Restaurant Trade Area Research

Here’s a detailed article about WHY Red Lobsters demographics may be indexed strongly with Black customers - hint: think `menu census’ (a great form of research too) - http://atlantapost.com/2011/04/05/understanding-red-lobsters-popularity-amongst-african-american-diners/

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One way that FF restaurants are defining their `upscaleness’ over the last few years has been `Milkshakes’ (with a capital M) - such as this new premium offering from Chick-Fil-A - Chick-fil-A Whips Up New Banana Pudding Milkshake - http://www.restaurantnews.com/chick-fil-a-whips-up-new-banana-pudding-milkshake/

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Taco Bell has responded to the `fake meat’ rumors that some charge or accept with an open ear - such as here - http://www.thatsfit.com/2011/03/18/do-you-believe-taco-bell-is-real-meat/ - with an advertising response http://www.youtube.com/watch?v=0DeJGN_QfTQ - speaking up for content (sourcing) is VERY important. Good Move.

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Speaking of content - Dunkin’ Donuts Serves Up New Big ‘N Toasty Breakfast Sandwich - http://www.restaurantnews.com/dunkin-donuts-serves-up-new-big-n-toasty-breakfast-sandwich/ - DD continues to make inroads into the ONLY growing daypart segment (really) breakfast. That said, I’ve seen the ads and can’t help but think that drive-thru users (and possibly road eaters) couldn’t help but get YOKEY when biting into the sandwich. (However, they do make the fried egg yoke looked pretty cooked.)

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Thanks for your visit today.

Makes one wonder if the fast food Jimmy John workers can smell victory next time - http://www.dailyfinance.com/story/company-news/jimmy-johns-failed-union-vote-for-fast-food-workers/19686891/

Meanwhile, the fast food marketing ramps up in the new normal - with FREE Food once again the hook for A&W - http://news.mydaily.com/2010/10/26/free-meal-at-aw-coupon/?icid=main%7Chtmlws-main-w%7Cdl6%7Csec3_lnk1%7C180026 all for nothing more than a `like’ on their Facebook Page.

hhttp://restaurantnews.com/wp-content/uploads/2010/10/Hardees-Caramel-Crumb-Biscuit.jpg 

Meanwhile, in new products - the above delicious looking offering comes from Hardee’s - reinforcing their breakfast daypart and snack/dessert positioning upscaling (Milkshakes) too - http://www.restaurantnews.com/hardees-introduces-new-caramel-crumb-biscuit/ one for 99 cents and 2 for 1.69 (prices can vary)

At the link - my 2010 favorite fast food commercial - http://www.restaurantnews.com/carls-jr-introduces-freshly-prepared-hand-breaded-chicken-tenders/ - check it out.

Now, while the Hardee’s/Carl’s Jr ad may be my favorite - Pizza Hut and Domino’s run away with ‘quick service restaurant’ commercials of the year  - http://www.nydailynews.com/money/2010/10/16/2010-10-16_pizzas_big_slice_of_best_ads_pie.html#ixzz13ZBFMwBt Starbucks had the number one ad and Taco Bell was also represented as was Chili’s and Dairy Queen.

Thanks for visiting today.

BK goes directly after the only daypart still expanding in visits - Breakfast; with upscale type items, a 4.29 full breakfast platter, AND 1.00 value items too. Did I mention pancakes?

Ads begin 9-13 and info will be positioned broadly for the next 11 weeks. http://www.restaurantnews.com/burger-king-rolls-out-new-breakfast-menu/ more details at the link.

Here’s the story of a chain that has largely gotten the whole `new normal’ right - Taco Bell - Taco Bell CMO David Ovens Sees Hot Opportunities - http://www.brandweek.com/bw/content_display/news-and-features/direct/e3ic193b6eacf48409b5f5a56dbec655408 good coverage of his marketing strategies in this interview.

New To This Blog? http://restauranttradearearesearch.com/important-posts-of-2009/

http://restauranttradearearesearch.com/important-posts-in-2008/

America’s number 3 Fast Food Chain changing hands is big news indeed - http://www.businessweek.com/news/2010-06-11/wendy-s-arby-s-investor-peltz-approached-on-takeover-update2-.html.

