Restaurants

The desi fast food strategy

Starting a desi fast food revolution since the days of the Raj, Nirula’s VP (Operations), Gurreet Singh, elaborates on the group's vision in modern India

It claims to be the first Indian food chain to introduce pizza toppings of paneer and chicken tikka masala. But yet Nirula's has consciously restricted itself to operating within the confines of North India.

The game plan

Realising the folly of being too region-specific, the group expanded to five states in the northern belt, and is now eyeing the southern and the western regions. While the brand had been present in the capital till now, today its footprints cover Gurgaon, Ghaziabad, Agra, Ludhiana, Panipat, Dehradun, Lucknow and Chandigarh, some through the franchise route.

Technology is another area of focus. Its VP (Operations) Gurreet Singh, says, "Currently, we are functioning with an internally developed MIS and are engaged in adapting it for our marketing initiatives as well. We have also tied up with Indian Oil Corporation to set up family-style restaurants and express stores starting with the National Highways connected to Delhi."

On the horizon

The group now plans to focus on B-cities and is looking at developing its outsourcing operations as well as institutional catering.

Regarding the metros, Singh says, "It is imperative to go outwards, and we have upgradation plans in place to enhance operations, which includes mechanisation of the production line." This strategy will include operating in hospitals and hotels as alternative revenue streams.

The chain is also considering outlet models in size from 100 square feet to about 2,000 square feet, the former for its ice cream brand, Singh reveals. These models will enable faster rollouts with a short gestation period - key to its expansion plans in regions where it has no presence. Plans are also afoot to launch frozen pizzas in different flavours.

It has also developed its own training department and is considering setting up a fast food restaurant training school, a plan that has been simmering on the drawing board for long.

Singh believes…

"Setting up and sustaining operations are two different ballgames. With international players coming in, it is inevitable that they will eat into each other's pie," he says. This can be addressed by moving into untapped segments, a strategy which Nirula's is adopting.

Singh feels that international brands score on the strength of their marketing and point of sale strategy, an advantage that local players do not have. "With the multiplicity of brands, the mortality rates are high. Ultimately, the key to survive is localisation," he concludes, a strategy that Nirula's has mastered.