Evan Musikantow whose father has been said to be one of the biggest owners of Applebee's restaurant franchises in the country owes $758,350 in child support to his two kids, records show. And at No. Tankel says he takes this call every single day, even while on vacation, to keep abreast of everything going on. He also bought another 20 Applebees restaurants from Neighborhood Hospitality, with restaurants in West Virginia, eastern Ohio, and eastern Kentucky. Last month, Jim Stevens sold his 22 Applebees restaurants. [citation needed], In 2021, after having removed it due to the impact of the COVID-19 pandemic, Applebee's restored its Oreo Cookie Shake to its menu. This year eight companies added $100 million or more to their revenue. Son Chris, now the president of SSCP, is creating a name for himself. This business is not a "one size fits all" type of concept. Best Life Brands was created in 2019 as the umbrella organization for franchises "focused on the well-being of clients at any stage of life." Bloomin' Brands Year Formed: 1988 Based In: Tampa, Florida Main Franchise Industry: Food Franchise Brands: Bonefish Grill Carraba's Italian Grill Fleming's Prime Steakhouse & Wine Bar Outback Steakhouse Applebee's is the largest casual dining chain in the world with sales of $4.7 billion in 2006. I think we're winning because our menu is innovative, our value is best in 9 talking about this. They grew to 25 stores and were comfortable with that for a long time, Jon Rolph said. . The second-largest franchise owner of Applebee's restaurants filed for bankruptcy protection Tuesday. Copyright 1998-2023 Franchise Direct. Global Franchise Group is an affiliate of Lion Capital LLP and Serruya Private Equity, Inc. HFC was purchased by JM Family Enterprises Inc. in July 2019. Dine Brands Global is one of the world's largest full service restaurant companies in the world, and franchises two iconic brands, Applebee's and IHOP. It runs an asset-light business model, with franchisees operating most of the company's restaurants. In some cases where an acquisition took place during the year, we derive pro-forma revenue in calculating the companys ranking. Our casual atmosphere and attentive staff will make sure you're eatin' good whenever you step into a Alaska Applebee's. Our extensive menu of delicious comfort food is sure to have something for everyone to love. [14][16] A major goal for the new ownership was to revitalize the chain, as well as shift towards a franchise model for the majority of its locations. Since the opening of Outback Steakhouse in 1988, food franchisor Bloomin Brands has grown to also include Bonefish Grill, Carrabas Italian Grill and Fleming's Prime Steakhouse & Wine Bar. . Today the mini-empire consists of 36 Applebees locations and maintaining the operation and its 2,800 employees takes constant oversight. Email notifications are only sent once a day, and only if there are new matching items. In addition to the franchise brands it owns, the Italian company also designs, makes and distributes fashion, luxury and sports eyewear under almost 20 brand names such as Ray-Ban, Oakley, Coach, Prada and more. The Dharods SSCP team is family-centric and Applebees is a part of our family, continued Chris. Thats only the beginning of the story, though. units which successfully operate in the USA and other countries. In 2019, the company changed its name to Franchise Group, Inc. and began acquiring other companies. They opened a second location outside of Atlanta, Georgia a few years later, and sold the company to W. R. Grace and Company in 1983. Their vision was "to create a restaurant that had a neighborhood pub feel to it and could offer friendly service along with quality fare at a lower price than most of their competition." The company has been scrutinized over fake reviews and criticized by customers who had trouble getting refunds. However, not all of the brands above are actively franchising currently. By using this site, you agree to its use of cookies. With that, he said Thrive can really go as fast and as far as it wants. Daughter/sister Puja Dharod, a principal and director at SSCP, is the muscle in the companys philanthropic arm. Applebee's Neighborhood Grill & Bar offers a lively casual dining experience combining simple, craveable American fare, classic drinks and local drafts. Skip to main Navigation Skip to main Content Skip to Footer. Regis (which went by the name Kunin Beauty Salon until 1958) operates hair salons under more than 25 brands worldwide. The buyer is local Applebees franchisee Jon Rolph and his Thrive Restaurant Group. Photo: Scott Olson/Getty Images. Read More: Update: NY Applebees Franchisee Who Gives Ex-Inmates Second Chance Shrinks Workforce By 500 People. - In currency of the United Arab Emirates, the investment comes around AED 7,38 to AED 30,37 million. Last month,Jim Stevens