
The Restaurant Technology Guys Podcast brought to you by Custom Business Solutions · 2026-04-27 · 35 min
Key moments - from our scoring
Substance score
61 / 100
Five dimensions, 20 points each
Barry's Bagels founders Mark Greenblatt and business partner Jim Nusbaum discuss how they've scaled a family-owned bagel shop from Toledo, Ohio into a multi-unit franchise operation. The conversation centers on their distinctive hub-and-spoke model: hub locations (full bakeries with ovens, walk-in coolers, and production capability) serve as production centers, while spoke locations (roughly half the size) receive fresh bagels through daily milk runs and require 10-25% of the capital investment. This structure allows them to penetrate dense urban markets without requiring expensive build-outs or high-rent locations. Beyond real estate strategy, they emphasize owner-operator franchisees, daily small-batch baking to ensure fresh products, comprehensive menu offerings (breakfast sandwiches, lunch deli items, dinners), and robust employee retention - some employees have worked 40+ years. The episode also touches on off-premise revenue channels and catering as non-traditional sales avenues, positioning their expansion beyond traditional restaurant locations into universities, office buildings, and wholesale channels.
Hub locations are full production facilities with ovens and walk-in coolers that bake and store bagels, while spoke locations are roughly half the size retail stores that receive fresh bagels daily from the hub via milk runs, reducing spoke startup costs to 10-25% of a traditional hub location.
Mark states that owner-operators are more committed to the demanding nature of restaurant operations (24/7/365 availability, emergency calls at 3am) compared to passive investors who may underestimate the workload, leading to higher franchisee success rates.
They bake small batches throughout the day rather than baking all bagels in the morning, ensuring customers always receive hot, fresh bagels within a short time of baking, which differentiates them from competitors with single morning bake cycles.
Beyond traditional retail locations, they pursue off-premise wholesale revenue through universities, office buildings, catering, and group ordering arrangements that supplement core restaurant sales and allow growth without requiring premium retail real estate.
They avoid stripping spaces to the studs and instead work with existing infrastructure - such as converting former Verizon or Gray Clips locations - adding only necessary cosmetic work and FF&E to maintain branding and operational efficiency while reducing overall build-out expenses.
Our reviewer’s read on each dimension, with quotes from the episode.
The episode delivers a few genuinely useful operational insights - particularly the hub-and-spoke model reducing spoke location capex to 10-25% of hub costs, and the wholesale/off-premise strategy targeting universities and offices. However, much of the runtime is spent on soft topics (company history, culture, employee tenure stories, college football banter) that add color but minimal actionable learning. A B2B operator learns the model concept but lacks specifics on execution, unit economics, or competitive differentiation beyond product quality.
we can turn a Verizon, a Gray Clips Berry Bagels with, you know, some cosmetic work and some FF &E and get going for, you know, somewhere between, usually between 10 to 25 % of the cost of a hub.
we have found that there are a lot of institutions that want to either consume or resell food but not make it...schools, universities, hospitals, office complexes.
The hub-and-spoke model is genuinely interesting and addresses a real franchise pain point (capital efficiency in dense markets), but it's not entirely novel - similar approaches exist in ghost kitchens and multi-unit franchise systems. The wholesale-to-institutions strategy is solid but fairly standard in QSR franchising. Most other discussion (owner-operator selection, employee retention, product quality) repeats well-worn franchise orthodoxy without fresh angles or counterintuitive thinking.
we want to work with what's already there to minimize build out costs as much as possible while still maintaining the integrity of our branding
we aren't content with just waiting for people to come in the store...we're going to provide these other revenue streams
Mark is the second-generation owner-operator with 50+ years of family business experience and visible operational depth; Jim is an in-house counsel turned franchising executive with relevant corporate experience. Both have actually built and operated the system, not merely advised on it. However, neither has scaled to a massive multi-state footprint yet (109 units in 7 states is respectable but not enterprise-scale), limiting their ability to speak to challenges at much larger scale.
