Celebrity restaurants: Here’s Johnny’s

Restaurant chains whose owners and franchisees hope to succeed based on a connection with a celebrity are often disappointed. It’s clear that a famous name is not enough, leading to the failure of many that have depended too heavily on this while ignoring other elements of what makes for restaurant success.

Here’s Johnny’s, with Johnny Carson as its namesake, is a vivid example of the inability of a name to build a chain’s fortunes. The same was true of many other chains, such as those affiliated with Pat Boone, Minnie Pearl, James Brown, and Mahalia Jackson.

The fact that the would-be national restaurant chain Here’s Johnny’s barely got off the ground had nothing to do with Johnny Carson. The bad timing for fast-food start-ups then, 1969, had something to do with it. But so did the initial concept – gourmet hamburgers – and the poor implementation and direction of the chain’s development.

Rather than Johnny Carson, it was the Swanson brothers, grandsons and wealthy heirs of the frozen food empire that introduced Swanson TV dinners, who were responsible for the chain.

Johnny Carson, a popular host of the Tonight Show, was already a television fixture when he agreed to lend his name and engage in publicity for Here’s Johnny’s. He accepted the position of nominal chairman of the board of the parent company, Johnny’s American Inn, Inc. His duties were to appear at five or more restaurant openings a year. In exchange he was to receive $37,500 a year and what amounted to about 15% of stock in the parent company.

Carson insisted publicly that he was more than a figurehead: “I’m going to be active in it. . . . I’m not going into one of those get rich quick things that you just lend your name to and strike gold.” But, of course, the business was under the direction of the Swansons, primarily the elder brother Gilbert Jr. Carson was right, though, in saying it wasn’t a “get rich quick thing.”

The Swansons had been overly optimistic about how many franchisees they could sell. Even before the prototype opened in Omaha in 1969, they announced that they were hoping to sell 375 franchises in the next 18 months, including four or five in Omaha. An advertisement for franchises that appeared in Esquire magazine less than a year after the grand opening claimed “more than 300 have been sold.” However many may have been sold, few actually made it into operation. When the parent company declared bankruptcy in 1974, only 13 were in business.

The original concept was of restaurants with booths, each furnished with a telephone for placing orders (a setup shared by the King’s Food Host chain, based in Lincoln NE). The menu was fairly limited, with hamburgers, fried chicken, steak, fish sandwiches, and hot dogs. However, in October of 1971, a little more than two years after opening, the two Omaha restaurants, described in the Esquire ad as having a “luxurious atmosphere,” were redesigned and the entire concept was changed to that of a family-style restaurant. The telephones that enabled each booth to call in their order were scrapped. Reportedly they had never worked properly.

All franchising was to halt until the new program was in place, but the changes were made only in the two company-owned Here’s Johnny’s in Omaha. The company acknowledged that it would be unable to carry out the makeovers for the franchised units. Needless to say the revamp did not save the chain, though it did improve business at the initial Omaha restaurant. [pictured: advertisement, 1972, for the only two Omaha locations ever opened]

The final blow for the Swanson brothers was a lawsuit brought by the Louisiana franchiser, who charged numerous problems with the chain, such as shoddy kitchen equipment, inadequate training, and little help with financing and site selection. The franchiser was awarded damages. Altogether, the brothers ended up having lost millions.

In 1976 the last Here’s Johnny’s, the first to be opened, closed its operation on S. 72nd Street in Omaha.

At the same time that Here’s Johnny’s was launched, the Swansons also opened the first of what was to be a chain of 100 Time Out fast food eateries meant to serve as financial boosters for the Black community. The brothers partnered with two Black sports figures, Bob Gibson and Bob Boozer, and other backers. The North Omaha location, opened in 1969, was the only one ever built. It failed in 1972 and was then taken over by new owners. It is still in business today, in the original building.

© Jan Whitaker, 2022