Meet the Neighbors

Interesting read on Panera's successful approach written up by Wharton Business School.

The reason for Panera's success is simple: The chain has pursued a niche strategy, differentiating itself as a fast food restaurant that serves healthy, tasty, affordable food, according to Lawrence Hrebiniak, a Wharton management professor. And at a time when two-thirds of adults in the U.S. are classified as obese and many Americans are paying more attention to the food they eat, Panera offers a wholesome alternative to purveyors of fatty burgers and burritos. Equally important, Hrebiniak says, it provides an appealing customer experience.


"Panera has become a symbol of warmth," he adds. "In advertisements, they position themselves as a warm, welcoming place. They want you to bring your friends and family. They want you to come to Panera to have lunch with a good old friend.... When times are tough, people go back to the basics. You can't go out to dinner and drop $250, but you can go to Panera with a friend and have a tasty bowl of soup and smell the bread baking."

I can't see the story changing my habits too much. I'll still gravitated toward the downtown and Natural Grocer. But Panera pours a nice cup of coffee, something that's been lacking on Storey Avenue.

I'm sorry. Dunkin Donuts coffee is horrible. It just is.