Fast Food Loses Its Sizzle in China - most unhealthy chain restaurant dishes

Not long ago, business books and case studies found the world's largest market, a subsidiary of KFC in China.
Its parent company, Yum Brands, controls about 40 percent of China's fast food market.
Food market before 2011Yum China --
Mainly KFC and Pizza Hut. -
About 44 percent of the company's global revenue.
At one time, the company opened 500 new fast-
China's annual food exports (
It was 6,715 at the end of 2014, up from 1 in 1987)
It seems destined to dominate the industry.
However, the company began to waver from 2012.
Yum announced this week that it would spin off its former
Full attention to mainland business.
The split aims to maximize shareholder value, while also providing Yum China with the freedom to get out of the dilemma of diversity.
The year without micromanagement from abroad plummeted.
The move has already boosted Yum shares.
But this does not solve the derivative problems of China.
There, the company. -like other U. S.
Fast food chain-
Faced with a series of headwinds, it would be difficult if not impossible to reverse.
The changing demographic structure of China is the core challenge we face.
KFC and Pizza Hut have been targeting young Chinese and families for 30 years.
But the decline in fertility in China has reduced the population. -
This trend is unlikely to change soon.
Between 1997 and 2014, primary school enrolment in China has fallen from 25 million to 16. 58 million;
The number of junior high school students dropped from 22.
63 million to 14. 48 million.
Meanwhile, China is already the most populous country in the world over the age of 60. -
A man who is not willing to buy a lot of chicken nuggets.
To make matters worse, young Chinese are much richer and more sophisticated than previous generations;
For them, the novelty of eating at American fast food restaurants
The food chain has worn out long ago.
In a consumer survey in September, Miller sundwick pointed out that 62% of Chinese consumers posted their "Food Experience" on social media last month, and 17% of them shared food every day.
Including a large proportion of their WeChat friends).
Although KFC's-die-
For egg tarts, these Chinese gourmets do not want to promote their presence in a mediocre chain restaurant.
Consumer research firm Millward Brown found in 2012 surveys that 39% of Chinese
Pizza Hut is an ideal brand ";
Less than a year last yearquarter did.
Nowadays, young Chinese are looking for interesting local options, such as the "duck burger" restaurant launched this week by one of Beijing's best Beijing roast duck suppliers.
Meanwhile, local fast food chains serve the local-
Not localized. -
The share of the food market is increasing.
In the end, the scandal weakened KFC and other American companies to their biggest advantage. S.
Long-held brands: Chinese generally think they are more streamlined and safer than they are --maligned (
There are often reasons for this)
Chinese counterparts.
Yu Bo started 2012 exposures of excessive use of antibiotics in KFC chickens (
"I don't go to the doctor, I go to KFC" became a common joke after the story happened)
And continue to report in more destructive 2014 media, showing Shanghai-
Chicken regional suppliers for KFC and other fast food
The food chain repackaged expired meat.
These scandals are a boon to local chain restaurants, which they now think are no worse than foreign restaurants and probably better than foreign ones. Fast-
Of course, not only food companies are facing these problems.
According to a June study by Kantar world panel and Bain, foreign consumer brands are losing market share to local Chinese competitors
This trend is particularly evident in small Chinese cities with lower incomes and higher brands. -
KFC and Pizza Hut are also in the middle of nowhere--
Hardly competitive.
Yum is facing even greater challenges because its brand awareness and scale of operations are almost universal around the world.
But there is no hope.
The first step should be for the company to reposition its brand to attract older, more complex people.
This does not mean highend Italian (
Like it is currently trying out one of Shanghai's most expensive addresses)
Instead, rethink its menu to reflect concerns about aging and growing health.
Conscious population
In fact, the company is likely to be prompted by the United States. S. fast-
Food chains like peppers and noodles have opened up higher markets
In China, the end of the "fast leisure" industry is still largely unexplored.
At the same time, KFC and other Western brands will have to adapt to China, which is more competitive and more savvy for consumers ---
Growth will inevitably slow down.
Contact the author of this story: Adam Minter of aminter @ bloomberg.
NetTo contacted the editor in charge of the story: Nisid Hajari of nhajari @ bloomberg.