New detail on Wendy’s Australia move
From launch cities to menu secrets, Wendy’s unwraps how the company plans to open hundreds of restaurants in Australia.
National
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What began as a single, pop-up burger shack in Sydney two years ago is set to explode into hundreds of Wendy’s burger chains across the east coast of Australia.
Wendy’s president, international and chief development officer Abigail Pringle told News Corp Australia that Sydney, Melbourne and Brisbane are the first three major cities being targeted to flip the famously square beef patties into the highly-competitive fast food market.
“Ultimately, our brand footprint in Australia will be determined with our master franchisee, tapping into their local perspective and expertise,” she said.
The company is in “active conversations” with several prospective franchisees to take on McDonald’s and Hungary Jacks and their four-decade dominance.
Wendy’s plan to finally follow its American rivals across the Pacific comes after they dipped their toe in the market in 2021 with a one-day event to gauge Aussie interest.
While 40 years behind the Big Mac and Whopper, the free handouts of Dave’s Single Cheeseburger sparked a feeding frenzy in The Rocks and led to Australia becoming a “high-priority” growth market.
“The response was overwhelmingly positive,” the company said in a statement.
It’s arrival will also set up a naming clash with Wendy’s Milk Bar, the soft serve ice creamery that started in South Australia in 1979.
The first Wendy’s location will be key, and the company says they’ve been hosting Zoom meetings with potential partners about franchise models and the possible purchase of new land. Whether the real estate footprint will be large enough to include drive-thrus or just diners, hasn’t been decided.
In 1971, McDonald’s opened its first store in the Sydney suburb of Yagoona. That same year, Hungary Jacks, rebranded from its original US name Burger King, opened its first digs in the Perth suburb of Innaloo.
Wendy’s, however, was only established two years earlier in 1969 when the world was preoccupied with that giant leap for mankind, the Balmain Tigers’ grand final win.
Created by founder Dave Thomas in Ohio, Wendy’s comes to Australia as another“challenger” brand like Carl’s Jr, which opened its first store in 2016, and Five Guys, which arrived in 2021.
The difference for Wendy’s is it’s looking to expand into Australia amid the country’s cost of living crisis.
“Rising costs have understandably had an impact on everyone around the world,” Ms Pringle said.
“Based on our market research, we know Australian consumers are craving fresh, high-
quality, great tasting, food at affordable prices and that’s what we plan to give them, Wendy’s will position as comparable in quality to ‘better burger’ brands, with pricing comparable to traditional fast-food competitors,” she added.
“Wendy’s is a challenger brand, and we believe there is space in the hamburger category to offer something different.”
That something different will come down to what’s on the menu. Every burger chain has its secret sauce, and Ms Pringle believes Wendy’s will be in its local produce.
“We plan on using local ingredients sourced in Australia wherever possible to ensure we provide high-quality food that Wendy’s customers can expect,” Ms Pringle said.
Interested in opening a Wendy’s franchise? Here’s what you need to know.
CAN YOU OPEN A SINGLE-RESTAURANT FRANCHISE?
No. In Australia, Wendy’s is looking for investors who can develop a “substantial network” with a minimum number of restaurants. Single-unit franchisees are only offered in the US and Canada.
WHAT ARE THE COSTS?
Apart from the cost of land, design, construction and staffing, franchisees are expected to pay a one-time development fee for each location plus monthly marketing contributions, which are essentially royalties as a percentage of sales. Wendy’s does not provide financing.
HOW LONG DOES IT TAKE TO OPEN A RESTAURANT?
Once a development agreement has been signed, it typically takes between nine to 12 months to open a Wendy’s in a new market.
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