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Double digit & Tier 2 growth: Burman

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There is no doubt of the foodservice sector is growing, driven by growing household consumption and tastes in the metros and Tier 2 & 3 towns. But don’t forget the youth says Amit Burman, chairman, Lite Bite Foods, who has been preparing for this growth for some time.

1. What do you fee is the next stage of development in Indian QSR?

Quick service restaurants are a well-entrenched concept in the metropolitan cities and companies are now expanding their presence into Tier II and III cities such as Patna, Pune and Chandigarh. The increase in purchasing power of the Indian consumers has made the industry more than ever willing to try new cuisines, a trend expected to continue for years.

According to recent reports, with the Indian total annual household consumption expected to triple in the next decade, it offers a huge potential for growth in food retailing. Income is not the only factor affecting the change in trends anymore. Technology over the last decade, has made it possible for consumers to share, post and even communicate directly with the retailers to get an immediate feedback.

Also I feel, social media and foodservice apps has become an integral part of the food industry to enhance our broad connect with the end consumer and also a channel for direct sales and marketing interface.

Amit_Burman_02

2. Skill training & manpower are eternal challenges for the QSR sector. What’s Lite Bite’s model?

Getting quality manpower and retaining them is indeed one of the biggest challenges we face collectively as an industry. The key to ensure constant supply of human capital, is being competitive with regards to pay brackets, consistent employee engagement and providing need based training, that helps them give better productivity and in turn higher job satisfaction.

At Lite Bite Foods, we inculcate values in the new recruits for treating organization before self, teamwork and continuous learning. Role specific task lists, certified field trainers, mentor programs and consistent on the job training helps polish their skills to deliver excellence.

Through events like ‘Meal of Honor’, ‘The Star Outlet’ and ‘Lite Bite Foods Gems’, we recognize and reward employees who bring significant contribution in exceeding functional objectives. We promote development with both, better prospects and training linked career plans.

The organised food services market will have a double-digit growth over the next five years, spurred by the changing consumption habits and the emergence of new players.

3. The Indian QSR palette – what’s next on the menu?

Although the Indian franchisees of global QSR brands dominate the organised market, home-grown chains are flourishing too.

Indian consumers are becoming conscious of the quality of the food and drinks they consume. Even restaurants are coming up with specialized organic menu and diabetic menu to suit the consumer palette.

With a considerable amount of increase in travel for work, the year will see hotels highlighting local cuisines with concentration to keep the flavours simple and fresh. Guests are increasingly looking for rustic, hearty, homemade foods with simple flavours.

4. How do you fee the ‘organised’ foodservice sector is progressing?

The organised food services market will have a double-digit growth over the next five years, spurred by the changing consumption habits and the emergence of new players. Concepts like food on-the-go and home delivery formats are also being increasingly accepted beyond the metro towns. Thus, F&B brands have an opportunity to consolidate in the metros and also foray into smaller cities and towns. They are also increasing their infrastructure investments for the same.

In cities like Mumbai and Pune, approximately 78% of the food outlets have started providing delivery services. In Delhi NCR, it is 60 % while in Tier II cities like Chandigarh it is 30%.

5. Lite Bite had a busy year of acquisition. Who or what is next on the radar to acquire?

We believe that with new opportunities opening up at airports, railways stations and highways, there is a huge potential in the travel retail space. Our JV with HMSHost is now called ‘Lite Bite Foods HMSHost’.  This allows us to bid to acquire the rights to launch and operate international and domestic F&B outlets at retail destinations like airport, train stations and highways across India and abroad.

The partnership will capitalise on the strong reputation that HMSHost has developed while we will use our expertise in operating outlets at Delhi and Mumbai airports and our robust presence across the country.

Lite_Bite_HMSHost_JV

6. Which food trends get you excited?

The F&B industry has become very youth-oriented these days. It has become absolutely necessary to understand what the biggest chunk of the customers want as they contribute a lot in building the reputation of a restaurant.

Various formats such as pop ups, gastro pubs and QSR’s are evolving at a phenomenal pace and we have attuned ourselves to stay ahead of others. We too are thrilled to foray into these niche markets.

Indians love customization! People are willing to experiment with novelties in cuisines and combinations which they relish. Consumers love dishes that offers diversity in taste, style and origins. The increasing trend amongst the customers to opt for cuisines that mirror their lifestyle is fast catching up. Preference for ingredients like truffles, artichokes, asparagus, Australian lamb, Norwegian salmon, black bean sauce, microgreens, organic food, etc. have found their way to the Indian F&B counters.

Blending of cuisines, e.g. Italian with Thai is another evolved customer choice. Restaurateurs are also moving from the traditional style of generic ‘South’ Indian style cooking to make Kerala or Chettinad style food more innovative and interesting.

Various formats such as pop ups, gastro pubs and QSR’s are evolving at a phenomenal pace and we have attuned ourselves to stay ahead of others. We too are thrilled to foray into these niche markets.

Country vegetables and nutrition rich tropical vegetable and fruits, like pumpkin, or string beans will make a comeback. Heritage vegetables are gaining popularity owing to their nutrition value and their ability to supplement deficient nutrition in current diets.

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