Taco Bell to expand globally

Taco Bell, long considered parent company Yum! Brands Inc.’s domestic powerhouse, is ready to make its first major push for international growth. According to a report in Nation’s Restaurant News, Taco Bell is targeting 1,300 restaurants open outside the United States, up substantially from its current base of 250 international locations. Its domestic system of about 5,800 restaurants has been a growth bright spot for Yum the past few years, as new products like the Doritos Locos Tacos and the First Meal breakfast menu have driven traffic and sales. Yum previously announced plans for major domestic growth as well, targeting 2,000 more units in the United States and $14 billion in annual revenue. By contrast, Yum’s two other quick-service brands, KFC and Pizza Hut, have reported the vast majority of their unit and sales growth outside the United States, where those chains have lost momentum to rival brands in the highly competitive chicken and pizza segments. Taco Bell’s current international footprint is scattered across 26 countries, with only Canada and Puerto Rico able to claim a major cluster of stores, with 35 units and 36 units, respectively. Taco Bell is looking to expand with franchise partners in Europe (the United Kingdom and Poland), Asia (Korea, Japan and Thailand), Latin America (Chile and Peru), and India. “Notably missing from Taco Bell’s global wish list is China, Yum’s largest market outside the United States,” NRN editor Lisa Jennings noted. China has more than 4,000 KFC locations and more than 1,000 Pizza Hut units alone. Taco Bell also announced a handful of executive moves tied to the new international growth push. Melissa Lora, president of Taco Bell International, now will focus exclusively on opening restaurants outside the United States. Previously, Lora had been global chief financial and development officer, but her former duties there will now be split between Liz Williams and Meredith Sandland. Williams, Taco Bell’s chief financial officer, has added responsibility for domestic franchising to her duties, including the franchise finance and franchise business services divisions. Sandland was promoted from vice president of development to chief development officer. Louisville, Kentucky-based Yum operates or franchises more than 40,000 restaurants in 125 countries.