4 ms·
Or a low end franchise with a captive audience (highway service, travel intersections). Low-end franchise with captive audience seems to be a winning combinati
by Kuiper 9y ago
Or a low end franchise with a captive audience (highway service, travel intersections).
Low-end franchise with captive audience seems to be a winning combination, and sometimes you can even get a captive audience with low rent: One example of a McDonalds franchise that was reportedly doing quite well is a small rural town (population ~1500) whose biggest feature was the nearby prison (population ~2000), got a significant amount of its traffic from travelers coming to visit inmates. Location kept rent (and labor) costs quite low.
On the other end of the cost spectrum, you have airport eateries, which are high-cost real estate that more than make up for it in volume. Fast food franchise are especially advantaged (compared to other types of eateries) in airport venues, partly because there are a ton of airport-related restrictions (all dangerous utensils like knives have to be tethered to cooking stations, lack of gas lines at many airports) that tend to affect them less due to the way they handle food prep. And fast food's best features (convenience, low turnaround time) is at a premium for folks in airport terminals, such that they're willing to pay inflated prices for low-end food.