/ 28 June 2005

Church’s chicken is coming to SA

Church’s Chicken, the world’s second largest fried chicken franchise, will soon be spreading its wings over the Western Cape. This follows the acquisition by a Stellenbosch-based company, Inkuku Holdings Ltd, of the American rights to establish and operate a minimum of 50 Church’s Chicken outlets over the next five years in South Africa and in the rest of Africa.

Church’s Chicken was established in 1952 in San Antonio, Texas, and has since grown to more than 1 600 outlets world-wide. The group is currently the biggest international competitor of Kentucky Fried Chicken (KFC), the world’s largest chicken fast-food chain.

Announcing the acquisition on Tuesday, Inkuku Holdings chairperson Johan Schoeman said the head office of Church’s Chicken would be based in Stellenbosch in the Western Cape, with the local outlet as the flagship of the group. The group already has 11 Church’s Chicken outlets in operation, with ten situated in the Western Cape and one in Pretoria. Another two outlets are planned for the Western Cape in the next four months.

“We first want to establish the group firmly in the Western Cape, then get representation in Gauteng with national distribution and marketing to follow,” explained Schoeman. “It is expected that all this will happen in the next three years. Expansion to neighbouring states and the rest of Africa are also on our agenda.

“We are currently looking for motivated entrepreneurs to join Church’s Chicken as operating partners to manage outlets. Of major importance is that we do not operate according to the typical franchise model, which to us amounts to a “master-servant” situation.

“We choose to invest jointly with an operating partner in the business, which to us also enhances profitability and not only volume and turnover. With a franchise model the emphasis is only on volume and turnover, while the partnership model also includes profitability. Administration and financial assistance is also provided for,” Schoeman said.

Church’s Chicken’s expansion strategy includes a programme for black entrepreneurial empowerment, according to which all necessary assistance will be provided in order to groom a person as an independent operating partner and from which black economic empowerment follows.

Church’s Chicken chief executive Kevin Anderson said the company distinguishes itself on the grounds that the taste profile of its product is more spicy. This follows from a general consumer shift to a more flavoursome taste, which is supplemented by spices.

“We use larger chickens from which eight pieces instead of nine are cut,” Anderson noted. “By injecting the chicken with a marinade before it is cooked, the portions are less oily and more succulent. The result is that the chicken has a longer shelf life and is just as tasty after it has been warmed up at a later stage. We also plan to extend our catering to children and office parties,” he concluded. -I-Net Bridge