Growth Club
1851 Growth Club
25 QSR Brands to Watch
25 of the most exciting brands in the QSR segment
The biggest names in the quick-service-restaurant segment are among the biggest brands in any industry in the world. McDonald’s, KFC, Starbucks—all businesses that regularly rank among the 100 most profitable in the world. But for each of the QSR segment's globally recognized behemoths, there are hundreds of smaller-name brands quietly growing loyal customer bases and refining their operations with an eye toward becoming the next hot property.
1851 has combed through the QSR segment to find today’s most exciting growing brands. Our findings include a wide variety of concepts, from traditional American offerings, such as burgers and sandwiches, to modern, health-focused fare like custom salads and acai bowls. Some of the brands are well established while others are brand new to franchising, but each is poised for rapid growth. Here is 1851’s list of 25 QSR brands to watch.
Anne Beiler first made a name for herself selling her home-baked pretzels at a farmers market in Lancaster Pennsylvania. Beiler quickly became a local sensation, and that single stand blossomed into a veritable empire, with over a thousand locations across the globe. Auntie Anne’s strategic targeting of non-traditional, high-traffic venues including airports, shopping centers, and train stations has fostered widespread organic brand recognition, making Auntie Anne’s a household name across markets.
Number of locations: over 1600
Startup costs: $196,475 to $380,100
Selling biscuits in the south is like selling sand in a desert. The competition is steep, including not only other restaurants but just about every family’s generations-held recipe. And yet, Bojangles’ has managed to stand out in that market. Their buttermilk biscuits have become a regional staple, and the brand now operates over 700 locations primarily throughout the Southeast. Now, Bojangles’ is eager to extend their brand throughout the rest of the country.
Number of locations: 762
Startup costs: $357,733 to $636,580
Of all the brands on this list, Checkers & Rally’s has arguably seen the most growth in recent years. Since 2009, the drive-in QSR brand has earned a 700-basis-point improvement in profits, and same-store sales have increased system-wide for the sixth year in a row, making Checkers & Rally’s one of the most impressive post-recession success stories in franchising.
Number of locations: 838
Startup costs: $165,796 to $1,306,345
Church’s Chicken has been a favorite spot for fried-chicken diehards for over 60 years. With locations in 29 states and nearly as many countries, Church’s stands as one of the largest chicken-restaurant chains in the world, but the franchise is still expanding into new markets and developing new units in existing territories.
Number of locations: more than 1,700
Startup costs: $413,300 to $1,336,600
Culver’s has always been a strong partner to the Midwest. Not only did the burger concept originate and grow in the region, it has designed its menu to patronize that essential industry of the Midwest: farming. Now that organic and environmentally-conscious eating has become a priority for consumers, Culver’s dedication to farm-fresh ingredients has become an even greater value proposition.
Number of locations: 638
Startup costs: $1,845,000 to $4,155,000
Capitalizing on the growing consumer demand for health- and environment-conscious food options, Coolgreens has created a menu that caters to a variety of dietary preferences, including vegetarianism and veganism. Coolgreens is also adamant about improving their communities, partnering with franchisees who have strong community roots and are passionate about healthy and responsible eating.
Number of locations: 6
Startup costs: $296,732 to $482,600
Del Taco has a number of competitors, including one particular taco-focused chain often ranked among those behemoth brands we mentioned up top. But you wouldn’t know it in California, where Del Taco was founded in 1964 and has since become a state-wide institution, its fans ardent in their conviction that Del Taco is the best taco brand around.
Number of locations: 551
Startup costs: $859,700 to $2,016,500
With well over 6,000 locations throughout the U.S., Dairy Queen is one of the largest brands on our list. The classic American-fare concept is also one of the most iconic, its Blizzards and Dilly Bars virtually inventing new genres of dessert. And the brand is still innovating. Recently, Dairy Queen introduced their Grill & Chill model, a slimmer restaurant concept that dramatically reduces overhead and infrastructural investment requirements.
Number of locations: more than 6,400
Startup costs: $361,450 to $1,835,825
In the fifteen years that Five Guys has been a franchise, the brand has rocketed from a handful of locations in Virginia and Maryland to nearly 1,500 locations throughout the U.S., Canada, Europe, and the Middle East, with another 1,500 in development. In 2018, Five Guys is looking to extend their brand even further, with plans to open restaurants in new international markets, including Australia, Japan, and South Korea.
Number of locations: more than 1,000
Startup costs: $152,600 to $360,300
From fast-food to fine-dining, French fries have been a staple of American food for decades, but French Fry Heaven is one of the few concepts to put fries front and center. Not only has French Fry Heaven refined their recipe to provide a perfect fry, they’ve built a menu of creative and enticing fry-based entrees, including poutine, pizza fries, country-fried chicken fries, and pulled-pork fries.
Number of locations: 2
Startup costs: $214, 500 to $490,500
Jersey Mike’s had a big year in 2015. In that year alone, the sub brand opened 197 new location in 97 territories, bringing Jersey Mike’s past the 1,000-unit mark and establishing it as a household name across markets. In the past two years, Jersey Mike’s has capitalized on that success, continuing to develop in new markets and converting first-time owners into multi-unit operators.
Number of locations: more than 1000
Startup costs: $177,943 to $592,852
Prospective franchisees looking for a well-positioned fast-casual restaurant would do well to take a close look at La Rosa Chicken & Grill. The chicken-focused restaurant checks off a number of today’s most important boxes for strong consumer positioning, including a health-conscious menu, family recipes that don’t look or taste mass-produced, and a modern. But warm and inviting restaurant.