My father Barry started in 1972...I came on permanently in the early 2000s...Took over permanently in 2008
I'm kind of a recovering lawyer...represented businesses...Went in as in-house counsel to a business that had a very similar structure to a franchising system
The episode includes some concrete numbers (109 units in 7 states, spoke capex at 10-25% of hub, 1972 founding, 40-50 year employee tenures, University of Dayton and University of Michigan as specific wholesale examples). However, critical details are missing: no revenue figures, no unit-level economics, no specific margins, no customer acquisition costs, no franchisee failure rates, and vague descriptions of franchise fees and royalties. The off-premise revenue contribution is mentioned but never quantified.
we do have a hundred and nine stores either open or under development in seven states
somewhere between, usually between 10 to 25 % of the cost of a hub
Jeremy asks reasonable setup questions and follows some threads (site selection, hub-and-spoke, wholesale strategy), but rarely pushes back or dig deeper. Most follow-ups are surface-level confirmations rather than probing for evidence, trade-offs, or challenges. The hosts avoid difficult questions about franchisee performance, failure rates, competitive threats, or unit economics. Significant airtime is spent on tangential banter (Ohio State vs. Michigan, personal anecdotes about Texas bagels) that displaces substantive inquiry. A sharper interviewer would have pressed on how franchisees actually execute, what most fail at, and why the model works where others don't.
Well, and I think the thing that I love about your guys' offer is just that they've almost got a built-in sales base
Yeah, so I must ask the question, Ohio based brand going into the University of Michigan, are you Ohio State fans? Are you Michigan fans?
Computed from the transcript - who did the talking, and the words that came up most.
Transcribed and scored by The B2B Podcast Index.
Jeremy Julian - Restaurant ...: Most people think that success in the restaurant world means having a huge location, tons of employees or a secret recipe. But what we learn from this guest is a much leaner, smarter approach to scaling the franchise model. Bagels ⁓ some pretty innovative ways that they have ⁓ able to scale with this hub and spoke model.
I'll talk ⁓ today's episode with Mark and Jim. Jeremy Julian - RTG: Welcome back to the Restaurant Technology Guys podcast. I thank everyone out there for joining as I like to say each and every time. I know you guys have lots of choices.
it's, I'm grateful that you guys get to hang out with us. ⁓ These are some really cool stories. I love bringing you guys founder led stories or stories of brands that are kind of, you know, do really good work and kind of learn what makes them tick and where they're at. And so it's always fun for me.
Mark: you Jeremy Julian - RTG: selfishly as I travel, it's always cool when I get to go walk into one of those brands I had on the show or I get to run into somebody at a trade show. so ⁓ we're meeting ⁓ the team from Barry's Bagels. so ⁓ I'm gonna let you introduce Barry's to the team yourself, I guess, where did you come from? And then can introduce your business partner, Jim, and we can get rolling on the conversation.
Jeremy Julian - Restaurant ...: Jim is the son of the founder Barry. Mark is his business partner and they've learned how to take a brand from a small family shop in Toledo and grow it and really have some fantastic product that is going out and impacting different markets. They also talk about their hub and spoke model and how it helps them to find non-traditional ways to sell their product including Mark: For sure.
Yeah, my name is Mark Greenblatt. Owner of Berry Bagels. My father Barry started in 1972. We're located in Toledo, Ohio.
He came from Detroit, Michigan. Had a little bit of a background in food. Came to Ann Arbor, Michigan, actually, to follow my mother. Was going to Eastern Michigan at the time.
Jeremy Julian - Restaurant ...: with different universities, different office buildings, and their off-premise wholesale channel really changes the way that you can ⁓ top line sales as well ⁓ ⁓ to grow your business in non-traditional ways ⁓ fill up your pipeline from both a production perspective as well as a sales perspective before you ⁓ open your doors. They a ton about ⁓ the that they've thought about things and how they've kept consistent ⁓ product. Mark: Worked at a bagel shop, very much enjoyed it, decided he wanted to do his own thing.
Came up to Toledo looking a few other ⁓ random ⁓ to if that's where wanted to be. But like the proximity of Toledo with family, came up with gentleman who he had worked with and ⁓ they started ⁓ called The Bagel again in 1972. ⁓ Jeremy Julian - Restaurant ...: and quality as they continue to grow.
If you don't know me, my name is Jeremy Julian. I'm the Chief Revenue Officer for CBS Northstar. If we wrote the Northstar PwnSL solution for multi-units, please check us out at cbsnorthstar.com.
⁓ now onto the episode. Jim Nusbaum: I ⁓ Mark: operated for a couple years. gentleman, ⁓ partner, Peter, was 10 years older than him at the time and really didn't want to go any further beyond that. So my father bought him out and ⁓ started, changed name to Berry Bagels, proceeded to open up multiple locations in the Northwest Ohio, Michigan area.
I on, let's see, probably in the, ⁓ I working through high school, went to college for a little while, came on permanently in the early ⁓ 2000s. Actually much working with my dad. We had a great ⁓ and decided it was something that I wanted to with. Took over permanently.
