The restaurant chains are riding the Hallyu wave -- a phenomenon about the growing global prominence of South Korean pop culture.
Quick-service restaurant chains are busy whipping up treats for the GenZ as they fight for a share of this emerging consumer cohort.
These, sector watchers say, are the most upcoming spenders with strong wallets and consumption drivers but little or no loyalty to brands.
KFC, operated by Sapphire Foods and Devyani International in India, announced collaboration with Youtuber Carry Minati to co-create a product -- a limited-edition saucy popcorn starting at Rs 199 -- a first for the American fast-food brand.
"Today's consumers want bold, scroll stopping experiences -- whether on their feed or on their plate. And that's exactly what KFC is delivering with our first ever co-created product," said Aparna Bhawal, chief marketing officer, KFC India and partner countries.
"For brands, and especially QSR chains, the GenZ is a very important consumer base because they are the ones coming back.
"They are also the ones who will still continue to spend on items like fried chicken and pizzas," said a senior industry executive.
"With attention spans running low, it is also difficult to catch the eye of this rising consumer cohort.
"Inventions and adapting to new trends is a way for these brands to make a space in the market and stand out," the executive added.
Players are increasingly drawing inspiration from pop culture trends, and are now riding the Hallyu wave -- a phenomenon about the growing global prominence of South Korean pop culture.
McDonald's has introduced a new spicy Korean range in India starting at Rs 59. Its range spans fries, burgers, and Yuzu Fizz drinks, and a spice mix.
"We are confident that this carefully-crafted range will be loved among Gen Z, millennials, and those seeking new and innovative taste experiences in their meals," said Rajeev Ranjan, managing director, McDonald's India -- North and East.
Burger King, operated in India by Restaurants Brand Asia, too, joined the Hallyu wave earlier this month with the introduction of a limited-edition Korean menu. It comprises burgers and sides and starts at Rs 149.
"Guests today are looking for new, exciting flavours that push the boundaries of taste. We have seen Korean flavour frenzy across categories. And, in our internal research, too, Korea came up as a top consumer flavour preference," said Kapil Grover, chief marketing and digital officer, Burger King India, said.
He noted the depth to which Korean food culture has seeped into the Indian consumer mindspace.
According to the India Food Services Report 2024 brought out by the National Restaurant Association of India, the Indian food services market is estimated at Rs 5.7 trillion, of which the organised QSR chains are currently valued at Rs 67,560 crore (Rs 675.60 billion).
The market is estimated to grow 8.1 per cent annually to reach Rs 7.8 trillion by 2028.
Growth of the Indian QSR segment has been marred by rising inflation and decreasing urban consumption for the past few quarters.
However, the segment improved in the December quarter, with most listed players reporting a recovery in same-store sales growth.
In a note dated February 18, analysts at Goldman Sachs said the tide is turning for the sector.
Improved affordability, they said, will continue to drive same-store sales growth for the listed players.
On the menu
- KFC recently collaborated with Youtuber Carry Minati for limited-edition saucy popcorn
- McDonald's introduced a spicy Korean range starting at Rs 59
- Burger King also joined the Hallyu wave, introducing limited-edition Korean menu
Feature Presentation: Ashish Narsale/Rediff.com
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