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#063 - Why Carls Jr. FAILED In Australia
Episode 6324th December 2025 • The Marketing Factory • Marissa Candy
00:00:00 00:09:50

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In this episode, Marissa breaks down how Carl’s Jr. stumbled in Australia despite the burger hype, revealing how poor location choices, pricing confusion, watered‑down branding, and inconsistent customer experiences turned excitement into disappointment, and more importantly, she shares the gold nuggets multi‑location brands can apply, entering the right markets, matching price to value, keeping brand identity strong, standardizing systems, and delivering experiences that beat hype every time, ultimately reminding us that big brands don’t automatically win, but smart strategies do, making this a must‑listen for anyone planning to expand, scale, or bring a brand into Australia.

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Timestamps:

00:00:00 - Introduction

00:00:13 – Carl’s Jr. Hype in Australia

00:01:30 – Competitors Already Raised the Burger Bar

00:02:22 – Location Missteps: Regional vs. City Culture

00:03:15 – Pricing Confusion: Premium vs. Average Quality

00:04:04 – Branding Watered Down, Identity Lost

00:05:11 – Inconsistent Service Across Stores

00:06:04 – Fierce Burger Competition in Australia

00:07:02 – Key Lessons for Multi‑Location Brands

00:08:31 – Why Carl’s Jr. Failed

00:08:40 – Strategy Strength Over Brand Size

00:09:13 – Growth, Positioning & Customer Journey Tips

Transcripts

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You're scrolling on social media and you see a gloriously stacked,

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juice-dripping, cheese-melting Carl's Jr

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burger. You think, oh yeah, that's

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what I want. Then Carl's Jr launches in

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Australia. Cue the hype, the marketing, the

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influencers biting into the burgers like they've just seen

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heaven. Fast forward a few years and well, where did

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they go? Stores are closing. locations disappearing.

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So what happened? How did a global burger

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giant struggle so hard in a market that

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loves big burgers? So today, in this

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episode, we're going to break down the missteps, the

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missed match expectations, the operational cracks,

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and the gold nuggets of wisdom multi-location brands can

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steal from Carl's Jr.' 's Australian stumble.

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Welcome to The Marketing Factory, where we don't blend in. I'm

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Marisa Candy. Founder and recipient of Gold Stevie International

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Business Award, among many others. And for over two decades,

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I've helped businesses think differently about their marketing and

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achieve powerful results. In this podcast, I'll share proven

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strategies so that you can create profitable marketing campaigns

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that drive real impact for your business. Ready

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to become impossible to ignore? Let's get started. All

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right, let's kick this off and talk about the hype versus

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the reality. When Carl's Jr. entered the Aussie market, the

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hype machine was on. Huge

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burgers, Hollywood-style marketing, loud

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branding, big American personality, a

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cult following overseas. It had all the ingredients

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for success, except one tiny detail.

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Australians love big burgers, but we love

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good big burgers. Brands like

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Grilled and Betty's Burgers had already

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raised the bar. Even Hungry Jack's, they've upped their

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game, haven't they? It's like arriving late to

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a party thinking your outfit will turn heads, only to realise everyone

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else is dressed better than you. Carl's Jr. entered

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the market with confidence, but not with competitiveness. Location,

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location, oh, location. This

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was one of the biggest fail points. Carl's

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Jr. stores were often in regional areas. random

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highway stops, far out of the way suburbs. Their

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strategy was, let's start on the outside cities and build

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brand awareness and then move inward. But here's

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the problem. Australian's fast food culture is

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city first, not region first. If customers can't

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try your product easily, they can't fall in love with it, right? And

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if they're not falling in love with it, they're definitely not driving two

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hours for a burger. They don't

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hear anyone saying, right, let's pack

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the kids, drive 90 minutes and spiritually prepare

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ourselves for Carl's Jr. No one. So

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the next problem they had was a pricing problem. Carl's

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Jr. positioned itself as a premium fast food

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experience, but premium price plus

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inconsistent product equals customer

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confusion. Many Aussies but finally tried

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it said things like, look, it's okay. It's

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a bit dry, not worth the price. I

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expected more. Ouch. Customers will pay

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premium, but they will not pay premium for

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average. Their value perception didn't match

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their price point. Look at Domino's. They fixed

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this by improving the product. Carl's Jr. didn't

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quite get there. So now let's move on to their branding disconnect.