In 2008, decided we wanted to ⁓ a little further outside of our reach at a couple sisters that were in the Cleveland area. We were very interested in opening in Cleveland, found a couple locations that we liked in around probably 2010, 2011-ish. ⁓ And we both ⁓ that neither us wanted to move to Cleveland. we thought one of the other one would the time, but, also realized that our stores run very well because we were both operating them ourselves, but wanted to continue to expand ⁓ our and then realized that maybe franchising would be the next great step.
I reached out a friend of mine, Jim ⁓ Nussbaum, who was our call today Jeremy Julian - RTG: Okay. Mark: Ask him if he'd be interested in possibly looking at something with us and subsequently ⁓ did ⁓ I'll let him ⁓ the story over from there. Jeremy Julian - RTG: Yeah, Jim, tell me a little bit about your background before you came and hung out with Mark, because it sounds like you guys knew each other prior to you working together, now you get the privilege of hanging out more regularly.
⁓ where's background come from? Tell me a little bit about your background ⁓ and you, I guess, even encountered the brand, and then ⁓ where you've at since then. Jim Nusbaum: Sure, no thank you and thank you for having us. Yeah, Berry started in 1972.
I like to tell people I was probably one of the first customers, a little younger back then. But this is actually my second time employed with Berry's. My first was as a 15 year old in the back cutting onions and taking out the garbage. Berry took mercy on me and gave me a job when I was in high school.
I then went to Mark: you Jim Nusbaum: College and law school, I'm kind of a recovering lawyer. did a lot of, yeah, well, I sort of hold it against myself. And did a lot of corporate work, corporate formation, represented businesses. Went in as an in-house counsel to a business that had a very similar structure to a franchising system.
That business got ⁓ and I became free agent. Jeremy Julian - RTG: We won't hold that against you. Mark: Okay. So.
Is this too loud? ⁓ Jim Nusbaum: And right around the time when Mark and Barry had really made this kind of internal decision to expand, the three of us knew each other very well and we had very complimentary skill sets, we thought and think it made sense for us to sort of join together to grow the brand this way. And so we came and formed a holdings company and with the charge of growing the brand through franchising. that's.
⁓ and now yes i i spent a lot of time with mark which is great business partner great you know he's the brand and and that's that what him and that is that built something special and i'm i'm glad to be a part it Mark: I'm sorry. All right. Jeremy Julian - RTG: I love that. Mark, talk to me a little bit about kind of the inception.
Where did bagels come from? And it obviously you were, you know, ⁓ I'm guessing much younger, younger when, when dad started it, but I'd love to kind of talk a little bit about, know, I think about bagels. I'm part of what I was excited about is, is, I love a good bagel. ⁓ Unfortunately, never really been a, ⁓ I don't say there's been, you know, I guess the bagel brands out of, ⁓ out of Denver is the only one that I can think of that even has.
Mark: Thank Thank Okay. Jeremy Julian - RTG: a footprint kind of beyond a local bagel shop. And so I love the idea of kind of spreading the love of bagels out. You know, you get a lot of donut shops that are nationwide or those kinds of things, but bagels really haven't, in my opinion, there's not anybody that really owns the space other than your local corner bagel shop.
I'd love to talk through kind of even the inception of where it was at. then as you guys got to the second and third stores, what makes people kind of want to come back in and make sure your guys' brand kind of different, special, you know, whatever. other than having a bunch of 15 year olds in the back cutting onions like ⁓ said ⁓ he started years ago. Mark: Right, right.
Yeah, know, bagels, you know, it's interesting. And you're right. We hear it all the time that, you know, geez, you got to come to this city. There's no good bagels here, whatnot.
And yeah, I'm biased. I think our our products real good. We boil and bake them. It's sort of the the old school, you know, everyone I think believes bagels came East Coast, you know, New York style, where again, yeah, there's a water boiled Jim Nusbaum: Thank you.
Mark: you know, fresh dough, drop it in the water, boil them, throw them in an oven, bake them, finish them off. You know, that is what we do. ⁓ know, the East Coast bagels, a little ⁓ a little harder on the outside. We've softened them up over the years to of put our own little unique twist on them.
You know, what... What we offer, guess a little different than everybody else. know, most bagel shops are sort of just bagels and cream cheese and, you know, get in, get out and open first thing in the morning, close two o'clock. That's it.
You know, we do offer that. We you know, significant breakfast. We do like the egg sandwiches on the bagels, which are, you know, quite delicious, bacon, sausage, cheese, whatnot. And then, you know, we do a a very large lunch.
beef, is, ⁓ know, ⁓ of our top two sellers. Turkeys, roast beefs, all the deli meats, smoked salmon, big deal for us. All the cream we make fresh. You and then we you know, dinners, soup salads, whatnot.
