Why A&W Continues To Be a Hot Franchise Brand

A&W Restaurants are thriving in 2022 — and the future looks even brighter. Since returning to franchisee ownership in 2011, the 500+ unit, all-American restaurant concept has seen an average 67% increase in same-store sales growth. A&W takes pride in this metric, as the company views the success of its franchisees as the ultimate indicator of its momentum and growth systemwide.

“The continued same-store sales trajectory is positive,” said A&W Senior Director of Franchise Development John Palumbo. “We have strong unit economics. These numbers continue to tell a positive story on the financial side in 2022.”

A&W has had eight openings in 2022, with each new restaurant performing better than historical openings to date. The brand is excited about the buzz that is building around its franchising opportunities and looks forward to expanding with incoming franchisees.

“Even in the current inflationary climate, we’re still receiving a lot of interest in our brand,” said Palumbo. “Our pipeline is stronger at this point in Q4 2022 than it’s ever been. We have more active candidates at various stages of due diligence than at any point in the last decade. This leads us to believe we are in a strong position heading into 2023.”

As its restaurants proliferate nationwide, A&W is also launching in the non-traditional space, including airports and hotels. With its restaurants taking shape in these new arenas, A&W expects to offer even more lucrative opportunities for franchisees.

“We’ve just had a conversation with our first concessionaire, and we have much more on the docket to finish out the year,” said Palumbo. “A&W is officially a player in the non-traditional space, with a full-fledged non-traditional program. We are actively soliciting opportunities in that vertical.”

As the brand begins to penetrate the non-traditional space and continues to sign new franchise agreements, 2023 is shaping up to be its strongest year in over a decade.

“To finish the year out, we are expecting to sign four new awards — three individual restaurant awards and one area development agreement,” said Palumbo. “As we enter 2023, we are building on a healthy pipeline and anticipate a phenomenal year in terms of openings and new award signings.”

The total investment necessary to begin operation, not including rent or land costs, is $871,000 to $1,454,750 for a Freestanding Restaurant; $401,000 to $1,013,750 for an Inline Restaurant; and $276,000 to $704,000 for a Captive Restaurant, including a $15,000–$30,000 franchise fee. To learn more about franchise opportunities with A&W Restaurants, please visit https://franchising.awrestaurants.com/.