Minor Food upbeat about local sales
Minor Food Group Plc expects sales in Thailand to return to normal by the end of this year.
Dillip Rajakarier, the company's acting chief executive, said 90% of the group's 1,490 restaurants have reopened, though some in tourist destinations remain closed.
Mr Rajakarier said that after the reopening on May 17, the company has seen sales of most brands gradually improve, with The Pizza Company, Swensen's, Bonchon and Dairy Queen recording higher sales than before the pandemic.
Overseas operations have also significantly recovered, especially in China, where more than 90% of all restaurant branches were reopened by the middle of March.
China's sales have improved every week, with the expectation of a full recovery to pre-crisis levels by the beginning of August.
"Minor's business in Thailand has a lot to learn quickly from our China operations," Mr Rajakarier said. "With restructuring and digital transformation last year, we can really go quickly and see huge sales improvements from June. The company's delivery business grew by three times during April and May.
"It is fortunate that Minor Food is mid-segment for quick-service restaurants, as our customers are not sensitive to price."
Minor Food's sales reached 24 billion baht with a net profit of 1.2 billion baht in 2019. Of total sales, roughly 70% came from business in Thailand and 30% from the international market, including China, Australia, the Middle East, Vietnam and elsewhere.
Minor Food Group is one of the largest restaurant companies in Asia. Its restaurant brands include The Pizza Company, Swensen's, Sizzler, The Coffee Club, Dairy Queen, Burger King and Bonchon, totalling more than 2,200 stores in 26 countries.
Of the 2,200 branches, 1,490 are in Thailand and 710 are in foreign markets.
Prapat Siangchan, the newly appointed deputy chief operating officer, said the company has improved its readiness for operations in the second half of 2020 with the launch of various strategies to boost food sales domestically. The group aims to raise sales back to pre-pandemic levels by the end of this year.
The new strategies include an upgrade of delivery service. As Minor was the first food delivery company in Thailand almost 30 years ago, the company hopes to maintain its leadership position by improving its organisation using digital technology through the development of online food ordering platforms based on new-normal lifestyles.
Consumers increasingly rely on digital technology in order to facilitate ordering a variety of foods within a single order. The group having its own delivery platform also reduces costs and creates a customer database for the organisation.
Minor Food will also develop new menu items to attract consumers through the use of innovating existing products and creating new products.
More kiosk shops such as grab-and-go will be opened close to consumers, such as at workplaces and skytrain stations, to cater to the urban lifestyle.
Moreover, the company is focused on building a strong brand, applying digital technology and improving operations for continual efficiency.