soldhis 22 Applebees restaurants, and it turns out the buyer is local:Applebees franchiseeJon Rolph and hisThrive Restaurant Group. An Applebee's and Taco Bell franchise executive wrote in a leaked email that high gas prices would bring in new workers who won't demand high wages. Our business is vibrant and we are continuing to outperform established peers. Have questions? You have permission to edit this article. APPLE AMERICAN GROUP Apple American Group is the largest Applebee's franchisee, operating 441 restaurants across 23 states. / Photograph: Shutterstock The Applebee's concept focuses on casual dining, with mainstream American dishes such as salads, chicken, pasta, burgers, and "riblets" (Applebee's signature dish). Applebee's Initial Investment Initial Investment: $2,009,038 - $8,267,250 Ongoing Fees Initial Franchise Fee: $35,000 Ongoing Royalty Fee: 4% Established in 1980. - In Saudi Arabia currency, the investment comes around SR 7,54 to SR 31,01 million. Franchisee Lists are some of the best lead lists you can get your hands on and because there are so many types of franchises in so many different industries and niche markets, no matter what kind of leads your sales team needs, one of our franchise owners marketing lists will fit your needs. Rising costs and a shortage of workers are pushing the Southwest-style restaurant chain to do more with less. The servers, who received a federal minimum wage of $2.13 per hour as tipped employees, allege that the company requires them to spend 20% of their time doing non-serving labor, for which they should be paid the federal minimum wage of $7.25 per hour. Rated 0 out of 5 $ 295 Download; Pizza Hut Franchisee Owners List. Compared to the average today of $187.5 million in annual sales and 135 restaurants, its plain to see the term "mega" was a little prematureand at the rate the strongest operators keep growing, it may be still. To keep from getting "too big," the best create a culture that ensures each location is run like its the only restaurant. For companies that did not respond to our survey, we confirmed the number of units operated by their company, and then estimated the revenue. SSCP invests in communities in which it operates by giving back to those in need and working with a variety of charities to strengthen our communities. our Subscriber Agreement and by copyright law. NPC International hit $1.2 billion with 1,236 Pizza Huts and 184 Wendys (its already added 202 Wendys in 2017 as well). The second-largest franchisee of Applebees restaurants, RMH Franchise Holdings, filed for bankruptcy. Not for long, though. Travis Heying The Wichita Eagle, Thrive Restaurant Group becomes nations fifth-largest Applebees franchisee. Rated 0 out of 5 $ 295 Download; IHOP Franchisee Owners List. Now, as all but two of the top 15 operators run multiple brands, getting that culture in place is all the more important. [15] The combined company became the largest full-service restaurant company in the world, with more than 3,250 locations. The Applebees markets under the direction of SSCP now include Martinsville, Wytheville, Salem, Rocky Mount, Norton, Roanoke, Radford, Danville, Lynchburg, Lexington, South Boston and Galax. Early History of the Applebee family. Inspire Brands bought Dunkin Brands (Baskin-Robbins, Dunkin' and Mister Donut) in 2020. Banks enjoy lending to operators buying companies with a track record especially, fueling both refranchising and a current flurry of M&A activity. Let Flhip.com Help You Get in the Door First of Those New Restaurants. Franchisee Lists are some of the best lead lists you can get your hands on and because there are so many types of franchises in so many different industries and niche markets, no matter what kind of leads your We provide estimated franchise costs for some countries: At the moment we can not connect you to the representative of this franchise. In 2019, Applebee's advertising fees accounted for 165.5 million U.S. There was a problem saving your notification. [49][50], In September 2012, a judge in Illinois ruled in favor of the Applebee's employees and will evaluate damages at a later date.[51]. 375,000+ . So, perhaps taking on an Applebee's franchise could become a wealthy investment. We have compiled lists containing the contact information for each franchise owner that currently owns a reputable franchise in the U.S. Dine Brands was formed after IHOP bought Applebees. First of all, as a manager he feels a responsibility to be the face of the brand to his employees, acting as a cheerleader of sorts. There are certain dishes that I use as a barometer, a benchmark on how the restaurants performing overall, he explained. 2.6 Million. The company currently operates Chilis and Maggianos Little Italy, but is only franchising Chilis at the moment. 