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Category: Food

Retail News Asia is committed to providing both local and global retailers with the latest Food and Food & Beverage news throughout the Asian market. This on a daily base.

  • Urban Tea to roll out More China Stores

    Urban Tea to roll out More China Stores

    Chinese beverage and baked-goods retailer Urban Tea says it plans expansion from the middle of this year.

    The company will expand its network to 28 stores initially, through a combination of franchise partnerships and opening its own stores, with plans to speed up the rollout next year.

    Last October, Urban Tea set up a subsidiary company Shanghai Ming Yun Tang Tea, which controls Hunan Ming Yun Tang Brand Management Co (Hunan MYT), to focus on catering, along with health, training, retail and wholesale. Headquartered in the Changsha Xingingmen Fanchen International Center, Hunan MYT will integrate strategic brand positioning, offline operations, store management and brand marketing – all which will be used to expand the planned retail cafe network.

    Hunan MYT will operate stores under three brands: Buoyance Manor, Your Ladyship Tea (pictured) and Meet Honey. Buoyance Manor mainly features bakery products and coffee. Your Ladyship Tea sells specialty teas and light snacks and Meet Honey will primarily sell snacks and kitchen goods such as coffee mugs and tea cups.

    Currently, the company operates seven stores itself in Hunan province branded Buoyance Manor, along with a tea shop in Changsha Youyou Township.

    Urban Tea plans to focus on health and nutrition, using fresh, green, high-quality ingredients, positioning itself as an “all-natural baker”. Beverages offered include milk teas, fresh fruit teas and coffee.

    Light meals include salads, sandwiches, tacos, pizza, pastas and other meals primarily drawing from French cuisine and other western cuisines, and emphasising healthy meals and fresh ingredients.

    The company says it has established a research-and-development centre and will place an emphasis on seasonal research and product development, by picking fresh fruits, using seasonal tea, and using in season grains.

    “By offering seasonal menus we ensure fresh delivery to meet customers health and dietary needs to cultivate long term customers,” the company said in a statement.

    Urban Tea CFO Kan Lu said: “Our professional operations and R&D teams have many years of industry experience. We desire to make every product uniquely impressive to our customers, and bring consumers fresh, healthy and beautiful food and beverages.”

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  • McDonald’s looks to create pipeline of property talent

    McDonald’s looks to create pipeline of property talent

    With $500 million to be spent on new restaurants and refurbishments over the next three years, McDonald’s Australia has established a new property graduate program to create a pipeline of future property leaders within the organisation.

    The fast food chain recently announced the names of the program’s first successful applicants, and it is currently accepting applications for the 2020 intake. Applications close on Sunday, May 12.

    The two-year program provides training in relevant fields, including real estate, construction, design and asset management, and hands-on guidance from experienced mentors in McDonald’s national development team, which maintains a portfolio of over 980 restaurants across Australia.

    Tom Veale, development director of the southern region at McDonald’s Australia, told Inside Retail the program is an important part of the fast food chain’s commitment to new restaurant growth.

    “McDonald’s is committed to new restaurant growth and we wanted to create an opportunity for young talent to come in and grow with our business, developing future property leaders,” he said.

    At a time when many retail and hospitality businesses are looking to “right-size” their store footprints, talented property leaders may very well be a competitive advantage.

    “McDonald’s prides itself on developing and promoting talent and we have so many great people in the system to learn from to give graduates a great kick start to their career,” Veale said.

    “Training graduates allows us to set up a strong pipeline for future success, creating the business leaders of tomorrow.”

    Besides its new property graduate program, McDonald’s Australia also offers a Diploma qualification through its management development program and Certificate II and III in Retail Services.

    “Macca’s is a starting point into the work force for so many young people and, in many instances, turns into a long-term career,” Lisa Althorpe, director of people and culture at McDonald’s Australia, said.

    “Our aim is to set youngsters up with skills for life and a great foundation that gives them the opportunity to build a great career, whether that’s with McDonald’s or externally.”

    Participants in the property graduate program will have the opportunity to continue in a permanent role within McDonald’s Australia upon completion.

