A focus on multi-unit, multi-brand franchisees will accelerate outlet development in the second half of the year as Bad Ass Coffee of Hawaii seeks to open 150 new stores by 2028
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Bad Ass Coffee of Hawaii is seeking to reach 180 outlets by 2028 | Photo credit: Bad Ass Coffee of Hawaii
Bad Ass Coffee of Hawaii has a reported strong like-for-like sales growth in the first half of 2023 and said its franchise expansion strategy is gaining momentum.
The Colorado-based coffee chain achieved 23% year-on-year sales growth in the six months ended 30 June 2023, with its top 25% performing stores averaging net sales above $1.2m during the period.
Bad Ass Coffee of Hawaii said its strong sales performance is underpinned by an expansion strategy focused on ‘clustering new stores’ in existing markets and seeking ‘experienced multi-unit, multi-brand' franchise partners to bring the brand to new regions.
Multi-unit franchisees currently comprise more than 70% of Bad Ass Coffee of Hawaii’s 30-store network.
The coffee chain, which is seeking to reach 180 outlets by 2028, said it has sold 90 units to franchise partners with 14 stores currently in development.
“We're focused on clustering new stores regionally with legacy stores and establishing new groupings of stores in prime markets with experienced multi-unit, multi-brand operators. This strategy will continue to guide our future development. With an aggressive push to build a best-in-class national coffee franchise opportunity with modern prototypes, a strong infrastructure, technology and innovation, and a craveable menu, we're poised for remarkable accomplishments this year,” said CEO Scott Snyder.
Bad Ass Coffee of Hawaii signed 19 new franchise agreements in the first six months of 2023, including five-unit deals in Texas and Arizona and a three-unit deal in South Carolina.
The coffee chain has also made senior executive appointments to support its growth plans.
In March 2023, Chris Ruszkowski was promoted to Chief Marketing Officer to raise consumer awareness of the Bad Ass Coffee brand. The following month Sue Sauer took on responsibility for the day-to-day performance, training and development of all Bad Ass Coffee of Hawaii franchisees as the coffee chain’s new Senior Vice President of Franchise Operations.
Additionally, Bad Ass Coffee of Hawaii appointed former Black Rifle Coffee Company executive Chris Webb as Vice President of Supply Operations in June 2023.