In a strategic business move, Five Guys is set to expand its UK market presence significantly. John Eckbert, Chief Executive, has outlined a plan for the renowned American burger chain to establish 140 new outlets, aiming to bring the total number of UK locations to 300 in the forthcoming period.
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Currently, Five Guys operates around 160 restaurants across the UK. This expansion represents a commitment to secure a stronger foothold in the competitive fast-food sector. The company, known for its higher-end price point, maintains an average cost of £21 for a standard meal comprising a burger, fries, and milkshake. This pricing strategy positions it distinctively compared to other market players like McDonald's and Burger King.
Since its inception by the Murrell family in 1986 in Virginia, Five Guys has emphasised a quality-over-quantity approach, evident through its concise menu offerings. The company entered the UK market in 2013, starting with a location in London's Covent Garden, and has reported that the performance of its British segment has surpassed initial projections.
Beyond traditional restaurant settings, the expansion strategy includes tapping into spaces with high foot traffic, such as airports and train stations. Additionally, following the successful launch of its inaugural drive-thru in Teesside, which set new sales records, there is a pronounced interest in further developing this service model. This shift acknowledges the behavioural changes in consumers, highlighting a preference for convenience-oriented dining options, particularly amidst pandemic aftereffects.
The brand's resonance with the UK audience is notable, further amplified by public endorsements from celebrities like Adele. As part of the expansion, new establishments will open in various locations, including Lincoln, Barton Mills in Suffolk, and Bolton in Greater Manchester in October. Another opening is slated for November at the Cheshire Oaks Designer Outlet near Ellesmere Port.
This development underscores Five Guys' robust business health and its strategic response to evolving market dynamics, marking a significant phase in its UK operations.
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