Encore Restaurants, LLC, a subsidiary of Encore Enterprises, Inc., has announced the launch of Encore 7 BREW, LLC, marking a significant expansion of the popular 7 Brew drive-thru beverage chain. With exclusive franchise rights for Salt Lake City, Utah, and Phoenix, Arizona, Encore 7 BREW aims to transform the beverage market in these regions by creating jobs, introducing cutting-edge modular construction stands, and redefining the drive-thru experience.
Job Creation and Economic Impact
The expansion promises substantial economic benefits for both states. In Utah, Encore 7 BREW is set to create over 3,000 jobs, with approximately 60% of these being full-time positions. Similarly, the Phoenix market will see the creation of more than 4,700 jobs, again with 60% expected to be full-time roles. This initiative not only underscores the company’s commitment to local employment but also highlights its potential to contribute to the regional economy in significant ways.
Two new 7 Brew locations have already been established in Utah, located at 2298 N. University Parkway in Provo and 877 E. 4500 South in Millcreek. These modular stands exemplify the brand’s emphasis on efficiency and innovation in construction and operations.
Strategic Growth and Leadership
John Davidson, CEO of 7 Brew, expressed confidence in Encore 7 BREW’s ability to spearhead the brand’s growth in Utah and Arizona. “Encore 7 BREW is a highly skilled, experienced franchisee with a proven track record of building and operating storefronts that outperform the competition,” Davidson remarked. “We’ve strategically selected them to helm 7 Brew’s expansion into Utah and Arizona. 7 Brew is on a strong growth trajectory, and we trust Encore 7 BREW’s seasoned leadership to advance our mission of redefining the drive-thru beverage experience through personalized, human-centric customer service, premium products, and exceptional efficiency.”
7 Brew: A Fast-Growing Industry Leader
Since its inception in Rogers, Arkansas, in 2017, 7 Brew has been a trailblazer in the drive-thru beverage market. Recognized by QSR Magazine as the “Breakout Brand of 2023,” 7 Brew has quickly grown to over 295 locations across 31 states. With a menu boasting more than 20,000 customizable drink combinations, the brand is committed to its philosophy of “cultivating kindness and joy with every drink.”
The company’s growth has attracted significant investment, including a February 2024 growth equity investment from Blackstone. This investment is aimed at accelerating 7 Brew’s already rapid expansion in collaboration with its top-tier franchise partners.
Market Trends and Encore Restaurants’ Expertise
The drive-thru coffee and energy drink market has witnessed explosive growth, surging by an astonishing 5,380% over the past five years. 7 Brew has emerged as a dominant force within this sector, leveraging its innovative approach and customer-centric model. Coffee remains the second-largest segment of the U.S. restaurant industry, with annual spending exceeding $31 billion. Projections indicate a compound annual growth rate (CAGR) of 5.1% in the U.S. coffee market over the next decade, driven by consumer preference for convenience and speed.
Dale Doerhoff, president of Encore Restaurants, emphasized the company’s qualifications to lead 7 Brew’s expansion. “Encore 7 BREW is uniquely positioned to drive the brand’s Utah and Arizona expansion,” he stated. “We bring extensive experience as the largest, most successful Five Guys franchisee in the U.S. from 2014-2022. Our stores consistently ranked at the top for guest satisfaction, food safety, employee retention, and financial performance. These results ultimately attracted the parent company to buy back all 110 locations.”
Consumer Demand and Innovation
Consumer preferences have increasingly shifted toward drive-thru and app-based beverage purchases, particularly in the wake of the COVID-19 pandemic. The Specialty Coffee Association reports a 5,380% growth in curbside and pick-up orders since 2019, with drive-thru and app-based sales increasing by 30% during the same period. By 2025, nearly 89% of coffee sales in the U.S. are expected to occur outside the home, with a significant portion coming from drive-thru establishments.
This shift aligns perfectly with 7 Brew’s business model, which focuses on speed, efficiency, and a personalized customer experience. With a growing demand for specialty drinks served in a convenient format, 7 Brew and Encore 7 BREW are well-positioned to capture a significant share of this expanding market.
Looking Ahead
As Encore 7 BREW embarks on this ambitious expansion, the partnership between the franchisee and 7 Brew highlights a shared vision of growth, innovation, and customer satisfaction. With the promise of job creation, a robust growth strategy, and a focus on redefining the drive-thru beverage experience, this expansion represents a significant milestone for both the brand and the communities it will serve.
