Dive Brief:
- Bonchon has signed development deals covering 44 units and 12 new franchisees so far this year, surpassing its 2023 total with four and a half months left to go in 2024, the company announced Wednesday.
- The brand signed 25 development deals for U.S. stores in Q2 2024, according to the press release.
- Bonchon attributed its success in selling franchises to its flexible formats, which according to its Franchise Disclosure Document range in size from 200 square-foot off-premise-only kitchens to 3,000 square-foot full-service locations.
Dive Insight:
Amanda Millikan, Bonchon’s senior vice president of development, said the chain’s new franchising sales reflected growing relevance for chicken concepts. Franchise sales have been particularly strong with multi-brand, multi-unit operators, according to the press release.
Bobby Booker III, one of the brand’s franchisees in the Dallas-Forth Worth area, said the range of store sizing options available from Bonchon made development of new units easier.
“Smaller footprint options allowed us to more affordably secure prime real estate in high-traffic areas,” Booker III said, adding that Bonchon helped the franchisee spread costs between their stores by connecting with vendors.
According to the press release, Bonchon plans to grow its store network from 145 units to 500 in the next five years. In Q2, Bonchon opened six restaurants and entered four new markets: Long Island and Staten Island, New York; Huntsville, Alabama; and Tucson, Arizona.
