Over the years operating in Chinacustomers KFC wonder why those fast food retail outlets don’t sell chicken feet which is a local favorite.
Yum China (YUMC) CEO Joey Wat, a KFC franchisee in China, said now is the time to offer chicken feet. The reason is unique, the spike in inflation makes prices rise, including oil prices.
Wat said the addition of the chicken claw menu was part of management’s efforts to increase efficiency, using more raw materials than a single chicken.
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“We are trying to absorb rising commodity prices by fully utilizing chicken. That means using every part of the chicken, except the feathers,” he said with a laugh, as reported by CNN Business, Tuesday (2/8).
Yum China, which owns the rights to fast food brands KFC, Pizza Hut and Taco Bell, has experienced its toughest quarter due to the lockdown (lockdown) due to COVID-19.
For the period April-June 2022, Yum China admitted sales at outlets that were not affected lockdown also fell 16 percent compared to the second quarter of last year.
Even so, Wat claimed to be lucky because the request for delivery orders (delivery) increased by 8 percent for KFC and Pizza Hut. This increase in demand slightly compensated for the decline in sales from the affected outlets lockdown.
However, the company still has to make adjustments. One of the measures taken, is to withdraw marketing and advertising, ask for rent relief, including asking each restaurant to make use of all the resources they have.
Instead, management promised to avoid layoffs this year. “We will look at all cost-saving opportunities, except layoffs. Because we have 450 thousand staff and 450 families to look after,” said Wat.
Yum China, he continued to be determined to maintain a safety net for his staff and refrain from opening new networks. Whereas earlier this year, the company targeted to open 1,000-1,200 new stores.
Not only that, the company also refrained from raising the selling price of food to consumers. Instead, the company attracts more customers with attractive offers, such as deep discounts on Pizza Hut.
(one/agt)
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