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In the&nbsp;<a href="https://www.prnewswire.com/news-releases/fast-casual-restaurant-market-to-reach-209-1-bn-globally-by-2027-at-10-6-cagr-allied-market-research-301088253.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">$209 billion</a> world of fast casual dining, standing out is no small feat. Yet,&nbsp;<a href="https://modernmarket.com/franchise?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">Modern Market Eatery</a>, a restaurant franchise that has woven innovation, health and sustainability into its core, is doing just that. How? By focusing on not only&nbsp;what we eat, but also&nbsp;how it's prepared and delivered, prioritizing both the needs of the modern diner and the modern franchise operator. The result? A fast casual franchise opportunity up-to-par with any of the household-name QSR giants.&nbsp; "In our quest to redefine fast food, our vision at Modern Market is clear: make real food the new standard,” said President and Co-founder&nbsp;<a href="https://www.linkedin.com/in/robert-mccolgan-cfa-274a8592?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">Rob McColgan</a>. “Over more than a decade, we've honed our processes to ensure that scratch cooking is fast, repeatable and profitable. We don’t come from traditional restaurant experience, which has allowed us to reinvent the concept from the ground up. Now, we’re inviting others to help us disrupt the fast casual industry."<h3>From Wall Street to Main Street: The Birth of a Unique Concept</h3>McColgan’s background is as unique as the brand he represents. A former trading and investment management expert with Goldman Sachs, McColgan’s foray into the restaurant industry was driven primarily by personal experience.&nbsp;“During my career in finance, I maintained close contact with my high school best friend, who was engaged in engineering work in California,” said McColgan. “We had always talked about collaborating on a project together, but it had to be something we were passionate about personally. He consulted for major restaurant companies, and we often discussed the stark contrast between the U.S. fast food culture and dining experiences abroad. We frequently dined at local, healthy bistros and cafes, leading us to ponder: what would our ideal everyday restaurant look like?”So McColgan and his best friend, Anthony Pigliacamposet out to find that answer. In 2008, they left their respective jobs and raised capital to establish the first Modern Market.&nbsp;“With our busy schedules, we craved a dining option that was not only healthy and made with clean ingredients but also made us feel good post-meal,” said McColgan. “As athletes, we viewed food as fuel, necessitating both exceptional taste and a diverse menu. This philosophy shaped our initial offerings, which included an array of choices from pizzas to salads."The flagship Modern Market restaurant opened in Boulder, Colorado, in 2009. The brand experienced consistent growth over the next decade, with company-owned operations opening up in Colorado, Texas and Arizona. But when the COVID-19 pandemic hit in 2020, McColgan said it was clear that the brand had to adapt.“We leaned heavily into delivery and digital ordering,” said McColgan. “Modern life makes eating out or ordering online a necessity. This shift towards online transactions has fundamentally transformed our business model and it allowed us to really focus on our growth trajectory. Today, we have a tech stack on par with the most sophisticated retailers and are miles ahead of the largest restaurant brands.”&nbsp;Currently, Modern Market operates 31 restaurants across the country. The brand is owned by parent company&nbsp;<a href="https://1851franchise.com/modern-restaurant-concepts-to-become-one-of-the-largest-fast-casual-platforms-in-the-us-with-the-addition-of-qdoba-2719316">Modern Restaurant Concepts</a>, which also owns the fast casual brand&nbsp;<a href="https://qdobafranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">Qdoba</a>. This makes Modern Market an emerging franchise with the buying power of an 800-unit chain — a rare blend that provides franchise partners with better pricing and logistics for accessing top-of-the-line equipment and food costs.