News

Moe’s invests in local-store marketing strategy

August 12, 2010

As part of its initiative to refresh in Moe's Southwest Grill, the restaurant chain has invested more than $250,000 in a new grassroots marketing effort to build up its community outreach program.

The company has signed a deal with Street Fighter Marketing to begin work on the effort in nine key designated market areas for a total of 26 locations. The markets are the Florida cities of Tampa, Orlando and Jacksonville; Little Rock, Ark.; Norfolk, Va.; the North Carolina towns of Raleigh, Winston-Salem and Greensboro; and Charleston, S.C. If successful, the plan is to roll-out the program systemwide this fall.

“Local-store marketing has always been a part of what we do and we have always provided a kit to our franchise partners, but not many of our franchisees are comfortable leaving their four walls,” Moe’s president Paul Damico said.

Through the partnership with Street Fighter, Damico said franchise operators will get help incorporating local-store marketing tactics, and also will participate in one of five regional meetings with Street Fighter planned during the quarter to discuss how those tactics are working.

“The tactics that we use we simplify as much as possible,” said Street Fighter founder and author Jeff Slutsky. “The focus is on having the general managers become the ambassador of their community. There are hundreds of opportunities at the local level.”

To get started, Jeff and his brother Marc spent several weeks working for restaurants in the Moe’s system. That gave them a better understanding of the brand and what operators go through on a daily and weekly basis.

“I had to learn the operation and find opportunities that were unique to Moe’s, that don’t cost a lot of money or take a lot time,” Jeff Slutsky said.

They also had to create local-store marketing approaches designed to fit several personality types.

“We take the personality of the GM and match the tactics to what the GM is comfortable with,” Slutsky said. “No one tactic will work by itself … but everything involves some sort of driver back to the store. If you’re not going to have a plan to drive people back into the store, then forget it.”

In order for the test to work well, Slutsky said execution must come from the local unit, and each GM will be coached by the Slutsky team on how to incorporate and implement the marketing tactic designed to work for that location.

“We’re getting support from the top down,” Slutsky said. “Anything to make this work, (Moe's) has done for us. They’ve given us the tools and what we need to make it work.”

Damico said the company will track the local-store marketing programs from June until October and will make decisions based on what is learned from the pilot.

“It's still too early to talk about results, but what we’re seeing is in each of these restaurants there are anecdotal success stories that are telling me the program is going to work,” Damico said. “There were some moments that were challenging, but the Slutsky’s were having weekly conference calls with managers to help them accomplish their goals. So, there’s an accountability factor helping to drive the mobility of this program.”

Once the plan is reviewed, Damico’s goal is to roll it out systemwide through a series of regional meetings that will include a two-day training session for GMs. The Slutsky’s also will work with the Moe’s marketing team on how to implement the program so there’s a seamless handoff to internal staff.

“If (the program) is done right, it has a tremendous return on investment,” Slutsky said. “It allows the franchisee, for example, to totally control his or her territory, and they’re less reliant on corporate staff or the franchisor to do the marketing for them.”