Yum China, the operator of the KFC and Pizza Hut chains in mainland China, has opened its 10,000th KFC location in the country.
Located in Hangzhou, the restaurant sits on the banks of the Beijing-Hangzhou Grand Canal which connects northern and southern China.
The first Chinese KFC was opened in Beijing in 1987 and since then the restaurant brand has grown into one of the largest quick-serve restaurant (QSR) brands in terms of sales.
Yum China CEO Joey Wat stated: “As the first western QSR restaurant brand in China to reach this incredible milestone, KFC China's 10,000th store opening is a proud moment for all of us, demonstrating the brand's deep bond with Chinese consumers across generations for over 36 years.
“Strategically positioned for sustained growth, KFC China stands to benefit from its large and rapidly expanding store network, substantial economies of scale and access to an even broader customer base.
“Presently serving just one-third of China's population, our goal is for KFC China to reach over half by 2026. By leveraging our solid foundation of success and tremendous untapped potential for future growth, we are confident that KFC China will continue to be China's leading restaurant brand for many years to come.”
KFC China, which had a presence in more than 1,900 cities as of the end of the third quarter of 2023, is looking to expand into 1,100 more underserved cities.
KFC China has registered an average annual growth in net new outlets of more than 22% over the last five years.
KFC has also broadened its customer base by introducing new products and developing new categories.
It recently introduced Juicy Whole Chicken and Beef Burgers, which have generated annual sales of more than $100m.
To enable a wider spectrum of customers to afford its items, it is adding additional entry-level options to its menu.
KFC plans to expand its in-house coffee brand KCOFFEE by opening more than 300 standalone stores by the end of 2024.
It also aims to increase its new store openings to more than 1,200 by 2026. Of these stores, 15% to 20% are expected to be franchise stores.
In July 2023, the American restaurant brand opened its 500th store in the city of Shanghai. The first Shanghai store was opened in 1989 and it took almost 34 years to open the 500th location.
By March 2023, there were more than 9,200 stores across the country.