&nbsp;<h3>The Franchise Advantage: Combining The Profits and Operational Speed of QSRs with the Quality of Fast Casual</h3>While McColgan and his team always envisioned Modern Market Eatery as a franchise, they knew they would need to perfect the concept before becoming “franchise ready.” The brand’s expansion has primarily been company-fueled up until now, but the pandemic provided clarity on how to refine their model for franchising success. Armed with this experience, Modern Market launched its franchising program in 2021, signing its first franchise agreement for 41 units with&nbsp;<a href="https://www.restaurantdive.com/news/modern-market-signs-41-unit-deal-with-first-franchisee-thrive/632176/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">Thrive Restaurant Group, who happen to be major Applebee’s operators</a>. Now, with a new-and-improved business model, McColgan says the team is set to light the franchise world ablaze. "Our chef-inspired menu stands out in the 'better-for-you' fast casual sector, distinguished not just by its quality, but also by its extensive range,” McColgan said. “Offering a variety that spans salads, sandwiches, bowls and even pizzas, and including catering services, it appeals to a diverse clientele, from families to coworkers.”When it comes to food, Modern Market's commitment to sustainability and quality further sets it apart. "We deliver plant-based options and scratch-made, sustainable food," said McColgan, underlining the brand's commitment to both environmental responsibility and operational efficiency. “By working directly with some of the best suppliers in the world, we are able to deliver these products to our restaurants anywhere in the country at competitive prices.” Another key operational differentiator is the efficiency of the brand’s double-sided production line, which allows staff to efficiently and quickly prepare orders thanks to a highly choreographed integration of kitchen processes —&nbsp;scratch-cooking at QSR speed.&nbsp;&nbsp; “Much of this development stemmed from the growth of our off-premise channels. We needed a solution that could handle our diverse menu without compromising the dine-in experience, and our current system achieves this with exceptional throughput,” said McColgan. “Our streamlined kitchen model enables us to create a broad menu with made-to-order dishes that deploy in three to five minutes. Staff are also trained in multiple areas of the kitchen, which keeps labor costs down.”This efficiency even facilitated the introduction of a drive-thru model, with Modern Market recently opening its first-ever drive-thru location in&nbsp;<a href="https://www.prnewswire.com/news-releases/modern-market-eatery-first-drive-thru-location-now-open-301998258.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-modern-market-combines-impressive-margins-with-innovative-restaurant-operations-to-engineer-a-game-changing-2-million-auv-franchise-opportunity-in-2024-2725322" target="_blank" rel="nofollow">Colorado Springs</a> late last year.&nbsp;“This is really a feature unique to our brand given the quality and variety of our food — not many fast casual brands can match our throughput in a traditional drive-thru model,” said McColgan. “Looking ahead, not all our locations will feature a drive-thru, but where it's viable, we're equipped to execute it effectively."Similarly, the flexibility in Modern Market’s real estate requirements is another key advantage for franchisees.&nbsp;“We can efficiently operate in as little as 2,300-square-feet., and this model has proven to be highly successful,” said McColgan. “Our approach is strategic: if the location and rent align with our criteria, we're ready to seize the opportunity and expand our presence. For operators, smaller spaces means they don’t have to worry about occupancy costs dominating their P&amp;L.”All of these factors explain why the 18 company-owned Modern Market locations open for the calendar year of 2023 saw an impressive AUV of $2.2 million, according to the brand’s most recent FDD,* with the initial investment range between $928,500 and $1,468,750.<h3>A Focus on Future Expansion</h3>Looking ahead, Modern Market’s plans are ambitious yet strategic, focusing on partnering with experienced operators in diverse markets. This year, the team plans to open between eight and 10 new restaurants.&nbsp;“In terms of our broader strategy, we aim to fully embrace the franchise model, collaborating with exceptional operators who have expertise in their local markets to expand Modern Market's presence nationwide,” said McColgan. “We want to partner with passionate and experienced restaurant operators who believe in our brand and recognize our leading position in this category.”Although some restaurant experience is required, McColgan says all incoming franchise partners will benefit from in-depth training programs, site selection support, innovative chef-driven menus, technology integrations and strong field and marketing support."At the end of the day, the quality of our food, the breadth of our menu and our advanced production capabilities make us a unique investment opportunity," McColgan said. “Times are changing. With the help of passionate and qualified franchisees, Modern Market is ready to usher in a whole new era of fast casual dining.” *More details are available in our Franchise Disclosure Document (FDD).