We try and stay open as late as possible and give you all three meals for ⁓ Jim Nusbaum: you Mark: know, families and whatnot. So, you know, we think we provide something a little more unique than the, you know, local corner bagel shop. you know, we to try and bring it to every city the country and hopefully we can. Jeremy Julian - RTG: I love that.
Well, and funny enough, there's, live in a small little town in, in Texas. And there's a guy that actually he was, ⁓ he is also recovering large gym who couldn't find a good bagel shop. And he's from the East coast and he literally went and just went super nerdy and figured out how to go build bagels, ⁓ like make bagels and him and his wife, I'll put a bagel shop in the pandemic. And Mark: Okay.
Jeremy Julian - RTG: they're doing really well and they're open five days a week. But it's funny because he kind of did the same thing. was like, you know what, I can't find a good bagel. I've actually talked to Dan because Dan's bagels and Dan's is like, you know what, I really was wishing that I could just find a good bagel, but in DFW it was a 30 minute drive to find a decent bagel, not even a good bagel.
And so he and his wife... Mark: Great. Jeremy Julian - RTG: super nerded out and they're doing really well and I'm happy to call them friends ⁓ ⁓ here in town. But I think to your point, it's hard.
⁓ takes a lot of work ⁓ ⁓ do it well and it sounds like you guys have even pivoted. ⁓ talked a little bit about the East Coast Bagel and ⁓ you guys have done to continue to pivot to meet both consumer demands as well as ⁓ own taste profiles, I guess. Mark: Yeah. Sure.
it's, bagels seem to be having a little uptick in, know, it's a little more popular these days and we love it. You're hearing about it a little more and, you know, the more the merrier. We're happy that bagels are hitting the mainstream. Jeremy Julian - RTG: Love that.
Jim, talk to me a little bit about, you and I talked kind of pre-show before we hit the record button. One of the big things that, ⁓ again, I know a lot of people struggle with, especially, which is kind of the state of our industry ⁓ the pandemic is site selection. ⁓ know, I know, you know, after 30 years in this business, site selection and being able to ⁓ out a store ⁓ that you have the right amount of square footage, but not too much, because you're paying for too much, you you got to sell more.
⁓ if you have too little or you don't have the right Mark: you Jeremy Julian - RTG: location, you don't have the right ingress and egress and the right parking. and I talked a little bit about the fact that you guys have found a way to ⁓ ⁓ the franchising model. I'd love for you to talk a little bit about that because it's been really cool. had a previous guest from Rita's Italian Icon.
Mark: you Jeremy Julian - RTG: ⁓ a few weeks ago and he and I were talking about the fact that they're taking old bank buildings and turning them into Aritas and they're taking some different non-traditional locations. I'd love for you guys to kind of talk through what's an ideal location and how have you guys helped some of the franchisees to find the right location to be able to offer your guys' product into the space. Mark: you Okay. Okay.
Jim Nusbaum: Sure. yeah, obviously, you know, everyone needs to be, you want to be sensitive to a couple of things. One is we want to create locations, which is kept an obvious, right? I mean, the correct side of the road and ingress, egress, and all of the things that make a location great.
Secondary to that, but also very important is, you know, we have decided at least strategically, we aren't going to ⁓ reinvent wheel ⁓ relative the interior of these spaces. Mark: Okay. Jim Nusbaum: And what we mean by that is, you know, if I'm not trying to pick on Wendy's, they certainly are successful. But if I blindfolded you and dropped you into a Wendy's, you would have no idea where you are.
It would look the same. You know, it's, and again, that's their strategy and it's fine. We're a little different. We want to work with what's already there to minimize, you know, build out costs as much as possible.
Mark: you Jim Nusbaum: while still maintaining the integrity of our branding and our operational efficiency. So we will use as much as we can in the current space to, you know, do those two things. And so we're not going to strip it down to the studs unless, you know, it just has to be done that way. But the second thing we do is, you know, we start off, we really focus on multi-unit development.
And so the first store in a region is going to be what we call a hub store where we bake. Mark: you All right. Jim Nusbaum: and we store bagels and we have a walk-in cooler, freezer, and oven, and all the things you need to do to produce. And it's also a retail store.
