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home | Growth Case Studies | Connollys Irish Pub: . . .
 

While perhaps "luck of the Irish" played a role in the timing of this opportunity, Molee (who is not Irish) had been eyeing the space next door to his since he purchased Connolly's in 2004. Careful planning and research seem to be the hallmarks of Molee's successful transition from a manufacturing executive to restaurant and bar owner.
While perhaps "luck of the Irish" played a role in the timing of this opportunity, Molee (who is not Irish) had been eyeing the space next door to his since he purchased Connolly's in 2004. Careful planning and research seem to be the hallmarks of Molee's successful transition from a manufacturing executive to restaurant and bar owner.


Connolly's Irish Pub:

New Owner 'Divides and Conquers' in His Buildout of an Already Successful Concept

Susan Lawson

When the restaurateur next door -- a franchisee of a national QSR (quick-service restaurant) called it quits and vacated the premises -- pub owner Dave Molee (pronounced "Mo-lay") knew exactly what to do. He telephoned the strip mall's landlord to arrange to lease the empty space.

Last spring, Molee completed his expansion of "Connolly's," a buildout that more than doubled the square footage of his popular neighborhood Irish pub bar and restaurant in Cary, North Carolina. It appears to be a smart move, as sales at Connolly's increased 50 percent to 60 percent over the same period of the prior year, which is remarkable in the summer months -- typically sluggish for restaurant business in this region.

While perhaps "luck of the Irish" played a role in the timing of this opportunity, Molee (who is not Irish) had been eyeing the space next door to his since he purchased Connolly's in 2004. Careful planning and research seem to be the hallmarks of Molee's successful transition from a manufacturing executive to restaurant and bar owner.

The New Jersey native says he "always liked the restaurant business," and he had grown up working in restaurants, including a stint as a restaurant manager. As it turned out, however, his career path led him to the cosmetics industry, and to his most recent position as an operations and manufacturing executive. In 2002, this job required him to make frequent trips to North Carolina, and Molee traveled throughout the eastern and central part of the state. He liked what he saw: a growing region, an affordable but high standard of living, and perhaps most significantly, mild winters. The husband and father of three school-aged children saw the Tarheel State as a place he could fulfill the desire to own a business.

In particular, Molee had his sights on the town of Cary, an affluent and vibrant community just outside the state capital Raleigh and at the epicenter of the region's famed "Research Triangle." Cary appeared to be a good place both to operate a restaurant business and to raise a family. In fact, in 2003, Cary was named the "hottest town" over 100,000 in the East and one of the six most desirable places to live in America by Money magazine. This media attention added fuel to growth already created by the influx of numerous large high-tech and pharmaceutical companies. In 2006, the picturesque little town, which only 25 years ago had more in common with Mayberry than Silicon Valley, was ranked eighth nationally in percentage of population growth for communities with at least 100,000 residents.

And it was in Cary that Molee discovered that Connolly's, an established and popular neighborhood Irish Pub concept, was up for sale. Molee wasn't looking to start a restaurant from scratch, nor was he particularly set on owning an Irish pub. He simply wanted to take over a successful restaurant business, "something that would generate money from the start," he says. In the case of Connolly's "the owner wasn't getting out because he had to," Molee says. Rather, the original proprietor of Connolly's decided it was time to cash in on his efforts while the concept remained strong, and he hired a restaurant broker to find a suitable buyer.

Molee studied the zoning and development plan for the area, and realized that "growth would soon kick in," attracting more competition, to be sure, but offering more potential customers. Molee prepared his wife and three children for the relocation to the South, and hired a local attorney to assist him with hammering out the fine points of the deal.

As Irish pub concepts go, Connolly's appears to be the "real McCoy" -- dartboard and all. The concept is true to form throughout, from the cozy, antiqued interior to the menu, which features standard pub fare including corned beef and cabbage, stews, and its signature fish and chips prepared with fresh fish and made-from-scratch batter. As you might expect, beer selection is the backbone of an Irish pub concept, and Connolly's offers a wide selection of domestic and import brews. A loyal contingent of repeat customers considers Connolly's their hangout. Live music on the weekends adds to the authentic pub atmosphere. According to Molee, Connolly's enjoys relatively low server turnover, as wait staff receive healthy tips. This contributes to consistent quality service, he says.

If this all sounds great, for the most part, it was; however, Molee also realized when taking over the business he might not be able to reach folks who would enjoy a pint of beer and authentic Irish fare in a pub setting, but would not be comfortable with the smoke and loud -- and sometimes colorful -- conversation of the 1,500-square-foot (including the 400-square-foot kitchen) combined restaurant and bar.

"The restaurant and bar in the same space seemed to be working against each other," says Molee, who decided early on that moving the main restaurant into a nonsmoking section in the adjacent unit would create new business without alienating his important loyal bar patrons. "That's why the minute the space next door became available I told the landlord, 'I want that space.'" Although there were a few hiccups in the construction process that delayed the opening of the new section several months beyond its planned date, the move seems to have paid off. Molee says he is attracting a strong lunch and dinner crowd, even on typically slow days such as Tuesday and Wednesday, when many other local restaurants are empty. New guests include the spouses and kids of regular bar patrons. An upscale housing development for older adults that is in construction across the road promises a new wave of guests. In the meantime, Molee is reaping response from concentrated local marketing efforts, particularly direct mail, to the many neighborhoods within a several-mile radius of his pub, as well as word-of-mouth advertising of his regular guests. He also uses local print media, and his pub was recently featured in a popular community magazine.

On Wednesday nights, Molee draws guests with a $6.95 signature fish-and-chips special, and he is contemplating an "Irish Sunday" special, offering corned beef and cabbage, shepherd's pie, or beef stew for the same price. Check averages tend to be $9 per person, but jump to $20 when alcohol is added. Bar patrons can still order food in the bar area, which is sufficiently separated from the main dining area to keep the noise and smoke contained. The new eating section has private dining areas suitable for parties and small banquets. Connolly's is open until 2 a.m., seven days a week. The pub opens its doors at 11 a.m. on weekdays, and at noon on the weekend.

Since taking over Connolly's in 2004, Molee has acquired still another restaurant on the North Carolina coast. He says any plans for expansion will be based on his original strategy: "Find a healthy business that I can do something with."


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