85). She established the Puja Foundation in order to support team members during hardships and unforeseen events. SSCP is a family operated company, led by the father Sunil, son and President Chris Dharod, and daughter Puja, principal and director of SSCP. This year has already seen an uptick in deal activity. "Operations have to be separated as much as possible. Distribution and use of this material are governed by "Applebee's is thriving because guests continue to respond to value experiences. The campaign was so wildly-popular that it was adopted by the Applebees system-wide (nearly 1700 units) and was followed by several value-focused $1 cocktails, all of which were greeted with glee in Applebees respective neighborhoods. ", "Applebee's Social Media Nightmare: Technology 24/7 Isn't Always a Good Thing", "Chelsea Welch, Applebee's Waitress, Talks Unemployment; Applebee's PR Melts Down", "Applebees Fires Waitress For Exposing Tip-Skipper, Then Tries to Silence Public on Social Media", "Applebee's and the Terrible, Horrible, No Good, Very Bad Week", "Social Media Suicide: A Dissection of the Applebee's 'Strategy'"", "Applebee's Restaurant Social Media Fail", "Applebee's uses Facebook in response to firing of waitress, creates PR nightmare", "Applebee's Will Close at Least 105 Restaurants This Year", "Applebee's is ditching millennials after they forced hundreds of restaurant closures", "The CEO behind Applebee's reveals how the Dollarita played an essential role in the chain's turnaround", "How the CEO behind Applebee's and IHOP pulled off a shocking turnaround in just a year", "Are Applebee's $1 Cocktails Really a Good Idea? Now were the fifth-largest Applebees franchisee in the country all of a sudden, Rolph said. "Dedicated teams have to be assigned to each. In each he walks straight to the kitchen and talks to the dishwasher. Since 1980, we've been bringing great food and big smiles to Alaska neighborhoods. (Tip: Press Ctrl+F to search for a specific brand.). There have been four key things: Refranchising, capital, technology and culture. Five Star is backed by Princeton Equity Group. When his father, David, and late uncle, Darrel,ran the company asSasnak Management, they become Applebees franchisees with 16 stores in 1998. He said hes still refining his pie business, and he and his staff are working on new concepts as well. Other brands owned by Dessange include Coiffidis and Phytodess. They will discuss which restaurants did well and which did not, how sales are trending in a given month, which locations are in need of repairs or maintenance, and sometimes personal issues regarding employees. [41], As part of the company's marketing campaign and slogan, Wanda Sykes was hired in 2007 to voice the chain's new mascot, the Applebee's Apple. And at No. SSCP is a fully family-owned and operated business which started in Dallas under the leadership and direction of owner Sunil Dharod, a renowned philanthropist and mentor to many, including his son and daughter, both determined to continue the legacy started and continued by their father. By Joe Guszkowski on Aug. 09, 2022 Applebee's will return to a fully franchised model this year with the sale of 69 corporate stores. However, out of all of that cash the average franchisee gets only about $310,000 profit. After considering both sides, taking a slice of Applebee's $4.7 billion yearly sales (via Applebee's) could seem like an opportunity that's too good to miss. If all is well, he will be home by 9 p.m. and, after watching late night news on several networks, in bed by midnight. [45][46], In late September 2017 Applebee's brought back its most famous slogan from the early-to-mid 2000s, "Eatin' Good in the Neighborhood." East Coast Wings + Grill Signs Franchise Agreement to Expand in Clemson, SC, ClearCOGS Unveils ChatGPT AI Operations Manager Live in Las Vegas, Uno Restaurants Strikes Deal To Sell Its Uno Foods Division to Great Kitchens, Celebrate Jersey Mikes 13th Annual Month of Giving in March. For non-personal use or to order multiple copies, please contact In that capacity, Palmer guided the operation from its entrepreneurial beginnings to a full-fledged franchise system. Applebee's has 1,728 franchise and company-operated restaurants in the United States, Puerto Rico, Guam and 11 other countries as of September 30, 2020. And that's before tax and other expenses are taken into account such as a 4% royalty fee to Applebee's. Browse popular restaurant owner contact lists below. Applebees Franchise is a chain of bar and grill restaurants which serve popular American menu including salads, SSCP Management is owned by Sunil Dharod, a Dallas businessman and philanthropist. SSCPs Applebees locations now span from California to Virginia, with its Texas home tucked perfectly in between. We offer detailed franchise research and contact data reports. News Corp is a global, diversified media and information services company focused on creating and distributing authoritative and engaging content and other products and services. Nick knows the ins and outs of the restaurant business like no one else and can analyze an SEC filing, a bankruptcy case and a franchise disclosure document, too. Wisconsin Apple LLC, which last year acquired 29 Applebee's. Hundreds of New Restaurants Are Opening Every Week. Continue reading your article witha WSJ subscription, Already a member? [9] In 1989, Applebee's opened their 100th restaurant in Nashville, Tennessee.