3 Reasons the Breakfast Segment is Hot

And how Huddle House has been ahead of the curve for more than 50 years.

Americans are attached to their breakfast foods, and not just during the morning hours. Breakfast is the fastest-growing food service daypart, and it will continue to grow in the new year, according to NPD Group/Crest food service market research. At Huddle House, we understand the appeal of an affordable, comforting breakfast, having served breakfast to American communities for more than 51 years.

“Seven out of 10 people said they would like restaurants to serve all-day breakfast, according to a National Restaurant Association survey,” said Christina Chambers, Vice President of Franchise Development. “Here at Huddle House we have been ahead of that trend for more than a half-century, serving up hospitality and a full selection of hot breakfast items night and day. Not many restaurants in our space offer this flexibility to meet growing consumer demand.”

Within the franchise space, almost all breakfast brands are growing. Whether you are an experienced restaurant operator or new to the restaurant industry, investing in a breakfast brand like Huddle House is a wise move in today’s market. Huddle House just closed out a great year, posting 25 months of same-store sales increases, opening more new restaurants than the previous few years and expanding into new areas of the country.

Here are three reasons investing in a breakfast franchise is a smart move:

Breakfast is an underserved daypart

Breakfast in general is an underserved daypart with growing demand from consumers, and Huddle House is known for its great breakfast any time of day. Best of all, Huddle House never closes its doors — the inspiration behind our iconic motto “Any Meal. Any Time.” Our customers love that they can order steak and eggs at 5 a.m., have an omelet at 2 in the afternoon or enjoy our signature Golden Waffles for dinner.

Americans love their breakfast, and there are no hard and fast rules as to when breakfast “should” be served. In fact, nine out of 10 (91 percent) Americans say they eat breakfast for dinner, according to a survey by waffle and pancake mix maker Krusteaz, with 56 percent doing so once a month or more often. Families are even more likely to opt for breakfast foods at night, with 67 percent of respondents with children saying they have breakfast for dinner once a month or more.

Huddle House customers are loyal — visit any of our locations early in the morning and you’ll see a large number of regular customers. Often, these guests will visit several times a week and some visit several times a day! They might order breakfast five or six times a week. That simply doesn’t happen with most other food brands, and it works well for our franchise owners.

The breakfast customer is a repeat customer

People are creatures of habit and love to order “the usual” without even glancing at a menu when they go out for breakfast. According to Huddle House research, repeat customers eat at our Southern-inspired family restaurant franchise an average of 47 times a year and spend an average of $1,055 in total.

We strive to make our customers feel at home so they’ll return time after time. Huddle House is the warm gathering place in local communities where people go to celebrate family milestones or meet with friends. Our servers are trained to foster that sense of community, welcoming customers, seating them promptly and making them feel right at home.

Breakfast foods generate higher profit margins than other dayparts

Huddle House Breakfast Food Grits And EggsThe typical Huddle House generates more than 60% of its sales from breakfast items. This is important because the cost of goods sold (COGS) on breakfast items can be much lower than for other dayparts — generating a higher potential profit margin for owners. Owning a restaurant that focuses on breakfast is a smart business move.
With more than 400 restaurants open and under development, Huddle House is growing well beyond its original core market in the Southeast and into markets in the Midwest and Northeast, with development agreements as far north as New Jersey.

In fact, we’re growing so quickly that we recently expanded our franchise development staff to support an aggressive growth campaign designed to significantly increase the number of our locations over the next three years.

The core values on which Huddle House was founded – serving freshly prepared, quality home-style food in a warm friendly environment that brings the community together – are as true today as they were more than 50 years ago.

Learn more about Huddle House

For in-depth details about the Huddle House franchise opportunity, fill out our form to download our free franchise report. You can also learn more by visiting our research pages.