April 3, 2018 - by Marshall Guillory
Just read an interesting article. The average Chic-Fil-A unit brings in $4.4M in revenue. The average McDonald’s $2.5M. With many similarities, it begs the question of what is it in Chic-Fil-A’s system that creates almost 2X the amount of value for shareholders for a single unit?
My hypothesis: It is all in the service.
And not just run of the mill fast food drone service like that of McDonald’s. Kind, professional and joyful service with a smile. Above and beyond really, in a consistent manner across all units.
So is Chic-Fil-A in the fast food chicken business or the amazing world-class service business? I’ll let you ponder that.
A correlation to the hypothesis is Popeye’s Famous Fried Chicken units at $1.4M and 20th on the QSR50. More than 3X less than an average Chic-Fil-A volume. Continue reading “Business Outcomes and Measuring the Wrong Things”