Yum! operates highly successful brands like KFC and Pizzahut in China, a success that is largely due to the ability to rebrand and reinvent itself to cater to the needs of Chinese customers, explains author Heleen Wang in Forbes.
Through rebranding, Yum! Brands has completely re-invented itself in China.
In the U. S., fast-food restaurants, such as KFC and Pizza Hut, are a place where people can get food quickly. The food is usually tasty, but mostly unhealthy and low-priced. But in China, the same restaurants are viewed as upscale, trendy, and modern. People love to go to KFC and Pizza Hut. Some even have weddings there.
Each year, Yum! China introduces 85 to 100 new items on their menu, compared to one or two in the U.S. The robust growth in the China market also helped reinvigorate Yum! Brands’ under-performing U.S. business. Recently, Kentucky Fried Chicken has begun to offer breakfast in the U. S., and to redefine fast food as casual dining. For companies like Yum! Brands, succeeding in China has not only provided an alternative growth engine, but also generated a new life blood for their home business.