**Westlife Foodworld to Launch 20-Minute Delivery Model in India**
Westlife Foodworld, the operator of McDonald’s outlets in west and south India, announced plans to introduce a 20-minute food delivery model through its proprietary app. This initiative aims to strengthen its delivery business and boost same-store sales by 3%-5% in the next two years.
CEO Akshay Jatia revealed that the move is designed to reduce reliance on “unpredictable” third-party platforms, such as Swiggy and Zomato, where McDonald’s is currently listed. Delivery orders already account for about 40% of Westlife Foodworld’s total sales. The company has piloted the 20-minute delivery model with strong results and anticipates doubling delivery sales through its own app over the next two years.
Westlife Foodworld expects these new initiatives to generate approximately 400-500 million rupees ($4.55 million-$5.69 million) in cash flow over the coming year. The company is taking strategic steps as fast-food chains in India face declining demand, particularly in urban centers, due to rising living costs and increased competition from local eateries.
Among its competitors, Jubilant Foodworks, which operates Domino’s stores in India, continues to buck the trend with lower pricing and a 30-minute delivery model.
Westlife Foodworld reported an adjusted loss for the second quarter, citing rising expenses. For the quarter ended September 30, the company posted a consolidated loss before exceptional items and tax of 158.5 million rupees, compared to a profit of 7.1 million rupees in the same period last year. Same-store sales, which measure revenue from stores operating for at least one year, fell 2.8% during the quarter. Margins were also impacted by rising ingredient and labor costs, with overall expenses climbing 7%.
Despite challenges, Westlife Foodworld recorded a one-time gain of 581.7 million rupees from the sale of a store property. Revenue for the quarter grew 3.8% to 6.42 billion rupees. Peer company Sapphire Foods, operator of KFC and Pizza Hut restaurants in India, also reported a larger quarterly loss.
*($1 = 87.8950 Indian rupees)*
https://newsindiatimes.com/mcdonalds-india-operator-to-launch-20-minute-delivery-to-boost-sales/
