HOW IS PANERA BREAD SO GOOD AT BRANDING? Its Pandemic Strategy and 2021 Upgrade
From the industry-wide hiring scarcity to supply chain breakdown, running a restaurant while dealing with COVID-19 hasn’t been easy. However, despite the odds stacked against it, Panera Bread has been a category leader during the pandemic. Here’s how its decision-making expertise has made a difference. Quick Delivery and Even Quicker Strategies Panera’s fast, fresh food isn't the only thing great about it — its leadership team also thinks and acts fast. A couple of weeks after the pandemic broke out, the corporation had already decided on their future course of action.
more character” into both physical restaurants and digital experiences. “We are offering the best of both worlds with convenience via off-premises and digital channels while doubling down on dine-in," says Eduardo Luz, chief brand and concept officer. Dubbed the Next-Gen Café, bakery ovens will be moved to the front, allowing customers to get a full view and even chat with Panera’s bakers. This way patrons can see and smell the trademark bread just as it comes out of the oven.
Of course, not all customers order inside the store nowadays — during the pandemic, over 85% of sales were made
First, leadership knew they should take care of the employees. Panera offered its teams nationwide multiple perks, including two weeks of paid sick leave, free family meals once a week, a relief fund for emergencies, and a hiring partnership with CVS and Walmart for over 35,000 furloughed Panera workers. Staff were also given access to Oprah Winfrey’s virtual wellness program to encourage mental and physical wellness.
off-premises. That also brought a lot of new customers to the brand. To serve them as effectively as possible, the cafe adds a double drive-thru lane, with one lane just for picking up digital orders. “As states begin to open up, we are seeing those new customers stick with us via off-premises while existing Panera guests return to dine-in,” Luz says. “The Next-Gen Café redesign allows us to meet the needs of all our guests with a warm dine-in environment, an enhanced digital experience, and more drive-thru access for an increasingly off- premises world.”
Second, Panera began to try new things other chains had not. Most
companies wouldn’t dare attempt a brand extension during COVID-19, but Panera launched Panera Grocery in April 2020 so people ordering delivery could also order basic
The Next-Gen Café drive-thru menu is fully digitized and identifies MyPanera members, recalls past orders and birthdays, and makes different offers based on the order history. By combining the loyalty program with personalization, they’re intending to make the experience “uniquely Panera.” The very first Next-Gen Café is opening this year in Ballwin, Missouri, and going forward, all new restaurants and remodels will follow the same design. Overall, Panera’s ability to brand itself ahead of the curve has been constantly impressive, and it’s certainly taught everyone to look forward to what Panera will do next.
necessities like fresh milk, bread, pasta, and more. During a time when grocery stores were constantly sold out, the service helped many people. Last but certainly not least, Panera also launched its now- famous $8.99 coffee subscription in February 2020. Despite coffee sales accounting for only 3% of Panera’s total revenue up until that point, affordable coffee is enough to bring in more customers all day long — even during the pandemic. Upgrading in Style Panera’s leadership team has recently announced that they are redesigning restaurants by injecting “a little
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