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Most Restaurant Chains Fight for Space in New York and California. This Chicken Franchise Is Doing the Opposite.

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Why This Matters

Birdcall's strategic focus on expanding in the Midwest rather than costly coastal markets highlights a shift in restaurant growth strategies, emphasizing cost-effective expansion and regional market potential. This approach may influence other chains to reconsider high-cost markets in favor of underserved or more affordable regions, impacting industry expansion patterns and consumer access to new dining options.

Key Takeaways

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Most restaurant chains battle for real estate in New York and California, betting that the crowds are worth the cost. Birdcall, a 17-unit fast-casual chicken franchise out of Colorado, just announced plans to expand to nearly 100 new locations, but it’s steering clear of the country’s pricey coastal markets. Instead, the chain is targeting six Midwestern states over the next five years, led by Ohio (up to 30 locations), Missouri (up to 18) and Wisconsin (10 to 14), QSR reports.

The reason? “You’ve got the density, you’ve got the commuters, you’ve got the community… but you can do it for less,” said VP of franchise development Justin Livingston, contrasting the region with pricier markets like New York, California and even Birdcall’s home state of Colorado.

The chain competes in what Livingston calls the “elevated fast casual” chicken space, known for rotating menu items like its Korean BBQ-glazed K-Pop sandwich and a build for 125 to 150 seats, larger than many competitors that have downsized. Birdcall’s franchisee pipeline skews toward experienced multi-unit operators. About a month after announcing its Midwest push, the chain confirmed its first Indianapolis deal: a five-unit agreement with franchisee Nikunj Patel.