The local Indian fast food market is growing rapidly due to positive developments, government policies, and changing consumer tastes in India. There are many reasons for market growth, like increase of young population, working women, tough working schedules, and rising middle class and disposable income.
Market Size
The Indian fast food industry is growing rapidly and is currently a $47 billion industry (“Indian Fast Food,” n.d.). The increase in such a large size is due to westernization and a large number of working professionals. Therefore, many foreign brands are struggling to expand their businesses into India. The website startingfranshise.in shows the many opportunities to start franchisees in India from Domino’s to Taco Bell, to KFC, to Subway to Manhattan Pizza, to Pizza Hut. But while all these restaurants have a basic menu based on their specialty, a franchisee that can offer many different cuisines all in one would stand out from the crowd.
Market Growth
According to research, the Indian fast food market is growing at the rate of 33% per year (“Indian Fast Food,” n.d.). Many multinational brands have succeeded in expanding business in the country and their business is growing at a fast pace. The growth is mainly in large cities, but there is capacity for growth in tier II and tier III cities (“Indian Fast Food,” n.d.).
Market Segments
The market is divided by different segments, but in the fast food industry the market is segmented demographically. There are different segments in the Indian market like men, women, children, teens, vegetarians, and non-vegetarians. But the target of fast food business is young generation and children for both vegetarian and non-vegetarian food. Mainly the population under 30 years is being targeted since they comprise 60% of the total Indian population (Overdorf, 2011).
Competitors in the Market
There is much competition in the fast food market in India because of the entry of international giants. Yum Brands India has brought KFC, Pizza Hut and now Taco Bell to India, with plans to open 1,000 more KFC outlets by 2015 (Nolen, 2013). This will bring them $1 billion in revenue just from India only (Nolen, 2013). Domino’s and McDonald’s came to India in 1996 and now have about 250 outlets each, while Subway has 320 with plans to open 400 more, and Baskin Robbins has 425 stores (Nolen, 2013). Almost all the food chains have also played with their menu to cater to the Indian taste – McDonald’s offers potato patty sandwiches and chicken tandoori, while Subway offers eggless mayonnaise (Nolen 2013). Pork and beef are kept off most menus to respect the Hindus and Muslim populations in India (Nolen, 2013).
Market Size
The Indian fast food industry is growing rapidly and is currently a $47 billion industry (“Indian Fast Food,” n.d.). The increase in such a large size is due to westernization and a large number of working professionals. Therefore, many foreign brands are struggling to expand their businesses into India. The website startingfranshise.in shows the many opportunities to start franchisees in India from Domino’s to Taco Bell, to KFC, to Subway to Manhattan Pizza, to Pizza Hut. But while all these restaurants have a basic menu based on their specialty, a franchisee that can offer many different cuisines all in one would stand out from the crowd.
Market Growth
According to research, the Indian fast food market is growing at the rate of 33% per year (“Indian Fast Food,” n.d.). Many multinational brands have succeeded in expanding business in the country and their business is growing at a fast pace. The growth is mainly in large cities, but there is capacity for growth in tier II and tier III cities (“Indian Fast Food,” n.d.).
Market Segments
The market is divided by different segments, but in the fast food industry the market is segmented demographically. There are different segments in the Indian market like men, women, children, teens, vegetarians, and non-vegetarians. But the target of fast food business is young generation and children for both vegetarian and non-vegetarian food. Mainly the population under 30 years is being targeted since they comprise 60% of the total Indian population (Overdorf, 2011).
Competitors in the Market
There is much competition in the fast food market in India because of the entry of international giants. Yum Brands India has brought KFC, Pizza Hut and now Taco Bell to India, with plans to open 1,000 more KFC outlets by 2015 (Nolen, 2013). This will bring them $1 billion in revenue just from India only (Nolen, 2013). Domino’s and McDonald’s came to India in 1996 and now have about 250 outlets each, while Subway has 320 with plans to open 400 more, and Baskin Robbins has 425 stores (Nolen, 2013). Almost all the food chains have also played with their menu to cater to the Indian taste – McDonald’s offers potato patty sandwiches and chicken tandoori, while Subway offers eggless mayonnaise (Nolen 2013). Pork and beef are kept off most menus to respect the Hindus and Muslim populations in India (Nolen, 2013).