Saturday, May 01, 2004

“We are not interested in small outlets”

Says Amit Jatia, Joint Venture Partner and Managing Director, McDonald's India Pvt Ltd

What are your expansion plans for the city?
We will be opening at least two more stores in Pune in the next 6-9 months. We are looking for the right property and then we will make the investment. But one more outlet will definitely open this financial year. We are also talking to the upcoming ICC (International Convention Centre) on
Senapati Bapat Road for setting up there.

What do you look for when investing in a property?
The place has to be easily accessible. It should not be a destination. It also has to be on the main road. Moreover, the place should have a prominent frontal that would draw the crowd. There are also some specific needs the insides should fulfil. Earlier, so many requirements would make it difficult for us to get the right place and therefore, we now involve ourselves in the construction from the starting stage itself.

We were focussed on being on
MG Road, but had to have the right property and when INOX came about, we grabbed it.

You have also been making changes to your menu regularly. Why?
People who visit a McDonald's like the experience, enjoy the quality and want something new whenever they return. We have always had a dynamic menu that introduces new tastes.

You have also started offering warm beverages of late. How is the response?
The response has been very good and in fact we will be introducing Cold Coffee and Iced Tea also within a week. Coca-Cola produces the
Georgia brand of coffee for us in India exclusively and this will now be taken around the world. Apart from the cold beverages, we will also be adding to the dessert options this year.

How much do the beverages contribute to your revenue?
Beverages are 15 to 20 per cent of the overall sales and these include shakes as well.

Your recent ad campaign has shifted slightly from the 'Family Restaurant' theme. Is this a conscious effort to re-position yourself?
No, we are still a family restaurant. But, we realise that even within a family, there are individuals who have their needs and this campaign is to affirm that McDonald's caters to them as well. The Happy Price Menu is all about that, in fact.

What about expanding to more malls or coming up with smaller outlets for corporates?
We are not interested in small outlets. It has to be a full-fledged restaurant.

What new initiatives are you starting next?
In Mumbai, we have recently started home delivery and the same shall start in Pune in the next 3-4 months. In Mumbai, it is accounting for almost 15 per cent of the sales and we expect the same in Pune.

What about expanding to other cities in Maharashtra?
We are here for the long run and will not be in these places anytime soon. The Indian eating out market is hardly big right now. We want to drive the market first and increase this. We want to give people a reason to go out.

As published in The Herald, Pune

Posted by Scribbler at Saturday, May 01, 2004