News

Wetzel's Pretzels achieves modest growth in a 'flat' market

February 1, 2018

Wetzel's Pretzels has released its 2017 financial results and outlook for 2018. Leadership said that the chain managed to grow same-store sales at a time when the industry overall was flat, a news release said.

The chain now has more than 340 locations and is looking for further expansion based last year's performance which produced the following highlights:  

• Same-store sales increase of 1.5 percent. 
• Thirty new stores opened. 
• Multifranchise deal signed.
• Multiple openings as part of Walmart partnership.

In 2018, the brand expects expansion into Colorado, Florida, Ohio, New Jersey, New York and Texas, and the chain is working on new international partnerships, as well.

Wetzel's has designed kiosk updates and a system-wide store refresh, working with one of America's largest mall operators, the release said.

To capitalize on delivery and catering trends, he chain is launching "Party Packs." Additionally, Wetzel's is driving loyalty through its rewards program and branded app.

Leadership expects nontraditional unit growth in airports, transit stations, and colleges and universities; a Wetzel's food truck will deliver the product to the people at community events.

"In a year where 'flat was the new normal' for restaurants, and retail struggled, Wetzel's continued to see topline sales growth," CEO Bill Phelps said in the release. "For consumers, we offer the freshest product, made daily with simple ingredients from scratch. 

"For our multi-unit franchise partners, our tenacious focus on franchisee profitability is the True North that guides this brand, and on the landlord side, we've reimaged our inline and kiosk locations to further drive excitement and traffic. Separately, as Wetzel's offers various buildouts, we're able to work with unique spaces to drive additional revenue, thanks to strong unit economics."