Thursday, September 2, 2010

McDonalds India Franchisee Vikram Bakshi On India Learnings and Growth Ahead

NEW DELHI—McDonald's Corp. plans to step up its expansion in India this year and next after finding that the country's new middle class will line up for its fast food, even in the smaller cities.

After opening about 35 new stores this year, Indian franchisees of the U.S. burger chain plan to open 45 branches or more next year, said Vikram Bakshi, managing director of McDonald's operations in the north and east of India. They will have about 210 stores in India by the end of this year, he said. The company expects its revenue to rise by more than 30% this year, he said, with about half of the growth coming from new outlets and half coming from increased spending by existing customers.

"The existing customer is coming in more often and has more money in his pocket," he said.

As McDonald's sets up shop in smaller cities, it is finding pent-up demand, said Mr. Bakshi. After years of watching McDonald's commercials on Indian television, small-city consumers are familiar with the menu, he said, though they don't always understand that you have to line up to order food. "They just sit down and wait for someone to take the order," he said.

In towns and cities like Lucknow, Varanasi, Panipat, Ambala and Meerut, McDonald's branches are mobbed when they first open, with first-time fast-food buyers snapping up items off of the menu unique to India. These include the Chicken Maharaja Mac and the vegetarian McAloo Tikki burger.

A McDonald's restaurant in Noida, located near New Delhi.

Pork and beef products are not sold in McDonald's India franchises, and the kitchen is segregated into vegetarian and non-vegetarian sections.


More than 10,000 customers a day have been flocking to one of McDonald's newest outlets in Bhopal in the state of Madhya Pradesh.

One of the biggest bottlenecks to further growth is infrastructure, said Mr. Bakshi. McDonald's needs good roads for deliveries, uninterrupted power and gas, and shopping areas popular with consumers. Better infrastructure could more than double his McDonald's growth rate in India, he said.

"With the kind of hunger that we have seen for a product like ours, it is very clear that if our infrastructure would improve to the level of China's then our growth would double to 40%, 50% or 60% per year," he said.

Tags:McDonald's Franchise, McDonalds, McDonalds Franchise, Vikram Bakshi, fast food franchise, burger franchise, mac donalds, mc donalds store, mcdonalds india, mc donalds restaurant, india franchisee

Source:The Wall Street Journal, India Business Week, Aug 31,2010, Eric Bellman.

This Blog/Information/News Item/Press Release has been posted by Sparkleminds, A Franchise Consulting Company Based at Bangalore,India, Offering Complete Franchise Solutions Nationally and Internationally for more than a decade now.Visit www.sparkleminds.com for more details.

13 comments:

  1. Food franchiseFresh School Healthy Vending Program has been introduced to ensure students of all ages have the opportunity to purchase Natural and Organic Healthy products through convenient and state of the art vending systems.

    ReplyDelete
  2. I am interested in starting a branch of Mcdonalds in Tirupati, Andhrapradesh. I want to contact u for the details. Please give me ur no or mail. mine is anil.gour30@gmail.com

    ReplyDelete
  3. I M INTERESTED IN STARTING UP A NEW BRANCH OF MCDONALDS IN JAMSHEDPUR OR RANCHI,JHARKHAND.PLZ PROVIDE ME UR CONTACT NO. OR MAIL ID SO THAT I COULD UNDERSTAND THE CLAUSES AND MARKET OF UR FRANCHISE.MINE E-MAIL ID IS:-piyush.anand62@yahoo.in &anand.pratyush7@gmail.com

    ReplyDelete
  4. I AM INTERSTED IN STARTING A NEW BRANCH OF MCDONALDS IN MATHURA CITY (u.p) NEAR KRISHNA JANAMBHUMI . PLEASE PROVIDE ME YOUR CONTACT NO. AND OTHER REQUIRED DETAILS.
    MY EMAIL ID- nmnm4851@gmail.com..
    phone no.- 0565-3291404

    ReplyDelete
  5. I am interested about starting a business of McDonald. As we all know that McDonald's is the head in the ready made food market. So the franchise of it very excellent to own. I would really like to be a part of it.

    what is a franchise

    ReplyDelete
  6. I have a shop of appx 2500 sft in a upcoming mall in Pune city with good footfall. I am very intersted in the franchise of McDonald, hence would like to eagerly know the process as well as the basic requirement. can you suggest who is the right contact for this.

    Rajkumar Daga

    ReplyDelete
  7. Respected vikram sir
    I would like to take up a franchise of one of the most prestigious fast food chain MCDONALDS..in Siliguri west bengal.. its small town which is developing very fast and other major giants like kfc dominos have already openend up deir outlets..
    I have some property dere and would like to see mcdonalds opening up dere..
    Pls reply to me at paancom88@gmail.com or sir leave a mail so as i will contact u accordingly
    Regards
    Paawan mehta

    ReplyDelete
  8. The McDonald's franchisees in different regions, both large urban areas and small towns have specific facilities are.The cost to start a McDonald's franchise is very high, but the profit margin for each franchise is even higher.

    mcdonalds franchise

    ReplyDelete
  9. hello sir gud evng i want to open a mc donald restaurant in between to ghazibad to meerut road highway plz contact me to related franchise.. i check out this way many tym on road dnt ny best restaurant mc donald its very gud area so plz contact me 09818181031sandeep..ghaziabad

    ReplyDelete
  10. Hello Sir,
    I am Interesting in starting a new branch of Mc Donalds in Kullu Manali highway, I have 90000 sq feet high location area so plz provide me ur contact no. Asap .

    Email I'd. Rohanmaingi04@gmail.com
    Mobile no 09899463475

    Best Regards,
    Rohan Maingi

    ReplyDelete
  11. Nice post...
    I would rate this bolg as good and i would like to share with my friends.I like the way you post your blog. For more info-
    http://www.franchisezing.com

    ReplyDelete
  12. Hey!! Thanks. I am also planning to open my own world class food franchise in India.

    KFC Franchise Business In India

    KFC Franchise Apply in India

    ReplyDelete
  13. great article this is very informative .......keep posting thanks regards
    sattusharbat
    sattu sharbat

    ReplyDelete