Entering a Paris Baguette is a feast for the senses. Steps away from the front door is an island display case filled with pastries, doughnuts and sweet treats. Bakers can be seen at the front of the store working on cakes and other desserts.
Customers can peruse a wall of different freshly baked breads or pick out a sandwich or other on-the-go items from a refrigerated case. But perhaps the most eye-popping section is by the cash register, where cakes of various sizes, shapes and colors are on display, luring customers in for the ultimate indulgence.
“I often say it’s the Wonka of bakeries when you walk into one of our cafes,” said Darren Tipton, Paris Baguette’s North America CEO.
Paris Baguette is expanding rapidly and has a goal of reaching 1,000 cafes in the U.S. by 2030, Tipton said. The company has over 4,000 units globally and entered the U.S. with its first franchised unit in 2015.
Paris Baguette is one of a handful of chains eyeing that 1,000-unit mark, including Freddy’s Frozen Custard & Steakburgers, Bojangles, Sweetgreen and Captain D’s. Nothing Bundt Cakes, which competes more directly with Paris Baguette, plans to reach that milestone by 2027, and opened its 600th location last June.
In late 2024, Paris Baguette opened its 200th North American unit and has a clear pathway to open another 100 units in the region, Tipton said. Operators have already signed upwards of 70 leases for 2025. The chain ended 2024 with 51 openings, a double-digit increase from 2023, he said. Tipton is aiming for over 200 development deals in 2025.
Roughly 70% to 80% of Paris Baguette’s franchisees are now multi-unit operators. The company started with a lot of single-unit operators but it’s now signing four units or more at a time with its latest deals. For 2024, Paris Baguette signed deals for 162 units, a record for the chain, Tipton said.
“There’s no reason why we won’t see 150 or more units come 2026,” he said. “It’s exciting. Next year we’ll hit 250- and 300-unit milestones. … We will be over a half billion dollars in systemwide sales. We’ve got a lot of great momentum. A lot of incredible milestones to look forward to and celebrate.”
Creating a successful franchised system
Reaching this level of momentum has taken years. When Tipton took the reins in January 2020, the brand did a reset of its company ethos and how it positioned itself throughout North America.
“We see a wide open space,” Tipton said. “Our vision is to re-establish a neighborhood bakery cafe as a heart of the communities throughout North America.”
That meant making and crafting treats fresh and creating a warm and welcoming environment in its cafes. Alongside the company’s new vision, it created a prototype with modern features that showcase its baked goods. The restaurants also include bistro chairs, penny tiles and murals highlighting the local community.
“I think the overall look and feel also is a factor in our success and being well received throughout the communities,” Tipton said.
Each cafe bakes its breads, pastries and cakes daily, making it a “true bakery,” Tipton said. While cafes can run out of items, operators can look at production and history and the impact of holidays to better predict what to stock. The company also devotes a lot of time to training — bakers spend a couple of months in training to ensure they are masters at their work, he said.
There are a lot of factors working in Paris Baguette’s favor that are attracting new franchisees. The company had 16 consecutive quarters of positive growth and boasts high average unit volumes. Paris Baguette’s average unit volume is $2.7 million systemwide and $2.6 million for franchised cafes, according to the chain’s 2024 franchise disclosure document. Its highest AUVs are $7 million and its lowest is $1.3 million. At the end of 2023, the chain had 155 units, ending 2024 with just over 200.
Paris Baguette’s new loyalty program, which launched in July, will help with growth as well. The overall response to the new program has been positive, Tipton said. The program was nearing 750,000 members as of December, and Tipton said he expects the chain to reach 1 million soon.
The program offers challenges to engage guests with bonus points for additional visits, trying new LTOs or for buying a seasonal product. It also links rewards to special holidays like Mother’s Day or micro holidays like National Coffee Day.
Paris Baguette is going to grow its footprint beyond urban and suburban areas, too. It is looking into airports and universities, and could open in these non-traditional areas in the years ahead, Tipton said. The chain has expanded throughout middle America and opened its first Canadian unit last year.
“There’s nowhere we can’t go because we’re really filling that void and a need and we feel that the customer response and the overall results and the way the communities have really embraced us,” Tipton said.
