Restaurant chains expanding globally
Oct. 13, 2011
CHICAGO – US-based restaurant chains are trying to evolve into global brands, reaching emerging markets where less industry saturation and competition exists, according to Chicago-based Technomic. During this process, they are challenged to strike a balance between maintaining their brand identities while tailoring menu items and service formats to local preferences.
"These brands can take advantage of the worldwide recognition they've established, but in order to gain loyal customers in new markets, they need to innovate on the menu and introduce items specifically adapted for local consumer preferences," said Darren Tristano, executive vice president. "Chains are also leveraging their international experience and applying lessons learned to improve domestic operations and innovation."
Technomic has developed the BRIC Newsletter to keep foodservice executives current on restaurant and food-and-beverage developments within the fast-growing markets of Brazil, Russia, India and China.
Features from the premier issue include:
• McDonald's Brazil recently rolled out the CBO (Chicken Bacon Onion) sandwich, which was originally developed for the European market. This premium sandwich features breaded chicken, bacon, bacon-spiked cheese and spicy bacon-flavored sauce on a bun topped sesame seeds and bacon bits.
• Cherkizovo, one of Russia's leading poultry processors, has broken ground on a new poultry production complex. The facility in the Lipetsk region is expected to begin operations in 2013 and operate at full capacity by 2015. The complex will ultimately be capable to produce about 500,000 metric tons of live poultry per year. Most of the country's current plants are only able to produce between 15,000-20,000 metric tons annually, so the foodservice implications could be significant.
• Burger King and its new master franchisee for Brazil plan to initiate major expansions in the country. Burger King recently awarded its franchising business to an affiliate of private equity firm Vinci Partners as part of a joint-venture deal. The chain currently operates about 110 franchised units in Brazil.
• Yum! Brands Inc. has offered to buy a majority stake in the Little Sheep Chinese hot-pot chain. The deal values the chain at $863.5 million, or about $.83 per share. Yum! Brands currently owns approximately 27 percent of the chain.
BRIC is a quarterly newsletter that covers all the major restaurant news in the four emerging markets of Brazil, China, India and Russia, with an emphasis on both local chains as well as US-based brands. Every issue of BRIC features an in-depth profile of a leading chain for each of the four countries. BRIC also covers recent local developments in the food-and-beverage space more broadly.
To learn more about the BRIC newsletter visit Technomic.com. To request a complimentary premier issue contact Robert Hicks at (312) 506-3860 or email@example.com