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Taco John’s Tries Lowering Food/Labor Costs w/Workshops

Taco John’s, a “West-Mex” fusion fast food restaurant, held voluntary workshops in most of its territories for franchisees to learn ways to reduce their food and labor costs with a goal of 1% reduction. They were in the form of interactive round tables and discussion about how to streamline operations, and there was lots of networking between unit manager.  Also discussed were ways to better advertise locally.

It sounds like a great way to reach out to franchisees.  Hopefully it will help.

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3 comments
pegleg
pegleg

If your food costs are 30% of gross sales, and your gross sales are hypothetically $450,000, that 1% savings is $4500! That's a substantial savings.

Richard
Richard

I can't believe franchisees are willing to pay to attend these events hoping for only a 1% reduction in costs. Maybe I'd go for 4-5% or more.

Richard
Richard

I suppose that might be worth it. But I bet they only see half of that after paying employee training time, adding additional training visuals, etc.