Dave's Hot Chicken: Rapid Expansion and Loyal Fan Base Drive Success

Dave's Hot Chicken, a six-year-old franchised brand, has demonstrated impressive growth, with sales nearly doubling last year. The chain's rapid expansion and dedicated fan base have drawn comparisons to the iconic In-N-Out Burger.

Key statistics illustrate the brand's meteoric rise. In 2023, Dave's Hot Chicken had 55 U.S. units, reflecting a 243.8% increase. Sales surged to $297 million, marking a 251.6% growth. Such numbers highlight the brand's position as one of the fastest-growing concepts in the industry.

Founded in 2017 by Chef Dave Kopushyan, Arman Oganesyan, and Tommy Rubenyan with just $900, the brand quickly gained traction. In 2019, a partnership with Wetzel's Pretzels co-founder Bill Phelps facilitated the franchising of the concept. Specifically, global music icon Drake invested in the brand, further boosting its profile.

The brand's menu, featuring jumbo hot Chicken Sliders and Tenders, has been a significant draw. Dave's Hot Chicken offers seven spice levels, from No Spice to ReaperTM, which requires a signed waiver. This straightforward yet customizable menu has contributed to its widespread appeal.

Social media has played a vital role in the brand's rise. Dave's Hot Chicken has accumulated over 200 million mentions on TikTok alone. The brand's strong presence on Instagram, with over 1.2 million followers, and TikTok, with 2.3 million followers, has helped attract a loyal fan base, including celebrities like Drake, Usher, and Samuel L. Jackson.

In addition to its social media strategy, Dave's Hot Chicken has expanded its menu. On June 4, the brand introduced Dave's Bites, the first new chicken menu item since its inception. These bite-sized pieces are available in three spice levels and are priced at $6.99 for a 10-piece serving or $9.99 with fries. CEO Bill Phelps stated, "Now, we're giving guests the option of something snackable, that can also be part of a meal or a great option for parties and family gatherings. It's another way we're giving our guests something else to love about Dave's."

The company's expansion plans are ambitious. Dave's Hot Chicken has sold the rights to over 700 franchise locations across the U.S., Middle East, and Canada, with 90-plus locations set to open this year. By the end of 2024, the brand aims to have 275 units open, with approximately 950 units in development.

Dave's Hot Chicken's success story is a demonstration of its high-quality product, effective use of social media, and strategic expansion. The brand's continued growth will likely keep it at the forefront of the fast-casual dining scene, thanks to its loyal fan base and innovative menu offerings, which leverages a rabid following.

Key Takeaways

• Dave's Hot Chicken sales surged 251.6% to $297 million in 2023.
• The brand has 55 U.S. units, reflecting a 243.8% increase in 2023.
• Dave's Hot Chicken has sold rights to over 700 franchise locations across the U.S., Middle East, and Canada.
• The brand has a strong social media presence with over 200 million TikTok mentions and 1.2 million Instagram followers.
• Dave's Hot Chicken aims to have 275 units open by the end of 2024, with approximately 950 units in development.