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BRAND STRATEGY

Burger King unveils $400-million revamp of North American business

By our News Team | 2022

More than 3,000 outlets will be upgraded, the mobile app is to be improved, staff training increases and advertising spend gets a boost.

Fast-food giant Burger King has announced a major brand revamp that will cost the company around US400-million in the United States alone. 

It will involve, among other things, remodelling its restaurants in around 800 North American locations and upgrading a further 3,000 outlets with better technology and kitchen equipment, plus building enhancements.

Brand Strategy

Photo by momo@land from Pexels

Also in the pipeline is a 30% increase in the advertising budget, which is scheduled to kick in from the fourth quarter of this year. In addition, $30-million is being spent on improving the brand’s mobile app, the menu will be tweaked, and there will be additional staff training.

Burger King already instituted some operational changes last year, when a new President for its North American business was appointed. These changes included a slimmed-down menu to improve drive-thru times and cutting down on paper coupons to push more customers to its mobile app.

Gradual ramp-up of the business

“We might see remodels start to hit the market mid-2023 and going forward. It should really be a gradual ramp[-up] of the business over the course of the [next] couple of years,” CEO Jose Cil said in an interview with broadcaster CNBC. “We expect that to start having an impact on sales over the next quarter.” 

According to Burger King, remodelled restaurants typically see an average sales increase of 12% in their first year and outperform older locations over time. 

The company said it is hoping that being more selective and strategic with its projects will produce even stronger sales growth, although it could take longer to see results.

The strategy has received support from franchisees operating 93% of its US restaurants, Burger King said in a statement. Franchisees will be chipping in their own money alongside the company for remodels and advertising.

There has been no confirmation from the company as to whether any of these changes will be extended to Burger King operations in other regions, including Africa.

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    Dr Kin Kariisa

    Group CEO - Next Media

    Dr. Kin Kariisa is an extraordinary force at the helm of Next Media Services, a conglomerate encompassing NBS TV, Nile Post, Sanyuka TV, Next Radio, Salam TV, Next Communication, Next Productions, and an array of other influential enterprises. His dynamic role as Chief Executive Officer exemplifies his unwavering commitment to shaping media, business, and community landscapes.
    With an esteemed academic journey, Dr. Kariisa’s accolades include an Honorary PhD in exemplary community service from the United Graduate College inTexas, an MBA from United States International University in Nairobi, Kenya, a Master’s degree in Computer Engineering from Huazong University in China, and a Bachelor’s degree in Statistics from Makerere University.
    Dr. Kariisa pursued PhD research in Computer Security and Identity Management at Security of Systems Group, Radboud University in Nijmegen, Netherlands. As a dynamic educator, he has shared his expertise as a lecturer of e-Government and Information Security at both Makerere University and Radboud University.

    Dr Kin did his PhD research in Computer Security and Identity Management at Security of Systems Group, Radbond University in Nigmegen, Netherlands. He previously served as a lecturer of e-Government and Information Security at Makerere University in Kampala, Uganda and Radbond University in Netherlands.

    Dr Kin did his postgraduate courses in Strategic Business Management, Strategic Leadership Communication and Strategies for Leading Successful Change Initiatives at Harvard University, Boston USA.

    • Other current and previous roles played by Dr Kin Kariisa:
    • Lecturer of e-Government and Information Security to graduate students at Makerere University, Kampala and Radbond University in the Netherlands
    • Director of Eco Bank Uganda Limited, one of the largest banks in Africa
    • Chairman of the National Association of Broadcasters, an umbrella industry association for all Television, Radio and online broadcasters in Uganda.
    • Chairman of Board of Directors of Nile Hotel International, that owns the leading hotel in Uganda, Kampala Serena Hotel.
    • Chairman of Board of Directors of Soliton Telmec Uganda, the leading telecom company in Optic fibre business managing over 80% of optic fibre in Uganda.