Taco Bell’s Two Dollar price point promotion is being well received in the new normal - “Taco Bell’s two dollar value meal is potentially game changing,” says Gary Stibel, Founder and CEO…..One dollar meals drastically limit the quantity a restaurant can offer and often leave consumers wanting.  This is strategic to Taco Bell because the bullseye of their target audience is the young male who doesn’t eat restaurant food, he ‘hoovers’ it. ….the original Chief Marketing Officer of Taco Bell, points out that “one of the bases for PepsiCo’s acquisition of Taco Bell was the ability to deliver good tasting, filling foods to young men at prices that were attractive to the guest and profitable to the owner.  It is one of the strengths of Mexican food in a crowded QSR marketplace.” - More here - http://www.restaurantnews.com/the-2-value-meal-could-be-a-game-changer-for-taco-bell/ 

Taco Bell recently used this Fun Idea to promote the 2 dollar price point - Taco Bell Asks Federal Reserve to Circulate More $2 Bills - http://www.restaurantnews.com/taco-bell-asks-federal-reserve-to-circulate-more-2-bills/

In other price point positioning news - Boston Market Debuts New Market Sliders For $2.99 - http://www.restaurantnews.com/boston-market-debuts-new-market-sliders-for-2-99/ - and combos for 4.99 - very aggressive.

And, score another one for McDonald’s - McDonald’s Ads to Showcase Undiscovered Artists and Bands - as this is an incredibly great idea to target the under 25 segment. - McDonald’s Ads to Showcase Undiscovered Artists and Bands - brilliant, again - http://www.restaurantnews.com/mcdonalds-ads-to-showcase-undiscovered-artists-and-bands/

I appreciate your visit today. Have a look around www.restauranttradearearesearch.com .

Welcome to Restaurant Trade Area Research - the restaurant blog written by a 30+ year restaurant researcher who has personally  interviewed thousands and thousands of fast food customers. (How’s that for a mouthful?) - Today’s topic, what seems to be the new need - `shooting the works’ to maintain or grow market share in the `new normal’.

Examples include:

Expanded Dayparting Focus - Subway going into the breakfast market is the first to come to mind - Daypart pricing is also notable with `2-4 pm’ reduced beverage costs (Steak & Shake — Sonic) — Weekpart Combo Specials , such as Moe’s Thursday Two for One’s - Subway’s after 5 footlong pricing, etc.

Seasonal dayparting — summers `late night positioning’ has been going on for years (open til 2Am on weekends type of stuff), and, it’s been noted recently that in the casual niche, 12AM or later, was recently claimed in the Atlanta media market by Applebee’s. At Fast Foods, `summer late nights’ is almost a requirement for some (Wendy’s, Taco Bell) but is an opportunity for others too (such as a Krystal’s potential muchie crowd,  or even sandwich niche restaurant).

Outrageous Product - The incredible focus on low price points within advertising (which has muddied the field) has made new product introductions even more important to appeal to the `trier-rejecters’/aware non-users of any fast food brand. One method to get attention is the outrageous product - such as KFC’s Double Chicken Sandwich. And, most recently Burger King’s move into Bone-In Ribs - would be an `unexpected’ example of a `new product’ that should `create new trial’ - especially with good word of mouth - especially during summer. (Perfect `season’ new product introduction.)

Expand Competition Into Other Niches - Recent examples of this include McDonald’s continued focus on beverages such as premium coffee and other choices. Burger Kings new Ribs carves out part of the sit-down market (and the `upscale’ `trade down’) as does it’s Brunch positioning in some markets. The new `upscale’ Milkshakes by Chic-Fil-A, Hardee’s and Zaxby’s –> reach into the `Dairy Queen’/Baskin Robbins niche.

The `Health’ Market - Long heralded as the next sure thing (only problem was that in the 80’s-90’s market was still non-existent) , the `Healthy Fast Food’ market may finally be available - due in large to the already established `Bakery’ niche being taken ALREADY by the female demographic that has turned FROM fast food choices in the last 8 years or so, - to places like Panera Bread or Atlanta Bread Company or others. To me, it seems the natural ones to attack this would be sandwich chains like Quizno’s - Blimpie’s - Subway.

Upgraded Products/Serving Quality - Angus Beef now is an example of offering the `upgraded product at a premium price’ niche. Obviously it also attacks the `fast casual’ growing segment (the stepdown from casual tipping establishments). I’ve already mentioned BK’s Ribs. KFC roasted chicken could be seen by some as an upgrade in health perception.

