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Food & Beverageabout 2 months agowww.franchising.com

GoTo Foods Expands Delivery Access Across Texas Through New Multi-Brand Partnership with Favor to Strengthen Franchisee Economics and Guest Convenience

GoTo Foods enhances delivery access across Texas with a new multi-brand partnership.

GoTo Foods Expands Delivery Access Across Texas Through New Multi-Brand Partnership with Favor to Strengthen Franchisee Economics and Guest Convenience
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GoTo Foods has partnered with Favor to expand delivery services for its five brands, covering over 550 locations in Texas. This initiative aims to improve delivery economics for franchisees while enhancing guest convenience and choice.

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Why It Matters

This partnership may compress available delivery options for franchisees, potentially driving improvements in unit economics and customer engagement.

GoTo Foods has announced a strategic partnership with Favor to enhance delivery service access for five of its brands across over 550 locations in Texas. The brands involved include Auntie Anne's, Cinnabon, Jamba, McAlister's Deli, and Schlotzsky's. This initiative, set to begin this summer, aims to provide consumers with more convenient access while strengthening franchisee economics through improved delivery options.

Mike Freeman, the EVP and President of Brands at GoTo Foods, emphasized the growth potential in Texas, stating, "Texas continues to be a key growth market for many of our brands, and this partnership allows us to expand access and convenience for guests while supporting stronger delivery economics for franchisees." The collaboration with Favor is focused on delivering lower commission rates and increased pricing flexibility for franchisees, which may enhance customer frequency and long-term demand.

GoTo Foods' approach indicates a broader strategy of utilizing technology and strategic partnerships to improve operational flexibility and boost unit-level performance. The partnership will allow GoTo Foods' brands to remain active on other major third-party delivery platforms, marking a multi-platform delivery strategy that enhances consumer choice and caters to regional preferences.

Freeman further remarked, "This partnership reflects how we think about growth and innovation across our business. We're focused on building strategic partnerships that improve the guest experience, strengthen franchisee economics and support sustainable long-term growth across our brands." This initiative is expected to bolster the franchise system's overall health and unit economics in Texas.

Looking ahead, the success of this delivery partnership may depend on how well it integrates with existing platforms and supports franchisee operations throughout the state.

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