CHINA TOPIX

05/06/2024 03:57:14 pm

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China's Little Sheep Launches Remodeled Restaurant in Guangdong

Little Sheep Group, the Chinese operator of hot pot restaurants that was acquired by US-based Yum Group, has launched its first remodeled restaurant in China's Dongguan, Guangdong Province.

The remodeled Little Sheep restaurant in Dongguan features a new logo, new decoration, and an entire new brand but continues to use the cute and positive image of a little sheep. The sheep logo has been considered cute by loyal customers but it actually represents what is in the restaurant's hotpot.

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The remodeling of the Little Sheep restaurants is part of Yum's integration plan. Yum said other Little Sheep restaurants in the country will also be renovated based on their age and rental condition.

Little Sheep has also standardized its menu nationwide to ensure adherence to China's food safety standards. The company said it does not want to be entangled in any food safety-related issues in the country, where food safety is a major concern.

Aside from adapting the nationwide standardized menu, Little Sheep will also introduce items that will meet regional tastes. Little Sheep currently operates 300 chain restaurants in China, including Macau and Hong Kong.

It also has restaurants in the United States, Japan, South Korea, Canada and the United Kingdom. The company posted more than 2 billion yuan (USD322m) in revenues last year.

According to the China Chain Store & Franchise Association, Little Sheep holds 2 percent of the total dining-out receipts in the country.

Little Sheep's popularity became a major concern of Yum Brands, which operates Taco Bell, KFC, and Pizza Hut in China, that it bought the company in May 2011 for USD587 million.

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