    McDonald’s Australia was recently highlighted as a standout performer in the company’s announcement of its Q1 earnings. McDonald’s CEO Steve Easterbrook reported a 5.4 per cent increase in the company’s global comparable sales, and US$4.96 billion (A$7.09 billion) in revenue.

    This reflected the global company’s 15th consecutive quarter of comparable sales growth, but it was 20th consecutive quarter of comparable sales growth for McDonald’s Australia, Easterbrook pointed out.

    He attributed the business’s success to its pioneering initiatives, such as McCafe, which was born in Melbourne in 1993 and is now available in countries all around the world, and delivery via Uber Eats.

    A spokesperson for McDonald’s Australia told Inside Retail the focus has always been on running great restaurants and providing customers with the best possible dining experience.

    “We do this by getting the basics right and innovating in ways our customers want, including through delivery and digital,” the spokesperson said.

    “We’re a customer-driven business; everything – from the food we serve, to the design and facilities in our restaurants – is in response to their needs and is focused on providing the best possible dining experience.

    “We will continue to expand our delivery and digital offerings, as well as grow by investing approximately $500 million in new restaurants and refurbishments over the next three years.”

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  • Hong Kong Restaurant Profits Rise

    Hong Kong Restaurant Profits Rise

    Retail sales may be down but Hong Kong restaurant sales rose by 3 percent in the first quarter of this year.

    The Census and Statistics Department (C&SD) provisionally estimates the value of restaurants receipts at HK$31.5 billion, while the value of purchases by restaurants increased by 3.1 percent to $10 billion.

    After netting out the effect of price changes over the same period, the provisional estimate of restaurant receipts rose by 0.5 percent compared with a year earlier.

    By comparison, Hong Kong retail sales for the quarter fell by 1.2 percent.

    Analyzed by restaurant type, Chinese restaurant sales decreased by 0.6 percent in value and by 2.7 percent in volume. Total receipts of non-Chinese restaurants increased by 4.8 percent in value and by 2.4 percent in volume. Fast food shop sales rose by 5.8 percent in value and by 2.8 percent in volume.

    Sales in bars rose by 2.6 percent in value and by 0.4 percent in volume, while “miscellaneous eating and drinking places” saw sales rise by 11.2 percent in value and by 7 percent in volume.

    C&SD also released figures for restaurant receipts and purchases for each month during the quarter. Receipts rose by 6.7 percent in January, by 0.8 percent in February and by 1.4 percent in March, compared with the same months last year.

    However, after factoring in inflation, it estimated restaurant sales rose by 3.8 percent in January but decreased by 1.3 percent in February and by 1 percent in March.

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  • DFS launches fourth Whisky Festival

    DFS launches fourth Whisky Festival

    DFS Group has launched the fourth Whisky Festival at Changi Airport, this one with a pop-up bar. Aiming to “demystify the whiskey-making process”, the festival offers a selection of more than 400 whiskeys and many exclusive offers.

    Highlights include Bruichladdich Port Charlotte 10, Compass Box No Name, No 2, Glenmorangie Rare Cask 1399, Johnnie Walker Black Triple Cask Edition and Royal Salute 21 Year Old Lost Blend.

    “The Whisky Festival is one of our favorite celebrations at DFS, providing a great opportunity to showcase this wonderful spirit in a fun and engaging way to whiskey connoisseurs and enthusiasts alike,” said Brooke Supernaw, senior VP spirits, wines, tobacco, food and gifts at DFS Group.

    “We are delighted to work with some of the best whiskey makers in the world to bring this event to life again this year in partnership with Changi Airport Group.”

    The pop-up bar, reminiscent of the speakeasy bars of the 1920s Jazz Era, will remain open until June 10. At the bar, travelers can enjoy interactive experiences with whiskey tastings, and vaporizers producing scents from floral all the way to smoky and intense.

    Live performances by jazz singers including Carol Gomez, Ywenna Carolin, and Richard Jackson will feature.

    “We are thrilled to partner with DFS Changi once again and bring the annual Whisky Festival to the next level with a pop-up bar for the first time ever. This 1920s-themed bar with its unique interior and collection of never-before-seen whiskeys will offer travelers a multi-sensorial travel retail experience, in celebration of all things whiskey,” said Teo Chew Hoon, group senior VP, airside concessions, at Changi Airport Group.

