Taco Bell also moved swiftly to redesign the company logo. The old logo, an Hispanic man dozing under a giant sombrero, was replaced by a sparkling bell atop the company name. As Larry Higby, senior vice-president of marketing at Taco Bell, noted in Advertising Age, "Usually when you try to turn something around, you look to develop breakthrough advertising.
But we came to exactly the opposite conclusion: we needed to look more mainstream. The strategy worked. Taco Bell grew rapidly during the early s. By , when John E. Martin took over as president, the chain had 1, outlets in 47 U. A advertising campaign typified the company's mainstream approach. The television spots stressed that Taco Bell offered the same ingredients as its burger rivals: beef, cheese, and tomatoes.
It simply served the ingredients up in a different and, according to the company, more satisfying way. The campaign's tag-line, "Just Made for You," reminded consumers that more than 60 percent of Taco Bell products were custom-made and that no dish was prepared until it was ordered to ensure freshness. Television advertising that year called Taco Bell "the cure for the common meal," a pointed allusion to the staple foods offered by its competitors. New Taco Bell outlets were also different from earlier models.
The traditional arched windows and red-tile roofs were retained but with the addition of exterior stucco. Interiors featured skylights, silk plants, and light-colored wood. New dishes, such as seafood salads and grilled chicken, were added to menus, and drive-through windows became a standard feature. Taco Bell works with its suppliers to deliver great tasting, high quality food. Our food is topped, layered, loaded, melted, and grilled fresh for you, right when you order it.
This means two things. First, you get your food prepared exactly how you want it. And second, it always tastes fresh. In , Taco Bell expanded overseas by opening a restaurant in London, England. Two years later, Taco Bell made widespread pricing and production changes. The resulting lower price of many of the items on the Taco Bell menu forced rival hamburger chains to follow suit.
On the production side, Taco Bell began contracting out much of its food preparation, including the dicing and slicing of vegetables and the frying of taco shells, in order to get the kitchen out of the restaurant. Just-in-time inventory controls were added to all outlets, resulting in reduced overhead costs.
Electronic information systems installed in all Taco Bell outlets cut down significantly on management paperwork. Staff responsibilities changed as well, as Taco Bell reversed the 70 percent kitchen and 30 percent dining room ratio in all its outlets. As Zane Leshner, the company's senior vice-president for operations, commented in Financial World in "We no longer dedicate an awful lot of labor and space to doing things that have no customer value at all.
The streamlining steps enabled the Mexican fast food chain to raise its profits by 25 percent annually during the late s, a time when it was sharply dropping its prices. The company's success, coming when the late s recession led to savage price-cutting and cutthroat competition in the fast food industry, impressed industry analysts. A article in the Harvard Business Review named Taco Bell as the best performer in the fast food industry at the time, surpassing traditional market leader McDonald's.
The authors wrote, "If McDonald's is the epitome of the old industrialized service model, Taco Bell represents the new, redesigned model in many important respects.
To keep customers focused on Taco Bell's menu, the company in introduced a three-tiered value menu. Most products on the menu, from original tacos and bean burritos to cinnamon twists, would be sold at three main price levels: 59 cents, 79 cents, and 99 cents.
In addition, new menu items introduced in included steak burritos to lure dinner customers and a test breakfast menu.
These changes helped the company to achieve 60 percent more sales in than two years earlier. After experimenting with alternative food items, he opened three Taco-Tia his initial attempts were named for his daughter stands between and , which he later sold to his partners.
In , Glen tendered his resignation as Chairman of the Board. The deal was some six months in the making and ended with Glen Bell as a major PepsiCo shareholder and millions richer. In the first international unit opens in Guam, and in Taco Bell replaces its original mission-style restaurants. Drive-thru windows are also installed. This web page does not constitute a franchise offering or an offer to sell a franchise.
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Year of FDD: Franchise Direct's Disclaimer. Sign up here to get the latest franchise opportunity updates and more delivered directly to your inbox. Be the first to know! Fast Food Franchises. Download Full FDD. Fleet Services International, Ltd. Period Franchise Fee 5. Period Marketing Fee 4. Training Materials As established by the franchisor. Irvine, CA Definition: The initial fee paid to a franchisor to join their system What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.
Definition: The total amount necessary to begin operation of the franchise What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company What you need to know: Net worth is the value of a person's assets minus liabilities.
Royalty Fee 5. Ad Royalty Fee 4. Term of Agreement 25 years. Is franchise term renewable? Financing Options Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
Third Party Financing Taco Bell has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll. On-The-Job Training hours. Classroom Training 8 hours. Additional Training Additional training available. Ongoing Support Newsletter. Toll-Free Line. Grand Opening. Online Support. Field Operations. Site Selection.
Proprietary Software. Franchisee Intranet Platform. Marketing Support Co-op Advertising. Ad Templates. National Media. Regional Advertising. Social Media. Website Development. Email Marketing. Operations Additional details about running this franchise. Is absentee ownership allowed? Can this franchise be run part time? Are exclusive territories available? Additional Rankings Curious to know where Taco Bell ranked on other franchise lists? Ranked 1 Franchise Ranking.
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