Rex David "Dave" Thomas was an American businessman and philanthropist. Thomas was the founder and chief executive officer of Wendy's, a fast-food restaurant chain specializing in hamburgers. He is also known for appearing in more than 800 commercial advertisements for the chain from 1989 to 2002, more than any other company founder in television history.
Background
Thomas was born on July 2, 1932 in Atlantic City, New Jersey to a young unmarried woman he never knew. He was adopted at six weeks by Rex and Auleva Thomas, and as an adult became a well-known advocate for adoption, founding the Dave Thomas Foundation for Adoption. After his adoptive mother's death when he was 5, his father moved around the country seeking work. Thomas spent some of his early childhood near Kalamazoo, Michigan with his grandmother, Minnie Sinclair, whom he credited with teaching him the importance of service and treating others well and with respect, lessons that helped him in his future business life.
At an early age, Thomas developed a fascination with restaurants and a love of food. He attributed that to eating out so much as a child and spending time with his grandmother, who worked at an eatery. "I thought if I owned a restaurant, " Thomas told Marilyn Achiron of People, "I could eat all I wanted for free. What could be better than that?"
Education
Thomas quit school after the tenth grade (he has called this his biggest mistake in life), and began to work full-time.
Career
Thomas lied about his age and started in the restaurant business as a busboy at the Hobby House restaurant in Fort Wayne, Indiana, in 1947. The owner, Phil Clauss, was an early mentor to Thomas. After serving in the U. S. Army for two years, he returned to the Hobby House in 1953 and took a position as a short-order cook. His earnings were $35 a week.
In the 1950s, while working for Clauss, Thomas met his other mentor, Colonel Harland Sanders, founder of Kentucky Fried Chicken (KFC). Sanders impressed him with a commitment to quality fast food and a talent for salesmanship. In 1962, Clauss asked Thomas to turn around four KFC carryouts that he owned. If Thomas could take over the management of these outlets and make them solvent, Clauss would transfer 45 percent of the ownership of the restaurants to him. Thomas wanted his own restaurant, so he moved his family to Columbus, Ohio.
Thomas took on the challenge and quickly recognized the stores were failing largely because of the intimidating, 100-item menu which was confusing to the customers. He reduced the menu to mostly chicken and introduced the distinctive rotating bucket of chicken sign. In 1968, Thomas sold his share of the franchises back to the Kentucky Fried Chicken Corporation for more than $1. 5 million.
After a short stint with the Arthur Treacher's Fish & Chips chain, Thomas was ready to build his own chain. He saw himself as a "hamburger man" and decided that hamburgers would be his specialty. He felt McDonald's and Burger King were not doing hamburgers his way: custom-made with fresh meat and a good choice of toppings. Although friends and family cautioned him the hamburger market was saturated, he opened the first Wendy's Old Fashioned Hamburgers restaurant in downtown Columbus in 1969. The name derived from his daughter, Melinda Lou, whose siblings had difficult pronouncing her name, which came out "Wenda" and eventually became "Wendy. "
Thomas envisioned opening a few stores to give his children work during the summer. However, his concept of a restaurant with old-fashioned food and decor, wooden furniture, and carpeted dining rooms was a hit. Thomas turned a profit within six weeks. In 1973 Thomas began selling Wendy's franchises covering entire cities and parts of states, an unprecedented move in the industry. Over 1, 000 franchises opened in the first 100 months of the offering, a substantial growth which would continue for twenty years and would make Wendy's the third-largest restaurant chain in the world.
The original menu at Wendy's consisted of some of Thomas's favorite foods, chili, french fries and fresh hamburgers, as well as the Frosty Dairy Dessert. Crisis came in the late 1970s when Thomas's managers suggested introducing a salad bar. Self-doubt plagued Thomas, and when the salad bar proved to be a hit, he wondered if he should be moving in a different direction. "Here's a company I didn't want to screw up, " he commented to Linda Killian in Forbes. "I see a lot of entrepreneurs start something they can't finish…. I think an entrepreneur has limitations. I thought it was the best time to back off and let other people who were smarter than me do things. "
In 1982 Thomas gave up his title of chief executive but retained the senior chairmanship, a hands-off executive supervisory position. Although for several years it appeared the corporate ship could sail smoothly without him, he eventually returned to management in a different position. The year 1985 was a great success with the catchy "Where's the beef?" advertising campaign boosting sales to a record $76. 2 million, but a downturn was coming. A huge investment in a breakfast program failed as made-to-order omelets and french toast couldn't be made fast enough to meet customer demand. The overall franchise system began showing signs of collapse.
The company reported a $5 million loss in 1986. Thomas hired James Near, a successful franchiser, as the new president. One of Near's conditions for accepting the post was that Thomas come out of retirement and act as the company's spokesperson, ambassador, and unabashed morale booster. It was a rocky road, but Thomas ended up being his own spokesperson. His failure as the company pitchman in 1981 was likely due to the words he was given to say-"Ain't no reason to go anyplace else. " His comeback in 1989 was uncomfortable at first, but success came when he found his own voice. Bob Garfield of Advertising Age characterized the new spots as "hilarious, pointed, tactically sharp, and beautifully performed. " Thomas quickly became one of the most easily recognizable faces in America with over 500 commercials to his credit.
In 1993, Thomas rectified what he considered to be his biggest regret. He commented to Achiron, "I had everything to do with not finishing high school. That was a dumb mistake. " Thomas earned his G. E. D. and graduated from a Florida high school. According to his company biography, his classmates voted him "Most Likely to Succeed, " and he and his wife attended the senior prom, where they were crowned king and queen.
In late 1996, Thomas underwent heart bypass surgery, but he quickly rebounded. In 1997, with 5, 000 Wendy's units around the world, Thomas continued to appear in commercials and launched the successful "Eat a Pita!" campaign. However, he still sticks to the basics. He commented to Roberta Maynard of Nation's Business, "Even in this computer age, our approach is still one customer at a time. "
Achievements
Thomas was inducted into the Junior Achievement U. S. Business Hall of Fame in 1999. Thomas was an honorary Kentucky colonel, as was former boss Colonel Sanders.
Membership
Thomas was raised a Master Mason in Sol. D. Bayless Lodge No. 359 of Fort Wayne, Indiana, and became a 32° Mason, N. M. J. , on November 16, 1961, in the Scottish Rite Bodies of Fort Wayne.
Connections
He married a 18-year-old waitress Lorraine Buskirk. They were married seven months later and had five children, Pam, Ken, Molly, Melinda Lou (Wendy), and Lori.