How Modern Market Combines Impressive Margins with Innovative Restaurant Operations to Engineer a Game-Changing, $2.4 Million AUV Franchise Opportunity in 2024

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With a diverse, chef-inspired menu and a double-sided production line, Modern Market achieves fast casual quality at QSR speeds — a feat very few competitors have achieved. 


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How Modern Market Combines Impressive Margins with Innovative Restaurant Operations to Engineer a Game-Changing, $2.2 Million AUV Franchise Opportunity in 2024

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How much can franchisees make? It’s a question many prospective owners ask before investing in a franchise. While earnings tend to be driven by variables such as industry, location and general management skills, a proper understanding of the key factors driving profitability can help franchise owners develop expectations that are realistic.&nbsp;Multi-unit franchisee&nbsp;<a href="https://www.linkedin.com/in/mangesh-patel-9368569/">Mangesh Patel</a>, who’s readying the launch of six&nbsp;<a href="https://www.beefobradysfranchise.com/">Beef ‘O’ Brady’s</a> restaurant locations in the Macon, Georgia area, shares insights from his franchising experience.<h2>Understanding Franchise Income</h2>Keeping operational costs in check can have a major impact on overall earnings. Taking a proactive approach to expenses such as food and labor, as well as payroll and scheduling, can help align actual franchise income with general expectations for the business.“I just had a meeting with a couple of people, and they said, ‘You talked about a 25% profit margin, but I’m only doing 12%.’ So, I looked at the figures they sent me,” Patel said. “Their&nbsp;<a href="https://1851franchise.com/calculate-restaurant-franchise-profit-2730476">restaurant</a> food cost was running at 37%, which should be around 30%. The national average is about 32%. If I do things correctly, my average food cost needs to be at or below 30%. And payroll should run around 18%. But many people run 25 to 28%.”So,&nbsp;<a href="https://1851franchise.com/unraveling-franchise-earnings-how-much-can-you-really-make-2723935">how much can franchisees make</a>? Here are five areas to consider.<h2>Practical Tips for Prospective Franchisees</h2><ol><li>Control Costs From Day One:&nbsp;It’s important to monitor payroll, food and supply costs closely. Overstaffing and inefficiencies can quickly reduce profits.</li><li>Plan For The Opening Surge:&nbsp;Traffic within the first few months of opening is likely to be higher. It’s important to adjust staffing and inventory accordingly, and pay close attention to how those levels change as time goes on.</li><li>Invest In Training:&nbsp;Properly trained workers can help reduce waste and improve overall service, which has a direct effect on net income.</li><li>Understand Your Market:&nbsp;Each market is unique and revenue potential will vary depending upon location, demographics and competition.</li><li>Track Metrics Regularly:&nbsp;Food cost percentages, labor ratios and weekly sales data act as key indicators operations may need to be adjusted.</li></ol><h2>What Profitability Really Comes Down To</h2>Patel notes that if franchise owners manage labor and costs properly, it’s not impossible to achieve strong cash flow even in the first year, bucking some franchising trends.So,&nbsp;<a href="https://1851franchise.com/how-much-can-you-make-as-a-franchise-owner-2724761">how much can franchisees make</a>? While results tend to vary, careful planning, disciplined operations and a proactive approach to assessing initial costs are essential. But by grasping and guiding the elements that drive franchise profitability, franchise owners can maximize overall business earnings, scaling a business that’s sustainable financially over the long term.Want to learn more about franchise opportunities on 1851 Franchise? Be sure to visit our&nbsp;<a href="https://1851franchise.com/power-rankings">Power Rankings</a> to read more on brands making moves.

How much can franchisees make? This guide explains what drives franchise earnings and how to manage costs, with expert tips from multi-unit owner Mangesh Patel on maximizing your franchise income.

