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Slim Chickens Signs Big Deal to Grow in Maryland
06/ 21/2023
Slim Chickens announced it has inked a deal for eight locations throughout Maryland. Spearheaded by established multi-unit operator, Phoenix Foods, LLC, plans to bring at least eight locations to Baltimore, Baltimore City, Harford, Carol, and Anne Arundel counties.
The better-chicken brand has opened more than 230 locations across the United States and the United Kingdom. With more than 1,100 locations in development, the brand’s momentum shows no signs of slowing down.
“As a generational franchisee, I looked up to my father who was the first franchisee of Burger King. I grew to learn and love all the ins and outs of the restaurant business,” says Brad Hoag, owner of Phoenix Foods, LLC. “Fast forward to my career, it has been gratifying to be presented with several opportunities in the fast-casual segment which I am the most passionate about. I am thrilled to bring a reputable name like Slim Chickens to my hometown where residents can enjoy quality cooked-to-order chicken and an inviting atmosphere in all day parts.”
Local to Baltimore, Hoag takes his extensive experience as an established multi-unit operator as well as a reputable local restauranter. Taking after his father, he is a seasoned franchisee as a former developer and operator of 10 Qdoba Mexican Grill locations eventually selling the units to Qdoba corporate and hosts 10 Burger Kings locations throughout the area. In addition, Brad also assumes a partnership with a local famous chef-driven concept known as Nalley Fresh in the Baltimore area. Interested in introducing a concept that can be offered in all-day parts, he brings Slim Chickens to the area to introduce Southern Hospitality and a beloved quality recipe that is unique to the chicken segment.
“Phoenix Foods, LLC is an ideal operator to extend Slims’ throughout Maryland. Backed by extensive experience in operating multiple fast-casual concepts and a reputation for quality service in the restaurant space, the group is a valuable addition to our team,” says Jackie Lobdell, vice president of franchise development at Slim Chickens. “Brad’s deep roots in the Maryland market and compassion for his community will quickly make Slim Chickens a go-to mealtime destination.”
The brand prides itself on its cooked-to-order fresh food and strong devoted fanbase, also known as “Slimthusiasts.” Slim Chickens has distinguished itself in the industry by offering high-quality food and 17 house-made dipping sauces, allowing customers to enjoy a different flavor profile with each visit. Its menu is broader than many in the segment, offering chicken tenders, fresh salads, sandwiches, chicken and waffles, chicken wings and unique side items. Fans also resonate with the southern contemporary look and feel and open and inviting layout of Slim Chickens restaurants, which speak to the hospitality mindset that anchors the brand.
“We are thrilled for our partnership with Phoenix Foods, LLC, and for the opportunity to share our southern hospitality and cooked-to-order chicken tenders with more communities throughout Maryland,” says Sam Rothschild, CMO of Slim Chickens. “Reputable operating groups like Phoenix Foods LLC are prime examples of who we look for to extend our inviting atmosphere, original recipe, and southern hospitality with more people across the globe.”
The Slim Chickens franchise opportunity differentiates itself with prime markets available for multi-unit development, a passionate leadership team and world-class franchisee support system. As Slim Chickens expands, it is awarding franchise opportunities to qualified, experienced and passionate multi-unit groups looking to add a dynamic segment to their portfolio.
Read the full story in QSR Magazine here: LINK
Founded in Fayetteville, Arkansas in 2003, Slim Chickens didn’t even begin franchising until 2013. Fast forward to more recent times, and the brand generated $265 million in system sales between 2019-2021 and operates over 150 locations.
A lot of Slim Chickens’ interior graphics feature brand messaging.The company is developing some new music-themed posters, “and adding some color into the space,”Payne says. There will be five of these available later in the year, and stores can choose which ones to feature — usually three. “The posters are an homage to the blues festival posters of the past and use the Slim Chickens name in fun ways to bring color and whimsy into the stores,” Payne says.
Slim Chickens turns 20 this year, and it’s safe to say the chicken-tenders concept that was started by two friends in Fayetteville, Ark., is all grown up. The company now has over 200 locations open, mostly in the South, with 1,100 restaurants in various stages of development.
Chief operating officer Sam Rothschild joined founders Tom Gordon and Greg Smart a little over nine years ago as the company was opening its ninth restaurant. At the time, Slim Chickens was just starting to franchise and generated about $12 million in annual revenue.
“This year, we’ll eclipse over half a billion,” Rothschild said during a recent interview.
Also in that time, the company has gone from one franchise group to 65, and seven support center employees to over 65. Rothschild attributes this swift clip to Slim Chickens’ core product — hand-breaded, Southern-style, buttermilk-marinated chicken tenders.
“The foundation of our core product, which is the specialty chicken category — there weren’t many people out there doing what we do. There was a tremendous amount of white space and for us, we had a lot of confidence,” he said.
That confidence came from more than just its signature product, however. Once the company began ramping up its growth, it expanded its menu to include wings and craft chicken sandwiches, salads, wraps, chicken and waffles and mason jar desserts. Also, its atmosphere is unique, which Rothschild says helps the concept stand out amid an increasingly crowded space.
“We are a restaurant where people enjoy coming in and hanging out. We have great music — blues, Southern rock. We have televisions where you can watch sports,” Rothschild said. “We call the environment contemporary Southern. And people are enjoying themselves. They are there to share a meal and have some fun — not typically what you get in QSR/fast casual experience, and I think that’s a differentiated experience for us.”
That said, Slim Chickens also has a strong drive-thru, to-go and third-party delivery business. The drive-thru business has always generated more than 50% of the chain’s sales mix, while its delivery and curbside business ramped up during Covid. The company had an app and online ordering prior to the onset of the pandemic, so curbside was added relatively quickly.
“I think that gave us a strategic advantage over some of our competitors because they were behind the 8-ball,” Rothschild said. “All of those to-go parts of the business grew exponentially.”
And when dine-in traffic returned, the company’s to-go business actually increased.
“What happened was all boats rose and our average restaurant volumes in the last year and a half have gone up exponentially,” Rothschild said.
Slim Chickens’ AUVs are now around $3.8 million, driven by strong performances from its new restaurant openings and customer retention, which Rothschild calls “significant.” He attributes this retention to having proven operators, an efficient building, resonate marketing, well-positioned locations, and the quality of the food — “which is what we stand on the most.”
That said, Rothschild doesn’t ignore the confluence of challenges hindering the restaurant industry, and Slim Chickens has not been immune. The company is comp-positive on sales, but down a little on traffic, for instance. That said, the chain’s average consumer is higher income, which has provided some insulation.
Challenges aside, Rothschild expects the brand’s tailwinds to continue and, in the near-term, the company plans to open one restaurant or more a week this year.
“We’re not fighting burgers and pizzas and sandwiches, which have a lot of big players [and are] really saturated. This better chicken category, there’s still a lot of white space. … I see a very long runway for us,” Rothschild said. “As long as the topline sales keep moving, the business model works, our current franchisees will build more restaurants and we’re continuing to attract more franchisees. We’re going to continue to stay very focused and do what we do and get better at what we do.”
Link to the full story here: https://bit.ly/3JmSJ9f 
