Final - cici's - Radford Universitytosmun.asp.radford.edu/Work/Final - cici's.pdf · Hut and...

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Mary Carroll [email protected] Maggie Geary [email protected] Troy Osmun [email protected] Andy Yauss [email protected] Jeff Younger [email protected] Presents

Transcript of Final - cici's - Radford Universitytosmun.asp.radford.edu/Work/Final - cici's.pdf · Hut and...

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Mary Carroll [email protected] Maggie Geary [email protected] Troy Osmun [email protected] Andy Yauss [email protected]

Jeff Younger [email protected]

Presents

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Table of Contents

Executive Summary………………………………………………..

Franchisor Background Information……………………………

Product/Service Description………………………………………

Situation Analysis………………………………………………….

Target Market………………………….…………………………….

Site Location………………………………………………………..

Marketing Strategy…………………………………………………

Recommendation…………………………………………………….

References…………………………………………………………

Appendix A……………………………………………………………

Appendix B……………………………………………………………

Appendix C……………………………………………………………

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Franchisor Background Information

CiCi’s Pizza is the founder of the “red-hot CiCi’s Pizza Buffet concept”

ensuring delicious food at “phenomenally low prices. This restaurant offers a

smorgasbord of “16 kinds of fresh, hot, delicious pizza, pasta, salad and desserts

that can be found at their $3.99 all-you-can-eat buffet. Kids three and under eat

for free!” (CiCi’s). The environment is safe, clean, and very family oriented. CiCi’s

is a growing company that has been in business for over 20 years, and has over

550 operating restaurants in over 26 states. Off all of these restaurants 90% or

516 are franchised (IFA).

In terms of sales and unit growth, CiCi’s has maintained a number one

ranking in 2004 and 2005 as given by Nation’s Restaurant News. CiCi’s was also

given a number one rating by Entrepreneur magazine for the best Italian

restaurant category and they have maintained a first rank position of best pizza

for two years with Restaurants and Institutions Magazine . As a franchisee, this

company has great appeal due to its solid reputation, corporate office support,

and economical start-up costs.

As found on the company website, “average investment for opening a

CiCi’s ranges between $404,400 to $646,400. However, of that amount only

30% must be in cash in order to qualify for a loan for the remainder. An

application to become a CiCi’s franchisee can be found in Appendix B. CiCi’s,

although they do not provide the loan themselves, does work with several

different lenders who will provide the loan if a profile is met. Even if an investor

does not have enough for the initial investment but does have an excellent credit

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record, CiCi’s will attempt to introduce prospects to other potential partners.

CiCi’s collects a 4% royalty on the franchise’s “unit sales for Pizza, beverages

and other products or services authorized for sale.” In addition $2,300 of sales

per month must also be devoted to a general advising fund. When approval is

made for a new CiCi’s franchise location, historical financial information for

corporately operated restaurants and existing franchisee contacts will be

available to construct financial expectations.

CiCi’s Corporate marketing teams advertises and promotes to benefit all

restaurants that operate under CiCi’s name. CiCi’s corporate office works with

the franchise system to increase restaurant sales through detailed Local Market

media plans as well as TV and radio commercials to increase the recognition and

strength of CiCi’s brand. JMC Restaurant Distribution, LP is the approved

supplier for all supplies used in the restaurant. JMC distributes out of three

locations including Atlanta, Georgia, Dallas Texas, and Richmond, Indiana and

only distributes products for CiCi’s Pizza. Since CiCi’s business relies much on

the distribution of JMC’s products, “JMC is dedicated to providing the best

quality, service and price to each restaurant. JMC uses these economies of

scale to obtain lower pricing to pass down to the restaurants” (also found on the

website.) CiCi’s will refer a franchisor to an approved broker to analyze a site for

a new restaurant. However, since a destination for this restaurant has already

been located, approval by CiCi's Enterprises, LP is pending on a representative’s

visitation of the planned site. After approval attorneys may begin negotiating a

lease in which a CiCi’s Enterprises, LP attorney may review (CiCi’s).

