Tim Hortons is huge in Canada; if you walk the streets of any Canadian city you are bound to see at least one person drinking a Tim Hortons coffee.
Their stores have become a cultural icon – the morning lineups in their drive-thrus can be daunting and the company is slowly starting to transition from coffee into other products like fruit smoothies, sandwiches and wraps.
Here are 11 things about Tim Hortons you probably didn’t know…..
- The company was founded in 1964 by Ron Joyce and Tim Horton, a former professional hockey player who played for the Toronto Maple Leafs from 1949-1974. At that time NHL player salaries were much lower in comparison to current salaries; during the off season Tim Horton drove a gravel truck, sold used cars and eventually started the company to earn income when he retired from the NHL.
- In 1995, Wendy’s was in talks to acquire Tim Hortons. The executives of both companies signed the original terms of the deal (worth $600 million) on a paper napkin in a men’s public washroom. A copy of the original napkin used is shown in Ron Joyce’s book “Always Fresh”.
- The merger with Wendy’s in 1995 meant Tim Hortons officially became an American-owned company. In 2009 after the merger ended Tim Hortons became a Canadian company again (mainly for tax purposes).
- Roll Up the Rim to Win began in 1986 and the only prizes available were coffee and donuts. The program has greatly expanded and prizes have included vehicles, BBQs, bicycles, TVs, various electronics, prepaid Visa cards and gift cards.
- There are approximately 7 Tim Hortons outlets stationed within Canadian military bases (mainly in Afghanistan). The staff members who work there have received special training on how to handle nuclear or biological attacks while on the job.
- Even though Tim Hortons has an in-store policy of “always fresh” coffee (served within 20 minutes of being brewed), the baked goods sold in store are initially baked in Ontario, flash frozen and then shipped to all Canadian locations.
- Tim Hortons has become deeply embedded in Canadian culture; it’s estimated that about 80% of coffee served in Canada is Tim Hortons, the term “double double” has been added to the Canadian Oxford Dictionary and the Facebook page for Tim Hortons has 2.3 million likes – more than any other Canadian brand.
- Tim Hortons franchises are in high demand. While actual profits are difficult to determine and vary by location, it’s estimated that one location can generate a return of 16-20%.
- Approximately 90% of locations are owned by individual franchisees. A Tim Hortons franchise can cost between $480-510k (or more) with about $200k cash required.
- Unlike other franchises, Tim Hortons franchisees do not own the physical building. As part of the franchise agreement, they are required to pay rent and do not have the option to purchase the building.
- Tim Hortons doesn’t just make money selling coffee and donuts – the majority of corporate income is through distribution sales. These are the sale of products, supplies and restaurant equipment from company warehouses to individual restaurants.
Do you prefer Tim Hortons or other types of coffee?