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Hot Stuff

Upscale Drive-Thrus

This isn't your father's fast food. Forget about burgers and fries, and tune in to the latest trend to emerge from the quick-service restaurant sector. Upscale drive-thrus are targeting time-challenged commuters by offering an appealing blend of fine dining and convenience.

Among this trend's leaders is Autobistro Inc., launched last year in Newport Beach, California, by partners Jonathan Rodriguez-Atkatz, 42, Mark McNeely, 48, and Gordon Bowker, 55. "As a society, we're working harder and playing harder," says Rodriguez-Atkatz. "We want great food, but we don't want to spend our time cooking." Industry estimates support Rodriguez-Atkatz's claim. A recent Restaurants and Institutions survey reveals 44 percent of consumers eat at fast-food restaurants at least once a week.

Featuring three "drive-under" lanes, Autobistro sets itself apart with tech-driven efficiency and a distinctive architectural design reminiscent of "The Jetsons." Culinary delights such as sesame peanut noodle salad and grilled chicken and artichoke focaccia arrive by elevator from the kitchen overhead.

A superior product, stay-in-your-car simplicity and hungry professionals (or harried soccer moms) with upscale tastes? Sounds like a winning combination for creative, forward-thinking entrepreneurs-as long as they don't go too far, cautions restaurant marketing consultant Raymond Coen.

"Although Americans are upgrading their tastes, that doesn't mean they'll [adopt a different] food category. You still have to serve something people really want," says Coen. "You've got to have a following to support your investment."

Pool Supplies

If you want to make a big splash in business, maybe you should consider diving into the growing swimming pool aftermarket. According to The National Spa and Pool Institute, recent demand has pushed the number of pool installations well above the high-water mark. The institute found in-ground pool installations increased by 20 percent last year. This follows increases of 15 percent from 1995 to 1996 and an estimated 15 to 20 percent increase from 1996 to 1997. This growth translated into an estimated $40 million in swimming pool industry sales in 1996, with aftermarket sales reaching $2.5 billion.

"Consumer confidence [in the economy] is high," says the institute's Jack Cergol. "[This] makes people feel like they can spend discretionary income."

What's in it for entrepreneurs? More pools mean more sales of chemicals, maintenance supplies, covers, fences and other accessories. It could also spur a higher demand for swimming instructors, swimsuits, pool toys and the like. In short, the retailer who adds a swimming pool section to an existing store would definitely not be considered a wet blanket.

This article was originally published in the January 1999 print edition of Entrepreneur with the headline: Hot Stuff.

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