1851

According to an article in <a href="https://www.qsrmagazine.com/fast-food/where-steak-n-shake-lost-its-way?utm_campaign=20190226&amp%3Butm_medium=email&amp%3Butm_source=jolt&utm_source=1851franchise.com&utm_medium=article&utm_campaign=steak-n-shake-hopes-a-chick-fil-a-inspired-model-will-right-the-ship-2709281" target="_blank" rel="nofollow" style="text-decoration-line:none" target="_blank">QSR</a>, CEO of parent company Biglari Holdings, Sardar Biglari, wrote in a February 22 letter to shareholders that the company had withstood &ldquo;heavy losses.&rdquo; In the same letter, Biglari said that &ldquo;Steak &lsquo;n Shake&rsquo;s same-store sales declined 5.1 percent in 2018.&rdquo; Furthermore, &ldquo;Steak &lsquo;n Shake&rsquo;s average-unit volumes have been on the decline, too,&rdquo; according to the article.

Biglari blamed the losses on poor scaling: the brand failed to adapt its operations and kitchen design to increasing volume over time.

&ldquo;We failed customers by not being fast and friendly,&rdquo; Biglari said, according to the article. &ldquo;To be a market leader in the fast food business, we should have paid greater heed to becoming, well, fast,&rdquo; he said.

According to the article, &ldquo;Steak &lsquo;n Shake hopes to take a page out of Chick-fil-A&rsquo;s book to remedy the issue.Earlier in the year, <a href="https://www.qsrmagazine.com/franchising/steak-n-shake-wants-sell-400-corporate-stores-cheap?utm_source=1851franchise.com&utm_medium=article&utm_campaign=steak-n-shake-hopes-a-chick-fil-a-inspired-model-will-right-the-ship-2709281" target="_blank" rel="nofollow" style="text-decoration-line:none" target="_blank">the brand announced it was franchising all 413 of its company-operated units</a>. Specifically, the initiative centered on a single-unit strategy&mdash;akin to the chicken leader&mdash;in hopes of fostering a system where every operator is fully invested. The owner-operator model sells franchises to managers and other interested parties for just $10,000. But the new operator must split the store&rsquo;s profit with the franchisor,&rdquo; the article said. According to the article, Biglari said that the program &ldquo;would feed the entrepreneurial spirit at Steak &lsquo;n Shake.&rdquo;

Read the full article <a href="https://www.qsrmagazine.com/fast-food/where-steak-n-shake-lost-its-way?utm_campaign=20190226&amp%3Butm_medium=email&amp%3Butm_source=jolt&utm_source=1851franchise.com&utm_medium=article&utm_campaign=steak-n-shake-hopes-a-chick-fil-a-inspired-model-will-right-the-ship-2709281" target="_blank" rel="nofollow" style="text-decoration-line:none" target="_blank">here</a>.

<div>Photo courtesy of Steak &#39;n Shake on <a href="https://www.facebook.com/steaknshake/photos/a.10150599697315041/10156130989410041/?type=3&amp%3Btheater=&utm_source=1851franchise.com&utm_medium=article&utm_campaign=steak-n-shake-hopes-a-chick-fil-a-inspired-model-will-right-the-ship-2709281" target="_blank" rel="nofollow" target="_blank">Facebook</a>.</div>

Steak 'n Shake Hopes a Chick-fil-A-Inspired Model Will Right the Ship

1851 Franchise

The iconic burger chain saw a 5.1-percent decline in sales for 2018.


steak-n-shake-hopes-a-chick-fil-a-inspired-model-will-right-the-ship

HomeTeam Inspection Service

Hometown News: Like Father, Like Son — Family-Run Inspection Business Blends Generations of Expertise and a Keen Eye for Detail

father-son-home-inspection-franchise-florida

KLA Schools

KLA Schools of Beachwalk Hosts Admissions Kick-Off Celebration

kla-schools-of-beachwalk-hosts-admissions-kick-off-celebration

Good Day Columbus: Home Insurance Expert Reveals Why Central Ohio Premiums Are Rising and How to Combat Costs

rising-home-insurance-costs-ohio

CapitalSpring

Primetime Fitness Expands Crunch Portfolio With CapitalSpring’s Backing

primetime-fitness-expands-crunch-portfolio-with-capitalsprings-backing

Children's Lighthouse

How Children’s Lighthouse Franchisees Scale to Multiple Locations

how-childrens-lighthouse-franchisees-scale-to-multiple-locations

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Potbelly to be Acquired by RaceTrac in $566 Million Deal 

racetrac-acquires-potbelly-in-566-million-deal

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities - 1851 Franchise Agg

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities 

health-care-hiring-slowdown-in-home-care-franchise-opportunities

Caribou Coffee Names Scott Kennedy CEO, Eyes Continued Growth

caribou-coffee-names-scott-kennedy-ceo-eyes-continued-growth

McDonald’s Launches New Extra Value Meals as Consumer Demand for Value Continues to Climb

mcdonalds-launches-extra-value-meals

Power Eats: Smoothie King Rolls Out Food Nationwide To Fuel Franchise Growth

smoothie-king-food-menu-power-eats

Technomic Releases Annual Ranking of the Top 15 Fast-Food Chains in the U.S.

technomic-releases-annual-ranking-of-the-top-15-fast-food-chains-in-the-us

"Come in, We're OPEN" sign against abstract background

Small Business Optimism Dips, Raising Concerns for Franchise Owners

small-business-optimism-dips-raising-concerns-for-franchise-owners

Hely and Hiral Patel Bring Their Longtime Dream to Life With The Brass Tap

brass-tap-franchise-pasadena-maryland-hely-hiral-patel

1851 Keyword - The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

part-time-franchises-picking-the-right-model

DevHub - Meet the Supplier - 1851 Franchise

DevHub: Scalable Digital Marketing for Franchises and Multi-Location Brands

devhub-meet-the-supplier

Franchisee spotlight graphic with photo of Ricki Oberoi and Layne's Chicken Fingers logo

Multi-Unit Wendy’s Operator Signs 12-Unit Deal With Layne’s Chicken Fingers

ricki-oberoi-laynes-chicken-fingers-growth

Design with school-aged child standing on pencil with text "Education Franchises" and "<$500K"

Top Education Franchises Under $500K To Explore in 2025

top-education-franchises-under-500k

1851 Franchise Deep Dive graphic with Sparkle Squad logo

Sparkle Squad Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-sparkle-squad-franchise-costs-fees-profit-and-data

Steak 'n Shake Hopes a Chick-fil-A-Inspired Model Will Right the Ship

MORE STORIES LIKE THIS