Wetzel's Pretzels vs Cinnabon Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Wetzel's Pretzels vs Cinnabon including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
Wetzel's Pretzels Franchise
Cinnabon Franchise
Investment $126,600 - $405,850$23,100 - $430,900
Franchise Fee $35,000$30,000
Royalty Fee 7%6%
Advertising Fee 1%1.5%
Year Founded 19941969
Year Franchised 19961986
Term Of Agreement 10 years10-20 years
Term Of Agreement 10 years10-20 years
Renewal Fee -50% of current franchise fee


Business Experience Requirements
 
Wetzel's Pretzels Franchise
Cinnabon Franchise
Experience
  • General business experience

  • Industry experience
  • General business experience
  • Marketing skills "Passion and enthusiasm in being a small business owner, and having the go-getter mentality… You've got to like people to do business at Cinnabon." - Mark Hong, director of franchise development
    		•

    Financing Options
     
    Wetzel's Pretzels Franchise
    Cinnabon Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesNo/Yes
    Start-up Costs No/YesNo/Yes
    Equipment Yes/YesNo/Yes
    Inventory No/YesNo/Yes
    Receivables No/NoNo/Yes
    Payroll No/NoNo/Yes

    Training & Support
     
    Wetzel's Pretzels Franchise
    Cinnabon Franchise
    Training On-The-Job Training: 40 hours Classroom Training: 40 hours On-The-Job Training: 40 hours Classroom Training: 40 hours Additional Training: Additional training annually
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform
    Marketing Ad Templates Social media SEO Email marketing Loyalty program/app Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app
    Operations 20% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 10

    Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)

    		 Franchisees required to buy multiple units/master licenses; 100% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 8 - 10

    Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators)

    Expansion Plans
     
    Wetzel's Pretzels Franchise
    Cinnabon Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion YesYes

    Company Overviews

    About Wetzel's Pretzels

    Wetzel's Pretzels founded by Rick Wetzel & Bill Phelps, former marketing executives in 1994. 1st Wetzel's Pretzels located in South Bay Galleria in Southern California. First store was opened in 1995 Century City, Hollywood.
    In 1996 Wetzel's Pretzels began franchising. Currently they have locations across United States (Universal City, Staples Center, Dodgers Stadium, Disneyland, Disney world) & internationally. Currently co-branding relationship with Cold Stone Creamery, Swensen's, Juice It Up and more.
    Beginning of 2016 Wetzel's franchise fast food restaurants had 298 locations out of them 269 US locations; 2 in Canada; 19 worldwide; and 8 owned by the company itself.

    Popular products:
    Pretzels, consisting of several different flavors
    Frozen Lemonade, sold in a variety of flavors.
    Frozen Granita, a frozen version of the Italian dessert
     
    The franchisor offers 3 franchise programs:
    1. A single Wetzel's Pretzels Bakery. The total investment necessary to begin operation of a Wetzel's Pretzels Bakery ranges from $164,950 to $405,850. This includes approximately between $42,350 and $50,750 that must be paid to the franchisor. If Wetzel's Pretzels grants you a license to operate a Remote Mobile Unit under a Remote Mobile Unit Addendum to your Franchise Agreement, you will also pay it a fee of $5,000 for a Remote Mobile Unit.
    2. Multiple Wetzel's Pretzels Bakeries within a defined area pursuant to a Multi-Unit Development Agreement. There is an initial development fee of $15,000 multiplied by the number of Bakeries which you must open, plus the balance of the initial franchise fee ($20,000) for your first Franchise Agreement. You will pay an initial franchise fee of $35,000 for each Bakery ($22,500 for a second Bakery in the same mall). However, the franchisor will credit the development fee against the initial franchise fees (at the rate of $15,000 for the second and each subsequent Franchise Agreement).
    3. A single Wetzel's Pretzels Concession Truck or Trailer. The total investment necessary to begin operation of a Wetzel's Pretzels Concession Truck or Trailer ranges from $126,600 to $275,850. This includes approximately between $9,000 and $14,750 that must be paid to the franchisor.
    "Entrepreneur
    #497 in Franchise 500 for 2020.








    About Cinnabon

    Since 1969, malls throughout the world have been filled with the scent of Cinnabon. Each bakery serves fresh and prepackaged cinnamon rolls, Pecanbons (cinnamon rolls topped with pecans and caramel frosting), coffees and other drinks.
    If success was a freshly baked treat, it would be Cinnabon®.
    • Super sweet average net sales of $861,481 for the top quartile of franchise owners*
    • A global, iconic brand with enviable brand awareness and strong affinity with Millennials and Gen Z
    • A category leader that dominates the sweet treat segment
    • The strong support and tools of FOCUS Brands®
    Become a Cinnabon® franchise owner, and learn what it means to be the most popular kid on the block! Our one-of-a-kind, insanely craveable baked goods and specialty beverages have made Cinnabon® a world-class brand with world-class economics.
    Cinnabon® owns the cinnamon roll category, and we’re looking for people to grow our legacy and “bake” good on the promise that is our brand.


    The total investment necessary to begin operation of a Full Bakery franchise ranges from $214,050 to $430,900 in a Traditional Location and from $122,500 to $419,200 in a Non-Traditional Location. This includes $30,000 to $30,400 that must be paid to the franchisor or their affiliates.
    The total investment necessary to begin operation of an Express Bakery ranges from $23,100 to $43,500 in a new Schlotzsky’s® restaurant and from $59,000 to $155,750 in any other location. This includes $7,500 to $7,900 that must be paid to the franchisor or their affiliates.
    The total estimated investment necessary to begin operation of a Concession Bakery ranges between $110,000 and $244,600. This includes $5,000 to $5,400 that must be paid to the franchisor or their affiliates.
    Veteran Incentives  $5,000 off franchise fee
    "World     "Entrepreneur
    #53 in Franchise 500 for 2020.
    #35 in Franchise 500 for 2021.