Five Guys Burgers and Fries: Ingredients for Success

Five Guys Burgers and Fries: Ingredients for Success

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 Five Guys Burgers and Fries: Ingredients for Success:

For the purpose of this assignment “Five Guys Burgers and Fries: Ingredients for Success”

will be the topic of research. Five Guys Burgers and Fries has been a favorite in Washington DC

area since its initial opening in 1986. This paper will discuss various points behind this company

including practices and beliefs leading to the success of this globally known burger joint.

About Five Guys Burgers and Fries

Jerry Murrell and his sons opened their first burger joint in 1986. (Five Guys Burgers and

Fries - About Us, 2012) Five Guys Burgers and Fries initally opened their very first carry-out

burger joint in Arlington, Virginia. Jerry and his wife Janie Murrell offered their four sons an

altimatum, “start a business or go to college” (Five Guys Burgers and Fries - About Us, 2012).

After some thought and discussion the family decided that the business route

was the way to go.

Under the direction and guidance of Jerry and Janie Murrel the first

burger joint was opened offering a very simple menu including basic burgers
.
and fries. The ingredients consisted of hand-formed burgers cooked to
JERRY MURREL FOUNDER: FIVE
GUYS BURGERS AND FRIES
perfection complimented with fresh-cut fried potatoes cooked in 100% pure

peanut oil. (Five Guys Burgers and Fries - About Us, 2012)

By 2002 Five Guys Burgers and Fries had expanded to include five

restaurants in northern Virginia, and ventured into the selling of the franchise
as well. Today, Five Guys Burgers and Fries have 570 stores throughout the United States and

Canada, with an average of 4 new stores being opened every week (Welch, 2012)

Five Guys Burgers and Fries Philosophy:

Five Guys Burgers and Fries business philosophy

sets it apart from other fast-food chains by offering quality

ingredients, plenty of options, and honest marketing plans.

Quality: Five Guys Burgers and Fries philosophy of quality

of offering only quality products for its customers has been a

belief from its simple beginnings. Five Guys beef is 80

percent lean, never frozen, requiring the processing plants to be so clean that you could eat off of

the floor. Fresh made buns are toasted on the grill, Jerry Murrell states that bun toasters are

faster and cheaper compared to the grill process, but the toasters do not give you the caramelized

taste. (Welch, 2012) Five Guys uses potatoes produced north of the 42nd parallel in locations that

allows them to grow during the day, and cool during the night allowing them to keep their richest

nutrients and dynamic tastes, principles as these do not come cheap. But, the fact that Five Guys’

Burgers and Fries decided to make their food only out of fresh products, regardless of the cost,

indicates that their target customers are people that care about quality and taste as well, Jerry

Murrell’s focus on “Don’t cut corners, but the best is priceless” is one contributor to Five Guys

Burgers and Fries success. (No Author Listed)

Plenty of Options: The customers have the opportunity to customize their order to their

own personal preferences; there are over 250,000 possible ways to order any burger at Five Guys

Burgers and Fries without any extra charge. Five Guys has the reputation as “The Place to get a

fresh, juicy burger with all the toppings you could stuff between fresh-baked buns.” (Five Guys

Burgers and Fries - About Us, 2012)

 Honest Marketing Plans: Jerry, and his sons have operated Five Guys with the plan of

honesty towards their customers from the day they opened the doors on the first day of business.

Displaying simple signs of truth around their facilities including phrases such as: "If you're in a

hurry, there are a lot of really good hamburger places within a short distance from here” referring to

the policy of no drive-through, and an additional 22 foot long banner that stated ABSOLUTELY

NO DELIVERY and hung it in front of their store. Each example has had a positive impact drawing

more customers to the locations. Jerry Murrell states " People thought I was nuts. But the

customers appreciated it. (Five Guys Burgers and Fries - About Us, 2012)

Five Guys Burgers and Fries Original Values:

Five Guys Burgers and Fries adopted its values prior to opening its doors to the public and

have kept these same values as they have continued in operation for the past 30 years. Five Guys

has refused to spend funds in the area of marketing. It has been stated that sometimes the best

marketing is no marketing at all. Jerry Murrell’s view is that the customer is the best salesman for

them. (Welch, 2012)

“Treat your employees and customers right”. (Joiner, 2012)

The value of simplicity remains as a staple to the foundation of the company and franchises.

Examples of such include items as the décor of the store remains simple; based on simplistic red

and white tiles. The company backbone understands the principle that it is a better product that

sells; and not the funds spent on interior or on store workforce uniforms. They believe in going

above and beyond as money is spent on quality food products over glisten and gleam in the

facility.

The company views that every person in the business is important and has value. Murrell has

made sure that employees regard themselves as important individuals with ownership and

accountability. The performance- pay system is incorporated in the business; where if employees
neglect an area of the store; the crew will lose money. They also have started a Secret Shopper

Bonus program, in addition to store-level bonuses. These programs have been incorporated to

validate that Five Guys franchises are up to the Five Guys’ standard of service. There are weekly,

monthly and quarterly programs that will award crew members based on the secret shoppers

reports. (Joiner, 2012)

The other important value is the importance that the company places on customers and

their needs. The burgers are made to order and customized based on customer preference; where

the customer has the option to select from 15 free top quality toppings. Furthermore; it does not

allow for delivery; unlike the other hamburger places in the market they have no freezers installed

in the facilities, just coolers. Nothing is ever frozen. (Five Guys Burgers and Fries - About Us,

2012) The 22-foot long banner located at the Pentagon franchise; where almost every other

restaurant made deliveries; that said Absolutely No Delivery. This decision had a positive impact

on sales; which came as a pleasant surprise, and increased order pickup at an unprecedented rate.

