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Ones to Watch | By Sabrina Davis

Boloco, continued

To be specific, the inspiring flavors are Indian, Thai, Japanese, Mediterranean and—of course—Mexican. The top-seller is indeed The Classic, the only Mexican burrito on the menu, and which Lanni says he’d put up against any leading Fresh Mex burrito. However, it’s the rest of the menu that sets Boloco apart from the standard burrito players—from the Buffalo (Buffalo sauce, bleu cheese dressing, celery, and rice) to the Bangkok (Thai peanut sauce, Asian slaw, cucumbers, and rice) to the Teriyaki (teriyaki sauce, caramelized onions, broccoli, carrots, and rice). Every burrito comes with the customer’s choice of grilled steak, grilled chicken, or organic tofu. The regular costs about $5, a large about $6.

Boloco also serves a variety of smoothies, soups, salads, and, in some locations, breakfast burritos.

The menu evolved with the help of food specialists hired by the Lannis to create bolder flavor profiles and streamline operations. They also created an open kitchen where customers can see not just their orders being prepared, but the chopping and grilling of fresh vegetables and meats behind the line.

Boloco
CEO: Nick Lanni
HQ: Cincinnati, Ohio
Year Started: The Wrap-1997,
rebranding 2005
Annual Sales: $12.5 million,
average unit volume $952,000
Total Units: 18
Franchise Units: 18

The first rebranded Boloco opened in Indianapolis in July 2005. There are now 18 units in the chain with plans to open two more by the end of the year and begin aggressive growth in 2007.

“What we’re doing is not being done on a national scale right now,” Lanni says. “The Fresh Mex guys out there are doing one thing a lot of different ways; we’re doing all sorts of flavors. We’ve removed the veto factor; no one can say, I don’t want to go there because I don’t like Mexican. We have something on the menu for everyone.”

WHY IT BEARS WATCHING: The Lannis purchased Boloco’s predecessor, The Wrap, because it was a proven winner. With a few changes, they knew it would become better and more marketable on a national scale. Their beliefs have proven true, as sale continue to grow. Each store serves between 500 and 1,000 customers a day and averages almost $1 million in annual sales.
Boloco is poised to add 15 locations in 2007 and 20 to 25 in 2008. The Lannis plan to sign their first international franchisee in Toronto by the end of the year and open the store next summer. They’ve discovered a strong connection with the college crowd and have signed a 25-unit development deal with Sodexho USA, which supplies food service to more than 1,000 college campuses. The first campus locations will open in 2007.
Locations already are scattered across the country in California, Indiana, Massachusetts, New Hampshire, North Carolina, Ohio, and Washington and soon will be in Colorado. The Lannis plan to gradually blanket the country and grow to between 300 and 500 locations in the next 10 years.
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