    After Singapore, the festival will relocate to seven DFS locations across Asia, the Middle East, North America, and Hawaii.

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  • Dosa Hut opens first Gold Coast Restaurant, Australia

    Dosa Hut opens first Gold Coast Restaurant, Australia

    Indian restaurant chain Dosa Hut has opened its first Gold Coast store at Crestwood Plaza in the central part of the region. The 165sqm store in Molendinar will offer both dine-in and takeaway options.

    The Melbourne-based chain, which already has restaurants across Victoria, New South Wales, and the Australian Capital Territory, said the Gold Coast store is the 20th location for the group.

    Tanaka Jabangwe, Knight Frank associate director of retail leasing, negotiated the five-year lease. He said Dosa Hut had been looking for the right opportunity to open a store in the growing Gold Coast region for some time before leasing the Crestwood Plaza space.

    “Dosa Hut was seeking a central location in a suburban catchment with ease of access to major road networks, and Crestwood Plaza fit the bill in every aspect,” Jabangwe said.

    “The convenience center is situated on Olsen Avenue, which is a very busy thoroughfare with plenty of traffic passing estimated at circa 57,000 cars daily, which offered great exposure for the restaurant.”

    A Dosa Hut spokesperson said the location offered a perceived geographical center to serve both the northern catchment and parts of southern Gold Coast with ease.

    “We are confident in our food and believe the Gold Coast will appreciate the quality, authentic Indian food we have on offer.”

    Crestwood Plaza convenience center fronts the Crestwood Heights residential estate is adjacent to Bunnings Warehouse and opposite Griffith University’s future development land.

    The center features over 190 car parks, a full line Supa IGA as an anchor tenant and 17 other specialty stores.

  • Deliveroo appoints Susana Voces as new Vice President for Restaurants

    Deliveroo appoints Susana Voces as new Vice President for Restaurants

    Deliveroo has appointed Susana Voces to be the company’s new Global Vice President for Restaurants. This comes as Deliveroo has expanded rapidly across the world, now in 14 markets and working with 80,000 restaurants.

    Mrs Voces will be working in Deliveroo’s London HQ and brings a huge amount of experience to this vital role. Mrs Voces was previously the General Manager for Ebay Italy and Spain. In these roles she reinforced the company’s position in both countries, achieving a high level of notoriety for the marketplace platform and consolidating a business of 7.5 million active users and 40,000 professional sellers.

    Before then Mrs Voces was Country Manager for Ebay Marketplaces in Spain and Head of Merchant Services for PayPal in Spain and Portugal. Experience in these roles, as well as having worked at Ericsson for seven years and has a Masters in Business from Harvard, mean Mrs Voces will help Deliveroo continue to improve its offer to restaurants.

    Restaurants that work with Deliveroo are able to reach customers they otherwise would be unable to and see their revenues increase by up to 30%. In 2019 Deliveroo is committed to being the partner of choice for restaurants in all markets. The company and Mrs Voces’ priorities for restaurants will be:

    • Innovation. Deliveroo helps restaurants create Virtual Brands – completely new brands run out of restaurants’ kitchens, increasing choice for consumers and sales for restaurants. Deliveroo’s Editions delivery-only kitchens enable restaurants to expand to places they otherwise wouldn’t be able to as they reduce the cost and the risk for partners. Deliveroo will continue to roll out innovations that help restaurants extend their menus and reach a wider customer base.
    • Data insights. Deliveroo has unique insights on how restaurants’ delivery services perform. Restaurants can use this via Deliveroo’s ‘Restaurant Home’, which provides data on performance, to learn how to improve their service and understand where their competitors have an advantage.
    • More freedom on the platform. Deliveroo’s ‘Marketer’ gives restaurants greater freedom to launch their own discounts and promotions on the platform. Restaurants get 30% more orders when they run an offer with Marketer, on average.
    • Marketplace+. Deliveroo is uniquely enabling restaurants to fulfill orders either with their own rider fleets or though Deliveroo riders. This service, ‘Marketplace+’, dramatically extends the delivery service restaurants are able to offer while improving delivery times.
    • Increased selection for consumers. Deliveroo has enabled consumers to be able to order from further afield; at the end of last year, customers could on average see double the number of restaurants they could see at the beginning of the year. This increases overall order volumes on the platform, benefiting all partners.

