Industry News | November 10, 2016

Del Taco Expanding Phoenix Footprint

Off the heels of another successful quarter in which the brand reported a 6.7 percent increase in system-wide same-store sales, Del Taco Restaurants, Inc. announced its most recent development deals. The chain signed two multi-unit franchise development agreements that will significantly expand its footprint in the greater Phoenix area with the addition of 14 new locations. With 25 restaurants currently operating in Phoenix and surrounding cities, the expansion effort will help meet an increased demand in the region for Del Taco's freshly made Mexican and American favorites.

The first deal was signed with franchise group, CAI Investments, to build 10 Del Taco locations in the Phoenix-Scottsdale area beginning in 2018. "We've been watching the market closely and are extremely impressed with the evolution of Del Taco," says Chris Beavor, managing partner for CAI Investments. "There are no other concepts offering the same quality of food at such an incredible price, and we're confident that this is only the beginning of a long and rewarding partnership."

The second agreement will extend the commitment of longtime franchise partner, Brent Veach, by four locations, slated to begin opening in southeastern Phoenix in 2018. Veach currently operates 40 Del Taco locations throughout Arizona and Colorado, the largest number of units owned by a single franchisee in the Del Taco system.

"Not only have we experienced consistent ROI for our existing locations, but the company's refreshed brand image and new menu additions, like The Del Taco, are driving sales for the entire company," Veach says. "Results like that, coupled with the positive feedback we've been hearing from our guests, made the choice to continue to grow with Del Taco an easy one."

With its Fresh Combined Solutions strategy, Del Taco aims to generate positive guest experiences and broaden appeal through a series of operations initiatives, including new equipment and enhanced training, as well as a marketing makeover with the launch of its UnFreshing Believable 2.0 campaign. The brand refresh campaign highlights Del Taco's dichotomous menu of both Mexican and American favorites such as burritos and fries served at category leading prices, along with the use of quality ingredients and fresh preparation in every restaurant's working kitchen.

"With Del Taco's ongoing success and exciting plans in the pipeline, there has never been a better time to invest with the brand," says Laura Tanaka, director of franchise development for Del Taco. "Proven by 12 consecutive quarters of system-wide same=store sales increases, the recent enhancements we've been making are strongly resonating with guests and franchisees alike. As demand for the [quick-service] experience continues to grow, Del Taco is in a unique position to fulfill guests' elevated expectations."

News and information presented in this release has not been corroborated by QSR, Food News Media, or Journalistic, Inc.

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