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kahala corp
brands are all different concepts, hav- aggressive same-store sales growth
ing them fall into the same general vs. aggressive unit expansion,” Beem
restaurant category makes it easier for says. “Cold Stone Creamery already
them to learn from one another. “We has the highest annual unit volume in
also benefit from having our entire the category at $353,000. But, we
portfolio in the quick-service catego- believe we can grow this to $500,000
ry,” he says. “There are constant in the next three years with the
learnings that can be shared from strategic plan we have in place.
brand-to-brand.” “We’re expanding our core prod-
uct line, introducing a healthy indul-
Poised For Growth gence line of smoothies and frozen
Blackwell says Kahala has grown yogurts, and focusing on strategic
from 1,000 units in 2005 to more partnership initiatives.”
than 4,000 in 2008, mostly through <<
The last few years have been marked by significant expansion for Kahala, Kahala has provided a boost to
as it acquired Blimpie, the nation’s third-largest sub-sandwich chain.
acquisitions. He says the ideal type Blimpie since its acquisition, as
of acquisition for Kahala is a concept that same store sales and unit growth; in both well. “We are preparing the brand for
has a strong identity and a significant domestic and international markets.” future growth by refreshing the brand’s
upside. “With every acquisition, we Cold Stone Creamery and Blimpie both fit look, feel and menu,” Blimpie President Jeff
learn,” Blackwell says. “In the early days, the bill in this regard, Blackwell adds. The Smit says. “We are also diligently working
I looked for opportunities with lots of geo- presidents of those respective companies to lower the cost of entry, which will further
graphically-focused units. Now, our focus is say they’re poised for future success in the set our franchisees up for success.
on very well-branded concepts that have coming year. “So, while we are focused on the future, we
considerable growth potential, in both “This year, Cold Stone is focused on also recognize the current needs of the