chick fil-a in india
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“Eat More Chikin” in India
Bringing Chick-Fil-A into theIndian Marketplace
An outline of the value of the fast food market in India, the key
challenges with the introduction of a new fast food restaurant
abroad, our solutions, and financial projections.
2www.chickfila.com |Why Target the Indian Marketplace?A quick overview of the value of the Indian fast food market.
United StatesIndia
63.7 Million PeopleBetween Ages 10-24
Source: US 2012 Census
356 Million PeopleBetween Ages 10-24
Source: CNBC 2015
www.chickfila.com |
3www.chickfila.com |
50%
17%
13%
13% 7%
Why Target the Indian Marketplace?A quick overview of the value of the Indian fast food market.
Frequency of Fast Food Visits
80% of Indians in Metropolitan Areas Eat Fast Food at Least Once a WeekSource: International Journal of Application Innovation inEngineering & Management 2013
50% of Indians visit fast food
restaurants at least once a week
17% of Indians visit fast food
restaurants at least twice a week
13% of Indians visit fast food
restaurants thrice a week
13% of Indians visit fast food
restaurants once ever 15 days
7% of Indians visit fast food
restaurants at once a month
4www.chickfila.com |
$18
$20
$22
$24
$26
$28
$30
2015 2016 2017 2018 2019 2020
Why Target the Indian Marketplace?A quick overview of the value of the Indian fast food market.
$27.5BILLION DOLLAR
MARKET BY 2020Source: NOVONOUS 2015
7.0%YEAR OVER YEAR
MARKET GROWTHSource: NOVONOUS 2015
Fast Food Market in India ($US Billions)
5www.chickfila.com |Key Challenges with the Indian MarketplaceAn overview of the main challenges posed with the introduction of a new fast food restaurant in India.
Religious and Dietary Differences
Consumer Messaging Differences
Production & Distribution Issues
Business & Political Risk
6www.chickfila.com |
ManageTackling the cultural workplace differences while
addressing the complex business and political risks
of building abroad.
The Indian Fast Food
Market Entry Strategy
A comprehensive three point planto address the key challenges.
The “Triple M” PlanHow to tackle the key challenges and succeed in the Indian market.
MakeOutlining where storefronts will be established, how
resources will be distributed, and developing a
country-wide expansion strategy.
MarketAddressing the religious and dietary differences
between the US and India while crafting a message
native to the marketplace.
7www.chickfila.com |
The Indian Fast Food
Market Entry Strategy
A comprehensive three point planto address the key challenges.
The “Triple M” PlanHow to tackle the key challenges and succeed in the Indian market.
ManageTackling the cultural workplace differences while
addressing the complex business and political risks
of building abroad.
MakeOutlining where storefronts will be established, how
resources will be distributed, and developing a
country-wide expansion strategy.
MarketAddressing the religious and dietary differences
between the US and India while crafting a message
native to the marketplace.
8www.chickfila.com |
Since 1995, American fast food companies have expanded into the
Indian market. Yum Brands to date has over 1,000 stores with over
$1 Billion in revenue from the Indian market alone.
The “Triple M” Plan: MakeUnderstanding our competition and outlining our entry strategy
$18
$20
$22
$24
$26
$28
$30
2015 2016 2017 2018 2019 2020
Fast Food Market in India ($US Billions)
9www.chickfila.com |
JAN ‘17Establish Chick-Fil-A India HQ in Delhi
Manager roles acquired by Transition Team for
first stores. Begin recruitment Internal positions
posted for India.
FEB – DEC ‘17
JAN – DEC ‘18
Training Complete
Complete training of new employees. Begin
opening corporate-owned stores, distribution
sites in Delhi, Chandigarh and Bangalore.
Mumbai Expansion
First stores in Mumbai open. Chick-Fil-A HQ
expands as management and supply chain
grows more complex.
JAN ‘19 -Incentivized Small City Franchise Expansion
Move into smaller cities where competition
isn’t very well established. Offer Executive
Training program to grow internal talent.
The “Triple M” Plan: MakeUnderstanding our competition and outlining our entry strategy
10www.chickfila.com |
JAN ‘17Establish Chick-Fil-A India HQ in Delhi
Manager roles acquired by Transition Team for
first stores. Begin recruitment Internal positions
posted for India.
FEB – DEC ‘17
JAN – DEC ‘18Mumbai Expansion
First stores in Mumbai open. Chick-Fil-A HQ
expands as management and supply chain
grows more complex.
JAN ‘19 -Incentivized Small City Franchise Expansion
Move into smaller cities where competition
isn’t very well established. Offer Executive
Training program to grow internal talent.
The “Triple M” Plan: MakeUnderstanding our competition and outlining our entry strategy
Training Complete
Complete training of new employees. Begin
opening corporate-owned stores, distribution
sites in Delhi, Chandigarh and Bangalore.
11www.chickfila.com |
JAN ‘17Establish Chick-Fil-A India HQ in Delhi
Manager roles acquired by Transition Team for
first stores. Begin recruitment Internal positions
posted for India.
