International Business Management & Operations
Project: (BUS/MBA 6750, Grade Received: A-)
Pret A Manager Should Expand To Israel and Canada
Pret A Manager (Pret) is not your typical local coffee or sandwich store. Pret operates between a restaurant and an on-the-go type of food store. Sell-by-dates do not exist on the sandwiches, they along with the coffee, are made fresh either in the restaurant or at a facility close by. The coffee which is the top seller is organic and that’s what Pret is looking to sell. Fresh, stylish and an organic life style.
Today on-the-go is crucial for the food consumer business, the consumer wants the product fresh and they want it quick. The price can fluctuate depending on quality over quantity in that respected order. The consumer doesn’t mind if they can’t afford the product, for it all depends on when they want it.
Pret is not a Starbucks or Dunkin' Donuts that offers fast food and cheap with a long shelf life. The success of Pret started in its 1986 opening with a strong bold mission. To create handmade natural foods which avoid chemicals, additives and preservatives for the fast food or unhealthy track. (Pret, 2015).
In 2015 with 30 years in the game Pret has grown its stores to over 350 worldwide shops. Pret now spans over several countries that include the United Kingdom, the United States, France, Hong Kong and Shanghai. They have grown a small healthy movement to a consumers market that is now targeted by companies all over the world. Pret has gained market territory with the same organic fresh new catch that is here to stay and a part of the future.
The company’s current position in their global strategy has been to leverage location by the consumer index for a healthier alternative. This alternative demand for products with less concentrated genetically modified organisms (GMO) and gluten is the healthier alternative choice. Pret has based their locations off of potential demand and created it into active customers.
Their unique alternative and attractive methods has lead Pret to a positive financial position. William Reed Business Media has done an article on their success from their financial reports. “The article focuses on the business performance of British sandwich store Pret A Manager. It mentions that the store has recorded a 9.71% increase in like-for-like sales in the 52 weeks period ending January 1, 2015. It adds that the total sales of the company increased by 16% while earnings before interest, taxes, depreciation and adjustments (EBITDA) increased 14%.” (Foottit, 2015). Pret has proven their game in market as well as through their financial standings.
New products and developments have accounted for an increase in sales with the businesses healthy food products causing the growth. “The chain saw an increased demand for 'grazing' options, such as protein pots, vegetable juices and more breakfast options as 57% of sales now occur outside lunchtime.” (Foottit, 2015). Pret has met their innovation and growth from their international brand, it’s now time take this to a new market and a new destination.