KFC Goes Eco-Friendly, Launches Its First 'Sustainable Restaurant'

The fast food chain KFC India went eco-friendly with launch of its firstand the most so far ‘sustainable restaurant’ in Chennai. The outlet aims at tapping energy efficiency and use of environment friendly materials under its initiative ‘KFConscious’.

According to the company, the first such sustainable restaurant has been set up at Thiyagaraya Nagar (T Nagar).

“A first for the Quick Service Restaurant industry in the country, the restaurant is located at Thiyagarayanagar in Chennai,” company stated in a statement.

“The efforts with KFConscious initiative align with KFC’s global commitment of reducing greenhouse gas emissions by 46 per cent by 2030. This is in addition to a sustainability commitment of all plastic-based, consumer facing packaging to be recoverable or reusable by 2025,” the statement said.

The restaurant design and operations integrate with energy efficiency, usage of environment friendly materials and waste diversion. This launch takes forward the brand’s ongoing efforts in the journey.

Another KFC outlet in the Yamunanagar Expressway food court is marked by energy efficiency, the company said.

The brand aims to launch 20 more such restaurants in 2022, striving to enable consumers to enjoy their favourite KFC dishes in a much more responsible manner.

According to the company officials, the solar panels at the restaurant in Chennai would help save about 18,000 units of power every year while 100 per cent of the water collected from RO system is utilised for flushing in the washrooms.

The usage of natural and LED lighting ensures energy efficiency while energy management system in the kitchen ensures optimised use of electricity.

The company has also installed eco-friendly materials such as local clay tiles for wall finishes, it said.

Quick Service Restaurant (QSR) In India

According to a report published last year by Research and Market, the QSR market increased at 17.27 per cent during FY 2016 - FY 2020 period and is expected to reach INR 827.63 bn by FY 2025.

QSR has gained popularity due to growing eating-out habits, rising disposable income, changing lifestyle, and the online food delivery system’s growth.

Both chain QSR and standalone QSR segments are expected to contribute equally to the market’s development during the forecast period. Major players operating in the Indian QSR market include Burger King India Pvt. Ltd., Jubilant FoodWorks Limited, Burman Hospitality Private Limited, Jumbo King Foods Private Limited, and many more.

QSR Market

In FY 2020, chain QSRs held the highest market share (54.2 per cent) in India’s overall QSR market. An increase in consumers’ propensity to eat out and a growing number of innovative fast-food chains are the driving factors for chain QSRs segment.

Besides, innovative payment systems and point of sales systems are the primary factors for the growth of the chain QSRs segment in the QSR market. Based on the model, the take-away and home delivery segments are expected to expand at a higher growth rate of around 18.0 per cent and 17.4 per cent, respectively, between the FY2021 and FY2025 period as compared to dine-in segment.

Key Growth Drivers Of The Market

The increasing trend of eating out in urban cities in India, across all the economic classes, without the need for any special occasion, has boosted the demand for QSRs. People increasingly prefer eating outside as a part of their leisure outings or shopping experience. This trend is mainly visible among the millennial age group of 25 to 40 years.

Rapid urbanisation due to the increase in population and economic growth and the rise in disposable income of people have led to the penetration of eating out culture in the country. Besides, increasing number of fast-food franchises in untapped areas and expansion of tier II and tier III cities have led to the rise in the number of quick service restaurants.