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The science of segmentation helps Wienerschnitzel to 6 straight years growth

When leadership and frontline staff at Wienerschnitzel say "Hot Dog!" this fall, they're probably not just referring to their menu. That's because the 330-unit brand has just closed the books on its sixth consecutive year of same store sales increases, according to a news release.

October 1, 2016 by S.A. Whitehead — Food Editor, Net World Media Group

When leadership and frontline staff at Wienerschnitzel say "Hot Dog!" this fall, they're probably not just referring to their menu. That's because the 330-unit brand has just closed the books on its sixth consecutive year of same-store sales increases, according to a news release. On top of that, sales for the chain is up 5 percent this year, even as the buzz across the restaurant industry is revolving around a slowdown lately. 

"Our six consecutive years of sales growth are a result of strong strategy, with the most important being our overall approach. We are a 55-year-old brand with the mentality of a start up," said Chief Marketing Officer Doug Koegeboehn, in the release

"This means we work harder. We are willing to try new ideas. And we aren't afraid to do things differently. As a result of this approach, people have begun thinking of Wienerschnitzel as a lifestyle brand that they want to engage with, rather than just another limited service restaurant chain."

Clearly, there's a lot of pride in the ranks of the Wienerschnitzel brand these days, as is evident by its press release about the successful last six years. In the release the chain's leadership goes to quite a great length to tell their fellow restaurateurs some of the secrets of their success. For instance, on a more general level, the news release attributes much of the brand's growth and forward movement to a combination of customer experience improvements, behavioral research-backed marketing campaigns, and menu innovations.  

But, more specifically, the chain talks at length about its recent investment in an intensive segmentation study. This approach to brand marketing typically relies on data about specific groups and their responses to various marketing approaches. The idea behind this approach is that different types of people need and want different things and respond in unique ways to the numerous marketing approaches available. 

In Wienerschnitzel's segmentation study, according to the release, leadership not only got a good take on who their customers are, but also on those individuals' views of life, as well as some of their specific behaviors. As a result, the brand has been able to hyper-focus their marketing approach based on what they know about their customers lives and needs. 

The result? According to Wienerschnitzel, the brand identified of number of specific areas for concentration of their efforts, including: 

Menu innovations like individual items, including loaded chili cheese fries, as well as the chain's crowd-pleaser menu focused on budget-watchers who need to feed a lot for a little.

Promotions that help customers celebrate their lives, like free meals on Mother's Day or military discounts offered on Veteran's Day that extend all year-long to not only put a glow on veterans' faces, but also on the brand itself, while driving traffic and loyalty from like-minded Americans.

Lifestyle-oriented and action sports-connected marketing campaigns geared especially to future customers. For instance, the chain's ads featured motor cross icon Jeremy McGrath to attract his young fans to the "way of the dog." This general area would also include partnerships with non-restaurant brands, like Toyota and Motocross, where already invested fans spread their allegiance to Weinerschnitzel.

Philanthropy that makes employees proud and customers feel a kinshipwith the brand, like the chain's Hot Dogs for Homeless program that has had great pride-in-brand effects, especially with Wienerschnitzel employees.

An open and responsive ear to employees and a commitment to improve their liveswhere possible. This, for instance, includes the appearance on Undercover Boss on CBS by CEO Cindy Galardi Culpepper, where she gave nearly $700,000 to staff.

Pro-active approach to franchisee needs, like the brand's creation of new building designs that give potential and existing franchisees a marketplace advantage by allowing site locations in place other chains cannot afford or fit. 

As you might have guessed with all this good news related to Winerschnitzel, the brand's leadership said the company is ready to grow significantly in coming days. That is why it is actively recruiting great franchisees.

About S.A. Whitehead

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Pizza Marketplace and QSRweb editor Shelly Whitehead is a former newspaper and TV reporter with an affinity for telling stories about the people and innovative thinking behind great brands.