Wetzel's Pretzels vs Kettleman's Bagel Franchise Comparison

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

Start-Up Costs and Fees

 
Wetzel's Pretzels Franchise
Kettleman's Bagel Franchise
Investment $126,600 - $405,850$300,000 - $450,000
Franchise Fee $35,000$25,000
Royalty Fee 7%6%
Advertising Fee 1%-
Year Founded 19941992
Year Franchised 19961996
Term Of Agreement 10 years10 years
Term Of Agreement 10 years10 years
Renewal Fee -25% of initial franchise fee


Business Experience Requirements

 
Wetzel's Pretzels Franchise
Kettleman's Bagel Franchise
Experience
  • General business experience

  • Industry experience
  • General business experience
  • Marketing skills
  • Must be customer service-oriented

  • Financing Options

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

    Training & Support

     
    Wetzel's Pretzels Franchise
    Kettleman's Bagel Franchise
    Training On-The-Job Training: 40 hours Classroom Training: 40 hours -
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Ad Templates Social media SEO Email marketing Loyalty program/app Co-op advertising
    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)

    International franchisees required to buy multiple units/master licenses; 0% of all franchisees own more than one unit

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

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)


    Expansion Plans

     
    Wetzel's Pretzels Franchise
    Kettleman's Bagel 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 Kettleman's Bagel

    A young company - long on tradition. That is why Kettleman's Bagel Company makes the best bagels around. However, tradition does not mean much if the authenticity is gone. Our bagels are made by bakers who knead the dough, cut it with a knife, roll it out by hand, boil it honey water to seal in the moisture, and bake them in a wood burning oven. Just the traditional and original attention to detail which one expects when they go to an old-fashioned bagel shop. Our system is easy - roll, kettle, and bake traditional bagels in a wood buring-oven using hand picked hardwood, and give each customer a bag full of hot bagels each time they come to Kettleman's Bagel Co. One of the reasons we are so successful is that we offer our customers a "no-wall" experience. When customers walk into our bagel shop, the first thing they see is the Kettleman's Bagel Roller working and rolling fresh bagels. Behind the Bagel Roller is the Baker who finishes the bagels with fresh poppy or sesame seeds and bakes them for about twenty minutes in our wood-burning oven. Once the process is complete, and it is an active process of carefully turning over the bagels away from the open hot wood flames, the bagels are ready to be eaten. The customers' "no-wall" experience means not only they get to watch the entire show, but also that they get to inspect our standards of production and hygiene. We have nothing to hide and our customers love it.