McDonald's to give Chinese flavour to its Indian customers

By Our Corporate Bureau | 18 Jan 2003

Mumbai: After launching Mexican items like Paneer Salsa and Chicken Mexican in August 2002, McDonald’s India now plans to give a Chinese flavour to its Indian customers.

According to Amit Jatia, managing director, Hardcastle Restaurants, McDonald’s franchisee partner, the company is planning to launch Crispy Chinese Burger with a Chinese flavour across all restaurants in India very soon. The Crispy Chinese Burger will be available as part of the Value Meal.

Jatia says McDonald’s India, catering to the needs of those customers who want food with a distinctly Indian flavour and hence the Crispy Chinese Burger, has been seasoned with an oriental flavour and is topped with a creamy vegetarian Schezwan sauce and crisp iceberg lettuce. The item will be priced at Rs 29 (net) and the Value Meal, priced at Rs 59 (net), will include the burger, potato wedges and a regular soft drink.

The launch of the Crispy Chinese Burger will be accompanied by a new on-ground promotional campaign that will include a Dragon dance (on the lines of a typical Dragon parade) on the streets of Mumbai, Pune and Ahmedabad, say company sources.

Further, with its co-branding partner Coca-Cola India, it is planning to foray into the fruit juices segment within two months. The first to be introduced will be mango juice followed by others like orange and pineapple.

The company may also consider launching iced-tea in India in the near future. Last year, McDonald’s along with Coca-Cola India began offering Georgia hot-and-cold coffee at its outlets.

Other plans of the fast-food chain include introducing a range of Nestle products, including Nestle iced tea and coffee, sauces and food toppings. Nestle products are already being served at select McDonald’s outlets, and based on consumer feedback, appropriate tie-ups may be worked out.

In 2001, McDonald’s signed a tie-up with Cadbury India for McSwirl ice-cream topped with chocolate sourced from Cadbury’s, priced at Rs 12. Currently, walk-ins at the chain average 4,000 people per outlet per day.

McDonald’s India, the wholly owned subsidiary of McDonald’s Corporation, set up operations in India in 1996. So far the parent company has pumped in investments to the tune of Rs 400 crore and another Rs 800 crore is expected to flow in by 2005.

The sources say fresh investments will take care of the expansion of McDonald’s India’s supply chain, refurbishing its cold chain, and setting up more outlets within the country. Investments in one outlet entail an investment of Rs 2-3 crore, which includes the cost of leasehold equipment, signages, seating arrangement and decor.

The fast-food chain is expected to meet its target of breaking even on operations by December 2003.