Selling Branded Products — To me, it is a little self-defeating - BUT - White Castle has frozen product as do many other restaurant chains. To me, I’ve never found these pre-packaged foods to be as appetizing. How about you? Then again, Dunkin Donuts coffee seems logical - and I know that I’d buy a Big Mac Sauce if it was ever offered.

Fancy, Social, E-Mail Marketing Database Building - To me,  working with a stores known customer bases information - and the customer base itself - is VERY attractive too - and is needed to not lose an edge to the competition. That said, some areas seem to have the potential to eventually become overdone and self-defeating (the free food promotion costs - or extreme motivational discounts) and eventually will have it’s `day-come’ due to overuse.

For example, lets say you sign up with a store chain that will provide you a coupon code every time you go to their restaurant trade area — if you signed up with multiple chains you eventually would not wade thru the offerings and IF you did act on one - it would be the one `giving the most savings’. Coupon people are indeed driven by costs - which will drive down your profits and establish a two-tier payment pricing - and confuse the customer base about the real price/value of your products. GPS `coupons’ will not replace friendly smiles, eye contact and good operations. (Within this blog I’ve talked about specific marketing that can be done with your EXISTING customer base via ONE question frequency targeting - or - NO question `menu’- total purchase targeting.)

The `New Marketing’ for the `New Normal’ goes way beyond buying the 25-54 demo slightly focused on one sex - and expecting success. No, the new normal demands running on all cylinders in multiple directions - and catering to a stores unique customer base.

Thanks for reading today - if you check out my sidebar - you may find a category of interest to you. You can also read more about my MarketView research at www.squidoo.com/tradeareasurveys .

Image From - http://fastfood.freedomblogging.com/files/2008/05/tacobell_valuemenu_web.jpg

In my last post http://restauranttradearearesearch.com/2010/04/21/price-point-stalking-the-new-normal/ - where I provided a list of price positionings that I’ve seen various restaurant chains promote in the past year in the Atlanta ADI - I made the point (I hope) of `how crowded’ some price points are. (AND PROBABLY HOW HARD IT IS TO STAND OUT AND CLAIM A PRICE POINT).

That said, the chains are doing it for a reason - price talks in this new normal. The minimum price to have the chains `experience’ - whether it’s 79 cents at Taco Bell, a Buck at Arby’s, 1.99 Breakfast combo at Dunkin Donuts, 2.50 Subway breakfast combo, 2.99 Boston Market 4.99 Pickadilly’s (who I forgot to include) …ect. ect. ect. — is gobbling up significant portions of marketing efforts and probably not contributing significantly to the bottom line of operating revenue. It can also make the `regular priced fare’ appear to be much more expensive in  a perceptual sense. (Also, unless you are Taco Bell, someone will ALWAYS be cheaper - why pay more?.)

All that said, appealing to multiple price points - including the one that seemingly IS affordable (the minimum prices) - may continue to be important strategic positioning until a real recovery begins - if and when. BUT, now that these minimums are already in place, some shift in ad revenue should happen to emphasize other important restaurant and FF restaurant attributes. (Fun, quickness, food quality, etc.)

Thanks for visiting today - I offer the MarketView, read about it here - www.squidoo.com/tradeareasurveys .

Putting promotion and advertising dollars behind various price points is nothing new in the restaurant category - but - in 2010 - it would seem to be of huge importance based on the current crop of ad positionings positioning prices. For example - check out this list of price points promoted in the past year in the Atlanta ADI at least:

79 cents - Taco Bell (occasionally).

99cents - Wendy’s Value Menu - Capt. D’s sides

1.00 - McDonald’s Dollar Menu; Burger King, Arby’s, Checkers

1.50 (2/3.00) - Checkers, Dairy Queen (occasionally)

1.99 - Snack meals - Mrs. Winners, Church’s, KFC (occasionally), Dunkin Donuts, 

2.00 Denny’s

2.50 Subway Breakfast Combo

Meals For One

2.99 Combo’s - McDonald’s, Wendy’s, Krystal, Boston Market

3.99 Long John Silvers, KFC, (4.00)Firehouse Subs >4Pm (4.00) Steak & Shake, (4.00) Quizno’s, 3.99 Hardee’s, (4.00) Denny’s

5.00 - Subway Footlong, Boston Market 5.oo + sides, (5.01) Arby’s, (4.99) Waffle House, (4.99) CiCi’s Pizza, (5.00) Little Ceasar Pizza, (4.99) Denny’s, 5.00 - Capt. D’s lunch, (4.99) - Zaxby’s,

5.99 Domino’s Pizza, 6.00-Denny’s

8.00 Denny’s

6.99-9.99 - Friday’s, Ruby Tuesday’s, Ryan’s, Golden Corral, (10.00) Pizza Hut, Folks Restaurant, Red Lobster, Olive Garden, Applebees,

And now, with smaller portions becoming more accepted at a reduced price (often with more profit however) - the under 10.00 to eat AT a restaurant perception continues to grow.

