Wendy’s bets big on India
US fast food chain Wendy’s is gearing up its operations in India with plans to open 400 restaurants across the country.
Along with its franchise partner Sierra Nevada Restaurants are teaming up with Mumbai-based Rebel Foods to develop and operate 250 cloud kitchens in India as the coronavirus drives up demand for food delivery. Wendy’s and Sierra Nevada also plan to open 150 traditional restaurants across the country. Follow Spotlife Asia for the latest news and updates.
The moves represent a huge expansion for the American burger chain. Wendy’s and Sierra Nevada currently operate four brick-and-mortar restaurants and five cloud kitchens in India. That’s far fewer than McDonald’s and its local franchise partners, which operate more than 400 restaurants across the country.
Wendy’s said partnering with Rebel Foods will help grow its business in India through digital innovation. By plugging into a network of existing cloud kitchens in India, “Wendy’s will get immediate access to rapid scale across the country, at far lower levels of capital,” Kallol Banerjee, co-founder of Rebel Foods, said in a statement. Rebel Foods, which is backed by Goldman Sachs and Sequoia Capital, operates more than 300 cloud kitchens, mostly in India.
Cloud kitchens — also known as ghost kitchens or dark kitchens — are facilities that produce food solely for home delivery. Because they don’t need to attract passing dine-in customers, they are often located in buildings that charge lower rents than restaurants.
