V. Marketing Strategy (50 points) [DANIELLE]
Our target market includes Texas households who enjoy meals as a family. Texas is a good
location for our franchise because the Census demographics of this state include a high
concentration of consumers that fit that demographic.
The Burger Joint was founded in late 2014, with the first established restaurant opening it’s
doors in February 2015. Three current locations have driven this well-received concept to 14th
place in market share for fast service restaurants within the state of Texas in one year. While the
concept continues to grow, we project in the next three years to open five more locations. We
are seeking investors to open franchises in the Lubbock, Fort Worth, San Antonio and Houston
markets. We do not currently wish to expand outside of the Texas area, in hopes of quickly
establishing a concentrated market share.
Quick service restaurants are the fastest growing segment in the restaurant industry (Forbes,
2014). This style of food service is highly profitable, with customers spending more on average
than traditional fast food (Forbes, 2014). While the industry is growing, costs could increase
significantly if a federal mandate to increase minimum wage is passed. There is buzz
surrounding labor secretary Thomas Perez which could initiate that legislation during the current
session (NPR, 2016). However, the Burger Joint plans to address this issue by simply paying
$15 as a starting wage for workers. This will benefit the company in two direct ways. First, it
would alleviate later stress of increased costs and pricing changes. Second, it shows the