[10]. Weve built up an engine that can do acquisitions, he said. Global investment firm KKR acquired Neighborly from Harvest Partners in July 2021. The franchise company that owns 25 Applebee's restaurants in Wisconsin wants to end the bankruptcy case it started last month. That makes a total of 81 Applebees restaurants for Thrive. The Restaurant 200 is roughly 5 percent of the overall restaurant industry revenue. Despite hesitation by some franchisees to participate, the promotions were associated with a major increase in traffic at some locations, and prompted the chain to offer similar promotions later on. At the moment there are 1,715 Applebees franchise [38][39][40], As of December 31, 2019, there were 1,787 restaurants operating system-wide in the United States and 15 other countries, including 69 that are company owned and 1,718 that are franchised. This site uses cookies from Google to deliver its services and to analyze traffic. Where the Restaurant 200 will go next is pretty clear: upward and onward with more capital, stronger cultures and more sophisticated technology. Applebees makes it easy for familyand friends to connect with one another, whether its in a dining room or in the comfort of a living room, Eatin Good in the Neighborhood is a familiar and affordable escape from the everyday. - In currency of the Europe, the investment comes around EUR 1,67 to EUR 6,86 million. Still, thats still only part of the story. That franchise moved to Neighborly in 2018. SSCP and its affiliates also own 46 Sonic Drive-Ins, the Roys Hawaiian Fusion brand and as of earlier this year, the Cicis Pizza brand. What has propelled these massive operations to such astonishing heights? Over 50 of the Most Popular Franchise Parent Companies, Franchise Regulations and Government Action, Franchise Direct Top 100 Global Franchises, Market Trends and Stats About Franchising, instructions how to enable JavaScript in your web browser. The Biden administration is preparing a new program that could prohibit American investment in certain sectors in China, a step to guard U.S. technological advantages amid a growing competition between the worlds two largest economies. Part of Roark Capital Group like CKE Restaurants and Focus Brands, Inspire Brands changed its name from Arby's Restaurant Group in 2018. To keep tabs on everything, the most sophisticated operators turn to technology. Hes the guy that gets the least attention and, in my view, is the most important because if we dont have dishes we cant serve food., While there he samples new menu items, as well as franchise staples like the babyback ribs. The whole creative aspect of our business is one of my favorite parts of our business, said Rolph, who was a film major in college. Thanks for sharing your details, well be in touch shortly. I dont look to get away from itI love it, he explains. In the 1990s Applebee's became one of the largest sit-down restaurant chains in the United States,[11] and it began trading publicly in November 1991. An executive at an AFC Brands . Applebee's is one of the world's largest casual dining brands; as of June 30, 2018, there are more than 1,700 Applebee's franchise restaurants in all 50 states, Puerto Rico, Guam and 13 . It is part of Flynn Restaurant Group which also operates 282 Taco Bells, 130 Paneras, 369 Arby's, 941 Pizza Huts, and 192 Wendy's, making it the largest restaurant franchisee in the US. The key for us is really creating the right leaders inside of our restaurants.. The Mac Tools training program consists of classroom and field-based sales training at our headquarters to ensure that you have all the tools you need to establish and run a successful route sales business. with a friendly service and lower prices than their competition. After he joined in 2002 and took over leadership in 2011, I started wanting to grow.. [13], The acquisition was completed on November 29, 2007,[13][14] after which IHOP Corp. was renamed DineEquity. Applebees restaurants are owned and operated by entrepreneurs dedicated to more than serving great food, but also building up the communities that we call home. To get big, huge franchise systems need to maintain an owner-operator mentality in each unit. He also bought another 20 Applebee's restaurants from Neighborhood Hospitality, with restaurants in West Virginia, eastern Ohio, and