- Modern Market Eatery has signed its first franchise agreement, a 41-unit deal with Thrive Restaurant Group, the company wrote in an email to Restaurant Dive on Monday.
- The deal will expand the chain from nearly 30 units, which is located in Colorado, Texas and Arizona, to 11 new markets with an experienced franchisee. Blossom already operates more than 100 restaurants nationwide.
- Modern Market’s entry into the franchise comes a month after its private equity partner, butterfly action, agreed to acquire 800 Qdoba units and fold it into Modern Restaurant Concepts.
Overview of the dive:
Modern Market first launched its franchise program in July 2021. At the time, the company said it was targeting franchise partners to help it break into underserved metropolitan markets as well as markets that lack access. healthy food options, according to Fast Casual. The company is also considering non-traditional locations and has a location in Notre Dame Student Center and a location at Denver International Airport.
As part of its agreement with franchisees, Modern Market said it will provide training programs, site selection assistance, chef-led menus, technology integrations, as well as field support. and marketing, according to its website. The company expects initial investments to be between $753,500 and more than $1.4 million for a single restaurant, depending on total construction costs and location. As of August 2021, the company is reporting average unit volumes of $2.2 million and two-year sales growth of 111%.
The new partnership provides Modern Market with the ability to enter markets that Thrive already knows. Thrive, based in Wichita, Kansas, which also operates Applebees, will operate not only modern markets in his hometown, but also in Kansas City as well as Texas markets in Austin, San Antonio and Waco; Des Moines, Iowa; Charlotte and Raleigh, North Carolina; and northwestern Arkansas. Modern Market has a handful of Pitches in Austin, but none in San Antonio or Waco.
Thrive is also actively expanding its own presence. The company, which has three brands, is expanding its breakfast and brunch concept, HomeGrown. He opened his fifth and sixth House pitches this year with a goal of potentially reaching 15 to 20 units within five years, according to Restaurant Hospitality.