Montana Mike's announces smart-growth strategy to grow "Beefy" brand

According to the National Cattlemen's Beef Association (NCBA), consumer spending on beef is projected to reach a record high of $71 billion in 2005. Feeding America’s insatiable appetite, Montana Mike’s is launching a targeted regional expansion plan, with 30 new Franchises in the next five years.

A full-service steakhouse concept specializing in big portions at a great value, Montana Mike’s is strategically “beefing” up their presence in select markets. After launching its Franchise opportunity in 1999, Montana Mike’s today has 20 locations operating across the United States, and is targeting Kentucky, Indiana, Ohio, Illinois, Missouri and Oklahoma for expansion.

"Our smart-growth, regional strategy allows us to take advantage of the steakhouse explosion playing out in markets all across the country," said Madison Jobe, vice president of franchise development for Montana Mike’s. "Entrepreneurs will benefit from an already established concept, ongoing corporate support and, most importantly, an exceptional menu with great values."

A Recipe for Success

In 1998, as steakhouses started proliferating throughout the country, Gale Premer, then franchise owner of Sirloin Stockade, sought to establish a concept that focused on naturally aged, USDA steaks, hand-cut at the Restaurant and grilled to customers’ tastes. He set out to create a place where the portions were so generous, each customer could leave with a doggy bag. Wanting to stray from the cliché “Western” themed steakhouses, Premer launched Montana Mike’s with a rustic mountain lodge feel that cuts through the clutter of dozens of casual dining restaurants that offered a dizzying array of mismatched menu items.

Since then, Montana Mike’s has also differentiated itself from competitors in the way they target their best customers and ideal sites. Unlike many national chains, Montana Mike’s does not select sites in major metropolitan areas that are oversaturated with foodservice concepts. Their existing 20 restaurants have prospered in smaller, B and C niche markets, catering to those who want the best steaks, burgers and authentic “meat and potatoes” meals at affordable prices the whole family can enjoy.

Montana Mike’s menu is designed to feed any appetite, and includes Mike’s Mighty Meaty Deal 22-ounce sirloin steak costing $14.99, the Mile High ribeye at $14.99, a 24-ounce Porterhouse priced at $17.99 and Mike’s Feature Center Cut 12 oz. sirloin steak at $9.99. Baby back ribs and chicken-fried sirloin steak, grilled chicken and seafood are also available, as well as steak burgers served on fresh, made-from-scratch buns. An array of mouth-watering appetizers ranging in price from $4.49 to $5.99, include fried mushrooms, Mike’s famous potato boats or hand-breaded onion rings. Montana Mike’s also offers fresh salads, pastas and other seasonal menus and promotions throughout the year.

All Montana Mike’s locations offer beer and wine, and most locations offer a full bar.

A “Meaty” Opportunity

With a franchise fee of $20,000, the initial investment to own and operate a Montana Mike’s steakhouse varies depending on whether the location is converted from an existing restaurant building or constructed from the ground up. As part of their growth strategy, Montana Mike’s has recently unveiled a new prototype design for ground up construction opportunities. Designed to enhance the patron experience and create more of an outdoor feel, the new 7,000 square foot model utilizes log siding, corrugated tin both inside and out, and an earth tone color scheme, setting an atmosphere reminiscent of a mountain lodge.

Montana Mike’s has an unwavering commitment to help franchisees succeed, offering a comprehensive support program to provide the vital resources necessary to operate in today’s restaurant environment. Prior to a location’s launch, each franchisee is provided assistance with site selection, prototypical architectural drawings, and an operational training program for management and staff. Once opened, a franchise field consultant is assigned to each location and regularly visits each facility to assist with operations and consult on sales and profits. Ongoing support also includes assistance with menu development, customized distribution plans for food supplies, and a marketing fund allocated towards generating creative and collateral materials.

Montana Mike’s helps franchisees boost profitability by utilizing volume-buying power from various suppliers. Their volume purchasing and direct contracting with manufacturers and suppliers of food items ensures top quality food and paper products at the best price for all franchisees, allowing more time for other aspects of the business.

Montana Mike’s also executes ongoing research and development tests and prepares new products, recipes and preparation procedures, and sources alternate products. These efforts result in keeping their restaurants competitive and responsive to consumer trends and trends in the food service industry.

About Montana Mike’s

Launched by Stockade Companies, a multi-concept, international chain, the first Montana Mike’s Steakhouse opened in December 1998. A full-service casual dining steakhouse specializing in big appetites and great value, Montana Mike’s currently boasts 20 locations nationwide, 17 of which are franchised.

About Stockade Companies, LLC

Stockade Companies started as a single Sirloin Stockade in Oklahoma City in 1966. Since then, they have grown into a multi-concept chain adding Montana Mike’s Steakhouse in 1998 and Coyote Canyon in 1999. Stockade Companies currently operates over 70 restaurants in 10 states and Mexico, and plans to open an additional 50 restaurants over the next five years across all concepts.