Restaurant consultancy The Fifteen Group acquires Fervid Communications

Restaurant industry-focused consulting firm The Fifteen Group has acquired Toronto-based Fervid Communications, a hospitality-focused marketing agency.

The restaurant industry can be a particularly cutthroat one, with high failure rates and razor thin margins. Sixty percent of single location, full-service restaurants fail to make it past their first year of operation, while 67% of costs go to wages and purchase expenses, leaving an average profit margin of only 6.2%, according to stats from IBISWorld. Rising wages, food costs, and swelling commercial rents are putting additional pressure on the industry.

Enlisting a consulting firm to craft solid launch and ongoing strategy, as such, makes some sense. Toronto-based The Fifteen Group is a restaurant industry consulting firm which offers an array of services, from business plan and menu development to financial strategy, operations audit, and training.

Founded in 2001, The Fifteen Group has developed and launched more than 80 restaurants, and worked with over 950 clients. The consultancy has an additional office in Vancouver.

Fifteen has now transitioned to a full-service agency with the acquisition of Fervid Communications, adding the firm’s strong capabilities in restaurant marketing and communications.

“I think this is an important part of the continued growth of our company,” David Hopkins, president of The Fifteen Group, said. “In the past, we have been the experts in all aspects of restaurant operation, so it only makes sense that we become the experts in effective restaurant marketing and public relations as well. With this addition to our service offerings, it truly makes The Fifteen Group the complete solution for any restaurant that wants to be successful.”

Fervid’s marketing team will continue to offer services in digital brand development and advertising, social media management, public relations, and event management. Founded in 2016, the agency has worked with clients such as Delta Hotels by Marriott, Impact Kitchen, and Fox & Fiddle.

“This partnership will transition The Fifteen Group Inc. into a standalone leader in the marketplace, creating an entirely new agency model,” Kate Engineer, director of Fervid Communication, said. “With the addition of marketing and public relations expertise, we now offer the greatest breadth of expertise to hospitality clients in North America.”

Hopkins believes restaurant industry clients will benefit from the firm’s holistic approach to strategy. “While other consulting companies focus on one specific aspect of the business, such as menu development or marketing, The Fifteen Group views individual aspects as part of the entire strategy for continued restaurant success,” he noted. “Everything, including menu, operations, finances, and marketing and branding have to be understood as a whole for any one piece to be successful.”