Wednesday, August 13, 2008

Yum Brands expands pizza delivery in China.


Restaurant giant Yum Brands is betting that, as China’s expanding middle class continues to demand more of the typical Western middle-class lifestyle, consumers will develop a taste for one of America’s favorite convenience foods — pizza, delivered.

Pizza delivery, ubiquitous in the U.S., is a new concept in China, where dining out has long been seen as a form of conspicuous consumption.

As a result, until recently Yum had focused on positioning its Pizza Hut locations as a "five-star experience, (with a) three-star price" that would attract Chinese consumers looking for a night on the town. But as China’s wealth swells — along with its legions of harried office workers who have less and less time to cook at home — pizza delivery is beginning to look like a faster way to expand the Pizza Hut brand, and consumers have begun to respond.
Read on.


No comments: