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Fantastic: K-Cups for Booze Have Arrived
After a successful test in St. Louis back in November, Budweiser parent company Anheuser-Busch InBev and Keurig Dr. Pepper Inc. are officially moving forward with the rollout of an in-home K-Cup system for cocktails. The new machine developed by Drinkworks will use liquid-filled pods to prepare booze at the click of a button and will be available in Missouri, Florida and California in the near future.
Celebrity: Mark Wahlberg Buys Minority Stake in F45 Training
After a positive personal experience with the brand, known fitness enthusiast Marky Mark Wahlberg is putting his money behind Australian-based fitness franchise F45 Training to help the brand grow globally. Wahlberg’s investment group (aptly named the Mark Wahlberg Investment Group) joined forces with FOD Capital to purchase a minority stake in the 1,500-unit brand, bringing its valuation to roughly $450 million.
Cash Money: Instagram Launches In-App Shopping Feature
Ever-popular social media platform Instagram has added another revenue stream to its arsenal: in-app purchasing. The new capability, “Checkout with Instagram,” launched in the U.S. on Tuesday with more than 20 brands, including Adidas, Kylie Cosmetics and Warby Parker utilizing the function. Instead of consumers incurring the costs of convenience, sellers are charged a fee in exchange for what will likely be higher purchase conversion rates thanks to the elimination of the need to direct consumers to their websites.
Forward Thinking: Burger King Targets Starbucks With New $5-Per-Month Coffee Subscription Service
Burger King’s new coffee subscription service called BK Café uses a flat-rate model where users are guaranteed a daily cup of coffee, putting a whole new segment of competitors on notice. The burger chain’s value proposition is clear: “Enjoy BK Café for a month for the price of a large cappuccino from Starbucks,” a new ad for service reads.
Friend or Foe: Chicken Nuggets
While Americans ate 2.3 billion servings of nuggets in restaurants last year, the item has begun declining in popularity and disappearing from menus, according to a recent study by the NPD Group. But why? Well, society’s health consciousness, for one. The rise of the chicken strip hasn’t helped, either, as the products command a higher profit margin. As product innovation in the foodservice industry continues, is this the end for chicken nuggets? Or can they catch a second wind?
The old adage “you get what you pay for” has been around forever, for good reason. Despite its prevalence, though, so many brands still choose to take the easiest—and cheapest—way out. In his latest column for 1851 Franchise, No Limit CEO Nick Powills argues that cutting corners in the areas that drive ROI—people, product and process—is detrimental to the long-term success of your business.