A&W Partnering for Profit
When my Mom first immigrated to Canada in 1976, she had a part-time job at A&W! She tells us stories of being paid a whopping $2.25 per hour!
A&W got its name from the founders Roy Allen and Frank Wright.
A&W was known for their root beer, burgers, and car hop. Employees on roller skates would roll out to your car to bring you your order. The popular burgers at that time were the teen, papa and mama burgers.
The first franchise restaurant was established in 1925. The company went international by opening its first restaurant in Canada in Winnipeg, Manitoba.
Recently, more franchise organizations are partnering with different companies in order to gain market share.
A&W has done the same
A&W is integrating a pilot project for Pret A Manger (founded in the UK) sandwich and coffee chain across Canada.
This is an interesting partnership in which A&W will slowly introduce the products from Pret A Manger to see what the popularity is like in the Canadian market.
This will not necessarily happen at every Canadian A&W location but it will start at 12 to 15 locations. Pret A Manger is a staple in the UK and they provide ready to go sandwiches, salads, and soups.
This is another way franchises can become successful as they are willing to cross-promote each other and deliver long term success to both respective companies.
In total A&W has a total of 1,000 locations but it is not the leader of market share in Canada. Last year they opened 23 new locations but that is still a far cry from the 50 locations they opened a few years prior.
This is yet another example of A&W doing everything in their power to remain relevant.
As an organization, A&W is well aware of the popularity of a franchise like Popeyes.They are going to continue to take calculated risks to ensure they remain the centerpiece of the Canadian quick service restaurant food category.
Do you think this will be a profitable partnership for A&W?