    Susana Voces said, “This role is hugely exciting. Deliveroo is a company with huge potential. There are so many amazing restaurants out there, from household name chains to innovative street stalls, and we want everyone to be able to order whatever they want whenever they want it, catering for every occasion. This is a great, ambitious company and I can’t wait to get stuck in. Everything we do will be about supporting restaurants and helping them to grow, making their food available to as wide an audience as possible.”

    Brian Lo, General Manager of Deliveroo Hong Kong, said, “Deliveroo has always led the way in bringing new innovations to local food sectors and it is great that Susana is joining to help us continue to improve the support we offer to restaurants. She has huge experience and talent and will help the team ensure we are offering customers and restaurants the best possible food experience.”

  • Burger King slammed for ‘racist’ ad promoting Vietnamese burger

    Burger King slammed for ‘racist’ ad promoting Vietnamese burger

    The clip shows several people tying and failing to eat a burger with large, red chopsticks. A caption accompanying the video read “Take your taste buds all the way to Ho Chi Minh City with our Vietnamese Sweet Chilli Tendercrisp.”

    The video, shared by Maria Mo via the account @mariahmocarey, has received more than 2.7 million views. Mo told that she shared the clip as she was tired of large corporations portraying Asians in an offensive manner.

    “I could not believe that such a concept was approved for such a big, well-known company. It says a lot about what kind of demographics they must employ across the board for their ads.”

    Other social media users were quick to slam the fast foot retailer for making fun of a utensil that has been used across Asia for thousands of years.

    Viet Thanh Nguyen, the Pulitzer Prize-winning Vietnamese-American novelist, shared the clip with the comment “What’s worse, this ad or using chopsticks in your hair?”

    The advertisement was later removed from all of Burger King NZ’s social media platforms.

    Respond to the controversy, Burger King released a statement, saying: “The ad in question is insensitive and does not reflect our brand values regarding diversity and inclusion. We have asked our franchisee in New Zealand to remove the ad immediately.”

    Burger King New Zealand’s Chief Marketing Officer James Woodbridge expressed regret.

    “We are truly sorry that the ad has appeared insensitive to our community. We have removed and it certainly does not reflect our brand values around diversity and inclusion.”

    Burger King entered the Vietnamese market in 2011 but has struggled to win over local consumers. The firm hoped to have 60 outlets in the country by 2016, but as of 2018 had only 11.

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  • Supermarkets lose Liquor Sales

    Supermarkets lose Liquor Sales

    Independent liquor retailers took back around 130,000 customers from supermarket chains over the 12 months to December 2018, increasing their market share from 9.8 per cent to 12.9 per cent, according to research firm Roy Morgan.

    Supermarket-owned chains, including Woolworths Group’s BWS and Dan Murphy’s, Coles Group’s LiquorLand, First Choice and Vintage Cellars, as well as IGA and Aldi, lost around 1.8 per cent of the market over 12 month period, according to Roy Morgan’s Alcohol Retail Currency report.

    “While the big two supermarket chains are competing, it appears to be largely at the expense of Aldi, IGA and other supermarkets all of whom lost share over the last 12 months,” Norman Morris, industry communications director at Roy Morgan, said.

    “Our research shows a number of drivers of buying behaviour in this market, including proximity to other shops, low prices, an easily browseable range, special offers, expert staff knowledge and good service.”

    Coles Group bucked the trend as the only major retailer to gain share over the year, jumping from 16.5 per cent to 18.1 per cent.

    And while Woolworths Group remains the clear market leader, with almost half of the alcohol market (48.3 per cent), its Dan Murphy’s brand lost 4.2 per cent of share during the period.

    Woolworths said yesterday that while Dan Murphy’s sales momentum improved over the 13 weeks to March 31, 2019, it is still expecting its Endeavour Drinks group EBIT to be below the prior year as it focuses on improving its range, service and convenience for customers.