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After approval has been given, CiCi’s offers an initial Development

process/training. There are both a Multi-Unit and Single Unit development

training, both of which are demonstrated in the Appendix (Appendix A). The

minimum training period for a franchisee is 11 weeks and the maximum is 6

months. Although there is no guarantee that the franchise will be profitable,

CiCi’s Corporation provides much help for newly founded franchises (IFA).

Product/Service Description

American’s love pizza and dining out. Ninety-four percent of the U.S.

population eats pizza (pizzaware.com) and in a conducted survey among adults

age eighteen to thirty-four, thirty-seven percent dine out three or more times

during the week (Dolliver, Mark). Pizza and dining out seem to go hand in hand,

both are easy, convenient, and a crowd pleaser. Approximately sixty-seven

percent of the American population consider pizza with friends a casual social

evening (pizzaware.com).

“Americans eat approximately 100 acres of pizza each day, or about 350

slices per second” (pizzaware.com). This is one reason for the increased

amount of competition in the pizza market. Roughly thirty billion pizzas are sold

per year in the United States making the pizza market a thirty-plus billion dollar

per year industry (pizzaware.com). It seems as though nearly almost all

Americans eat pizza once a month, the exact percentage is ninety-three percent.

Each man, woman, and child in America, an average of forty-six slices are

consumed per month.

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Due to the intense competition, entrepreneurs must differentiate

themselves among the competition in order to gain an advantage within a given

segment, according to restaurant consultants (Steinberg, Carol). “One Price, all

you can eat buffet” approach has been one way CiCi’s separates itself from

competitors and is a key factor in the companies overall success. With over 500

store locations, they offer a wide selection of pizza made with higher quality

ingredients at a low value, creating a niche in the pizzeria market.

Product freshness and variety can make or break a buffet style restaurant.

Recent changes were made by developing a thicker pizza crust, reformulating its

sauce by making it richer, adding more cheese at a better grade, and by

switching from canned vegetables to fresh ones. Salad and pasta bars have

extended and the quality of their deserts have boosted. “Fresh taste at a great

price” has taken the place of the old slogan, “Best pizza value anywhere”. Craig

Moore, CiCi’s recently appointed president, went a step further by explaining, “It’s

our way of taking the emphasis off price and value and putting the emphasis on

high-quality pizza at the right price” (Silver, Deborah).

Each individual store offers a rotating menu of 16 pizza varieties, a choice

of hot pasta entrees, salads, and desserts. The buffet cost $3.99 for all-you-can-

eat, however, this does not include a drink. For families with children ranging in

age from three to ten, the buffet is reduced to $2.99 for those children. Children

under the age of three eat for free. For $5.99 a customer can call and take-out

for a large one-topping pizza. Take-out this only accounts for six to fifteen

percent of per-unit sales (Siler, Reed Business Information).

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Customers going out to eat not only love a wide variety and selection at

value pricing, but they love to not be bothered by a wait as well. At CiCi’s, the

chance of waiting, and the length, would be considerably smaller than that of its

competition. According to Pat Williamson, former chief operating officer of Pizza

Hut and current CiCi’s franchisee, “The average Pizza Hut had 80 to 100 seats,

while the average CiCi’s Pizza had 170” (PizzaMarketPlace). He also compares

the two pizza ventures by the variety of the selection each offers at its buffet.

CiCi’s offers about triple the choice of pizza that Pizza Hut offers and their

employees work hard in order to maintaining the buffet so they don’t fall short of

that.

Pizza’s are to not to remain on the buffet for longer then twenty minutes

and the salad bar needs to appear fresh at all times. Therefore, constant

attention needs to be paid on what is running low, what is getting cold, and what

needs to be replaced. If a there is a particular kind of pizza that a customer

wants and is not on the buffet, all they have to do is request it and the kitchen will

make it for them with no questions asked. “If someone wants an obscure pizza,

it’s our policy to give them what they want”, said Tom Koenigsburg, 502-units

chief marketing officer (Coomes, Steve).

At CiCi’s, it’s a win-win deal. Customers can stay as long or as little as

they want with out having to wait around for food and the bill to get to you or with

out feeling pressured to get up and leave as soon as you’re finished. If a

customer happens to be in a rush but doesn’t want to go through a drive through,

CiCi’s would be a great option. On the other hand, if the customer feels like

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going out to sit, relax, and enjoy a fresh meal with out having to pay an arm and

a leg, CiCi’s is a terrific alternative.

