McDonald's to double restaurant count in China within five years
McDonald's has revealed plans to increase the number of restaurants in China from 2,500 to 4,500 by the end of 2022.
The new Vision 2022 plan follows the completion of a strategic partnership with CITIC and Carlyle Group to operate and manage McDonald's businesses in mainland China and Hong Kong.
As part of this new deal, McDonald's has agreed to sell its existing businesses in mainland China and Hong Kong to new China-based franchisees, which will affect nearly 2,740 restaurants.
The new partnership will create the largest McDonald's franchisee network outside the US.
The transaction has been approved by the Chinese regulatory authorities.
McDonald's president and CEO Steve Easterbrook said: "China will soon become our largest market outside of the United States.
"Mainland China and Hong Kong are leading the global system in capturing new consumer trends such as delivery, digitalisation and its driving strong performance and growth momentum.”
The Vision 2022 strategy will also focus on enhancing the delivery hub coverage of more than 75% of restaurants by the end of 2022.
The strategy also includes plans to enhance the presence of McDonald's restaurants in Tier 3-4 cities by nearly 45%, as well as an increase of ‘Experience of the Future’ restaurants to over 90% in order to offer a digitalised and personalised dining experience to more customers.