Five Guys Burgers and Fries Factors for Success

Five Guys Burgers and Fries have been in business for the past years. This company has

a history of being successful. The company was able to break even on its very first day of

business and within one year the local press raved that Five Guys Burgers and fries was “the place

to get a fresh juicy burger”. (Joiner, 2012)

Jerry Murrell has claimed that the secret of success for Five Guys Burgers and Fries

includes five individual qualities built into the operations of the company and include; Sell Quality

Burgers, Treat your customer’s right, Give since of ownership to employees, Keep operations

simple and lastly, Minimize Funds spent on marketing. (Crisman, 2012)

 The number one reason behind the success of Five Guys is the quality of food that is the

standard behind their operations. Sell a really good, juicy burger on a fresh bun. Make perfect

French fries. (Crisman, 2012) (B & Burke, 2012)

Jerry Murrell has been quoted as saying, "Treat that person right, he’ll walk out the door

and sell for you". (Crisman, 2012) "From the beginning, I wanted people to know that we put all

our money into the food. (Crisman, 2012)

Five Guys burgers next reason for success is the fact that they attempt to portray a since

of ownership to each and every employee of the company. The idea at Five Guys is that they'd

rather give workers on the spot bonuses to reward superior performance. "All of our employees at

our stores, we pay them good money. I think that's important," he says. "Hire well-paid people

and they'll stay with you. (Joiner, 2012)

Five Guys Burgers refuses to spend money on marketing and advertisement. This company

has stated “A lot of companies put 3 percent of their revenue toward marketing or advertising -- we

collect 1.5 percent from all our franchisees and give bonuses to the crews that score the highest on

our weekly audits”. (Joiner, 2012)

Five Guys Burgers does not spend a single penny on marketing or advertising. Instead of

pouring money into commercials, Five Guys pays for two third-party audits every week at each of

its locations and gives monetary bonuses to the crews that get the highest marks. (Melnick, 2010)

“We believe the best salesperson we’ve got is the customer standing right in front of us,”

Murrell says. “If we treat him right, then he’ll go out and tell everybody about it. That’s marketing

to us.” (Melnick, 2010)

Five Guys Burgers and Fries Ethical and Social Practices

 Five Guys Burgers and Fries along with its subsidiaries have printed the firm belief of

the importance of international labor and human rights standards and are committed to lawful,

ethical and fair business practices.

Five Guys Burgers enforce the ethical policies to ensure the fair treatment of workers

throughout their restaurants and supply chains are followed according to laws.

Besides enforcing compliance throughout the franchising restaurants, Five Guys

Burgers and Fries will require all suppliers to comply with applicable laws within the country of

business. They will assess each of suppliers to ensure that their policies align with our

commitment to lawful, ethical and fair business practices. Five Guys Burgers will seek

verification or conduct audits related specifically to evaluate human trafficking and slavery law

compliance of our vendors at this time.

Closing

This document analyzed several aspects describing aspects related to “Five Guys Burgers

and Fries: Ingredients for Success”. Five Guys Burgers and Fries has been a favorite in

Washington DC area since its initial opening in 1986 and have expanded to a reputable global

franchise. This paper has discussed various points behind Five Guys Burgers and Fries including

practices and beliefs leading to the success of this globally known burger joint.
 Works Cited

B, & Burke, M. (2012, July 18). Five Guys Burgers: America's Fastest Growing Restaurant
Chain. Retrieved October 24, 2013, from Forbes:
http://www.forbes.com/sites/monteburke/2012/07/18/five-guys-burgers-americas-fastest-growing-
restaurant-chain/

Crisman, C. (2012). Inc. Retrieved October 24, 2013, from 5 Reasons Why Five Guys is a Big
Success: http://www.inc.com/ss/five-guys-burgers-and-fries#3

Five Guys Burgers and Fries - About Us. (2012). Retrieved October 26, 2013, from Five Guys
Burgers and Fries: http://www.fiveguys.com/about-us.aspx

Joiner, L. L. (2012, August 2). Five Guys Found Simple recipe for Success: Do it Right.
Retrieved October 24, 2013, from USA Today:
http://usatoday30.usatoday.com/money/economy/story/2012-07-29/five-guys-ceo-jerry-
murrell/56541886/1

Melnick, J. (2010, August). The Runaway Hit. Retrieved October 26, 2013, from QSR Magazine:
http://www.qsrmagazine.com/qsr-50/runaway-hit

No Author Listed. (n.d.). 5 Reasons Why Five Guys is a Big Success. Retrieved October 24,
2013, from Inc: http://www.inc.com/ss/five-guys-burgers-and-fries

Welch, U. (2012, April 1). How I did it: Jerry Murrell, Five Guys Burgers and Fries. Retrieved
October 25, 2013, from Inc.: http://www.inc.com/magazine/20100401/jerry-murrell-five-guys-
burgers-and-fries.html