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Carl's Jr. in the U.S. is known for its bold marketing, playful

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humor, the cheeky ads, over-the-top characters. And

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in Australia, they just toned everything down, like way

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down. It became a watered-down version of

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the U.S. identity, which again, confused the Aussie

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market. You know, it's like buying a ticket

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to go and see Beyonce and instead you get someone singing some

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light karaoke in a corner. How do you feel? Betrayed. And

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if you're a bold brand, be bold. If you're a premium

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brand, be premium. If you're an American style

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brand, don't try to become Australian light. Australians

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appreciate authenticity and Carl's Jr. didn't

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deliver a fully authentic U.S. experience

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that we were all anticipating. Just quickly, if

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you're a business owner struggling to see results from your marketing or

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you're overwhelmed by the thought of marketing your business, we

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can help. Book in a call with my team using the link in the show notes

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and let's get your brand thriving without the struggle. Now, back

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to the episode. Then, this is when

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the multi-location chaos truly hit.

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Customers were reporting inconsistent quality, slow

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service, missing items. Burgers didn't match from store

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to store. There was staff training gaps. There was

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a lack of strong brand. Systems in multi-locations didn't

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land. This, all of this, put it all together, is

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death. If every location feels different, customers

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just simply won't trust the brand. Domino's. They

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won because of consistency. Carl's Jr.

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lost because of inconsistency. You

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can't claim American quality burgers and then serve six different

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versions of the same burger depending on the store. This

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is a burger experience. It shouldn't be a surprise. It's not

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akin to surprise. It's dinner. Fast

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food competition in Australia is fierce at

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the moment. If you are in the fast food market, even

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in food, hospitality, you know what I'm talking about. Carl's

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Jr. wasn't entering a weak market. They were

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entering a burger thunderdome. Australia, we've

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already got Grilled, the health halo hero, Betty's

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Burgers, the cute coastal favorite, and Hungry Jack's

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strong loyalty base. Local burger joints, we've

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got them kicking around everywhere, don't we? With hipsters, with beards, crafting

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these artesian patties. And what did Carl's Jr.

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bring? Big, loud, American, but

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no unique advantage. they didn't carve a clear brand

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position. And remember, a brand without a

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strong position becomes background noise. So

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what can multi-location brands learn from Carl's Jr mistakes?

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And here is the gold. Glad you stuck around. One,

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enter the market where your audience actually is. If your target

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customers are city-based, build in the city. Okay.

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Second, your price must match your value. Premium

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marketing can't save average product quality. Number

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three, keep your brand identity strong. Don't

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dilute your personality just to fit in. Because remember this, difference

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stands out. Bland simply disappears. Don't

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blend in. Number four, standardise everything.

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Your training, quality, process, service,

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every store, every day. Number five, stand

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for something clear. Why should customers choose

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you over competitors? Simple question. And

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if you can't answer that, they won't either. Number

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six, experience always beats hype. You

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can't hype your way out of a poor customer experience. So

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to wrap up, Carl's Jr. didn't fail because Australians

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don't like American burgers. We absolutely do. We

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celebrate them. We romanticize them. we do taste

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tests on TikTok just for fun. But Carl's Jr

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failed because the product didn't meet expectations, the

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stores weren't where customers were, the experience wasn't

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consistent and the brand positioning didn't land. This

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is a powerful reminder that multi-location success isn't

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about the size of your brand, it's about the strength of

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your strategy. So if you're planning to expand, open

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some new locations or bring a brand to Australia,

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you need the right foundation, positioning, consistency,

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customer experience. That's exactly what

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we help with here at The Marketing Factory. So if you want

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some support for a multi-location growth plan,

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some brand positioning that actually works, some clarity

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before you scale, or a full customer journey assessment, reach

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out now. Take action. Connect with me, Marisa Candy,

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at The Marketing Factory. And remember, big brands

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don't automatically win, but smart strategies do.

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Now, I'm hungry. Someone bring me a burger. Thanks

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for tuning into The Marketing Factory. If today's episode helped

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bring clarity to your marketing strategy, please leave a five-star review

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on Apple Podcasts or Spotify. And don't forget to

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subscribe on your favorite platform. Stay connected with us

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on the socials at The Marketing Factory or at

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The Marketing Factory AUS, and let's keep turning clarity

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