Popeyes Louisiana Kitchen to Accelerate Franchise Expansion Across China

Popeyes Louisiana Kitchen, the fast-casual franchise concept known for its fried chicken and biscuits, is gearing up for aggressive expansion throughout China. Popeyes opened its first restaurant in Shanghai back in August, which saw instant success. As a result, the company is now planning to open over 1,700 additional locations across the country within the next decade.

Speaking to Franchise Times, Greg Armstrong, a partner at Cartesian Capital, the private equity firm supporting the launch of the China-based Popeyes, said the flagship location “smashed the record” for opening-day transactions for the brand with more than 1,760.

The Shanghai restaurant features a modern storefront with jazz music and colorful art, as well as an innovative menu consisting of items like sweet chili chicken, golden cheese and chicken nuggets, and a Longjing tea-based pomelo milkshake.

“We have a Korean fried chicken on our menu now, and we’ll continue to innovate on the product,” said Armstrong.

However, the China-based locations still offer signature items, such as New Orleans-style spicy chicken and Cajun popcorn shrimp.

Popeyes is also taking a digital-centric approach to its growth in China. According to Armstrong, all transactions are conducted through kiosks, the mobile app or tablet ordering during peak periods. Despite handling approximately 800 to 900 transactions per day, Armstrong said the brand has yet to activate delivery services, which he believes will unlock even further growth potential.

This marks the most recent steps in Popeyes’ ongoing expansion strategy. Since its acquisition by the food and beverage multinational company Restaurant Brands International in 2017, the franchise has consistently pursued efforts to enhance its market footprint. Most notably, Popeyes has successfully expanded its presence and has achieved a remarkable 7.8% increase in total systemwide sales, reaching $5.9 billion in 2022. Additionally, Popeyes in 2022 announced that it would be opening more than 200 new units throughout the U.S. and Canada. As of November 2023, Popeyes boasts more than 3,000 locations worldwide.

Popeyes isn’t the first chicken concept to seek growth overseas. China is already a fairly competitive market that is dominated by the likes of Kentucky Fried Chicken (KFC). KFC opened its first restaurant in the country in Beijing in 1987, and since then, has grown into a network of more than 8,200 restaurants in China alone. However, due to the country’s population of roughly 1.41 billion people, Popeyes is aiming to distinguish itself through meticulous brand control and strategic market introduction.

Rafael Odorizzi, president of the Asia-Pacific region for Restaurant Brands International, believes China has “vast untapped potential” for growth. That sentiment was echoed by Armstrong, who said there are plenty of opportunities within the Chinese market.

“The market is growing, and the appetite for fried chicken is strong,” said Armstrong.

To start, Restaurant Brands International is aiming to open 10 locations in Shanghai. The brand has also announced new market entries in Costa Rica, Czech Republic, the Dominican Republic, New Zealand, Kazakhstan and Taiwan.