First, let it be said that my usage of nearly ALL of the restaurants has already assumed the `new normal’ of the Great Recession. Regardless of what cheerleading the media may be doing about the economy - most folks are now cautious on discretionary spending - of which, restaurant visits - even to a degree Fast Food restaurant visits - has been impacted. 

 In alphabetical order:

Arby’s - I `responded’ to the ads for the `Roast Burger’ earlier in the year and was not impressed. I refused to respond to the Marry a Goat `humor’  ad campaign and somewhat like the recent 5.01 combo or pricing (the one cent being for Quality).  That said, generally, I perceive that Arby’s as expensive without having coupons from the coupon mail drop a few times a year. Additionally, they  `streamlined’ their `fries’ - dropping my favorite the Homestyle. How can they NOT promote the Jamoca Shake?

Atlanta Bread Company (ABC) - Remodeled nicely. Upgraded to real plates and silverware. Messy to clean up. Can be crowded and slow service. Female favorite. Good soups and combo prices. Mellow atmosphere.

Burger Inn - Local  legend - all fresh cooked. Great breakfast customer base. Friendly people; newspapers available often. Excellent onion rings. Beefy hamburgers. Male favorite.

Burger King - I like the current billboard promotion about the Double Cheeseburger for a buck, real value - but - haven’t gotten it.  I have ordered the Mini burgers more than once however and view that as an excellent addition. Amazingly, the Woodstock BK got rid of Real Sweet Tea years ago (my assumption is that is still the case) and thereby nearly ended my usage — I can’t stand the fake sweet tea out of a machine. Operations should be aware that changing ICONic drinks can have a big effect. — Finally, where is the KING?

Capt. D’s - Perhaps my favorite FF in Woodstock. Quality, Quick, and Quantity with good value pricing. Covers all reasonable price points including lunch specials and on-going `specialities’ that have all prices. Excellent choice of sides. Funny ads earlier in the year comparing to Red Lobster pricing. Friendly greeting and thanking when exiting. Good inside music.

Checkers - Still a viable concept (double drive thru) - chicken wings were a good addition earlier in year - somehow it fits. Catchy phrase “you gotta eat” recognizable for smaller chain levels of advertising. Covers all price points well with a good mix of products. The Woodstock store does Sunday Pricing - good idea - hasn’t ever motivated me for their `down sized’ versions. Could probably `play-up’ the FUN theme a little bit more.

Chick-Fil-A - Woodstock’s Chick-Fil-A is amazingly busy. Overwhelmingly busy whenever they do a promotion like 2-1 for a chicken sandwich or free food giveaway. Excellent quick service regardless of how long the lines are - especially at the drive-thru. (However, I’ve detected a time or two a usage of `workers in India’ taking my orders — I’m not kidding - and, in this time of underemployment in America - that is NOT right to save a few cents that way.) Real Milk Shakes were genius. Consistent quality. Friendly employees. Clean. ————— All that said, the Woodstock inside service in the sit-down area can be horrid and when is Chick-Fil-A gonna get some normal fries? Also, one takes a chance when getting the baked potato.

Dairy Queen -  The standard in Ice Cream desserts from the drive-thru. Haven’t used but really like the new pricing structure in ads 2/3 3/4 4/5.00 - interesting approach. Unfortunately, for me, the food hasn’t broke thru.

Dunkin Donuts - Right on the Strip - I’ve never used location. Certainly they can advertise donuts and donut prices more.  (IF I knew a quick Donut sweet was 99 cents for example - it would come to mind for `dessert’ or breakfast purchase more often. Never seen a place less concerned with establishing a price point understanding. Just how much does a dozen donuts cost?)

Firehouse Subs - Expensive but Excellent. Can be slow. Friendly employees. TV’s to watch. Good real sweet tea. Small, can be crowded.

Five Guys Hamburgers - Tangential to Woodstock in Sandy Plains area — good operation - waiting for a Woodstock Location (several good places available perhaps too).

IHOP - Expensive, right? What specials?