CiCi’s Pizza chain has become so popular due to its dedication to customer

satisfaction. A family of four can eat for under twenty dollars, leave feeling full

and get a similar experience as though they were at any other sit down dining

restaurant. Their employee’s treat each customer equally important and it shows

with increasing sales from year to year. They provide a lot of seating, with a wide

variety and a low price; presenting a challenge to other businesses in the pizza

industry to compete.

Situation Analysis

CiCi’s has many internal strengths and weaknesses followed by its

opportunity and threats that is faces.

SWOT Analysis:

Strengths

• Many locations available within walking distance from campus • Will pull customers in from other towns • Low priced “hot and ready” pizza • Large selection • Option of take out • 9th largest pizza chain in the US • Children 3-10 are 3.99 • Children under 3 are free • Above average seating area • Hardworking enthusiastic employees • Clean safe and friendly atmosphere • Family oriented • Reported increased sales and store locations year to year • Perfect for college town setting • Low advertising cost • Easy hiring because of college students looking for a job

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Weaknesses

• No delivery • Perception of low price low qualities • Limited selection of food on menu

Opportunities

• Highly competitive area for pizzerias • Team parties for local children’s sports teams • Attract families from Radford and surrounding areas • Expansion to Blacksburg and/or Christiansburg • Strong potential for rapid growth • Increased customer base for CiCi’s Pizza • Increased awareness and recognition • Take away profit from direct competitors

Threats

• Competition with already well established pizza restaurants in Radford • More incoming restaurants, increased competition • Consumers may opt for delivery services instead of coming and parking • Competing with university for students with meal plans • Intense competition in the New River Valley

Our competitors are mainly of the Italian Restaurant variety. Direct

competitors include Mike’s, Papa John’s, Dominos, Pizza Hut, Italianos,

Valentino’s, Sal’s, Highlander Pizza, Fazoli's, Back Streets, Firehouse, Gumby’s,

Pizza Inn, Anthony’s, and Little Caesars. There are other restaurants in the New

River Valley that sell pizza but do not specialize in it like CiCi’s does. Grocery

stores also take away business with their frozen pizza section. Of these

competitors all but two, Little Caesars and Sal’s, offer delivery. However, most

offer more than just pizza. Indirect competitors would include Chinese

restaurants, Mi Puerto, on campus food service, and fast food restaurants.

There is nothing about any other factors that could impact the success or failure

of CiCi’s in the New River Valley.

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Target Market

We feel that a CiCi’s in Radford will be very profitable due to the benefits it

may offer college students and the families of Radford. The target market for a

CiCi’s Pizza in Radford is obliviously going to be tailored to the college students

from Radford University. College students enjoy cheap meals and pizza. From

August to May students will account for much of our business which will probably

result in a majority of the profits coming from out of a student’s pocket. The

second target market for CiCi’s in Radford is the local families. Local families of

Radford and Fairlawn are also one of our major markets as they will also be a

target market. Since the local families live here year round they will be

considered to be a big part of our business. Parents will want to bring their kids

to CiCi’s because it is a cheap meal and the kids will be entertained. Residents

from the outlying areas such as Blacksburg, Christiansburg, Dublin, Montgomery

and Pulaski counties are also part of our market because the areas are close to

Radford.

We do not particularly expect customers to drive more than fifteen

minutes out of their way to visit CiCi’s of Radford. However, we feel as though

the families of Radford and the college population will both provide substantial

revenues for the business. Those visiting Radford for reasons miscellaneous

reasons may choose CiCi’s as their choice of dining because of its convenient

location on Main Street.

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Site Location

CiCi’s Pizzeria will be located at 1000 East Main Street, Radford, Virginia

24141. This location is directly across from Muse Hall. This is the best location

because it is within walking distance of Radford University. It is a closer walking

distance for all on campus students than the walk down to the location of their

parking lots. It is also a close enough walk for all off campus students if they

wish to not drive. With limited parking along Main Street it is a nice

accommodation for the students of Radford University to have a variety of

restaurants all within walking distance from campus.

