US-based fast foods chain Kentucky Fried Chicken (KFC) has opened a branch at the Village Market in Nairobi, raising the number of its outlets in Kenya to 21.
Kuku Foods East Africa, the franchisee that operates KFC locally, announced plans in June to invest heavily in expansion this year.
“I am so proud of our team at Kuku Foods. You know, when I joined in 2015, we had 12 outlets and today we have got 33 and are opening Village Market this week to make it 34 in Tanzania, Kenya and Uganda,” said Kuku Foods East Africa Group chief executive Derrick Van Houten at the launch of the restaurant last week.
The Village Market branch will seat 50 people.
The KFC did not disclose the cost of their investment or the source of revenues for the expansion.
Kuku Foods plans to open five more outlets in Kenya next year.
The first of these will be an outlet in Buruburu in February, followed by two in Mombasa in June, one in Eldoret and another one in Nairobi.
The company will also open its first outlet in Rwanda next year and a new branch in Uganda.
Kenya has seen increased interest from global fast-food outlets such as sandwich chain Subway and ice cream seller Cold Stone Creamery.
Rising disposable household incomes, fast economic growth and a young population are attracting global players to emerging markets, according to a study by McKinsey & Co.
Nairobi also hosts multiple multinational organisations, attracting the global restaurant operators.
Apart from walk-in patrons, Kuku Foods is also reaping revenues from its delivery services.
The company made 30,000 food deliveries in Kenya in November alone, contributing to 60 per cent of the total deliveries in the East African region.