KFC - Closed but not forgotten. Also was one, like BK, to drop sweet tea for a time.

Krystal’s - Krystal `fix’ a must a few times a year. (Canton Road.) Ad’s featuring Crispy Onions on burger looks very compelling. Wi-Fi add - good idea.

McDonald’s - Woodstocks unit re-designs and updates the interiour often - which is nice. Clean. Service can range from excellent to very poor (weekends). Can often find an AJC or USA today in newspaper bin. Separate kids area - thumbs up. Fries can vary in quality. Best FF fish sandwich.

New China Buffet - Lunch value leader. Good quality food. Friendly employees. Priced by the pound to go. Widest variety of food.

O’Charlies - Stopped going shortly after changed menu restricting Prime Rib to Sundays only.

Panda Express - Have never used. Pass by back of lot 3 times a week on way to Walmart.

Po Folks - AKA Folks —> Expesive for what you get.

Ruby Tuesday’s — How could they get rid of German Potato Salad? (pet peeve). Good miniburgers and platter pricing. Easy to split orders. Great salad bar still.

Sonic - I really like their ad’s inside the car with the main guy and his friend and the main guy and his wife. Classic. Best onion rings in Woodstock at FF. To me, tasteless burgers. Fun to use. Daypart pricing on drinks in the afternoon. Fun music playing.

Steak And Shake -  Best Milkshake in Woodstock. Can be very expensive without coupons and very reasonable with coupons. Great variety of sides. Great music inside.

Subway - Good with pricing with coupons. Good quality. Can be SLOW service. GOOD real sweet tea. Fresh. Daily specials a good way to address pricing. Excellent variety of sandwiches.

Taco Bell - Good cheap price positioning. Good Chalupa’s. Good real sweet tea. Good service speed. Good quality overall.

Wendy’s - Huge variety in quality - excellent one time - poorish the next. What the heck happened to the fries - almost tasteless compared to yesteryear. I’m told good salads. Expensiveish compared to McD’s. Baked potato good price/quality.

Thanks for reading - feel free to comment.

Here’s some links also:

KFC Closes Its Doors to Fight Hunger - http://www.slashfood.com/2009/09/30/kfc-closes-its-doors-to-fight-hunger/?icid=main|htmlws-main|dl5|link6|http%3A%2F%2Fwww.slashfood.com%2F2009%2F09%2F30%2Fkfc-closes-its-doors-to-fight-hunger%2F Community involvemet matters - look at the results of the survey on this page too.

A Real Whopper? NASCAR’s Stewart to take live polygraph test in ad  - http://www.walletpop.com/blog/2009/09/30/a-real-whopper-nascars-stewart-to-take-live-polygraph-test-in//?icid=main|htmlws-main|dl1|link5|http%3A%2F%2Fwww.walletpop.com%2Fblog%2F2009%2F09%2F30%2Fa-real-whopper-nascars-stewart-to-take-live-polygraph-test-in%2F%2F BK, attention grabber again.

Eat, drink, and spend money: Restaurants ply diners with cheap booze - http://www.dailyfinance.com/2009/09/29/eat-drink-and-spend-money-restaurants-ply-diners-with-cheap-b/#continued?icid=main|htmlws-main|dl3|link3|http%3A%2F%2Fwww.dailyfinance.com%2F2009%2F09%2F29%2Feat-drink-and-spend-money-restaurants-ply-diners-with-cheap-b%2F%23continued

Hello, thanks for returning to my Restaurant Trade Area Research (RTAR) website - I’m back and ready to comment on the utterly new marketing situation all businesses are facing during this economic downturn. This blog decided to `wait’ during the last 10 weeks - rather than comment `daily’ on the possibility of financial meltdown and market disruptions. Knowing that you, a franchisee - knew the real business situation better than the commentators on Tv or in-print.

But, seeing now that 10 weeks after the end of the first cash crisis, that we seem to be facing, again, the solvency of the very banking system — it at least seems prudent to update the on-going strategies being employed with marketing and ad dollars - by various fast food, casual, and sit-down restaurants in 2009 – and that strategy - not surprisingly — has one focus — PRICE. (Ad language for `cost’ — the perception of the consumer.)

As you may know, when we left off in Nov. it was about price too - various price points - and now - we have the same only ratcheted up a degree. I can only comment about the local Atlanta media marketing and local store market close to Woodstock, Ga. That said, I’m pretty sure that each is generally reflective of the nation as a whole.

