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When Matthew Corrin lived in New York City, his lunch of choice was often a custom-made salad at the mom-and-pop deli around the corner from his office. At the time, the Winnipeg native was working in PR for fashion label Oscar de la Renta. "They had this great salad station where you touch nothing and point to everything," says the 27-year-old.
That's how he got the idea for Lettuce Eatery, a chain of quick-service restaurants in Toronto. "I realized, if someone could take this amazing salad line and create a brand around it, it would be an opportunity to Starbucks the salad business," he says.
Mr. Corrin opened his first Lettuce location in Toronto's financial district in 2005. Today, there are eight, with four more slated to open this year. He's happy with the growth of his business but identifies one major challenge. Since Lettuce's launch, he's introduced other items, such as soup, oatmeal and frozen yogurt. But most people keep coming through his doors for one thing: salads. His existing customers aren't really trying his new offerings, he says. And what's more, with a name like Lettuce, he wonders how can he attract new customers who aren't in the market for a salad.
That's why, when Mr. Corrin decided to expand his chain into the U.S., he chose a different name. He called his first Chicago location, which he opened in June, Freshii. "We had the opportunity to start off as something else and be a name that allows us to not just have one focus," he says.
In the weeks since the Chicago restaurant has been open, salad has not been the big seller that it is in Toronto. "There's an equally distributed product mix with Freshii," says Mr. Corrin. And the reason that's an attractive prospect? His other menu items have higher profit margins than his salads, which feature pricey ingredients like blue cheese and grilled steak.
He wants to move away from the Starbucks-of-salad concept. Lettuce's new mission, he says, is to be the most convenient choice for healthy meals - all three of them - and snacks. "How do we contemplate changing the brand in Canada to Freshii without freaking out our customers and tarnishing the strong brand we've worked so hard to create over the past three years?" he says.
What the experts say
"Who thinks of Canadian Tire as a tire store?" says David Moore, president and CEO of the Toronto office of advertising firm Leo Burnett.
His first recommendation to Mr. Corrin is to stop and take a look at what he's accomplished in Toronto. "One of the most difficult things is to build a brand," he says. "I think he's successfully done that with Lettuce. It's a great brand that's distinctive and well known, and that's three-quarters of the battle."
Mr. Moore isn't sure that Mr. Corrin needs to feel boxed in by the name Lettuce. "When consumers know and trust a brand, you'd be amazed at how far they'll allow that brand to expand," he says, pointing to both Canadian Tire and Virgin, the record store-turned-airline-turned telco.
He suggests a simple tweak. "One thought I had is a very elegant solution: Just add two words - Not Just Lettuce." That strategy leaves the visual identity of the chain intact while also signalling a change.
Mr. Moore worries that completely changing the name would have the very negative repercussions Mr. Corrin fears. "You risk losing all of that good equity you've managed to build," he says. Customers might suspect a change of ownership, for one thing, or feel disconnected from a brand they've grown to trust and like. "People discover a new brand and they have a sense of ownership over it. Someone who's embraced Lettuce early on may no longer feel like they have that sense of ownership."
Vancouver restaurant veteran Rob Feenie - who is currently the food concept architect at Cactus Club Cafe, a chain of 17 restaurants in British Columbia and Alberta - is more receptive to a branding change. He feels that as long as Mr. Corrin maintains a similar look and feel in his Lettuce stores after changing the name to Freshii, there will be no negative aftershock. "If you look at the two brands right now, they're practically identical," he says. Mr. Corrin has applied the sleek, modern feel of Lettuce restaurants to Freshii and has kept the websites and marketing materials aligned. That continuity will assure customers that it's the same salad place they love, but with a few additions.
The time to do it, though, is now. "If he's really thinking about changing the name, it's much better for him to do it now than in 10 years," says Mr. Feenie.
But a name change isn't necessarily going to be the answer to Mr. Corrin's problem, says Mr. Moore, who identifies the challenge as more of a product lineup issue. "He's assuming this is a branding issue - that the brand-name Lettuce can not carry non-salad items," says Mr. Moore. But it's possible the product lineup at Lettuce just isn't as balanced as Freshii's. "It could be as simple as replicating that product lineup at Lettuce."
And that's exactly what Mr. Corrin is trying to do. To help introduce new items, and make them stick, Mr. Feenie recommends that he start by testing products at a limited number of stores. "There's no sense in sending menu choices to other stores if they're not working," he says, stressing the importance of getting client feedback.
And if they're not working, Mr. Feenie suggests Mr. Corrin consider going back to the drawing board. "You don't want to force anything on anyone," he says. "But if you put something on the menu and it's not selling, that doesn't mean you have to get rid of it. Find another way to relaunch it," he says. That means experimenting with the presentation, flavours and even something as simple as a garnish.
Mr. Feenie is concerned that Lettuce's menu is already cluttered with items. Patrons who order a salad, for example, can choose from among four alternative types of greens mixed with more than 60 toppings and dressings. "If [Mr. Corrin] added something new to his menu, I'm not sure I'd even be able to find it." He suggests that staff greet customers with a short explanation of the restaurant's new offerings.
Mr. Moore adds that sampling, both in the stores and in the immediate neighbourhood, can effectively alert customers to the change in menu. He also suggests that Mr. Corrin simply survey his customers to find out how they'd feel about a name change. "Just flat out ask if the name were to change, what would that signal to you," he says.
As for Mr. Corrin's concern of having double brands - Freshii and Lettuce - Mr. Moore says there's not a lot there to worry about. "It's different for global brands," he says. "But the main reason you'd want to have one brand across borders is for efficiencies. In this case, whether you're talking about Freshii or Lettuce, the product development, store design and marketing are all the same. Everything is already aligned."
In a nutshell
Don't throw the business out with the brand
Building a successful brand is hard. Lettuce has achieved this. Think carefully before rocking that boat.
Tweaking the name beats changing it
Your good name is worth a lot. Don't mess with the brand unless you have to.
If you do change the brand, be consistent
Keep the store look and feel the same, as well as the logo and other marketing materials, will signal continuity, which customers like.
Experiment with customers to accept new products
If the new item is not taking off, launch it in a different way. Offer it to customers verbally as well as through the menu. Create opportunities for the public to sample the product in stores and in the neighbourhood.