CiCi’s will be a popular restaurant choice for not only the Radford students

but for all the communities within the New River Valley. Therefore, it will pull in

most customers within 10- 15 miles away.

The size of a CiCi’s restaurant 4500 sq. ft. A freestanding building in

southwest Virginia is $30 per sq ft, which includes the pluming, and electric. Our

rent cost will be $21 per sq. ft. (phone interview).

There are many advantages to having a CiCi’s located in Radford,

Virginia. Such as, it is close to a college campus where students love pizza and

less expensive food, and Radford University is not the only close campus, but

Virginia Tech as well as the New River Community College is both within the

target area. The buffet style eating of CiCi’s will be appealing to all college

students within the area as well as for family’s with young children. The chosen

location is only miles away from Bisset Park which is effortlessly for those team

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parties after sporting events down at the part. CiCi’s also has a pick up service

which will be competing directly with Little Caesar’s “hot and ready”. There will

be few competitors, which include, Pizza Hut lunch buffet however it is more

expensive and not as conveniently placed across from Radford’s campus. It also

has a better selection when compared to the pizza places in the area.

Marketing Strategy

Due to the fact that CiCi’s Pizza is built around the buffet, focus should be

put on marketing the great service of the restaurant and the low price charged for

a meal. The low price and buffet style setting tends to market itself, however

there is no brand recognition for CiCi’s in the New River Valley, so initially some

marketing effort will need to be put forth to get customers into the restaurant. The

price, $3.99 plus tax for a meal, is set by CiCi’s Corporate, so it cannot be

changed by the owner of the franchise, but this will actually help market the new

location, because anyone who has ever heard of CiCi’s knows that the price for a

meal is the same in every location.

One easy way to market to students would be to put a large banner on the

building, advertising the meal price and the number of varieties of pizza on the

menu. This way, whenever students walked or drove by the building, they would

be able to see what CiCi’s is all about. The price for a 3.5 by 19 foot full color

vinyl banner would cost roughly $700 including shipping. This is an estimate

found through the website of printing company KoolPrint.com. Most advertising is

handled by the corporate offices, and each franchise contributes $2,300 of sales

each month to a general advertising fund (CiCi’s.com). CiCi’s Corporate

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Marketing Team then develops and issues advertising and sales promotion

programs each franchise, taking care of television and radio commercials, as well

as 4-color print ads. Television commercials are generally only used in areas

where there is more than one location, and they generate enough sales to

warrant paying for a television ad. Due to the fact that all local television stations

are based out of Roanoke and Lynchburg, a deal might be able to reached

between the two CiCi’s locations in Roanoke and the new location in the New

River Valley, allowing for a television advertisement that markets all three

locations. The Corporate Marketing Team also helps out with direct-mail

marketing, which would be useful in marketing to students, both on and off

campus. Since the Corporate Marketing Team customizes each marketing

program for individual franchises, printing ads in Radford University’s student

newspaper, The Tartan, would effectively reach the target market. The cost to

advertise in The Tartan is roughly $178 for a 3 by 10 inch or quarter-page color

advertisement (Owens).

One issue that would need to be addressed is the hours of operation. This

is generally standardized across each franchise, each opening at 11:00 AM and

closing at 10:00 PM every day. Since the target market at this location is

students, it would make sense to keep the restaurant open beyond 10:00 PM,

especially on weekends, due to the fact that many students eat pizza late at

night. Most likely the store would be open until 11:00 PM on Friday and Saturday

nights, just as the CiCi’s location near James Madison University is.

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Another marketing focus should be marketing the difference in cost and

taste between CiCi’s and the dining halls located on-campus, who are the only

other buffet style establishments besides Pizza Hut’s Lunch Buffet. CiCi’s is

generally cheaper than a meal at a dining hall, and this would definitely be a

main point in advertisements to students. Another way to help market to students

and compete with on-campus dining halls would be accept RU Express. There

are no set up costs or extra equipment costs associated with accepting RU

Express, only a 5% recovery fee of sales earned through RU Express.

