The new burger king: The push for Wendy’s in Australia
Burger lovers will soon have far more choice than ever before as a mammoth American fast food chain sets its sights on Australia.
A mammoth American burger franchise has set its sights on a big expansion Down Under that could change the fast-food scene forever.
Wendy’s, which has more than 7000 locations worldwide, is slated to open hundreds of stores across Australia.
The chain is best known for its square hamburgers, french fries and “Frosty” frozen dairy desserts and was started in Columbus, Ohio in 1969.
It is the third largest burger chain company in the US after McDonald’s and Burger King.
But with the Australian launch, executives are planning a business model that could involve prospective master franchisee holders.
Wendy’s president, international and chief development officer Abigail Pringle said earlier this year the company had grand plans that could infiltrate all corners of the country.
“We believe Australia is a lucrative market for long-term growth. We think that the Australian market could be hundreds of restaurants,” Ms Pringle told The Australian Financial Review. “We have to be careful with what that timeline is exactly because we want to pick the right partner, and that takes a little bit of time, but we think that we can have hundreds of restaurants in the market over time.”
Australia’s quick service market is expected to grow 32 per cent over the next five years to $8.7bn, according to Euromonitor data.
Any market entry won’t be Wendy’s first attempt at conquering Australia.
In the early 1980s, the brand launched 11 restaurants in Melbourne before all eventually folded in 1985.
These were later snapped up by Hungry Jack’s founder Jack Cowin and absorbed into his operation.
A future hiccup for Wendy’s Australian plans could be that the name is already being used for Wendy’s Milk Bar, an ice-cream parlour franchise chain with more than 200 stores and kiosks.
Similar naming rights woes were encountered by Burger King when attempting to enter the Australian market in the 1970s.
The US-based chain was forced to rebrand to Hungry Jack’s in Australia due to another pre-existing Burger King franchise in the country.
More recently, Taco Bell had a delayed re-entry Down Under due to the presence of another Mexican chain, Taco Bill.
Wendy’s built a pop-up restaurant in Sydney in 2021 to gauge what Australian consumers thought of the brand, and executives saw enough success to move forward with the launch.
Its point of difference to other competitors is its “made-to-order only” policy and resistance to using heating lamps.
Wendy’s is believed to be looking at a master franchisee model in Australia that would involve a partner company handling most of the business in the country.
The move would follow the expansion of similar cult restaurants Five Guys and Carl’s Jr into Australia over the past five years.