Dive Brief:
- Potbelly has opened a location at the Pentagon as part of a strategy to expand its presence on military installations and Department of Defense facilities, the company said in a press release Thursday.
- Potbelly opened its first military location at Fort Liberty Exchange food court in April and expects to open two others on the North Carolina base by the end of the year. These shops are owned and operated by existing franchisee Shakti Patel, who owns multiple locations in the East Coast.
- The chain has accelerated its franchise development since 2022 and started 2024 with 192 signed development agreements.
Dive Insight:
Potbelly said the stores at DOD installations will help the chain accelerate its growth as it pushes toward 2,000 locations in the U.S. The chain is open to expanding onto additional military bases with franchisees in the future, CEO Bob Wright said in an email.
“Military bases, like Fort Liberty, and properties tied to the U.S. military, like the Pentagon, offer a unique opportunity to make the Potbelly brand conveniently available to those who otherwise might not have easy access to one of our shops,” he said.
These units will offer the same menu as elsewhere, including its oven-toasted sandwiches, soups, ice cream shakes and fresh-baked cookies, he said.
Military bases also allow the chain to showcase different formats. At Fort Liberty, its first location was within a food court while the other two locations will be a drive-thru and an attachment to a gas station on the base.
These new shops will contain design elements of Potbelly’s new 1,800-square-foot prototype, which the chain unveiled in May, including the color palette and the Potbelly Digital Kitchen — a second makeline that services digital orders.
Other chains have been opening locations on military bases, including Panera Bread, Tropical Smoothie Cafe and Cupbop, a Korean barbecue cup concept with over 50 units. Last year, Grubhub launched Grubhub Onsite mobile ordering at its first military installation — Naval Station Norfolk — as part of a partnership with the Navy Exchange Service Command.