This could be the breakout year for Hunter Pond and his East Hampton Sandwich Co. The young entrepreneur's three-unit chain is set to double its footprint in 2015, and add another four units in 2016.
January 5, 2015
At the end of his first semester at law school, Hunter Pond walked into his final exam for his torts class. Then, before the test was even distributed, he turned around and walked right back out.
He went to the registrar's office, withdrew, and headed back home to Dallas.
Pond hated law school – really hated it – and the thought of spending his life researching titles or doing corporate law depressed him. He wanted to do something more significant, more meaningful.
He wanted to open a restaurant.
Initially, his parents were horrified. When he called to break the news that he was dropping out of law school to pursue his dream, his mother burst into tears and his father hung up on him. But it didn't take long for them to come around, once they heard their son's plans for an upscale sandwich shop that focused on premium house-made meats paired with carefully crafted sauces.
And it didn't take long for others to invest in Pond's vision, either. The business school graduate hustled, presenting his plan to friends, friends of friends, parents of friends. He networked together enough backing to open the first East Hampton Sandwich Co. location in Dallas in 2012, and has since opened two more units.
At just 27 years of age, Pond seems well on his way to making his mark.
East Hampton Sandwich Co. wrapped up 2014 by securing backing to double its Dallas footprint to a total of six units in 2015, and add another four in other areas of the Lone Star State in 2016.
The original East Hampton restaurant posted a 25-percent same-store sales increase its first year, and the other two existing locations are performing well, too.
Those initial investors have earned back their money, and the small chain has attracted the attention of a private-equity firm, which is putting up $3 million to help strengthen its corporate operations and prepare for the next level of development.
In a sandwich market crowded by bigger players like Jimmy John's, Potbelly, Subway and others, how is East Hampton setting itself apart?
"We do exactly what most of the other sandwich chains don't," explained Pond. "We outsource the bread, and that gives us the opportunity to focus on the ingredients between the bread."
You won't find a single slice of processed deli meat lingering anywhere on the menu, a key message in East Hamptons "No More Deli Meat" media campaign. Chickens, turkeys and tenderloin are all roasted and hand-carved in house.
Same goes for sauces – mundane mustard and mayo are set aside in favor of highbrow concoctions like sriracha dijonaise, basil pesto aioli and bourbon mustard sauce, all made in-house.
"I'm just a huge sauce guy. When I go anywhere, I get an extra side of sauce. It's really the main thing you're going to taste," said Pond. "The flavor profiles really accentuate the ingredients of the sandwich. We try to elevate the flavor profiles of the standard sandwich."
Each sandwich features a pairing of housemade meat and sauce. The most popular pairings include the Turkey Bacon Avacado with Garlic Sage Aioli, Fried Chicken and Jack with Jalapeno Cream Sauce and the Balsamic Tenderloin with Rosemary Au Jus. Another favorite is the Lobster Roll with Butter Drizzle, a fairly unusual offering for a sandwich shop.
The elevated offerings push the average check up to around $11.89.
"You might spend 12 - 15 percent more, but there's a reason for that," said Pond. "You're not going to be ingesting this processed, nitrate-filled, hormone-injected turkey ball."
East Hampton will be adding some lower-priced menu items this year, too, aiming to bring in customers who might have been put off by the higher price point of other sandwiches. The new sandwiches will be priced in the $8 range, and include options like Ranch style BLT with Buttermilk Herb Dressing and Country Style Ham with Spiced Thousand Island Sauce.
The lower-priced options are aimed at opening opportunities in new markets, said Pond.
The differences don't stop with the ingredients. East Hampton Sandwich Co. customers won't find the chute line that's so familiar in many sandwich shops. Customers place orders, and runners bring orders to the tables, plus East Hampton also offers beer, wine and some cocktails.
Pond doesn't know what the limit is for East Hampton, but he knows he hasn't reached it yet.
There are some fantastic sandwich concepts across the country, said Pond, but no one else is doing what East Hampton is doing. And while his goal is not to be "the next Chipotle," there's lots of room to grow.
"Until we meet our match, we're going to continue to bring our product to what I think is a giant void in the marketplace," said Pond.
While East Hampton will remain focused on Texas for now, Pond is open to taking the concept outside the state in markets that are easy to reach from Dallas. While some have expressed interest in franchising, Pond plans to keep the chain company-owned for now, at least until it reaches the 10-unit mark.
"We care about making sure our product is perfect and growing at a rate that's good for us," said Pond.