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Sep, 14 2015

McDonald\'s to invest Rs 750 crore in India

\"We are now betting big on our coffee. We have opened McCafe\'s within our outlets serving premium locally sourced arabica coffee at affordable prices,\" shared Jatia.

McDonald’s India is planning to invest Rs 750 crore in the next five years to double the store count in the Southern and Western part of teh country.

"We currently have 213 restaurants, and are looking to add up to another 250 restaurants by 2020, which would entail an investment of Rs 750 crore," said Amit Jatia, Vice Chairman, Westlife Enterprise which operates McDonald’s outlet in India.

McDonald's, which was the first quick service restaurant (QSR) format to start operations in the country two decades ago, is now betting on alternative, healthy offerings in the face of competition.

Other international chain restaurants, most recently Burger King, besides Dominos, Pizza Hut and Dunkin Donuts among others, and food-on-demand delivery services are competing for consumer attention in the segment.

"While we do offer competitive order deliveries, our core focus will be the QSR format, which is robust for us globally," added Jatia.

The company's overarching strategy now is to offer "healthier beverages" to customers here.

"We are now betting big on our coffee. We have opened McCafe's within our outlets serving premium locally sourced arabica coffee at affordable prices," he said.

"We offer a range of smoothies, besides coffees and this encourages customers to opt for non-carbonated drinks," he added.

Started last year in the country, there are about 45 McCafes, which in the next two years is expected to go up to 140, he indicated.

The company will spend invest Rs 20 lakhs to Rs 30 lakhs per outlet, to set up McCafes.

McDonald's has also rejigged the food menu in the country to make it more healthy.

"We have brought down the calorie content in our sauces by 60-70 per cent, which has cut down the overall calories in the meal by 9 per cent," he said.

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