How Big is the Customer Demand for Breakfast Franchises?

The Huddle House breakfast franchise is part of an $84.4 billion industry

Restaurant owners over the past several years have come to the realization that breakfast food is in high demand. According to Technomic Inc., a restaurant research firm, breakfast food sales grew to $84.4 billion in 2012 with no signs of slowing. The Huddle House breakfast franchise has specialized in breakfast food for more than 50 years and continues to tap into this sizable market.

The 24-hour, Southern-inspired family restaurant and breakfast franchise is known for serving affordable, unapologetically homestyle food in a warm, friendly environment. Huddle House locations are often beloved gathering places in their communities, places where residents and travelers can get breakfast, lunch and dinner any time of the day or night. With 400 units open or under development in 21 states, the 50-year old franchise is growing well beyond its original core market in the Southeast and into markets in the West, Midwest and Northeast.

“Breakfast food is increasing in popularity, and there are few competitors in the space,” CEO Michael Abt says. “Huddle House serves breakfast items 24/7, and breakfast food makes up more than 60% of its revenue. This is important because breakfast foods cost the franchisee less and typically have a higher profit margin than lunch and dinner menus.”

Serving breakfast 24 hours a day, seven days a week is one reason why Huddle House stands above the competition. Not many restaurants serve breakfast as much as we do — when you’re looking for a good homestyle breakfast, you can practically count the brands on one hand.

Another reason we stand out is that we embrace small-town America in a way that no other breakfast franchise does. While the average fast-food franchise looks for markets with 50,000 people living and working within a three-mile radius, our numbers are more flexible. We go where others won’t, and we care about the folks who live there.

“Huddle House also has its own food distribution center, and they only supply Huddle House franchises,” says Rance Reese, a franchisee in Georgia. “When a restaurant has to deal with an outside supplier, sometimes they won’t care as much about quality or delivering a consistent product. Or they’ll run out of things. That doesn’t happen with Huddle House.”

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If you want to learn more about how our 50-year-old legacy brand is growing, please explore our research pages and read franchisee interviews and exciting developments on our blog. You can also fill out this form to download our free franchising report. We’d love to hear from you!