To market to secondary markets, such as families with children in the

Radford area, direct-mail might be one of the better options, so they could

specifically target the Radford population. A simple postcard sized mailing with

information about CiCi’s, including menu items, meal price, location, and hours of

operation would effectively advertise the restaurant. These types of direct-mail

advertisements are covered by the monthly contribution to the general marketing

fund.

Should an arrangement be worked out between existing CiCi’s locations in

Roanoke and the new franchise in the New River Valley, local television

commercials would be helpful in advertising to families in Radford.

Advertisements would be placed during the evening news and prior to primetime

to save costs. The cost of 30 seconds of airtime on WSET, Roanoke’s ABC

station, is around $500 between 6:00 PM and 8:00 PM, with the price jumping up

to $1200 during primetime (Johnson). The cost of 30 seconds of airtime on

WFXR, Roanoke’s FOX station, is between $125 to $175 from 4:00 PM to 7:00

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PM, and $250 from 7:00 PM to 8:00 PM, during their largely watched “Everybody

Loves Raymond” hour of programming. For $400 a 30 second advertisement can

be put in a “Broad Rotator” that randomly assigns the commercial airtime during

primetime programming, on random days throughout the week (Dantzler). To

place a 30 second advertisement on WDBJ, Roanoke’s CBS station, CiCi’s

would have to pay between $450 to $675 for a slot during the evening news or

pre-primetime. The cost to place an advertisement during primetime varies by

program, much like the other networks, with prices ranging from $300 for a slot

on Saturday nights, up to $2450 to advertise during CBS’ most watched program,

Survivor. For $675 the advertisement will be put on a primetime rotator, airing the

commercial at a random day and time during primetime (Hankins). These prices

are for advertisements that are designated to air in any time period on any day,

which most local advertisers choose. The prices only go up from there for ads

designated for certain time periods or programs. More detailed information about

the prices for advertising on WDBJ can be found in the appendix (Appendix C).

Recommendation

Based on the information gathered, it is recommended that a CiCi’s

franchise should be opened in the New River Valley, because it will be very

successful in Radford, Virginia. It is a perfect location for the student target

market because it is within walking distance as well as for families, who are our

secondary market because of the available parking area next door. Pizza is a

popular meal selection for both college students and families, and with CiCi’s

buffet and low prices it will be a quick and affordable dining choice for everyone.

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References

1. CiCi’s Pizza Official Website. (2005). Electronic reference. Retrieved on

October 30, 2005. http://www.cicispizza.com/cicis/

2. Coomes, Steve. “Pizza All The Way” Pizza Marketplace (16 Aug. 2004).

Retrieved online on October 31, 2005 from

http://www.pizzamarketplace.com/research.htm?article_id=20224&pavilion

=128&step=story

3. Dantzler, Karen. Sales Department at WFXR. Interviewed by Jeff

Younger. Phone interview. November 28, 2005. (540) 344-2127.

4. Dolliver, Mark, “Poor economy or not, people keep dining out. (Check!).”

ADWEEK, May 19, 2003 v44 i20 p36(1).VNU Business Media. Infotrac.

Retrieved online on December 1, 2005.

http://web5.infotrac.galegroup.com/itw/infomark/249/357/76415741w5/purl

=rc1_BIM_0_A102223425&dyn=9!xrn_4_0_A102223425?sw_aep=viva_ra

dford

5. Hankins, Marissa. Research Director for WDBJ. Interviewed by Jeff

Younger. Phone interview. November 30, 2005. (540) 777-3209.

6. International Franchise Association (IFA). (2005). Electronic Reference.

Retrieved on November 2, 2005.

http://opportunities.franchise.org/Public/FranchisorDetails.aspx?Franchiso

rId=272

7. Johnson, Mickey. Sales Department at WSET. Interviewed by Jeff

Younger. Phone interview. November 28, 2005. (434) 528-1313.

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8. Knuettel, Christian. Loan Officer with Home Loan & Bank. Interviewed by

Mary Carroll. Phone Interview. November 10, 2005. (800) 223-1700 ext.

571.

9. KoolPrint.com (2005) Electronic Reference. Retrieved on November 27,

2005. http://www.koolprint.com/Vinyl-Banners.asp

10. Owens, Kim. Advertising Sales Manager for the Tartan. Interviewed by

Jeff Younger. Phone Interview. November 30, 2005. (540) 831-6051.