FEB – DEC ‘17
JAN – DEC ‘18Mumbai Expansion
First stores in Mumbai open. Chick-Fil-A HQ
expands as management and supply chain
grows more complex.
JAN ‘19 -Incentivized Small City Franchise Expansion
Move into smaller cities where competition
isn’t very well established. Offer Executive
Training program to grow internal talent.
The “Triple M” Plan: MakeUnderstanding our competition and outlining our entry strategy
Training Complete
Complete training of new employees. Begin
opening corporate-owned stores, distribution
sites in Delhi, Chandigarh and Bangalore.
12www.chickfila.com |
JAN ‘17Establish Chick-Fil-A India HQ in Delhi
Manager roles acquired by Transition Team for
first stores. Begin recruitment Internal positions
posted for India.
FEB – DEC ‘17
JAN – DEC ‘18Mumbai Expansion
First stores in Mumbai open. Chick-Fil-A HQ
expands as management and supply chain
grows more complex.
JAN ‘19 -Incentivized Small City Franchise Expansion
Move into smaller cities where competition
isn’t very well established. Offer Executive
Training program to grow internal talent.
The “Triple M” Plan: MakeUnderstanding our competition and outlining our entry strategy
Training Complete
Complete training of new employees. Begin
opening corporate-owned stores, distribution
sites in Delhi, Chandigarh and Bangalore.
13www.chickfila.com |
The Indian Fast Food
Market Entry Strategy
A comprehensive three point planto address the key challenges.
The “Triple M” PlanHow to tackle the key challenges and succeed in the Indian market.
ManageTackling the cultural workplace differences while
addressing the complex business and political risks
of building abroad.
MakeOutlining where storefronts will be established, how
resources will be distributed, and developing a
country-wide expansion strategy.
MarketAddressing the religious and dietary differences
between the US and India while crafting a message
native to the marketplace.
14www.chickfila.com |The “Triple M” Plan: MarketTackling religious and cultural differences in India
Dietary Adaptation Religious Observation
While India remains a diverse
country of different ethnic
groups, all people favor spicy
food. Altering current recipes
is necessary to attract the
Indian market.
Restaurant placement must
consider proximity to
pilgrimage sites. McDonald’s
faced protesters over this
issue and can be used by
Chick-Fil-A as a reference.
15www.chickfila.com |The “Triple M” Plan: MarketTackling religious and cultural differences in India
Dietary Adaptation Religious Observation
While India remains a diverse
country of different ethnic
groups, all people favor spicy
food. Altering current recipes
is necessary to attract the
Indian market.
Restaurant placement must
consider proximity to
pilgrimage sites. McDonald’s
faced protesters over this
issue and can be used by
Chick-Fil-A as a reference.
16
Altering company messaging to the
local consumers.
The “Triple M” Plan: MarketTackling religious and cultural differences in India
“Right Product Delivered
Indirectly”Lack of beef is good, but the
message shouldn’t be delivered
outright to consumers.
Product Renaming
Adapt our menu to local menu terms
that will attract Indians to our
foreign product.
Emphasis on Value and
Service Over CheapnessPortray Chick-Fil-A as an affordable
alternative with a friendly
environment.
“Part Indian, Part Us”
Fend off consumer animosity by
making Chick-Fil-A India part Indian.
17
Altering company messaging to the
local consumers.
The “Triple M” Plan: MarketTackling religious and cultural differences in India
“Right Product Delivered
Indirectly”Lack of beef is good, but the
message shouldn’t be delivered
outright to consumers.
Product Renaming
Adapt our menu to local menu terms
that will attract Indians to our
foreign product.
Emphasis on Value and
Service Over CheapnessPortray Chick-Fil-A as an affordable
alternative with a friendly
environment.
“Part Indian, Part Us”
Fend off consumer animosity by
making Chick-Fil-A India part Indian.
18
Altering company messaging to the
local consumers.
The “Triple M” Plan: MarketTackling religious and cultural differences in India
“Right Product Delivered
Indirectly”Lack of beef is good, but the
message shouldn’t be delivered
outright to consumers.
Product Renaming
Adapt our menu to local menu terms
that will attract Indians to our
foreign product.
Emphasis on Value and
Service Over CheapnessPortray Chick-Fil-A as an affordable
alternative with a friendly
environment.
“Part Indian, Part Us”
Fend off consumer animosity by
making Chick-Fil-A India part Indian.
19
“Right Product Delivered
Indirectly”Lack of beef is good, but the
message shouldn’t be delivered
outright to consumers.
Product Renaming
Adapt our menu to local menu terms
that will attract Indians to our
foreign product.
Emphasis on Value and
Service Over CheapnessPortray Chick-Fil-A as an affordable
alternative with a friendly
environment.
“Part Indian, Part Us”
Fend off consumer animosity by
making Chick-Fil-A India part Indian.
Altering company messaging to the
local consumers.
The “Triple M” Plan: MarketTackling religious and cultural differences in India
20www.chickfila.com |
The Indian Fast Food
Market Entry Strategy
A comprehensive three point planto address the key challenges.