eastern Kentucky. In 1989, the company even purchased its current office building on North Rock Road from him. Our mission is to empower veterinary owners and practice managers to reach their goals faster. About Us; Our Brands; . Consecutive year winner of multiple awards: Fastest Growing Franchise, Top 100 Franchise, Franchise 500, and more. For lunch, Tankel tours his restaurants. Applebee's POS Software Maintenance Fee: An annual maintenance fee of up to $1,325 per restaurant is currently charged for the Applebee's POS . Applebee's offers a full range of franchise support including training, site selection assistance, restaurant-design-planning . Family-controlled Dillards has combined share buybacks with keeping costs down, inventory tight and staff engaged with nearly fanatical customers. Dine Brands' new CEO Steve Joyce credited the promotions with having helped influence a major financial turnaround at the company, noting that almost all customers who ordered one also ordered food, and that some customers also moved towards the other cocktails on its menu. Although franchisees have many benefits of an established brand including itsreputation, sophisticated advertising, and access to its financial strength they also have drawbacks such as less freedom to deviate from the brand's direction and frequent royalty payments (via Forbes). Franchise owners also need to ensure they make back the money on their initial setup costs, whichFranchise Directestimates to be between $2,009,201 and $8,266,730. End-to-end digital infrastructure and sophisticated point of sale systems have made it easy to track sales, ticket times, labor and food costs in nearly real time from anywhere with a cell signal. Applebee's is franchised by subsidiaries of Dine Brands Global Inc. [NYSE: DIN], which is one of the world's largest full-service restaurant companies. This copy is for your personal, non-commercial use only. While synergies emerge, each brand still has to operate like its own entity. Since there are so many, he is only able to get to seven on a good day. [44] The band's song "Chicken Fried" has also been featured in a Applebee's commercial; in February 2022, Applebee's pulled its advertising from CNN after an incident where an inappropriately timed split-screen commercial break featured live footage of the 2022 Russian Invasion of Ukraine shown alongside the ad. Owned by private equity firm Roark Capital Group, CKE Restaurants was founded in 1966 with the opening of Carls Jr. Lapels Dry Cleaning formed Clean Franchise Brands by acquiring Martinizing Dry Cleaning, 1-800-DryClean, Pressed4time, Dry Cleaning Station and Bizziebox with equity partner Greybull. "Thats where the challenge lies: How do you maintain operating discipline that is critically important to the small and midsize franchiseehow do you avoid losing that culture to a bureaucratic monster you need to run 600 stores," said Chris Kelleher, managing director at Auspex Capital. Our report consists of ranking companies according to revenue generated by the companys franchised restaurants. SSCP has been a leader in the Applebees system through both innovation and great operations. There are times it gets more stressful than others, but isnt that life?, Apple-Metro Chairman and CEO Zane Tankel runs 36. The reality is that franchise businesses require intense monitoring and a lot of hard work. Operators across the list keep buying restaurants and becoming more and more efficient. franchisees including reasonable initial investments and franchise fees; all important trainings, and constant Its not uncommon for different businesses to be owned by a parent company. Since its foundation in 1983 Applebee's franchise has won several awards including Franchisee of the According to The Grubwire, the average Applebee's restaurant achieves an astonishing annual sales of over $2.4 million. Tankel has no end-of-day rituals to unwind, or put distance between himself and his work. Who Owns Who in Franchising? Its just really helpful to have these here.. Browse 1000s of reports on 1000s of franchise systems. 103 McDonald's 44 RMH Franchise Holdings Atlanta, GA 131 Applebee's 45 Fourteen Foods Eden Prairie, MN 244 Dairy Queen 46BurgerBusters Virginia Beach, VA 153 Taco Bell 10 Pizza Hut $175-$225 Million $150-$175 Million $225-$325 Million 47Sailormen Miami, FL 115 Popeyes 24 Burger King 48*Manna Development Group Encinitas, CA 130 Panera Bread - In Indian currency, the investment comes around Rs 14,61 to Rs 60,14 crores. FOCUS Brands is also an affiliate of Roark Capital Group. Musikantow is listed on an Illinois website as one of the top deadbeat dads. Franchisees are individuals or entities that own at least one franchise business. $ 249 $ 199 Download; Panera Franchisee Owners List. Billed as a glimpse into Teslas future, Investor Day was used as an opportunity to spotlight