That store, just by definition of the equipment and necessary HVACs, is to be our pricier of the two footprints. from there, we're going to build spoke locations, which are probably half the size of the hub location. ⁓ ⁓ don't bake there. And what we do is we take bagels throughout the day and kind of milk runs from the hub to the spokes.
you know, we can turn, because we're not baking, we can turn a Verizon, a Gray Clips Berry Bagels with, you know, some cosmetic work and some FF &E and get going for, you know, somewhere between, usually between 10 to 25 % of the cost of a hub. It's a great way for us to get in very dense. Mark: you Jeremy Julian - RTG: Well. Jim Nusbaum: areas because now we don't have to be afraid of high per foot rents.
a great way to build out efficiently and it's a great way to smooth out capex costs for hubs over multiple locations. So we think it's a pretty good model. sensitive to franchisees who want to build out multiple locations but also were sensitive to their capital needs and requirements ⁓ and far so good. And again, we make sure the bagels are fresh.
That's sort of the first commandment, right? And so we make sure we deliver them and do all those things. But at the same time, it allows us to back off capital necessary to grow in a market. And I think it's a nice way to be sensitive to ⁓ macroeconomic at this ⁓ Mark: you So Jeremy Julian - RTG: Well, and think like you said, you can get into a smaller space because you don't need, I'm sure permitting is easier because you're not having to deal with all of the permitting.
You're taking a retail store that's just retail and you're just selling products that's already kind of made somewhere else. And so it makes it a lot quicker, easier to get up and running. And I love that idea. I hadn't even considered that.
And that's great that you guys have been able to figure out how to pull that off. Jim Nusbaum: Yeah, so far so good. Mark and Barry really figured out how to pull it off here in Toledo. We've, I think, been able to do a nice job exporting it to different franchise territories.
And ⁓ our brand's to be as successful as our franchisees are, and we're very cognizant of that. And so we want give them every opportunity ⁓ and every to be successful, and this is one of the ways we do that. ⁓ Mark: you you Jeremy Julian - RTG: Awesome. Mark, talk to me a little bit about the culture and kind of how you guys have been able to not just export the culture, but ⁓ I'm sure ⁓ business, you you've been in stores for much of your life.
I'm sure there's lots of people that come in and kind of are on a regular basis. How do you export not just what you believe, but you're now out in franchises, you know, Mark: Sir. Jeremy Julian - RTG: talked about ⁓ bagels and all of that kind of thing. ⁓ part of it.
Being ⁓ the forefront of the brand and talking to people. There's lots of things that you have to do to be successful, especially as you get out of your core markets. I'd love for you to talk a little bit about how you export that ⁓ to these different regions. Because when it was family, a little bit easier.
⁓ that it's not family and you guys are getting beyond that and getting outside of your ⁓ geography, ⁓ would you give our listeners that are in that place? ⁓ have you found to be successful? Mark: Yeah. Jim Nusbaum: Ahem.
Jeremy Julian - RTG: you most important roles as you're going out and looking for franchisees and watching them continue to grow. And to Jim's point, you're only going to be as successful as they are. So how do you make sure that that happens? Mark: you Yeah, you know, it's tricky and you're right.
The success we've had here to try get it to translate ⁓ outside of the what we've been telling people and we're pretty specific about who we look for in franchise ⁓ ease. know, first and ⁓ we want owner operators. I think that's very important. You know, as I tell these people when we interview them, you know, it's not a hobby.
⁓ If you think you're going to open the doors and cash going to come flying in, ⁓ you you don't know the restaurant business. It's, as know, seven, 365. I give each one of when they sit down and I try and give them, I give them the good. Jeremy Julian - RTG: Mm-hmm.
Mark: you know, the prospective franchisees, I give them the good and there's so much good, right? And I give them, you know, I don't want to call it the bad, but I'm a realist and I give them the heart and I them the same story every time. ⁓ it's what told my wife when we were dating. said, listen, ⁓ you know, got a, I've got a good gig going.
But, you know, the same time, I'm going to get phone calls at Jeremy Julian - RTG: hard. Mark: three in the morning that the walk-in freezer is at 40 degrees and the phones ring. And when we're on, if we're on vacation, the phones ring and answer them. And, ⁓ know, like you said, it's 24 seven, 365.
If ⁓ can handle that, we can do a lot of fun stuff, you know, but if you're not a part of it, it's, tough. It's, it's demanding. ⁓ And again, you know, owner operators, that's what we look for. And ⁓ you know, I think I, I try and show them that, you know, obviously treat your employees great.
We I've been fortunate. I actually just had another employee. I think we were looking, it's now my seventh employee that just turned 40 years working for us. You know, and we started in 1972.
So that's a pretty good chunk. I've got another, got another Jeremy Julian - RTG: That's incredible. Mark: couple that are going to hit 40 years a year. I've got a few that are going hit 50 years pretty soon, one that's over 50 years, and ⁓ handful are well over 30 years.
So ⁓ treat your good. Tell the employees, treat them how ⁓ you expect them treat the customers and, you know, show it as a family. run it as a family-owned business, put that out there. Customers appreciate that.