Perhaps most noteworthy and of immediate concern to the competitive marketplace is Quiznos advertising campaign about `reducing prices’ on food. Period. Not, come in for a reduced price combo or similar deal or bounceback coupon value — no - the actual phrase positioning `reducing prices’. Their local couponing has a 2.00 off any regular sub and buy any sub and get a chips and regular drink FREE. Combine the everyday reduced prices with an additional 2.00 coupon — and the price for loyalty and new trial customers - has just been increased.

And, as you know, - for years - Sonic - has offered reduced drink prices during the afternoon. And, as you know, since Chick-Fil-A  (and Hardee’s) started selling quality milkshakes - those that previously sold shakes (especially Dairy Queen and Steak and Shake) - have probably been under some pressure on a signature item. The response - an aggressive coupon campaign by Steak and Shake and not only that, locally, in Woodstock, Ga at least — reduced price shakes from 2-4 in the afternoon. A very good aggressive response and making true dayparting of pricing a strategy that deserves a second look. (Such as reduced coffee pricing after 4 PM.) Not only that, recently, Steak and Shake had a special of those small burgers that are now favorites of Casual Restaurants too - attack on all fronts.

Fortunately, the above examples are the only ones talking about reducing prices (although - O’Charlies has pushed the casual market with the 7.99 price point advertising - instead of the usual 9.99) and, ultimately,  your customer ticket total. But, all the others are doing the same in their own manner. Here’s just a re-cap:

McDonalds - To soften the price INCREASE for the double cheeseburger from the old price of 99cents to 1.19 - the `old’ price of the double cheeseburger Combo for 2.99 is retained. (Only those cheapies will face that 20 cent increase.)

Wendy’s - Pure price positioning - 3conomics — with the focus on 99 cent choices of only Wendy’s quality and variety. (McDonald’s has countered with ads supporting their  3 - 2.99 combos too.)

Arby’s - From 1.99 Chicken Sandwich choices to 3.99 specific combo choices — low price positionings for Arby’s.

Taco Bell — Ads geared to products BELOW 99 cents each.

Checkers - New `99cent’ offerings.

IHOP - All you can eat pancakes.

Zaxby’s - 5.25 (or about) Combo’s.

About the only ones holding to a non price strategy at the moment are the potentially `low  priced’ Krystal (hard to reduce the price on a burger of that size) and `high quality’ brands - such as Chick-Fil-A. And, Burger King - continues to do what the King does best - be edgy.

The RTAR will get back to regular postings, with weekly links, with more opinions, and more updating  of the sidebar (and more) for this webpage - hope you like the changes to come in 2009. I want to suggest looking at the full 2008 postings of merit by  hitting the link in my sidebar review of 2008.

Continue down the page for much more. See you next week.

Just last month in this post http://restauranttradearearesearch.com/2008/08/02/perfect-demographics-perfect-traffic-counts-closed-restaurant/ I talked about the closing of a Backyard Burgers location at the intersection of Sandy Plains Rd and Hwy 92; and now, sadly - more fast food locations have bitten the dust nearby further `up’ (west) on Hwy 92 nearer to Woodstock.

Both went down about the same time last month - a 15 plus years open KFC; and a Zaxby’s which had been open several years. The KFC was in the midst of many fast food competitors - across the street from McDonald’s and Mrs Winners (Fried Chicken) with Capt’.D’s, Dairy Queen, Burger King and Chick Fil-A within eyesight; in addition to other restaurants within a mile such as Arby’s, Subway, Taco Bell, Wendy’s, Checkers and several sit downs such as Ruby Tuesday and O’Charley’s, Po Folks and several long time non brand restaurant choices. Yes, this was and is a developed area.

But, things change, - the Walmart across from KFC moved 2 miles up the road a few years ago replaced by a 4 day a week furniture wholesaler. The drugstore within the KFC retail pad went empty last month — the same retail pad saw a long standing BBQ location Slopes fold  about a year ago.

Our family used the KFC about once a month; usually for dinner - nearly always thru the drive-thru. Usually for the `dinners’ for 2.99-3.99 - buy three of those and you really felt like you got a sackful. Somehow, the drive-thru never backed up.

So, now, the nearest KFC is about 3.7 miles away, (this was about 2.1) and on our way back from Atlanta up Hwy 5. So, instead of using that one twice in last 5 years — I’ll probably bump into the once every six month category - and also eat at  Mrs Winners more often. Reverse attrition to the survivors.