Number of locations: 10
Startup costs: $273,800 to $456,500
Lennys Grill & Subs has distinguished themselves from other sandwich brands with an extensive and diverse menu of sub and sandwich options, but the Memphis-based brand hangs their hat on one offering in particular: their grilled Philly cheesesteak. Lennys is currently expanding at a steady clip throughout the southeast U.S., offering sing and multi-unit contracts to new franchisees.
Number of locations: more than 100
Startup costs: $188,216 to $396,146
McAlister’s treats customers to a quality of service that is unique in the segment, their guiding principle of “genuine hospitality” informing every facet of their operations. That high quality of service made McAlister’s a hit in its hometown of Oxford, Mississippi, where it was founded in 1989, and the brand has steadily expanded its footprint over the past three decades, opening more than 375 locations throughout markets across the U.S.
Number of locations: more than 375
Startup costs: $762,000 to $1,023,000
MOOYAH Burgers, Fries & Shakes*
In MOOYAH Burgers, Fries & Shakes’ 10 years of franchising, the brand has earned an enviable collection of industry accolades and acknowledgements, including a spot on Fast Casual Magazine’s Top 100 Movers & Shakers list several years in a row and a number of high rankings from franchiserankings.com in categories including Best Fast Casual Restaurant Franchises, Best Restaurant Franchises, and Best Overall Franchises.
Number of locations: 100
Startup costs: $334,950 to $529,700
Take-and-bake pizza has become an increasingly popular concept in recent years, but Papa Murphy’s has been innovating and refining their take-and-bake model for over 30 years. Now, Papa Murphy’s is experiencing significant growth, attracting franchisees eager to forgo the stress and overhead of traditional restaurant concepts in favor of Papa Murphy’s simple, streamlined operational model.
Number of locations: more than 1,500
Startup costs: $279,455 to $492,861
Penn Station has enjoyed a number of favorable mentions in the press in recent years. In 2015, the grilled-sub brand was ranked #1 sandwich concept in consumer picks by Nation’s Restaurant News. In 2016, qsr.com named Penn Station one of the year’s best franchise deals. And this year, Penn Station was profiled in the New York Times and named one of the best franchises to buy by Forbes.
Number of locations: 310
Startup costs: $293,102 to $593,027
Formerly Pita Grill, Pure Pita has been operating in Manhattan and North Jersey since 1993. Those locations remain hallmark quick-service food destinations in their communities, and Pure Pita is angling to leverage their popularity in new markets with the franchising concept.
Number of locations: 3
Startup costs: $168,100 to $300,700
Since the first Slim Chickens opened in Fayetteville, Arkansas in 2003, the fried-chicken brand has distinguished itself through a focus on home-style dining in a fast-casual setting. Fresh chicken tenders and wings are cooked to order and served with made-from-scratch dipping sauces. And with more than 40 locations open today and a fanatical following in 10 states, the brand is emerging as a leader in the “better chicken” segment.
Number of locations: more than 40
Startup costs: $400,000 to $927,000
Founded in 1973 and franchised in 1989, Smoothie King was one of the first health-food concepts in the industry. Now, with 800 units across 33 states and a growing menu of health-focused food and retail products, Smoothie King is poised to take full advantage of the growing interest health food.
Number of locations: 800
Startup costs: $188,200 to $414,050
10 years ago, most consumers hadn’t even heard of acai. Now, thanks in part to a growing interest in health- and environment-friendly dining options, the acai segment is booming. SoBol is on the front lines of the rapidly growing segment, offering one of the most popular acai bowls on the East Coast. SoBol has been franchising for just over a year, but they have already signed over 35 franchisee contracts, including a number of multi-unit agreements.
Number of locations: 10
Startup costs: $174,800 - $249,500
In 1971, the first Togo’s restaurant—a small sandwich shack serving oversized sandwiches—was opened by a college student in San Jose, California. Since then, the size and scope of the brand have exploded, with Togo’s locations dotting dozens of markets across eight states on the West Coast. Now the sandwich brand is preparing to expand eastward across the U.S.
Number of locations: more than 240
Startup costs: $274,000 to $508,700
Toppers Pizza has had a big summer. On July 1st of 2017, the emerging pizza brand opened a new restaurant in Cheyenne, Wyoming—one of the first in the market. By September 2nd, Toppers had opened four other units in Kansas, South Dakota, Colorado, and Michigan. Topper’s quickly paced, multi-state development strategy has been paying off, sowing brand recognition throughout the U.S. and fostering an enthusiastic anticipation for each new opening.
Number of locations: 70
Startup costs: $262,663 to $490,649
Zaxby’s has been on a bit of a development tear recently. In 2016, the comfort-food concept opened 74 new units, and they are on pace to beat that number this year. Still, Zaxby’s restaurants are located almost exclusively throughout the southeastern U.S., so the brand has an enormous opportunity for further growth.
Number of locations: 695
Startup costs: $284,000 to $664,300
Zoup! has made itself as a brand to watch in the QSR segment by tailoring its operational model to attract strong franchisees. A simplified menu and front-of-house focus allow for semi-absentee operations for both single- and multi-unit ownership, and a comprehensive support strategy provides new owners with services ranging from real-estate selection and lease negotiation to store interior design.
Number of locations: more than 100
Startup costs: $386,860 to $576,250
*This brand is a paid partner of 1851 Franchise. For more information on paid partnerships please click here.