They want you to converse with them. They want you to make them feel like they're coming in for just more than just food. And that's been successful for us and we're that's gonna translate ⁓ out aside from the fact that we think we a great product. I said, maybe I didn't mention it before.
Again, where we're a little more unique or a lot of bagel shops are just baking, you know, first thing in the morning and sort just letting those ride out. We bake small batches all day long. We want you to have a, I don't like use the word fresh. They're always going to be fresh, but a hot, you know, and a perfect roll right out of the oven.
Maybe not right out of the oven, but within a very short time. little batches all day long. So you're getting a fabulous. know, product consistently.
And so, yeah, that's, you know, what's worked for us to date since 1972. That's what we push on the franchisees. That's what we, you know, strive to get to do and follow up on. ⁓ And hoping the successful recipe moving forward.
Jeremy Julian - RTG: Yeah. I mean, we've talked about, Jim and I talked about site selection and franchise selection is key. Finding the right people, understanding it's, they can't just be a huge fan of the brand that just, I love having very bagels. Like ⁓ need to understand that it's hard.
I was talking to a president of a 30-ish unit brand out of the Carolinas and I was like, Hey, why don't you grow in faster? Cause their product is fantastic. He's like, ⁓ everybody that comes in that's just like, I love Groucho's Deli. ⁓ Mark: game.
Jim Nusbaum: Thank Mark: for sure. Good luck. Jeremy Julian - RTG: They, they, they, you know, they're fine, but they don't really understand how hard it is to run a restaurant. And, and to your guys's point, it's a, it's, it's a lot of work.
a lot of work. It's super fulfilling and it's great when you do it right, but it's also not for the faint of heart. And it's not just cause you love to eat bagels or ⁓ the product innovation. And you got to actually be willing to put in the, ⁓ you know, the elbow grease to get there.
Mark: Yeah. 100 % and yeah, I mean, could we could could I you know, sit there and open up, know, 10 more and you know, everywhere and you know, see how they do I could but you know, I've got I've got great employees and I you know, again, like I said that the tenure that that that they have, so I'm comfortable with, you know, obviously, I can't be more than one place at one time, but these people have been with me and so, you know, they're like pseudo owner operators. So yeah, you open but in a smart way as progress and get better.
But yeah, it's not easy, but they learn it and they understand it and hopefully they're successful with it. Jeremy Julian - RTG: Yeah, yeah, I love these kind of success stories. Last kind of line of questioning, Jim, you and I talked ⁓ kind of again when we were hitting, before we hit the record button about some the non-traditional revenue channels that you guys have been able to figure out. You ⁓ get Hub & Spoke, which I think is really innovative and a really cool way to do that, but you've also...
⁓ shared a little bit of kind of your off-prem, you I don't say strategy, but I'd love for you to talk to our listeners a little bit about that. ⁓ lot of people are trying to figure out the whole catering. They recognize where catering ⁓ move the needle ⁓ whether it's catering or it's kind of off-prem, I know you guys got some unique ways of going about that, but I'd love for you to share ⁓ uniqueness about what you guys do because I do think that that is a little bit of an unlock if you want to be in this business, that you can drive some additional sales in ⁓ ways that I hadn't heard of before ⁓ got on the call.
Jim Nusbaum: Sure, no, happy to talk about it. So obviously, know, off premises revenue, you said, you know, is certainly of high priority for everybody and catering or what we're sort of calling group ordering, you is something that most, if not all brands are either have developed or are working to develop. And we certainly do a lot of it. But ⁓ what we do addition to that, Mark: you Jim Nusbaum: in terms of off premises is we have found that there is a lot or there are a lot of that want to either consume or resell food but not make it.
I'll give you a good example would be a school system maybe that doesn't have a cafeteria or a college ⁓ professional school or office complex. So we push to our franchisees in their territories this idea of what we call wholesale. Mark: Okay. Jim Nusbaum: which is every day we sell fresh bagels for resale and consumption or consumption to schools, universities, hospitals, office complexes.
What that means practically speaking is at six or seven in the morning, the franchisees send, know, well, probably at 4.30 they come in and bake dozens or hundreds of dozens of dozens. And we then Mark: Okay. Jim Nusbaum: deliver them to just do a route and we take them to, for example, our Dayton franchisee does the University of Dayton, our Ann Arbor store does the University of Michigan.
do all sorts of office complexes, school systems, hospitals, you know what it really signals to our franchisees from a value proposition is we aren't content with just waiting for people to come in the store. We're certainly going to do and emphasize driving customer accounts. Mark: you ⁓ Jeremy Julian - RTG: Mm-hmm. Mark: ⁓ Correct.
