Taco Bell, the newest addition to Sphera Franchise Group’s portfolio (BVB: SFG), has steadily grown in Romania since its launch in 2017. With 15 restaurants in major cities, the fast-food chain continues to capitalize on Romanians’ increasing curiosity for Mexican-inspired dishes. General Manager Costică Mișaca sees further growth opportunities, particularly in urban areas with a rising interest in exotic flavors.
Steady Expansion in Key Romanian Cities
Since opening its first restaurant in Bucharest, Taco Bell has expanded to other large cities, including Cluj-Napoca, Timișoara, Iași, and Constanța. Now, with 15 locations, Taco Bell generated 6.6% of Sphera Franchise Group’s total sales in Romania during the first half of 2024. The brand also achieved profitability during this period, marking a successful start to the year.
“For the second half of this year, we expect to maintain this positive momentum, supported by solid results from the first half,” said Mișaca. “We anticipate stronger quarter-to-quarter growth, with the final quarter traditionally being the best performer.”
Targeting New Urban Areas and Drive-Thru Restaurants
As Taco Bell continues to grow, the brand is focusing on expanding its presence in urban areas where there is a demand for Mexican cuisine. According to Mișaca, new restaurant openings are planned in the coming months.
“We see further growth potential in urban areas across Romania, both in Bucharest and other cities,” Mișaca explained. “Additionally, drive-thru restaurants are a priority for us, as they align with our expansion strategy. We are actively exploring the possibility of opening our first drive-thru unit soon.”
Digital Growth and Customer Engagement
Taco Bell has also seen success through its digital platforms, with the Taco Bell mobile app and Taco Loyalty program contributing to over 7.2% of transactions by 2023. Digitalization remains a key focus, and Taco Bell aims to expand its app user base and loyalty program to enhance customer engagement.
Mișaca is optimistic about the second half of 2024, noting, “We have built a solid foundation and are implementing a strategy that focuses on innovation and customer retention.”
Increasing Popularity of Home Delivery
While a significant portion of Taco Bell’s sales still takes place in-store, home delivery platforms have been gaining traction. In fact, around 25% of Taco Bell’s total sales now come from online delivery channels. This trend reflects the broader shift toward convenience in Romania’s quick-service restaurant (QSR) market.
Most Popular Menu Items
Romanian customers are showing a growing interest in Mexican cuisine, with the Taco topping the list as the most ordered item at Taco Bell. Other popular dishes include the Crunchwrap Supreme and Cheesy Bacon Fries Burrito. The Nacho Cheese sauce also remains a fan favorite, often added to various meals.
Ingredient Sourcing and Local Challenges
Taco Bell’s dishes are crafted to offer a consistent experience worldwide, which means many of the ingredients are sourced at the European level to meet brand standards. However, some fresh ingredients, like salads and sauces, are sourced locally.
“We adhere to strict brand standards, which means most ingredients are sourced at the European level,” Mișaca explained. “However, we are always open to exploring local suppliers as ingredient demands evolve.”
Changing Landscape of Romania’s QSR Market
In recent years, Romania’s QSR market has grown rapidly, fueled by the diversification of culinary preferences and the rise of social media. Platforms like Instagram have helped introduce new gastronomic trends, making exotic foods more accessible and increasing public interest.
“Taco Bell has played a pioneering role in bringing Mexican-inspired cuisine to Romania,” Mișaca said. “Our success is rooted in continuous innovation and adapting to local tastes, which has allowed us to stand out in a competitive market.”
As Romanians continue to embrace new culinary experiences, Taco Bell is well-positioned to meet the demand, further expanding its footprint and solidifying its role as a key player in Romania’s evolving food landscape.
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