Sponsored by Focus Brands
The pandemic changed the restaurant industry in many ways and restaurants had to quickly pivot and adapt to these changes or risk being left behind in a highly competitive market. Schlotzsky’s, a sandwich shop that serves sandwiches, salads, pizzas and calzones—all on bread that is made fresh in-store daily—was quick to jump on these changes, many thanks to the work already happening behind the scenes. “We knew our guests appreciated access to an efficient drive-thru,” said William Armstrong, Chief Brand Officer of Schlotzsky’s, noting that over 40% of sales in the past year have been via drive-thru.
The brand already had a successful drive-thru model, with this feature at 85 percent of existing locations, the majority of which were the brands traditional 3,600 square foot prototypes, but, in 2021, the brand introduced the first of two new prototypes, designed to put off-premise access at the center and meet guests where they want to be met.
Introducing the Prototypes of the Future
“Even before the pandemic, we were seeing an increase in sales via drive-thru so we wanted to come up with a new prototype that focused on this channel, truly giving our guests what they want,” said Armstrong. “What resulted, however, was two totally new prototypes designed to appeal to our guests and give our franchisees opportunity to grow in both new and existing markets.”
The Design 1800 prototype is an 1,800 square foot location featuring indoor seating for 35 guests as well as a two-to-one drive-thru lane. The first two locations opened in Derby, Kansas, and Bartlesville, OK, in 2021.
The second new prototype, the Design 1000, opened its first location in summer of 2022 in Oklahoma City. The corporate-owned store offers no indoor seating, but two drive-thrus, one on each side of the building. One of the drive-thrus is dedicated for traditional off-premise ordering while the second drive-thru is exclusively for first and third-party delivery pickups, further elevating convenience and guest accessibility. “What is so great about these prototypes is the opportunity they create for brand growth,” shared Armstrong. “We now have three unique prototypes that provide current and prospective franchisees with more options at different price points that are thoughtfully designed for different parcels of land.”
Creating Efficiencies for Franchisees
As the brand worked to develop these two new prototypes, they also made sure that the prototypes created efficiencies for franchisees—both operationally and financially in regard to real estate.
“By focusing on off-premise access, we have the ability to enhance speed of service for delivery, to-go and catering orders,” said Armstrong. “This is the future of the brand, and our new prototypes allow us to continue to refine our service model to better serve our guests.”
Additionally, these smaller footprint designs allow franchisees the flexibility to develop with competitive real estate in urban areas. The Design 1800 restaurants can be built on a .69-.9 acre lot and the Design 1000 can fit on a .6-.75 acre lot, compared to the lot size of over .9 acres required for the traditional 3,600 square foot prototype.
Expand Your Portfolio with Schlotzsky’s
Moving forward, 99 percent of all Schlotzsky’s locations will feature a drive-thru, making these new prototypes even more exciting. Through the end of 2022, Focus Brands is currently offering compelling incentives for franchisees looking to sign franchise agreements with the brand. Visit development.focusbrands.com to learn more about how you can become part of the Schlotzsky’s family.
This information is not intended as an offer to sell a franchise. We will not offer you a franchise until we have complied with disclosure and registration requirements in your jurisdiction. Contact Schlotzsky’s Franchisor SPV LLC, located at 5620 Glenridge Drive, NE, Atlanta, GA 30342, to request a copy of our FDD. RESIDENTS OF NEW YORK: This advertisement is not an offering. An offering can only be made by a prospectus filed first with the Department of Law of the State of New York. Such filing does not constitute approval by the New York Department of Law. RESIDENTS OF MINNESOTA: MN Franchise Registration Numbers: Schlotzsky’s Franchisor SPV LLC: F-8192.