Jim Nusbaum: right in our four walls and you know it's obviously an area of high emphasis but we are going to provide these other revenue streams and these other opportunities for you to go out our help ⁓ you know get accounts or make contacts or or do anything like that. So the idea is again while those four walls of the store the ability to do off-premises is expanded with our brand and we think it's a value. know, our franchisees and something, you we're excited. Jeremy Julian - RTG: Well, and I think the thing that I love about your guys' offer is just that they've almost got a built-in sales base that can help cover some of that, know, if for whatever reason you don't have the people coming in.
I've had two different people come on the show in the last six months that talk about off-prem and how to maximize off-prem, whether it's B through technology or the sales methods and some of these kinds of things. I love that you guys have got this offer. And clearly, because you've already built out the hub and spoke model, Mark: Yeah. Jeremy Julian - RTG: you've got the ability to figure out how to produce product and get it transported to a place that people can still enjoy it and have a great experience without quality.
the thing that I ⁓ also about it, ⁓ I I'd love for you guys to talk about this before we wrap up, just ⁓ that was probably an awareness thing. ⁓ They're seeing it at the college and they'd never had the bagels, but now they're at this college, they're at this university, they're at this office complex. And I was like, ⁓ I'm home. ⁓ and I see it now it turns into a great marketing venue.
So I guess I'd love for you guys to talk a little bit about that as well. Mark: That's great. Jim Nusbaum: Yeah, I'll let Mark Handel talk about that one. Mark: Yeah, it's, it's perfect.
Yeah, exactly. I mean, University of Michigan, for example, ⁓ you know, we have a store that does it's very successful in Ann Arbor, ⁓ just outside of campus. But do, ⁓ we all the bagels for the university, dorms, the fraternity houses, houses, we also do the hospital systems. ⁓ So yeah, it's like you said, a perfect marketing for us because now these people, ⁓ they've us, we've since, you we've the fraternities and sororities to ⁓ call us cater their organizational events, their philanthropy We're getting the drug reps come to the hospital, they seen us, they've our bagels at the kiosks at the coffee shops.
They're now catering in from the doctors. So yeah, it's perfect. It's aside from the fact that it's a great revenue stream of business for the store. It's picking up additional revenue from these people that don't necessarily get on our side of town in Ann Arbor.
But now they can and now, you know, they can order online and we can bring it to them and it's It's just, it just works hand in hand and it's been fantastic for us. Jeremy Julian - RTG: Yeah, so I must ask the question, Ohio based brand going into the University of Michigan, are you Ohio State fans? Are you Michigan fans? Or you're Bagel fans, I guess, at the end of the day, huh?
Obviously I'm teasing. Mark: Right. Yeah. We're bagel fans.
Yeah, right. Jim Nusbaum: We're divided family on this call. Mark is a, yeah, Mark's a season ticket holder at U of ⁓ and I currently have two children at The Ohio State University. yes, yeah, so we are, we're a house divided.
Mark: Yes. Jeremy Julian - RTG: The Ohio State University, I love it. ⁓ Well, I won't tell you, I've got a good friend who ⁓ is a Michigan State guy and ⁓ about a year and a half ago, I went to Michigan State, Michigan hockey at the Michigan State Stadium and that was a lot of fun. Yeah.
Mark: That's right. Yes. Alright. Jim Nusbaum: ⁓ wow, great.
Mark: ⁓ very cool. ⁓ yeah. They're all great rivalries. Yeah.
And great schools. And great schools. Jim Nusbaum: That's awesome. Michigan State's great.
Yes. Jeremy Julian - RTG: Yes, no, for sure. Awesome. Yeah, no, and I've got a, we've got somebody that works on our team that lives up in Columbus because his stepdaughter goes to the Ohio State University and he actually is a UT guy, from Texas.
And so ⁓ drives him crazy when he walks into places and people have to ⁓ two people to spell the word Ohio, you for him, that's his big joke. ⁓ Yeah. Mark: Yes. Jim Nusbaum: ⁓ We're proud of spelling.
Yeah, we're real proud of spelling here in the Midwest. But yes, it's a, get brainwashed real quick. It's a great school. Michigan's fantastic, but it's, it's a lot of fun.
