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KFC to turn over 180 company-owned stores into franchises

Written by Eric Johansson on Thursday, 16 March 2017. Posted in Franchise

Yum! Brands has announced that KFC will follow in Pizza Hut’s footsteps to become more franchise-focused

KFC to turn over 180 company-owned stores into franchises

Paula MacKenzie will take over as general manager for KFC's operations on the British Isles

While Colonel Sanders’ recipe might be a well-guarded secret, the latest news from his restaurant chain certainly isn’t. Yum! Brands, the company that also owns restaurant brands like Pizza Hut and Taco Bell, has announced that it’s franchising over 180 of its 230 company-owned KFC restaurants in the UK. The £300m deal is part of a bigger push to shift the fast-food franchise’s focus even more towards franchising. At the end of the transition, only 50 KFC restaurants will be company-owned.

KFC has also announced a major reshuffle of the company’s leadership team as part of bigger plans to expand in Europe. Martin Shuker, general manager of KFC’s UK and Ireland business, is stepping back from running day to day businesses. Instead, he’ll take up to role of managing director of western Europe and will focus on growing the business across the continent. Former chief financial officer Paula MacKenzie will take over as general manager for operations on the British Isles.

Commenting on his new role, Shuker said: “We have a clear strategy, incredible people and outstanding franchise partners, so are well placed to continue accelerating our growth and building our incredible culture over the coming years.”

And this is by no means the first time that Yum! Brands has helped one of its restaurant chains focus more on franchising either. Back in 2012, Pizza Hut announced that it would create 100 new franchised restaurants and last year the franchisor doubled down on this strategy by unveiling plans to invest £40m in creating an additional 200 franchise stores by 2020.

With global brands like KFC and Pizza Hut placing a huge vote of confidence in the British franchising sector, this certainly bodes well for the future of franchising on these shores.

About the Author

Eric Johansson

As web editor and resident Viking, Johansson ensures Elite Franchise is filled with engaging and eclectic entrepreneurial stories. While one of our most prolific franchise writers, he has sharpened his editorial teeth by writing about entertainment and fitness. Follow him on Twitter at @EricJohanssonLJ to catch up with his stream of consciousness.

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