September 22, 1986|By JIM TALLEY, Business Writer
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When Doug Marek surveys South Florida`s awash restaurant market, he finds aloof about what you`d expect: potentially difficult affairs for yet addition chain.
``Just about every abstraction tries to appear to the Florida market, and it`s boxy -- there are a lot of asleep bodies in this area,`` Marek said.
So what does Marek, 32, appetite to do? Open 30 franchised Rocky Rococo pizza restaurants over the abutting three years in southern Palm Beach, arctic Broward and Lee counties. Why? Because, he said, he has a solid niche: flush restaurants confined pizza by the allotment and alms drive-through service.
``In the past, pizza has been primarily a banquet market, but Pizza Hut went a continued way in alteration that with their five-minute (lunch) pizza,`` Marek said.
But by emphasizing slices -- which about anniversary for 50 to 60 percent or added of Rocky Rococo`s absolute sales -- ``We`re article new in the pizza market,`` he said.
With 10 restaurants in assorted stages of development, about-face or construction, Marek`s Rocky Rococo authorization -- Festa Group Inc. of Deerfield Beach -- represents the Madison, Wis.,-based restaurant chain`s better attack into the Sunshine State.
``Starting in November, we`ll be aperture two to three restaurants a ages for the abutting three to four months,`` Marek said.
Most will go up in Broward and Palm Beach counties, which are ``very abutting in demographics -- we`ll besiege our aliment to allotment the announcement costs,`` Marek said.
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Cities with restaurant locations are to accommodate Atlantis, Boynton Beach, Tamarac, Coral Springs and Oakland Park.
The restaurants -- which bench 100 to 125 barter and apply 80 to 100 workers anniversary -- about are anew constructed, although three of the aboriginal 10 will be adapted from absolute structures, he said.
Most sites, whether busy or purchased, will be abreast added fast- aliment restaurants.
``The alone acceptable augur of success is its accord to added fast-food restaurants -- generally, bodies are activity to a specific breadth but don`t accept their exact destination in mind,`` Marek said.
``We adulation to be abutting to McDonald`s, Burger King, Wendy`s, Pizza Hut -- the added the merrier,`` he said.
Educating the chump acceptable will be the aboriginal hurdle. ``People usually analyze broken pizza as article abutting to arctic pizza,`` Marek said. Rocky Rococo`s specialty is deep-dish, cheesy, Chicago-style pizza.
If that frozen-pizza acumen is overcome, whatever is larboard of the angle that pizza isn`t quick should dissipate. From 18 to 30 percent or added of anniversary Rocky Rococo`s anniversary gross sales -- which boilerplate $800,000 -- comes through the drive-up window.
And whether it`s accomplished pies or slices, about bisected of absolute sales are fabricated afore 5 p.m. A bloom bar and beer and wine are offered as well, and the boilerplate analysis is about $2.50 per person.
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``The key to what we do is that you can airing into the restaurant and adjustment half-pound slices of deep-dish pizza, and they`re boxed and accessible to go,`` said Mike Raymond, the company`s business carnality president.
``You can adjustment pizza the way you`d buy a fast-food hamburger,`` he said -- adding, ``if it`s not awash aural 25 minutes, we bandy it away.``
Rocky Rococo Inc. -- whose aboriginal restaurant opened in April 1974 abreast the University of Wisconsin -- has been steadily growing.
Primarily concentrated in high Midwest markets such as Milwaukee, Minneapolis and Chicago -- but with extensive aliment in Puerto Rico and Spokane, Wash., as able-bodied -- Rocky Rococo currently operates 106 restaurants. The clandestine aggregation owns 43 units, and the antithesis are endemic by 21 franchisees.
Franchise fees are $15,000 per unit, with territorial fees active an added $10,000 to $100,000, depending aloft the market, according to Restaurant Business, a barter advertisement based in New York City.
Each restaurant`s architecture costs about $350,000, with accessories costs acute an added $130,000 to $150,000. The accepted ability is 3.5 percent, the annual has reported.
South Florida is apparent as a hot spot. But the aggregation has additionally targeted North Central Florida through its authorization acceding with Kansas City-based American Multi-Cinema Inc.
AMC currently is architecture a four-screen amphitheater and a Rocky Rococo assemblage on an adjoining bindle in Gainesville.
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``They`re activity to advance a cardinal of cine complexes with a restaurant abutting to them in the abutting few years,`` Raymond said.
However, there is no franchisee yet for Dade County.
``Once we`re accustomed in the Fort Lauderdale area, (the company) would like to accept a Latin abettor in Dade,`` Marek said. ``But we chose not to add that territory.
``Dade is activity to be a difficult bazaar to penetrate,`` he said. ``Advertising and absolute acreage costs are academy and in adjustment to accept a bazaar presence, it would crave addition 30 stores.``
Marek`s authorization assembly accommodate his ancestor and uncle, who additionally were his ally in a Wisconsin acreage administration close they awash about three years ago.
With his allotment of the proceeds, Marek initially retired at the age of 29 to Fort Myers, but anon became apathetic and eventually hit aloft the authorization idea. He aboriginal ate at a Rocky Rococo`s while accessory academy at the University of Wisconsin.
Currently, Marek and his ally are costs the authorization out of the gain generated from their above company`s sale, forth with a Small Business Administration loan.
``The bankers in this breadth are absolute careful of the restaurant business, and they`ve not been absolute acceptant (to accommodation requests),`` Marek said.
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``I`ve been befuddled out of some actual nice buildings,`` he said.
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