Wednesday, 1 February 2017

McDonald’s to open more restaurants in Russia

McDonald’s plan to open more than 50 restaurants in Russia this year according to the local chief executive after opening 73 last year.

The head of McDonald's Russia told a news conference that the target for 2017 did not signify the company was slowing the pace of expansion although I think it's safe to assume that currency volatility and a recession in Russia must have had an impact.

The head of McDonald's said the company aimed to bring the share of local suppliers to almost 100% by the end of 2018 from the current 85% and was encouraging suppliers to develop production in Russia.

In my experience Russian consumers treat McDonald's as a bit of a novelty, going there once or twice for the experience but preferring the multitude of Russian outlets that serve more traditional, less processed and, to be honest, better food.

McDonald's opened its first restaurant in Russia in 1990 and has about 600 restaurants compared to 14,200 in the US, 1,400 in Canada, 1,400 in France, 1,200 in the UK and 920 in Australia.