How Much Can Franchisees Make? A Guide for Prospective Franchise Owners

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The linear sales funnel is dying. Prospective buyers are no longer filling out a form at first glance and waiting for the phone to ring. They’re doing the majority of the heavy lifting before they even make themselves known to the franchisor. For franchisors, this means one key thing: you must know exactly where candidates spend their time. No guesswork. And you have to adjust your strategy accordingly.And, in today's buyer world, the biggest buzz term is 2026's ride or die for franchise brands – Ai.&nbsp;If you are trying to sell a franchise today, you must meet candidates where they are (four walls, Ai, website, social advertising).&nbsp;Focusing on a strong digital footprint first and then lead generation will help the brand with validation and will lay the foundation for trust before the first conversation even happens. Still, franchisors must know where to find their candidates and be confident the candidates are being sent to the right place.“We consistently see the strongest lead performance from Google Search (paid and organic), social platforms such as Facebook, Instagram and LinkedIn and our franchise development website,” said&nbsp;<a href="https://www.linkedin.com/in/erinlsnyder">Erin Snyder</a>, head of franchise development at&nbsp;<a href="https://handelsicecream.com/handels-franchise/">Handel’s Homemade Ice Cream</a>. “Because all awareness and advertising efforts ultimately funnel candidates to our development site, maintaining a highly optimized, mobile-first web presence is critical for conversion.”<h2>The "Hidden" Channels: Authentic Research via AiSEO</h2>While Google and major portals are often where a candidate might start a broad search, the deep research happens in the shadows. This is where candidates scroll, mindlessly or otherwise, simply observing rather than clicking “apply” immediately; or, ask Ai chatbots about the best franchises to buy, the blind spots, the why nots, and, of course, the whys.Right now, Ai plays a key role in this research stage. Buyers want the truth.&nbsp;For franchisors, this means your content strategy must pivot. It is no longer enough to post stock photos of happy business owners. You must document the journey, showing the behind-the-scenes reality that proves your concept has staying power.<h2>The Pivot From Print to Digital Interactivity</h2>While print media has been a channel for franchise development in the past, its static nature has made it less effective as the buyer’s journey has shifted to digital. Buyers are generally looking for channels that will allow them to click, read and continue the search immediately.“Traditional print media has largely become a thing of the past for franchise development,” Snyder said. “What has been encouraging, though, is seeing many of these publications successfully pivot to digital formats that offer greater interactivity, stronger analytics and far better linkability than print ever could.”This creates a more dynamic experience for the candidate. In addition to a digital article, franchisors can embed a “day in the life” video, for example, or hyperlink a deeper dive on costs and profits for instant validation.This shift also allows franchisors to track return on investment more effectively. Instead of guessing if an article or ad worked, digital publications allow you to see exactly who clicked through, allowing for retargeting and smarter budget allocation.<h2>The Conversion Hub: Your Mobile-First Website</h2>Once a candidate has discovered you on Google, watched your videos on TikTok and read about you in a digital publication, they finally arrive at the destination: your franchise development website.This is the bottom of the funnel, where you will win or lose a candidate. Because all other channels point here, your website cannot just be a digital brochure. It has to be a conversion engine. And crucially, it must work perfectly on a smartphone.The question can’t just be “Do we have a website?” Questions about the website should surround usability and readability. Is navigation easy on a smartphone? Does the site load quickly? Is it readable? If a prospect has to pinch-and-zoom to read your investment costs and financial performance, they will leave.An optimized, mobile-first presence is critical because it serves as the collection point; all other awareness efforts funnel potential franchisees to the site. The user experience here should validate the trust built on other channels. However, accessibility is only half the battle; the content itself must be unsparingly open. The website is the channel where you must prove your value proposition with hard data.“Across all channels, the messaging needs to be clear, concise and consistent,” Snyder said. “Candidates should be able to easily find transparent investment ranges and financial requirements, a clear value proposition, compelling franchisee success stories, key differentiators from competitors and straightforward next steps for how to inquire.”When you treat your website as a transparency engine rather than a gatekeeper, you change the dynamic of the eventual sales call. A candidate who has already consumed your financial data and success stories arrives at the inquiry stage educated and qualified. This allows the development team to skip the basic fact-finding and move straight to strategy and fit.“When a candidate submits an inquiry, the first conversation should build on what the candidate has already learned,” Snyder said “ensuring they understand the opportunity they are considering, clarifying details, personalizing the discussion to their goals and moving them into a structured education process rather than starting from scratch.”<h2>Allocating the Budget: The "Ideal Candidate" Approach</h2>While a presence across multiple channels — from search and social to digital publications — is key, understanding exactly how much to invest in each option is the next hurdle. There is no single, magical approach to budgeting; a brand selling multi-million-dollar franchises needs to develop a presence in different places than a low-cost, mobile franchise will.To spend effectively, you must deeply understand your ideal franchisee profile. Once you know who is investing, you can begin working on where to find them. For example, a high-net-worth investor might be on LinkedIn and reading digital trade journals, while a first-time investor or someone seeking an owner-operator model might be influenced by local Facebook ads.“Franchisors should start by understanding their ideal franchisee profile and then allocate budget toward the channels where those prospects spend the most time,” Snyder said. “The mix will naturally look different for a high-investment, multi-unit candidate than for a first-time owner-operator. Beyond that, it’s critical to consider overall brand awareness and invest in channels that consistently get both the brand and the franchise opportunity in front of qualified prospects. A balanced approach that supports both awareness and lead capture tends to produce the strongest results.”<h2>Key Takeaways and Next Steps:</h2>Make sure you have a content footprint that answers the top 25 questions asked about your brand in Ai and Google searchs.Review your mobile experience: Open your franchise development site on your phone. If it takes more than three seconds to load or if the "Apply" button is hard to find, fix it immediately.Embrace "lo-fi" video content: You don't need a production crew. Use a smartphone to record "day in the life" videos with your franchisees and post them to social to build authentic trust.Ensure transparency and continuity:&nbsp;Candidates need to be able to find the information they’re looking for, and the experience should be consistent between a social page and a franchise development site. Make sure your value proposition is clear across all channels.Embrace innovation, but don’t count out the classics:&nbsp;Look at the whole picture. Many candidates are exploring opportunities on supplemental platforms like social media or in the results of a Google search, but they’re still looking at the franchise development site, too. Don’t confine yourself to the “old reliable” methods, but don’t leave them behind, either.Budget by persona, not platform: Don't just "do Facebook ads." Define exactly who your buyer is, and spend your money only on the channels where that specific person consumes content.For more information on franchise growth channels, check out these related stories on 1851 Franchise:<ul><li><a href="https://1851franchise.com/how-to-use-social-media-marketing-to-promote-your-franchise-2727185#stories">How To Use Social Media Marketing To Promote Your Franchise</a></li><li><a href="https://1851franchise.com/building-a-franchise-website-that-converts-key-features-and-best-practices-2727363#stories">Building a Franchise Website That Converts: Key Features and Best Practices</a></li><li><a href="https://www.youtube.com/watch?v=vlfduHqGy7I">How to Sell Franchises | The Buyer Persona</a></li></ul>

To succeed in the shifting landscape, franchisors must understand the buyer’s journey, identify the ideal franchisee profile, and build a digital presence that meets candidates where they are.

How Modern Market Combines Impressive Margins with Innovative Restaurant Operations to Engineer a Game-Changing, $2.2 Million AUV Franchise Opportunity in 2024

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