Pepper Lunch: Sizzling Success in DIY Teppanyaki Dining

Pepper Lunch is a fast-casual Japanese restaurant franchise known for its unique DIY teppanyaki experience. Founded in 1994 by chef Kunio Ichinose in Kanagawa, Japan, the brand introduced an innovative dining style where customers cook their meals on a patented iron plate heated to 500°F.

This interactive approach offers diners a personalized and engaging culinary experience.

The franchise began expanding internationally in 2003. It adapted its model for food courts and suburban markets by developing lighter iron plates and upgrading kitchen equipment. In North America, it is headquartered in Westlake Village, California.

Pepper Lunch’s menu includes sizzling steaks, pepper rice, curry rice, and teriyaki dishes, all served on hot iron plates. Its key differentiator is the hands-on cooking experience, allowing guests to cook meals to their own liking. This format increases customer engagement and lowers labor needs, making it operationally efficient for franchisees.

Training

Pepper Lunch provides a comprehensive multi-phase training program to ensure franchisees and their teams are prepared to operate in accordance with brand standards. The training is delivered both in-person and virtually and involves several key components:

1. Pre-Opening Initial Training Program
   Franchisees and up to four designated managerial personnel must attend a six-week training program in Los Angeles or another designated location. This program includes instruction in food preparation, customer service, marketing, equipment maintenance, and operational standards. Completion of this training is mandatory before the restaurant can open.
2. New Restaurant Opening Assistance
   For the first Pepper Lunch restaurant, the franchisor provides an on-site team of up to two people to assist with setup and operations during the initial opening phase. Additional assistance beyond seven days or for subsequent locations incurs a daily fee plus travel expenses.
3. Post-Opening Initial Training Programs
   Franchisees may request additional training for new or replacement managers. This training comes with a set fee per trainee and covers core operational and management areas similar to the initial program.

Territory Protection

Pepper Lunch grants its franchisees a designated “Protected Area,” which is generally defined by a specific radius around the restaurant or as outlined in a mapped area within the Franchise Agreement.

This protected zone is assigned based on factors like local demographics, traffic patterns, nearby competitors, and visibility. As long as the franchisee complies with the agreement terms, the franchisor will not open or license another Pepper Lunch restaurant within that Protected Area.

However, this protection is limited and does not equate to exclusive territorial rights. Pepper Lunch franchisees may still face competition from other franchisees or company-owned units operating outside the Protected Area.