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Some consumers are looking for alternatives to the steady diet of burger, pizza and tacos that dominate the U.S. restaurant landscape. Denise Tran, a San Francisco restaurateur, has an answer for them. She operates 5 San Francisco-based Vietnamese sandwich shops, Bun Mee, specializing in bahn mi (more about that later) and is looking to franchise outside of California.
Bun Mee debuted in San Francisco in 2011 when Tran spent its first three years educating its guests what exactly banh mi was. When it opened, the only places one could find banh mi sandwiches in San Francisco were in Chinatown or Little Saigon but hardly anywhere else, she suggests.
Bun Mee has expanded to two restaurants, in Pacific Heights and the financial district, two in airport terminals, and just opened its fifth in the Marina district. She says the airport locations generated $4.3 million and $3.6 million last year, and the other two, $1.7 million and $1 million.
She’s starting franchising now because “We’re the healthiest we’re ever been financially in terms of profitability and top-line sales. And we spent time working on our internal processes.”
A San Francisco Vietnamese sandwich shop has grown to 5 locations and is testing franchising to expand.
She recognizes there are risks in franchising, namely, “losing quality, not having consistency, people doing their own things and location risk.” But she’s pursuing franchisees who are experienced rather than just those “who have the money.”
Bahn mi sandwiches are served on French baguettes, a tradition that the French brought to Vietnam in the 19th century. Vietnamese bakers gradually transformed the baguette into a “lighter, crisper bread that’s ideal for bahn mi,” she explains.
They’re Different from Tuna and Chicken Salad
Some of the most popular sandwiches served as Bun Mee include five spice chicken, lemongrass pork, lemongrass tofu and its sloppy bun, a take on the sloppy joe sandwich but made with lemongrass curry.
How Bahn Mi Sandwiches Differ from Subs
Compared to typical submarine sandwiches served in the U.S., bahn mi combines Southeast Asian flavors with French bread and features Vietnamese ingredients such as pickled vegetables, fresh cilantro, pate and distinctive sauces.
Indeed its bahn mi sandwiches differ from the American sliced deli sandwiches because “We marinate, braise and sous vide our proteins. Our lemongrass pork is bursting with flavor and married with fresh lemongrass, garlic and spices,” Tran notes.
When Tran launched her first Bun Mee, she capitalized it mostly with her own funds supplemented with a few friends and family investors. Indeed she currently owns 80% of the business.
Techies Are Attracted to Its Bahn Mi Sandwiches
She compares the target audience to that of Starbucks as “educated techies ranging from 25-55 who value high quality food and well-traveled professionals who are foodies.” Most of its clientele is white with only 10% Asian.
Expanding bahn mi to a more national chain is one of her goals. She notes that the “sandwich category is one of the largest in fast casual and it’s a shame currently to not have an Asian option as part of the discussion.”
Customer reaction on Yelp to dining at Bun Mee was mostly positive with certain exceptions. For example, Jonathan from Montclair, N.J praised the food as being “tasty, well-made and a pleasure to eat.” But he described it as “Americanized Vietnamese food.”
Emily from San Francisco enjoyed her “lemongrass pork rice bowl with garlic rice and a side of bone broth. Everything was super flavorful and tasted fresh, and the prices were very reasonable.”
In terms of franchising, Tran is targeting Denver since it’s a tech hub and a growing city, with a demographic similar to its San Francisco clientele. But she’s open to other locations out West that she can reach quickly.
In 2025, her goal is to open 5 new franchised locations in its first year. She says keys to its success include: 1) Having the right executive team in place, 2) Executing on its plans, 3) Choosing quality franchisees in the initial round.
Tran also sees the growth of Bun Mee as a symbolic Vietnamese success story, counteracting much of the recent anti-immigrant backlash. “I understand now that Bun Mee means more to my community than just Vietnamese sandwiches. In light of the division and rhetoric that divides us currently, it makes me feel honored to bring people together via food,” she asserts.