Growth

Expanding to a Second Location? Avoid These 6 Pitfalls

Opening your second location sounds like a dream milestone—but it’s where many restaurants stumble. In this post, we walk through six common mistakes operators make when expanding, and how to set your next location up for long-term success.

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Jack Hendrix
CEO, OpenTab
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May 4, 2025
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5 min read
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Why the Second Location Is So Tricky

Your first location worked. The team gelled, the community showed up, and the numbers made sense. But expanding doesn’t mean copying and pasting. The second location introduces new costs, new staffing challenges, and new expectations—without the same margin for error. Many restaurants fail at location #2 not because their concept is weak, but because they underestimate how different “same” can feel.

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1. Assuming What Worked Once Will Work Everywhere

Just because your first location crushes brunch in one neighborhood doesn’t mean the second will. Different demographics, foot traffic, and competitor presence all play a role. Run fresh market research for each expansion—even if it’s across town. Look at parking, delivery demand, and daytime traffic before signing anything.

“Don’t copy-paste. Adapt. Your second location should honor the brand, not clone the first one blindly.”
2. Hiring Too Fast (or Too Familiar)

The temptation is to clone your team from location one—but every restaurant needs its own leadership culture. Hiring from scratch forces you to define roles and systems more clearly. Be intentional about who leads your second team, and avoid overloading your original staff with double duty.

3. Underestimating the Operational Complexity

More locations mean more moving parts—especially when it comes to inventory, scheduling, payroll, and reporting. Use systems that scale, not ones that rely on paper and memory. Tools like OpenTab help you maintain a consistent guest experience across locations, while still giving each GM autonomy on the floor.

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4. Launching Without a Brand Refresh

You’ve grown—your brand should, too. Before launching a second location, update your brand guidelines, photography, menu templates, and digital presence. Treat it like a relaunch, not just an addition. A strong, unified identity builds trust and attracts repeat guests in new neighborhoods.

5. Forgetting to Create a Launch Plan

You probably hustled to get your first guests in the door. Your second location deserves the same. Build a 30-day launch plan with local influencers, soft openings, PR outreach, and platform updates. Make sure your presence on apps like OpenTab, Google, and Yelp is fully optimized before you open the doors.

6. Losing Sight of the Guest Experience

With expansion comes distraction. Don’t let the growth dilute your core: hospitality. Keep feedback loops strong, visit each location often, and use guest-facing tools that make the experience smoother, not more complicated. Automation and tech should amplify your team—not replace the human touch.

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