News

Sonic targeting small towns in expansion bid

June 25, 2013

As Sonic Drive-In continues franchise development across the country, the company has its sights set on a particular market segment — small towns throughout the central U.S.

In recent months, the company has opened drive-ins in Shattuck, Okla., and Valliant, Okla., and signed 13 franchise development commitments in other small towns, including: Iowa, La.; Cherokee, Okla.; Medford, Okla.; Verdigris, Okla.; Murfreesboro, Tenn.; Boyd, Texas; Cotulla, Texas; DeQuincy, La.; Dilley, Texas; Nixon, Texas; Shallowater, Texas; Stockdale, Texas; and Three Rivers, Texas.

"New Sonic Drive-In development continues to be an important priority for the company, and our strategy is creating strong momentum," said Cliff Hudson, chairman, chief executive officer and president of Sonic Corp. "In addition to bringing Sonic to new major markets, we've identified an opportunity to bring Sonic to small towns, particularly in our core markets in the heart of the country."

As part of this strategy, Sonic is focused on its redesigned prototype building, which features reduced building costs and land requirements. This, according to Hudson, makes it easier for local owner/operators to open a drive-in and experience a greater ROI. The new prototype includes less drive-in stalls and the addition of a drive-thru.

Additionally, Sonic has increased its funding for national advertising to create increased consumer demand and help its franchisees have successful openings.

"Many of these small town economies are thriving due to local energy plays, and civic leaders, residents and workers are craving new restaurant options. We've met a number of entrepreneurs who know their local communities, see the opportunity and recognize that SONIC is the perfect franchise to seize it," said Bob Franke, senior vice president of franchise sales and international development for Sonic Corp.

Oklahoma Sonics host fundraiser for tornado relief

Additionally, on June 26, for every order of Tots sold, all Oklahoma Sonic Drive-In locations will donate $1 to United Way of Central Oklahoma to continue to support relief and recovery efforts following the recent tornados in that state. Sonic's Tots, available as a meal side or snack, are one of the more popular items on the menu, according to the company.

Sonic, which is based in Oklahoma City, and its Oklahoma franchise partners hope to raise $50,000.

Days after the first tornado struck, Sonic made a $100,000 cash and in-kind financial commitment to the Red Cross of Central & Western Oklahoma, the United Way of Central Oklahoma's Tornado Relief Fund and the Sonic Disaster Relief Fund. Sonic also provided thousands of meals to first responders and relief agencies and coordinated water, ice and sanitizer deliveries in the area. Some of Sonic's Carhops also pooled tips from one day to donate to local relief efforts.

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