Article
Grandy's heats up its menu, sales
The homestyle chicken chain's venture into spicy menu items helps boost comps and kicks off its first round of limited-time offerings.
March 18, 2009
*Click hereto view a slideshow of Grandy's reimaging efforts.
Regional chain Grandy's just now is following the trend of bold flavor profiles but is pleased that its popular limited-time-only Spicy Popcorn Shrimp has heated up its offerings and sales.
Since the Spicy Popcorn Shrimp promotion began in late February — designed to coincide with the 40-day Catholic season of Lent — same-store sales are up over the previous year and over trend, said Danny Meisenheimer, chief brand officer for Grandy's, which is owned by parent company Souper Salad Inc.
Meisenheimer said he could not release the 68-unit chain's comps but would say that the company has "seen a very nice increase."
Grandy's is promoting the popcorn shrimp as its lead Lenten season offering as a meal with two sides plus a dinner roll at $4.99. The promotion also draws attention to the chain's regular menu seafood offerings — butterfly shrimp and catfish meals — at their higher regular price. Sales on those offerings also have been up.
"The Spicy Popcorn Shrimp transactions have been very high, but we've also seen a lift on the other with seafood plates that are on our everyday menu," Meisenheimer said.
The popcorn shrimp is also available as a quarter-pound add-on for $1.99 and has boosted incremental sales.
"We're definitely seeing ticket average build because we have a lot of folks adding this to the meal," he said.
As popular as the popcorn shrimp is, Meisenheimer said, the company has no plans to add it to the regular menu.
Instead, Grandy's has a two-pronged approach to its menu strategy for the year: a rotation of LTO offerings to generate interest and a limited number of new permanent menu additions. The chain's core offerings are fried and roasted chicken products as well as homestyle meals.
The popcorn shrimp offering ends in mid-April but will likely return as an LTO item again next year.
"We want to create future demand for this product," Meisenheimer said.
Rebranding kicks off
Grandy's also is starting a rebranding effort, sparked by its new leadership, which includes new CEO Tim Taft, brought on in mid-2008. The executive team is launching a three-part growth strategy, which includes its new product offerings, a store reimaging effort and a franchising initiative.
The chain reimaged one of its few company-owned stores last year and revealed its success story to its franchisees in November. A few franchisees have also completed reimaging, and Meisenheimer said that sales have improved at all the updated stores.
In April, Grandy's will launch a new franchise sales campaign to grow the company. Like most restaurant brands, the company has experienced difficulty in qualifying new franchisees in the tightened credit market but is moving forward with the campaign, Meisenheimer said. The company also is considering possible franchise incentives to combat the tough economy.
The chain's reimaging includes a new color scheme inside the stores as well as some renovations that opened up the dining room and updated the seating.
Grandy's rebranding also will include its promotional efforts, from its marketing strategy to packaging and employee uniforms.
"Everything that is Grandy's really goes through that brand filter," Meisenheimer said. "Holistically, we still want that Grandy's experience, but it's a progressive but familiar approach. We want to update the brand, but we also to keep connecting with our customer. The core, the heart and soul of what we are, is still intact."
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