Edit ModuleShow Tags
Edit ModuleShow Tags

Melting Pot Wants to Capitalize on Fondue’s Appeal Abroad


Published:

The Melting Pot's fondue focus is attractive in other markets seeking an American restaurant brand, says Dan Stone, the brand's chief business officer.

In talking with Dan Stone about franchise expansion outside the United States, the Melting Pot exec said, “Anybody that tells you international is all upside is kidding you.”

But the challenges aren’t stopping the fondue restaurant chain from opening locations in other countries, most recently Mexico, which you can read about here. Instead, said Stone, Melting Pot’s chief business and people development officer, successfully developing international franchise locations requires a carefully devised plan—and lots of patience.

“My advice is to be prepared to put more time, energy, money and patience into it than you think you need,” said Stone. “And to be resilient because an overnight payoff is not guaranteed.”

Melting Pot’s first international restaurants opened in Canada in 2010 and since then the company has been refining its franchisee criteria to boost the likelihood of a successful launch in any given market. Front Burner, Melting Pot’s management company, used to sell franchises abroad to individuals, but now, explained Stone, it wants established groups or larger companies with solid infrastructure that are capable of developing at least three restaurants. Melting Pot also increased the minimum cash liquidity and net worth required, to $325,000 and $750,000, respectively.

“And we elevated our real estate strategy,” said Stone. “We used to lean on our partners to develop that strategy, and that backfired a little bit,” so the company brought commercial real estate advisory firm Newmark Knight Frank into the fold.

Melting Pot’s next international opening is slated for late 2018 in Doha, Qatar, and Stone said the concept provides a “strong value proposition for other countries seeking a unique American brand.”

“Another factor for us is, no one is really doing what we’re doing here and internationally as well,” continued Stone of Melting Pot’s fondue focus. “It’s very rare not to have head-to-head competitors.”

Edit Module
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit ModuleShow Tags


Covers everything from good news to bad judgment

About This Blog

The latest news, opinions and commentary on what's happening in the franchise arena that could affect your business.

Tom KaiserTom Kaiser is senior editor of Franchise Times. He can be reached at 612.767.3209, or send story ideas to tkaiser@franchisetimes.com.
 
Beth EwenBeth Ewen is editor-in-chief of Franchise Times. She can be reached at 612.767.3212, or send story ideas to bewen@franchisetimes.com.
 
Nicholas UptonNicholas Upton is restaurants editor at Franchise Times. He can be reached at 612.767.3226, or send story ideas to nupton@franchisetimes.com.
 
Laura MichaelsLaura Michaels is managing editor of Franchise Times. She can be reached at 612.767.3210, or send story ideas to lmichaels@franchisetimes.com.
 
Mary Jo LarsonMary Jo Larson is the publisher of Franchise Times Magazine and the Restaurant Finance Monitor.  You can find her on Twitter at
 twitter.com/mlarson1011.
 

Archives

Categories

Feed

Atom Feed Subscribe to the Franchise Times News Feed »

Recent Posts