How to Build a Franchise to Scale from Day One
Döner Haus outlines its strategic approach to building a scalable franchise in a competitive market.
auto_awesome
Döner Haus, known for its Berlin-style kebabs, opened its flagship store in 2023 and achieved $1.9 million in sales in its first year. With over 50 franchise locations under contract and more opening soon, the brand emphasizes building a compliant and profitable franchise model from the start, particularly in New York City's challenging environment.
Why It Matters
The strategy employed by Döner Haus may inform potential franchisees on the importance of establishing a solid operational foundation in demanding markets, which could enhance unit economics and scalability.
Döner Haus, a Berlin-style kebab brand founded by Nikolaus von Solodkoff, aims to expand its franchise operations aggressively after launching its flagship location in New York City's East Village in 2023. The restaurant achieved impressive sales of $1.9 million in its first year and has since opened two more corporate locations. The brand has initiated its franchise strategy, with over 50 locations already under contract across the U.S., of which two have opened, with more set to launch this year.
Von Solodkoff's vision extends beyond establishing a single successful restaurant; he intends to build a nationally scalable franchise. He emphasizes that every major operational decision—from the menu to the supply chain and technology—was made with scalability in mind. He identified New York City as the ideal location for launching Döner Haus due to its high operational challenges, including costly overhead, fierce competition, and complex regulatory environments. “We believed that if we could build a compliant, profitable and repeatable restaurant system in one of the hardest business environments in America, we would have a much stronger foundation for national growth,” von Solodkoff stated.