    Likewise, Coles noted its Liquorland brand has struggled with a subdued market and lower promotional intensity in the beer category, especially over the New Year’s Eve period, which it said underperformed.

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  • HelloFresh to monetise Tasty Perks

    HelloFresh to monetise Tasty Perks

    HelloFresh has launched a new in-box sampling service called Tasty Perks, which allows brands to test new products on the meal kit company’s customers for a fee.

    The in-box advertising program creates a new revenue stream for HelloFresh and gives it additional insights into its customer base. For food and beverage brands, it presents an opportunity to bypass the supermarket shelf and reach customers in their kitchens.

    “Our in-box sampling breaks through the clutter of all other marketing forms because it enables customers to try new brands risk free,” David Williams, HelloFresh senior manager of loyalty and partnerships, said.

    “We generally ask for at least two samples per box to ensure the products get a change to resonate with our customers. To support, we also offer an in-box flyer and social media amplification as part of the package.”

    Customers are incentivised to complete a tailored questionnaire to gain their feedback on products, which HelloFresh’s data analysts can analyse.

    HelloFresh claims to have served 2.04 million active customers worldwide during Q4 2019.

    A HelloFresh spokesperson told this service is offered in other markets, but has been refined over the last six-months to give the best experience in Australia.

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  • Kyoto Ichinoden chooses Hong Kong

    Kyoto Ichinoden chooses Hong Kong

    Japanese restaurant chain Kyoto Ichinoden has opened its first overseas restaurant in Hong Kong.

    The launch celebrates the brand’s 100th anniversary while also tapping into the city’s unique role in the region and its close ties with the Mainland market for future expansion.

    Kyoto Ichinoden’s debut local restaurant has opened at Ocean Terminal, Harbour City, in Tsim Sha Tsui. It serves traditional Japanese cuisine including Kyoto kaiseki (multi-course dinner) and traditional Kyoto dish saikyozuke (seasonal meat or fish fillet pickled in Saikyo miso).

    “Hong Kong is a vibrant city situated in the heart of the region,” said Kyoto Ichinoden HK president Jumpei Tanaka.

    “Strategically, Hong Kong is our first choice for expansion because of its geographical and economic advantages. Moreover, there is a strong passion for Japanese food, so this gives Japanese restaurants a very good head start to set up a presence here. The city is also very strong in terms of logistics and transportation, ensuring efficient supplies of fresh ingredients – essential for the operation of high-grade Japanese restaurants like ours.

    “We expect that soon we may reach out to the Mainland market and other places in East Asia from Hong Kong, given that the city is close to the Mainland market and a major business hub in Asia.

    “As the Greater Bay Area (Guangdong-Hong Kong-Macao Greater Bay Area) has become an important development and that Hong Kong plays a key role within it, having a first overseas base in Hong Kong will also help our brand build solid customer confidence and spread quickly to the Greater Bay Area in the near future.”

    InvestHK helped Kyoto Inchinoden launch in Hong Kong.

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  • McDonald’s Malaysia Opens 20 More Restaurants

    McDonald’s Malaysia Opens 20 More Restaurants

    McDonald’s Malaysia will launch 20 new McDonald’s Drive-Thru restaurants before the end of the year.

    “Drive-Thru window sales have contributed almost 50 per cent of total sales at 167 restaurants,” said regional MD and local operating partner Azmir Jaafar. “On top of this, we’ve seen an average 10 per cent year-on-year growth in drive-thru sales in the first quarter of 2019.”

    McDonald’s Malaysia opened its first Drive-Thru in Titiwangsa in 1988. The franchise now plans to include a drive-through facility in nearly three quarters of its restaurants by 2021, anticipating a 10–15 per cent increase in vehicle count.

    A Drive-Thru Weekend Challenge held from April 26–28 saw 473,860 cars stopping at a McDonald’s Drive-Thru nationwide for a meal, earning the franchise a spot in the Malaysia Book of Records.

