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It's business (almost) as usual at I Heart Mac & Cheese

Although sales are down 60-75% at I Heart Mac & Cheese, CEO Steve Giordanell is moving ahead with growth plans.

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April 24, 2020 by Cherryh Cansler — Editor, FastCasual.com

Although COVID-19 has drastically affected sales at I Heart Mac & Cheese, CEO Steve Giordanell is moving ahead with growth plans.

I Heart Mac & Cheese CEO Steve Giordanell

"Restaurant sales are down 65-70%, which was expected due to the impact of the COVID," he said during an interview with FastCasual. "Like most restaurants, we shifted our operations by adding curbside and takeout only and delivery via third parties. These are unprecedented circumstances, so it's important to make the necessary changes to continue serving our communities and adapt to the new normal."

The Boca Raton, Florida-based chain hasn't closed any corporate locations, but a few franchise partners have temporarily closed, said Giordanell, who told FastCasual how he intends to keep the business moving forward.

Q. What are you doing to try to make up sales losses?
A. In order to keep delivering the I Heart Mac & Cheese experience to our communities, we've gotten creative and developed a series of ongoing special promotions and marketing initiatives promoting family meal packs, free kids meals, free delivery, amongst other offers, via delivery apps, social media, e-blast, website.

Q. What are you doing to help franchisees weather the cuts?
A. On March 30, we announced we were waiving all royalty fees, brand fund fees and technology fees for our entire franchise system across the country effective immediately. We hope these efforts will help franchisees protect cash flow while they adhere to the U.S. government's mandate for dining room closures as well as the CDC guidelines for social distancing to keep employees, customers and the community at large safe.

Q. What is your growth plan? How many are you opening in 2020 and is that changing from the beginning of the year...due to COVID?
A. We have many in the queue and are still optimistic about selling 100 this year.

Q. How are you able to sign deals during these trying times? What is it that makes franchisees confident enough to sign?
A. It's a unique and attractive franchise concept that sells itself and stands out among other franchise models. People are constantly impressed by I Heart Mac & Cheese's innovative business model and our different food concepts catering to all types of diets. And most importantly, they see how accessible and affordable it is to operate, with support systems in place to help our partners be successful.

I Heart Mac & Cheese launched its franchising program in 2017 and has franchisees in Florida, New York, Georgia and Texas. Additional locations are slated to open in Alabama, Arizona, California, Colorado, Florida, Georgia, Illinois, Indiana, New Jersey, New York and Texas.

About Cherryh Cansler

Cherryh Cansler is VP of Events for Networld Media Group and publisher of FastCasual.com. She has been covering the restaurant industry since 2012. Her byline has appeared in Forbes, The Kansas City Star and American Fitness magazine, among many others.

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