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Fast-Casual losing to QSRs

In the wrestle of dining concepts, Chain Leader magazine states that new fast-casual dining is losing the battle as quick service restaurants fight back. "Chipotle Mexican Grill and JBX Grill clearly illustrate what has become of the once-sizzling fast-casual restaurant segment. While McDonald's is planning a $1 billion IPO for the Chipotle chain (of which it owns a 90% stake), Jack in the Box has pulled the plug on its JBX fast casual concept." CL further states, "The reason why fast-casual is fading is that fast feeders stepped up their game...Fast-casual raised the bar and fast food has responded. There are more better-for-you options available now than there were a couple of years ago."

KFC Hillary Special

I hope the Hillary lovers out there (and I am one of them) have a good sense of humor. Here is an alleged sign of a Hillary special meal deal., who tracks the truthfulness of such things, tells more. If this is the restaurant of a reader, please let us know. Moreover, if anyone has photos of humorous franchise signs, click the contribute button on top to send the photo. Or if you are too shy, send it directly to me. I'm not shy. I'll post it.

Wendy's Expected To Lose Market Share to McD's

Here's more supporting a continued slump by Wendy's. The reader may recall that one of the suggestions of my earlier blog entry was for Wendy's to revamp its marketing efforts and how. Well, it seems that Wendy's continues to bleed with more bad news. The stock rating for Wendy's International was cut by Prudential Equity Group from neutral weight to underweight, expecting Wendy's to lose more market share to McDonalds because of a poor marketing plan.

More information on Red Robin's Ex-CEO

Business Week Online ran this story on Michael J. Snyder, the former CEO of Red Robin, who left his position after an audit uncovered expenses that were inconsistent with company policy. According to Wiggin and Dana's Franchise Law Blog, Snyder repaid $1.25 million to cover the disputed expenses and stays on as an unpaid consultant to the company and still owns 31% of the company as the chain's largest franchisee.


Picurro Sold and Change Chain's Name. Ex-wife Buys.

OK. I've been followiing news on the Picurro Pizzaria Chain in Tucson, Arizona pretty closely and have made comments about this. The chain's namesake was indicted for soliciting sex from a minor. Sales at Picurro Pizzaria shops dropped off by 40% and franchisees sued for the right to terminate their relationship based on their interpretation of the morality clause in the franchise agreements that they had to sign.

Big Franchises Are a Sitting Legal Target

The family of George Torres has filed a wrongful death suit against McDonald's in Sanford, Florida . Torres, a trucker who pumps carbon dioxide into soda fountain tanks, found the store room locked. An 18 year-old McDonald's worker assisted him in improvising a way over a 10 foot wall so that Torres could deliver the gas. Edgar most likely didn't fasten the gas hose correctly. In this tragic case, the CO2 leaked without Edgar being able to open the locked door. He had no way out except jumping over the ten foot wall. The ladder was on the other side. Torres climbed over the wall to save young Edgar but was overcome by the gas as well.

The older Torres died that day, January 8, while the younger Mr. Edgar died a day later.

For a few dollars in America, anyone has the right to sue for any given reason. They may not be successful, but they can sue. It is interesting that nine months later the family of the trucker has decided to file a suit on the huge McDonalds chain and not on any other party. I mean, one would think that the family might sue the small trucking company for hiring someone that would so flagrantly bend safety rules in order to get his delivery in for the day.

There are many benefits of being associated with a goliath of a company. There are disadvantages too. One is that lawyers hope to sue local franchise owners in an attempt to tap into the coffers of the corporation. Notice how the trucker family isn't

Source: Orlando Sentinel

Why Can't My Franchisor Innovate Better Returns?

Having system standards rated close to 100%, here I am, a model operation of the franchise network. Doing so was supposed to raise my return on investment, but honestly, it's still low. My money would do better in a bank CD than the returns I get from all the hard sweat that I put into my store. There. I said it. So why should I expand to a second store just because it can be cash positive? Who wants to invest $1.5 million to get $50,000 a year in cash after the bills are paid? I need help from my franchisor in rethinking efficiencies and greater revenue per cost center. With this in mind, here is an interesting story coming down the pipe that I hope my own franchisor will take to heart in rethinking the map on getting better returns for the franchisee.

Picurro busted again?!? Will Other Company Leaders Please Step Forward

It seems that Mr. Picurro, the founder and CEO of the Tucson-based Picurro Pizzaria franchise, has been busted on yet another charge of soliciting sex with yet another sleuth who posed as a minor. Wasn't he just barely home on bail for his first incident? Peter Picurro, age 44, was indicted on seven new counts of soliciting sex with a minor after the local police received a tip from the National Center for Missing and Exploited Children that he had propositioned a member, who was also posing as a child on the Internet. You may recall that his first episode was soliciting online to a police detective whom was posing as a minor.

Brand Molested, Franchisees Revolt

Don't think that not much happens in Tucson, Arizona, where Marshall Wyatt Earp once roamed. It seems the law is being summoned again. After a franchise chain's namesake, Picurro, harmed the brand for alleged child molestation, four Picurro Pizzeria franchises in Tucson want their franchise contracts voided . The question is, can they?

This is no easy feat, but what else is one to do if the company's CEO and namesake has slandered the Picurro name by sexually soliciting minors? Picurro's name has been in the papers and on television for the offense. The bad publicity seems to be affecting business. Franchise owners say they have seen a dip in business of some 40%.