Schlotzsky's has designed two drive-thru models to focus heavily on off-premise orders.
January 5, 2021 by Cherryh Cansler — Editor, FastCasual.com
Atlanta-based Schlotzsky's may be turning 50 this year, but its decision to remodel its drive-thru service is more in line with a younger and more nimble brand.
Although driving off-premise sales has been underway at Schlotzsky's for some time, COVID-19 made it an even bigger priority. Since the pandemic hit, for example, off-premise sales made up 35% of the brand's total sales, and COO Tory Bartlett deems them as a major part of the brand's rapid recovery.
"Our brand saw a huge benefit from having a drive-thru during the pandemic and this helped support our sales tremendously," Bartlett told FastCasual. "Just before COVID hit, we invested in modern technology to enhance speed of service, which proved important during the pandemic."
The brand's use of "drive-thru timers" to ensure efficiency and consistency, for example, led to increased sales.
To keep up the momentum, Schlotzsky's has designed two drive-thru models referred to as "Design 1800" and "Design 1000." Both lean heavily on off-premise orders. Design 1000 doesn't offer seating and features walk-up windows for ordering as well as double drive-thru lanes for pick up, third-party delivery and catering.
Design 1800 provides enhanced drive-thru capabilities in addition to seating as the brand strives to increase consumer access with greater ease and convenience.
"We understand the consumer shift, so we're focused on the right changes to maximize our sales opportunities," Bartlett said. "This will allow us to develop our brand in the right market with the right format and maximize ROI for our franchisees."
The 350-unit brand, which hopes to surpass 400 locations over the next three years, has signed a deal with existing multi-unit franchisee JJ Ramsey to open four of the new formats next year in Arkansas. Ramsey owns locations throughout Arkansas, Missouri and Kansas.
"We expect that the cost to develop and construct the new prototypes will be materially less than our standard prototype," said Bartlett, who would not reveal specific costs. "The new prototypes will allow franchisees more flexibility to develop in competitive real estate markets and in urban areas, as well as prioritizing the shift in consumer demand from in-restaurant dining to off-premise business."