Restaurant Brands inks new franchise deal
Jun 14, 2018
Fast food chain Restaurant Brands has renewed its franchise deal with Yum! Brands to continue its operation of the Pizza Hut brand in New Zealand.
The 10-year master franchisee agreement also allows Restaurant Brands greater control of Pizza Hut operations in the country, giving the company responsibility for day-to-day administration of Pizza Hut, supporting existing independent franchisee-owned stores and developing new outlets or franchisee-owned stores.
Restaurant Brands will continue to run marketing and operations for the Pizza Hut brand in New Zealand and will step into the position of franchisor to existing independent franchisees, and provide development support to new franchisees.
The company will also provide development support to new franchisees as they take advantage of the new store opportunities in New Zealand. In return, Restaurant Brands will receive a portion of the franchise fees payable by independent franchisees to Yum!
Restaurant Brands will continue to own and operate its own Pizza Hut stores in New Zealand alongside the independent franchisees. The deal also provides for a more streamlined and responsive process for continuing to build the brand under this mixed ownership model.
Ted van Arkel, Restaurant Brands chair, said the master franchise model gives Restaurant Brands a better position to respond to customers’ needs and support independent franchisees in the country.
“Having Yum!’s active support behind our Pizza Hut strategy places Restaurant Brands in a position to continue growing the brand in the New Zealand market and delivering sustainable value to our shareholders,” he said.
Source by Joyce Abaño – Inside Retail New Zealand.