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  • Texas Chicken Indonesia opens New Restaurant in Bandung

    Texas Chicken Indonesia opens New Restaurant in Bandung

    A Texas Chicken Indonesia franchisee will be among the first in the world to display the brand’s new look and feel.

    The company’s new ‘Blaze’ concept will make its debut in central Bandung, in a popular town-square style area known as Alun Alun Bandung. Quick Service Restaurant, an affiliate of the Texas Chicken franchisee in Malaysia, Envictus International Holdings Limited (EIH), will be the official franchisee for the new restaurant.

    “This has been an exciting opportunity to introduce a new audience to an ever-evolving brand like Texas Chicken which is known and respected for its quality and superior guest experience,” said Quick Service Restaurant’s country head Daniel Harris Ishak.

    The new Texas Chicken in Bandung is part of a much larger franchise development deal that will bring 80 Texas Chicken restaurants to Indonesia over the next 10 years – mainly in Jakarta, West Java, Banten, Lampung, South Sumatra, and Bengkulu provinces.

    The 150-seat restaurant, located on the first floor of The Kings Shopping Centre, will be the first in Indonesia to feature the new logo, new store design, and the latest international menu.

    “QSR is an extension of one of our most proven franchisees – which made them an excellent choice for piloting this new design,” said Texas Chicken’s executive VP of international business Tony Moralejo.

    “We look forward to bringing our quality food and authentic flavours to our guests in ways that are fresh and engaging.”

  • Pizza Hut Malaysia Plans More Store Openings

    Pizza Hut Malaysia Plans More Store Openings

    The 400th Pizza Hut Malaysia store has opened at Central I-City Shah Alam.

    To celebrate the landmark moment in the franchise’s history, Pizza Hut is giving 4000 pizzas to diners, as well as an additional 400 pizzas to 10 local charities. It was also selling its personal-sized pizzas for just RM4 (around US$1) at the end of last month.

    A statement by COO Loi Liang Tok revealed that the brand intends to open its 408th store by the end of the year, with new locations in Sabah, Sarawak, Perak and Penang. The brand is also rolling out an upgraded serving system in its fast casual delco stores, equipped with faster food preparation equipment and some self-service features.

    “The expansion of offerings through our new store format and the enhancements of our existing stores enable us to up our ante in staying relevant and help us to serve our community better,”

    QSR Brands MD Dato’ Seri Mohamed Azahari Mohamed Kamilw, “while offering vibrant dining experiences and staying delightful.”

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  • Tricker’s Tokyo Opens British footwear brand’s first Store

    Tricker’s Tokyo Opens British footwear brand’s first Store

    British footwear brand Tricker’s has opened its first shop outside the UK, choosing Japan.

    Tricker’s Tokyo store opened last Thursday, an exact replica of its London Jermyn Street shop.

    “Japan has been our biggest export market for more than 30 years,” read a notice on the brand’s Twitter account. “This is a bold development for a small business such as ours.”

    The opening celebrates the heritage brand’s 190th anniversary. It is known for its quality heavy brogue shoes and boots, and counts Prince Charles among its patrons.

  • Chinese KFC restaurants struggles as chicken prices Increases

    Chinese KFC restaurants struggles as chicken prices Increases

    Chinese KFC restaurants have begun serving parts of chickens not used before in response to rising costs.

    According to Yum China CEO Joey Wat, the KFC brand introduced new chicken cuts in the first quarter from “a part of the chicken that we somehow have not used in the last 30-some years”. The cut is a portion between the wing and the breast.

    The elevated poultry costs are largely attributed to a spin-off effect from the impact of African Swine Fever on the pork market as well as the current trade war with the US.

    The costs have seen KFC’s operating margin reduced to 18.7 per cent from the previous 20.6 per cent, despite a rise in same-store sales of 5 per cent. KFC has faced commodity inflation of 5 per cent in the first quarter, according to the company’s earnings call.

    “We expect poultry inflation to weigh on margins for the rest of the year,” said Yum China CFO Jacky Lo.

    Wat stated that the chain may be turning to new technology to save its declining margins in the hope that such technology can provide “another way to cut out chicken.”

    The brand may also introduce “some sort of ingredient” other than chicken “that probably has not been used before.”

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