the companys leadership bench. Applebee's locations in the New York metropolitan region. [1] United States locations have steadily declined in recent years and as of December 26, 2022, there were 1,586 locations. Purchase Price (US$ millions) Owned Since. Setting a culture of discipline within a customer-facing food-service organization is a seemingly never-ending task. Auto franchisor Driven Brands started with the founding of Meineke and Maaco, by different people, in 1972. Shares of Dine Brands, which owns Applebee's and IHOP, surged more than 12 percent Thursday, to $99.49, after the company's fourth-quarter results showed signs of an unmistakable comeback at . This gives Dine - at a corporate level - a . Watch for a few more billion-dollar operations next year. So were always on the lookout, and we try to be patient and look for the right opportunities at the right times.. Our annual Restaurant 200 franchisee research includes questionnaires, phone surveys, and in some cases, a review of public documents such as annual reports, 10Ks and FDDs. Happy hour, which lasts from 4 p.m. to 8 p.m., is a busy time for restaurants and Tankel takes the opportunity to observe his operations in action. "Being a part of Applebee's since 2022, my very first interaction with the brand owners gave me an insight into the brand's history and strength. As such, we routinely review our restaurant owners contact lists to ensure all franchisee contact information is accurate and up-to-date. Sign up to Stock Advisor for $79 for 1 year, Save 15% on orders of $100+ with Kohl's coupon. Luxottica is the worlds largest eyewear company. And that's before tax and other expenses are taken into account such as a 4% royalty fee to Applebee's. KFC Franchise Owners List. In 1986, the name of the concept was changed to Applebee's Neighborhood Grill & Bar. RBI is owned by the following investment companies: 3G Capital (the majority owner), Pershing Square and Berkshire Hathaway. Ranking the top 200 franchised restaurant owners in the U.S. Rolph said his team found what he called a new rhythm inside the pandemic and eventually did both deals mostly while from working at home. The Applebee's concept focuses on casual dining, with mainstream American dishes such as salads, chicken, pasta, burgers, and "riblets" (Applebee's signature dish). Successfully Completes the Acquisition of Applebee's International, Inc", "DineEquity, Form 8-K, Current Report, Filing Date Jun 2, 2008", "Applebee's, Form 8-K, Current Report, Filing Date Jul 16, 2007", "Applebee's Overnight Social Media Meltdown: A Photo Essay", "Big Op-Ed: When Private Comments Go Very Public", "Applebee's social media faux pas a 'learning experience', "Anger Directed at Applebee's Is More Likely to Hurt Than Help Workers", "US restaurant Applebees commits 'social media suicide'"", "Online Petitions Ask Applebee's to Rehire Waitress Chelsea Welch", "Applebee's Social Media Crisis: Should the Waitress Have Been Fired? Franchise Times Flynn tops $2B and Nabs deal of the year The company also operates Terminix, but that brand isnt currently franchising. Ongoing Royalty Fee: 4%. It seems like a major jump for a company to instantly have 42 more restaurants on top of so many already in a total of a dozen states but Rolph said Thrive can handle it. Applebee's franchise and company-operated operations consisted of 1,689 Applebee's restaurants in the United States, two U.S. territories and 11 countries outside the United States as of . Tankel is also a founding director of the Federal Law Enforcement Foundation, a not-for-profit that provides financial assistance to federal and local law enforcement agencies. NextMed said most of its customers are satisfied. That makes a total of 81 Applebee's restaurants for Thrive. Tony Ressler, Grant Hill, [1] Steven Price, Rick Schnall, Sara Blakely, Jesse Itzler. All Rights Reserved. If there are any big anomalies, my next call is to Neesha Seervai, our chief operating officer and director of operations. Dine Brands Global, Inc. through its subsidiaries, franchises restaurants under the Applebee's Neighborhood Grill + Bar brand and the IHOP brand. But factoring in monetary expenditures such as the significant initial investment requirements, what are the financial rewards of operating an Applebee's franchise? Operators like Tom Garrett at GPS Hospitality (No. The family influence on the business doesnt stop with Chris. Best Life Brands was created in 2019 as the umbrella organization for franchises focused on the well-being of clients at any stage of life.. [citation needed] In 2009 Applebee's changed its slogan again to "There's no place like the neighborhood. 3 on the list, Dhanani group added $229 million to eke into the billion-dollar club. The drinks would serve as a loss leader, with customers subsequently upsold towards higher-priced food products.