Schlotzsky’s is going back to its roots by reclaiming the name Schlotzsky’s Deli and rolling out a new restaurant design.
The sandwich chain, part of the GoTo Foods portfolio, announced Monday that the rebranded updates are designed to modernize its image, make its concept clearer to customers and give franchisees a more sustainable path for growth, while also adopting a new tagline, “Life needs Lotz.”
The move comes after a 2025 survey showed that about two-thirds of customers already think of the chain as a deli. By formally embracing that identity, Schlotzsky’s claims to be refocusing on its core menu of sandwiches, salads, and soup items that first attracted its loyal fanbase.
The redesigned restaurants lean into that deli focus with a cleaner, easier-to-navigate layout that guides customers from the door to ordering, and from pickup to dining. Features include self-order kiosks, dedicated digital pickup areas, grab-and-go options, pre-made cold sandwiches and beverage stations placed to keep lines moving and speed up service.
"This evolution makes something clear that's been true all along: we're a deli that fuels real life, not just a lunch break. It's the same fun name, serious sandwiches and over-the-top flavor people have loved for decades,” Donna Varner, chief brand officer of Schlotzsky’s Deli, said in a statement.
Behind the scenes, the kitchen has been reworked, too. Equipment is arranged more efficiently, reducing wasted space and making it easier for staff to handle busy periods.
The new prototype can fit a range of locations but tops out at about 2,100 square feet, smaller than many older layouts that stretched up to 3,600 square feet. The more compact design is expected to cut operating costs by 20 to 25 percent and improve profitability for franchisees.
“This design empowers franchisees with unparalleled flexibility without sacrificing impact and brand presence,” Varner added. “It’s efficient, easily adaptable and strategically engineered to support a range of development paths, whether launching a new restaurant or refreshing an existing location.”
The rebrand and new prototype come as GoTo Foods prepares for a major expansion, which includes ownership of other restaurants such as Auntie Anne's, Carvel, Cinnabon, Jamba, Moe's Southwest Grill, and McAlister's Deli. Deals signed last year are expected to grow the parent company’s footprint from roughly 7,300 locations to nearly 9,000, Restaurant Drive reports.
Schlotzsky’s Deli currently operates 291 locations across the US, with Texas dominating at 174 stores, reflecting its origin in Austin since 1971. The next-largest cluster is in Oklahoma, which has only 20 locations.