Mark: Yeah. Jeremy Julian - RTG: Yeah, no, I obviously had to take a couple minutes to pick on you guys, and funny enough that you guys are house divided. us, Jim, I know you kind of head up franchising. What does it look like to engage?
do you get? ⁓ kind of shared a little bit earlier in the episode of what you guys are looking for. I'd love for ⁓ you walk our listeners through if they want to learn more, they want to get, you you guys are looking for, sounds like master franchisees. Mark: you Jeremy Julian - RTG: How far out do you guys go on?
they need previous restaurant experience? Talk through a little bit about what you guys are looking for and how they can engage with the team. Jim Nusbaum: Yeah, so they can engage with us at BarryBagels.com.
⁓ There's a franchising tab and there's a place to send in an inquiry. It actually comes right to me. In terms of what we're looking for, you know, we really do focus on multi-unit developments with a caveat that, you we do the hub and spokes, ⁓ know, to be sensitive to capital needs. I think in terms of previous experience, it's a plus, but not required.
What we're looking for more are people who ⁓ Mark: you Jim Nusbaum: And again, I don't want to get too cliched, but you know, who want to provide service. I mean, people who are comfortable working with the public, people who are comfortable supervising employees. You know, I always tell people, listen, there's nothing wrong with being an introvert. And, you know, that's totally fine.
But this might not be a great fit. And that's okay. You know, we want people who are to learn, but we also want people who have their own ideas that we can also benefit from, you know. Mark: So.
Okay. Jim Nusbaum: our franchisees have come up with some really good innovation suggestions and you know one thing I'm particularly proud of is that we're good listeners. If there's a better way to do something or a new way to do something we'll certainly listen and copy put it throughout the whole brand. But we want people who are going to be good stewards the brand in their community, who want to be involved in their community, who want to be you know, the person who hires high school kids or college kids in their community, ⁓ provides a great place to work.
You know, I think our first duty is to serve our employees, you know, to make sure that they're happy and safe and comfortable and working in a, in a positive environment. If they are, that translates to customer service. if they're not, that also translates to customer service. and then, you know, obviously, you know, the customers in the community, you know, Mark: you Jim Nusbaum: Are you, you know, we want them to be the CEO of Berry Bagels within their market and take that position and, and, you know, be the face of the brand with our support.
And we can teach them the food business, you know, we can teach them, you know, through our training and our support that we can teach them. You know, we've, gotten our operations pretty efficient and easy to learn. We provide a lot of training, but we can't. Mark: Yeah.
that. Jim Nusbaum: train you to be supportive and a good person. All those things. So we want those sort of intrinsic positives with people.
We can train you on the skill set. And I think that's really what we're looking for. Jeremy Julian - RTG: Yeah, I can't change the way that your mother raised you is what I like to say around our business. Awesome.
Mark, what did we miss that you want their listeners to hear about Berry Bagels and kind of the legacy that you and your family are continuing to put out into the world? Mark: I don't know, we covered a lot. Listen, just, boy, I don't know. Fabulous brand.
I've telling everyone I just want to get my dad's name everywhere across the country. Because ⁓ I how it is. And ⁓ I know how he And so I want to. That's what I'm trying to do.
And Jimmy's doing a great job making that come to fruition. hopefully, ⁓ it'll happen. And hopefully, be Barry's everywhere for for everyone to experience. Jeremy Julian - RTG: one last question for you rapid fire real quick what's your go to mark what's your go to item and Jim what's your go to item if they've never been to a very bagel what's what's the number one thing you need to you need to try.
Jim Nusbaum: Marco first Mark: Yeah, I'm a everything bagel, a corned beef, Havarti. That's me. That's what I get. I love it.
Jim Nusbaum: I'll let Marco first. Jeremy Julian - RTG: How about you, Jim? Jim Nusbaum: My go-to, the things you need to try are pastrami and corned beef, are fantastic. My daily go-to is our Eggo, which is a breakfast sandwich.
I get an everything bagel toasted with egg, pepper jack cheese, and bacon. it cures what ails you, no matter what. It's pretty great. But yeah, in terms of things to know, and I mean, Jeremy, for you.
Mark: It's pretty good. you Jeremy Julian - RTG: Awesome. Jim Nusbaum: We are in, you know, we do have a hundred and nine stores either open or under development in seven states. of them happens to be Texas.
We're looking right now in the DFW area actively. ⁓ And we're excited to keep growing and, you know, work with great franchisees and serve great communities. So we're excited about it. Jeremy Julian - RTG: Awesome.
guys for sharing the story. Thank you guys for what you guys have built. ⁓ grateful for you guys coming ⁓ and, our listeners guys, like, like I said at the onset, you guys have got lots of choices. So thanks for hanging out with us.
if you haven't already done so, please subscribe to the show, ⁓ check out buried and see what their offerings are for franchising and make it a great day. ⁓ Jim Nusbaum: Thank you. Mark: Thanks a lot.
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