Yum China plans to add 600 stores annually

(Auteur : retail in asia)
Yum China plans to open approximately 600 new stores annually across mainland China, in a mass rollout that will see the fast-food attempt to outpace rival restaurateurs and boost same-store sales

While exact store details failed to be disclosed by Yum China, the firm’s chief executive officer Micky Pant told media the restaurant group is fervently focused on store openings and strong comparable sales growth. “We believe the majority of our restaurants in China are yet to be built,” Pant said in a statement. “Right now, our top priority is consistently delivering positive same-store sales growth.”

The news comes after rival company McDonald‘s sold a controlling stake in its Hong Kong and Chinese mainland operations last month, adding it plans to open more than 1,500 stores in China over the next five years. Coffee chain Starbuck’s also revealed it wants to add 500 outlets in the market annually.

Yum China, which was spun off from U.S, parent Yum Brands in November, said in early February that total sales grew 5% for fiscal 2016, pushed on by revenue gains at KFC and Pizza Hut. The group also announced the appointments of Joey Wat to president and chief operating officer of Yum China, and Johnson Huang to general manager of the group’s KFC business.

Yum China opened 575 new restaurants last year, surpassing 7,500 and opened 302 new restaurants during the last quarter alone, including its first Taco Bell store at the end of 2016. Yum China operates in 1,100 Chinese cities, under the names KFC, Pizza Hut, the Little Sheep and East Dawning. The first restaurant was opened by Yum China in Beijing in 1987.

Source : retailinasia.com