Quiznos announced a growth initiative to develop up to 600 new stores nationwide by the end of 2010. The planned expansion will create more than 7,500 new jobs, fueling market-level economic growth in communities nationwide.
The new Quiznos locations will include both corporate-owned stores as well as Quiznos-funded joint venture ownership opportunities for qualified entrepreneurs. The Quiznos-owned locations represent a departure from the company’s traditional franchise model.
“At Quiznos, we have a world-class business model and our belief in that model is so strong we want to increase our corporate profitability by investing in these corporate-owned stores,” says Rick Schaden, Quiznos’ founder and CEO. “Establishing a stronger presence of Quiznos-owned stores also allows us to more closely align with our franchise owners, identifying and advancing best practices at the store level to elevate our brand’s operations overall.”
Quiznos recently recapitalized and restructured its existing debt and equity structure in order to fund expansion and facilitate greater flexibility for growth. By doing so, Quiznos is able to dedicate its own capital to the new store openings and invest in this positive growth momentum.
“Quiznos has the solid financial position to accelerate and enable tremendous growth,” says Bill Flaherty, chief development officer for Quiznos. “This initiative will have a direct effect not only on Quiznos’ growth, but on that of job creation in communities where we seek to engage with more than 7,500 growth-minded and experienced general, district, and regional managers and in-store team members.”
In addition to new store development, Quiznos is actively investing in its brand—refreshing its brand identity, renovating in-store design, increasing its value proposition for budget-conscious customers, introducing green packaging and practices for more sustainable operations, and enhancing its menu for even broader customer appeal.
The combination of these brand enhancements and in-store renovation has effected a measurable impact on same-store sales in more than 1,100 renovated units thus far, and the company plans to renovate an additional 2,000 locations within the next 12 months.
“Quiznos is on the move with the spark and energy of growth and entrepreneurialism, and we appreciate our customers for their enthusiastic response,” Schaden says. “As the economy continues to stabilize and strengthen, we are in a position to ignite real growth for our brand, for our shareholders and for the entire Quiznos community.”