Two more restaurant chains aim for major growth in Walmart stores

A rendering of the Knuckies Hoagies location at Walmart. | Photo courtesy of Knuckies Hoagies.

Retail giant Walmart is diversifying its restaurant offerings with some new regional concepts.

Fast-casual restaurant Crave Hot Dogs & BBQ, with locations in Wyoming and Long Island, NY, plans to open a new express variant – its first – in a Walmart near Louisville, Kentucky. The chain, known for its signature hot dogs in a variety of regional styles, as well as barbecue and breakfast, hopes to open 100 Walmart locations next year.

The Crave Express location, which will open this fall, will be about 2,000 square feet and located near the Walmart entrance. It will offer an exclusive menu of breakfast, lunch and dinner. The outlet, which will be operated as a franchise, will also offer catering and third-party delivery.

“We are thrilled to partner with Walmart on Crave’s expansion,” said Samantha Rincicone, CEO and co-founder of the hot dog chain, in a statement. “This new venture allows us to offer fast and delicious food, and we are excited about the positive impact it will have on the community.”

Crave now has about 15 brick-and-mortar locations and 13 food trucks nationwide.

Meanwhile, Milton, Georgia-based hoagie concept Knuckies Franchise Company LLC announced Tuesday that it is offering franchisees the opportunity to open in Walmart stores.

Founder and CEO Todd Broaderick said the fast-food chain has signed a master agreement with the retailer and has 14 completed leases in six states, including Georgia, North and South Carolina, Tennessee, Oklahoma and Texas.

Six of the 14 are reserved for franchisees, but Broaderick hopes to expand the master franchise agreement to offer franchise operators even more Walmart opportunities – although he would not say how many at this time.

“We’re excited about the opportunity and some of my investors are just as excited. We’ll see,” Broaderick said.

Founded in 2019, the six-store sandwich concept also has a national licensing agreement with Alumni Cookie Dough, allowing franchise operators to expand offerings to include cookies for dessert. Alumni is another Georgia-born brand that was founded in Athens.

Three of the six existing Knuckies stores are company-owned, and Broaderick said the hoagie chain is planning two more corporate locations in Georgia, including the first drive-thru format for the brand.

Last month, Texas pizza chain Mr. Gatti’s announced it plans to open nearly 100 locations inside Walmart stores, with about a dozen opening in North Texas and Southern Oklahoma in the fourth quarter.

And the innovative delivery company Wonder has opened in a Walmart in Pennsylvania, with two more stores planned in New Jersey.

However, brands such as McDonald’s and Subway, which once had a strong presence in Walmart stores, withdrew from the retailer in 2021 as those locations reported low sales.

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