The “Triple M” PlanHow to tackle the key challenges and succeed in the Indian market.
ManageTackling the cultural workplace differences while
addressing the complex business and political risks
of building abroad.
MakeOutlining where storefronts will be established, how
resources will be distributed, and developing a
country-wide expansion strategy.
MarketAddressing the religious and dietary differences
between the US and India while crafting a message
native to the marketplace.
21www.chickfila.com |
Adapting Indian Decision-Making
Companies tend to have more top-down
decision-making with more junior employees
expecting clear, comprehensive directions.
The “Triple M” Plan: Tackling religious and cultural differences in India
“We should be about more than just selling chicken. We should be a part of our customers’, employees lives and the communities in which we serve.”
S. Truett CathyFounder, Chick-Fil-A Talent Acquisition
Large millennial Indian population will allow
management to source talent, train them, and
have them grow within the company.
Creating the Chick-Fil-A India Identity
Recognize and encourage family commitments
and promote a cultural feedback loop to
consistently improve Chick-Fil-A India.
22www.chickfila.com |
Adapting Indian Decision-Making
Companies tend to have more top-down
decision-making with more junior employees
expecting clear, comprehensive directions.
The “Triple M” Plan: Tackling religious and cultural differences in India
“We should be about more than just selling chicken. We should be a part of our customers’, employees lives and the communities in which we serve.”
S. Truett CathyFounder, Chick-Fil-A Talent Acquisition
Large millennial Indian population will allow
management to source talent, train them, and
have them grow within the company.
Creating the Chick-Fil-A India Identity
Recognize and encourage family commitments
and promote a cultural feedback loop to
consistently improve Chick-Fil-A India.
23www.chickfila.com |
Adapting Indian Decision-Making
Companies tend to have more top-down
decision-making with more junior employees
expecting clear, comprehensive directions.
The “Triple M” Plan: Tackling religious and cultural differences in India
“We should be about more than just selling chicken. We should be a part of our customers’, employees lives and the communities in which we serve.”
S. Truett CathyFounder, Chick-Fil-A Talent Acquisition
Large millennial Indian population will allow
management to source talent, train them, and
have them grow within the company.
Creating the Chick-Fil-A India Identity
Recognize and encourage family commitments
and promote a cultural feedback loop to
consistently improve Chick-Fil-A India.
24www.chickfila.com |The “Triple M” Plan: ManageManaging the various risks involved in entering a new market
Consumer Risk Mitigation
Apply “Old Hands” approach to hiring
executives. Research local preferences
and tastes before opening up new
locations
Social Environment Risk Mitigation
Build a strong corporate culture
that promotes equality, diversity
and integrity.
Employee Risk Mitigation
Invest in intelligence collection
tools to facilitate decision making
based on fact.
Political Risk Mitigation
Purchase insurance. Hire a Chief
Risk Officer that is familiar with
Indian legislation and the political
environment. Support local culture
and events
25www.chickfila.com |The “Triple M” Plan: ManageManaging the various risks involved in entering a new market
Consumer Risk Mitigation
Apply “Old Hands” approach to hiring
executives. Research local preferences
and tastes before opening up new
locations
Social Environment Risk Mitigation
Build a strong corporate culture
that promotes equality, diversity
and integrity.
Employee Risk Mitigation
Invest in intelligence collection
tools to facilitate decision making
based on fact.
Political Risk Mitigation
Purchase insurance. Hire a Chief
Risk Officer that is familiar with
Indian legislation and the political
environment. Support local culture
and events
26www.chickfila.com |The “Triple M” Plan: ManageManaging the various risks involved in entering a new market
Consumer Risk Mitigation
Apply “Old Hands” approach to hiring
executives. Research local preferences
and tastes before opening up new
locations
Social Environment Risk Mitigation
Build a strong corporate culture
that promotes equality, diversity
and integrity.
Employee Risk Mitigation
Invest in intelligence collection
tools to facilitate decision making
based on fact.
Political Risk Mitigation
Purchase insurance. Hire a Chief
Risk Officer that is familiar with
Indian legislation and the political
environment. Support local culture
and events
27www.chickfila.com |The “Triple M” Plan: ManageManaging the various risks involved in entering a new market
Consumer Risk Mitigation
Apply “Old Hands” approach to hiring
executives. Research local preferences
and tastes before opening up new
locations
Social Environment Risk Mitigation
Build a strong corporate culture
that promotes equality, diversity
and integrity.
Employee Risk Mitigation
Invest in intelligence collection
tools to facilitate decision making
based on fact.
Political Risk Mitigation
Purchase insurance. Hire a Chief
Risk Officer that is familiar with
Indian legislation and the political
environment. Support local culture
and events
28
Conclusion: “Eat More Chikin”Addressing key challenges and succeeding in India
ManageTackling the cultural workplace differences while
addressing the complex business and political risks
of building abroad.
MakeOutlining where storefronts will be established, how
resources will be distributed, and developing a
country-wide expansion strategy.
MarketAddressing the religious and dietary differences
between the US and India while crafting a message
native to the marketplace.
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