you’ve aligned yourself with the right folks.
Ron Jennings: [00:20:40] Yes. Yes, I definitely agree. I definitely agree.
Lee Kantor: [00:20:43] Now, if somebody wants to learn more about the AMW opportunity, is there a website for them?
Ron Jennings: [00:20:49] Um, yes, it’s. It is actually franchising that AMW restaurants dot com.
Lee Kantor: [00:20:59] Right? The website I got on my sheet is franchising A.W. restaurants.
Ron Jennings: [00:21:05] Yes, that’s correct.
Lee Kantor: [00:21:07] Well, Ron, thank you so much for sharing your story today. Like I said, you’re doing important work and we appreciate you.
Ron Jennings: [00:21:13] Yes. Thank you so much, Leigh. I definitely appreciate you.
Lee Kantor: [00:21:16] All right, this is Lee Kantor. We’ll see you next time on Franchise Marketing Radio.