11. PizzaMarketPlace.com (2005). Electronic Reference. Retrieved on

November 2, 2005. www.pizzamarketplace.com

12. Pizzaware.Com. (2005). Electronic reference. Retrieved December 1,

2005. http://pizzaware.com/facts.htm

13. Silver, Deborah. “A piece of the pie: as new management takes command,

CiCi's Pizza mobilizes for nationwide expansion.” Chain Leader Sept

2003 v8 i9 p53(3). Infotrac. Retrieved online on October 31, 2005 from

http://web3.infotrac.galegroup.com/itw/infomark/290/608/100820099w3/pu

rl=rc1_BIM_0_A107835314&dyn=3!xrn_8_0_A107835314?sw_aep=viva_r

adford

14. Steinberg, Carol, “Catering to a new market: how three franchisors plan to

carve a unique food niche.” Success, Dec 1996 v43 n10 p81(5). Infotrac.

Retrieved online on December 1, 2005.

http://web5.infotrac.galegroup.com/itw/infomark/249/357/76415741w5/purl

=rc1_BIM_0_A18904919&dyn=3!xrn_18_0_A18904919?sw_aep=viva_rad

ford

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Appendix A

Development Process/Training

Multi-Unit Development Process

•Discovery Phase

• Complete Confidential Personal Profile to include resume and financials

• Interview with Director of Franchise Sales at CiCi's corporate office

• Developer / Internal Due Diligence

• Discover Day / Meeting with CiCi's Senior Management Team

• 2 Day Work Evaluation for Operating Principal

• Interview with President

• Assign Development Territory

• Development Agreement Distributed

• Development Agreement Signed/Fees Collected

• Developer Released to Real Estate for Site Identification

• Begin Training* - 11 weeks minimum training process

Single –Unit Development Process

• Complete Confidential Personal Profile to include resume and

financials

• Phone Interview with Director of Franchise Sales

• Interview with Director of Franchise Sales at CiCi's corporate office

• 2 Day Work Evaluation for Operating Principal

• Interview with President

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• Assign Development Territory

• Development Agreement Distributed

• Development Agreement Signed/Fees Collected

• Developer Released to Real Estate for Site Identification

• Begin Training* - 14 weeks minimum training process

• New Franchisees are responsible for training their own managers

• *NOTE: The Director of Training may require additional training at

his discretion. The training period may vary based on the operating

principal's prior operating experience.

http://www.cicispizza.com/cicis/cicis12.html

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Appendix B

1413 Towne Square Blvd

Roanoke, VA 24012

42.68 miles

2037 Colonial Ave

Roanoke, VA 24015

Total Est. Distance: 46.80 miles

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Appendix C

WDBJ Advertising Rates

TIME PROGRAM SECTION ONE SECTION TWO SECTION THREE SECTION FOURPERIOD NAME FIXED P2 P1 IPMON-FRI5-5:30A CBS NEWS 225 175 125 755:30-7A MORNIN' 390 340 290 1806-7A MORNIN' 415 365 315 2057-9A THE EARLY SHOW 265 215 165 1159-10A LIVE WITH REGIS 250 200 150 10010-11A ELLEN 210 160 110 6011-12N PRICE IS RIGHT 300 250 200 15012N-12:30P NEWS 7 AT NOON 330 280 230 18012:30-1:30P YOUNG & RESTLESS 400 350 300 2501:30-4P SOAP ROTATION 310 260 210 1604-4:30P FAMILY FEUD 320 245 170 954:30-5P MILLIONAIRE 340 265 190 1154-5P FAMILY FEUD/MILLIONAIRE 320 245 170 955-5:30PEN NEWS 7 AT FIVE 625 525 425 3255:30-6PAG ANDY GRIFFITH 575 500 425 3506-6:30P NEWS 7 AT SIX 1050 950 850 6756-7PEN NEWS 7 AT SIX / CBS NEWS 1025 925 825 6507-7:30P WHEEL OF FORTUNE 750 650 550 5257:30-8P JEOPARDY 700 600 500 4757-8P WHEEL / JEOPARDY 675 575 475 45011-11:35PLN NEWS 7 AT 11 1000 900 600 45011:35P-12:40A DAVID LETTERMAN 525 450 375 25012:40-1:40A CRAIG FERGUSON 310 235 160 851:40-5A VARIOUS OVERNIGHT 235 160 85 10