I wonder if the KFC on Canton Rd will `market’ to the closed KFC’s trade area - I wonder if they have done any trade area surveys - to know that info?

The Zaxby’s closing was equally as surprising and it also was a place our family went to about once every 6 week or so. It was located about 3 miles from our home and we used it for evening eat-in meals (you only deal with Zaxby’s drive thru once) - it had good quality. It was NOT located in a highly concentrated fast food strip but did have local competitors. Indeed, a new chain Kayson’s, opened and shortly after the Zaxby’s was history.

The point of this posting is that the competitive environment is tough and getting tougher. Knowing your local trade area via real marketing research is not a luxury anymore. Indeed, if you do your whole market with a MarketView — you may know which `available’ fast food locations fit your market development plan without overlapping your own existing stores penetration. You will be able to do your own `attrition’ estimates based on trade areas.

Please visit www.squidoo.com/tradeareasurveys for more information about how I can help your marketing decisions.

Today’s Restaurant Links

Krystal’s Offers Up `Sonic-like’ Positioning

http://www.prweb.com/releases/2008/09/prweb1289284.htm  Is this `the idea’ that could make Krystal a player?

`Local Restaurant Dishes Out Manners’

http://www.kcsg.com/news/regional/28032164.html  `The Cell-Phone’ reminder. Quick read. Find out who is using `the reminder’.

`California Moves Closer To NYC-Like Menu Law’

http://www.desertdispatch.com/opinion/state_4250___article.html/mandate_menu.html 

`Fast Food Outlaws’

http://www.smh.com.au/news/world/fastfood-outlaws/2008/09/06/1220121599393.html  A less than flattering look at the USA from our friends down-under.

`Changing Lifestyles and Rising Incomes To Affect Restaurant Sales’

http://www.prweb.com/releases/restaurants_pizza/fast_foods_dining/prweb1302024.htm

The above story is about the GLOBAL MARKET and not the changing lifestyles here in America (less eating out, trading down). Nevertheless an in-depth viewpoint to read.

This blog is saddened to report the continuation of government restrictions into how you run your business and where you run your business. In this instance, the `how’ would be the government demand to use or not use a particular cooking oil (regardless as to the outcome of the final product - including taste - one of the most important attributes to your customer base) and the `where’ is the new restrictions on where fast food restaurants CAN’T be developed. Can fast food brands eventually be expected to fund the `alternative’ restaurants too? After-all, what’s to prevent a city council on deciding that FF restaurants would be `better’ for the community if they weren’t open 7 days a week?

Today’s Links

California Outlaws Trans-fats and Bans Fast Food Outlets in Defined Area

http://www.telegraph.co.uk/news/worldnews/northamerica/usa/2461615/Los-Angeles-bans-new-fast-food-outlets-and-California-outlaws-trans-fats.html 

It was funny seeing the 800 plus article titles on this one — only a few positioned the move on trans-fats with a positive headline title. One can only imagine what may happen if politicians turn their interest againist the industry.

Fast Food Goes To The Movies

http://www.sfgate.com/cgi-bin/blogs/sfgate/detail?blogid=26&entry_id=28501 

Quick read on the movie tie-in’s currently going on. Specifically tells what each restaurant chain DID on their end of the relationship (T-Shirts for workers, special cups, etc.)

Crowd MOBS Taco Bell Opening

http://www.rutlandherald.com/apps/pbcs.dll/article?AID=/20080724/NEWS01/807240408/1002/NEWS01  

This is a wonderful article you don’t want to miss about how folks LOVE getting their fast food. A great counter balance to the desire to BAN fast food elsewhere. ———- One comment however, always be ready for an amazing first opening day crowd and have your operations in order. Remember, one bad experience can turn 15% against a second visit.

Majority Stake in Applebee’s Franchisee Sold

http://www.nrn.com/breakingNews.aspx?id=356918&menu_id=1368

I was involved with Applebee’s findings when they had one unit on Memorial Drive in Atlanta and W.R. Grace was the interested party. Want to have a researcher like that - give me a shout - find my number on my squidoo site www.squidoo.com/tradeaareasurveys .

 11.23 For Lunch At Steak and Shake

http://www.indystar.com/apps/pbcs.dll/article?AID=/20080721/BUSINESS09/807210323/1109/BUSINESS09

Yet, somehow, that is not the ultimate problem? Article covers the challenges to the new company leader.