M-SU11-11:35P N/A N/A N/A 375SAT

5-6A FAMOUS HOMES / WALL STREET 160 110 60 108-9A NEWS 7 SATURDAY MORNING 275 225 175 1259-11A CBS SATURDAY EARLY SHOW 275 225 175 12512N-6P VARIOUS SPORTS/SPECIALS 500 425 350 2756-6:30PEN NEWS 7 AT SIX 575 475 375 1756-7PEN NEWS 7 AT SIX / CBS NEWS 550 450 350 1757-8PHI WHEEL OF FORTUNE / PAID 425 325 225 12511-11:35PLN NEWS 7 AT 11 675 575 475 37511:35P-12:35A SEINFELD 345 270 195 12012:35-1:35A SHE SPIES 295 220 145 701:35-5A VARIOUS OVERNIGHT 235 160 85 10

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WDBJ Advertising Rates (Continued)

TIME PROGRAM SECTION ONE SECTION TWO SECTION THREE SECTION FOURPERIOD NAME FIXED P2 P1 IP

SUN5-7A SUNDAY MORNING VARIOUS 175 125 75 257-8A JACK HANNA / ANIMAL ATLAS 235 185 135 858-9A NEWS 7 SUNDAY MORNING 325 275 225 1509-10:30A CBS SUNDAY MORNING 350 300 250 20010:30-11A FACE THE NATION 235 185 135 8511A-12N EBERT & ROEPER / PAID 190 145 95 4512N-6P VARIOUS SPORTS/SPECIALS 600 500 400 3006-6:30PEN NEWS 7 AT SIX 675 575 475 3756-7PEN NEWS 7 AT SIX / CBS NEWS 675 575 475 37511-11:35PLN NEWS 7 AT 11 850 750 650 55011:35P-12:35A BECKER / GEORGE MICHAEL SPORTS 450 375 300 22512:35-5A VARIOUS OVERNIGHT 240 165 90 15

PRIMEM8-9P KING OF QUEENS / MET YOUR MOTHER 1350 1225 1100 975M9-10P TWO & 1/2 MEN / OUT OF PRACTICE 1575 1450 1325 1200M10-11P CSI:MIAMI 1700 1575 1450 1325T8-9P NCIS 1575 1450 1325 1200T9-10P AMAZING RACE 1975 1850 1725 1600T10-11P CLOSE TO HOME 1675 1550 1425 1300W8-9P STILL STANDING / YES, DEAR 1225 1100 975 850W9-10P CRIMINAL MINDS 1450 1325 1200 1075W10-11P CSI NY 1275 1150 1025 900TH8-9P SURVIVOR 2825 2700 2575 2450TH9-10P C.S.I. 2675 2550 2425 2300TH10-11P WITHOUT A TRACE 1600 1475 1350 1225F8-9P GHOST WHISPERER 975 850 725 600F9-10P THRESHOLD 1050 925 800 675F10-11P NUMB3RS 1025 900 775 650SA8-9P CRIMETIME SATURDAY 725 600 475 350SA9-10P CRIMETIME SATURDAY 875 750 625 500SA10-11P 48 HOURS MYSTERY 675 550 425 300SU7-8P 60 MINUTES 900 775 650 525SU8-9P COLD CASE 1725 1600 1475 1350SU9-10P CBS SUNDAY NIGHT MOVIE 1425 1300 1175 1050

M-SU PRIME N/A N/A N/A 675

WDBJ Preemption Guidelines

Fourth Quarter 2005 (September 26 through December 25, 2005) Fixed - Spots designated to air at specific times on specific days. Cannot be pre-empted. P2 - Spots designated to air in a particular time period or program. May be pre-empted with

two weeks notice. P1 - Spots designated to air in a particular time period or program. May be pre-empted with

seven days notice. IP - Spots designated to air in any time period or on any day. May be pre-empted without

notice. Monday thru Sunday rotators must rotate throughout the broadcast week. Cannot pick

days.