By Gavin Gibbon
George Kunnappally believes home comforts are serious challenge to restaurant ambiance
American video streaming giant Netflix is driving up the food delivery business in Dubai, according to managing director of Nando’s UAE, George Kunnappally.
Kunnappally told Arabian Business that delivery accounts for up to 25 percent of the company’s business and that this is “slowly growing”.
Nando’s works with delivery options Talabat and Zomato and has had an agreement with Deliveroo for the past year.
Kunnappally said: “When we talk to our customers we feel that Netflix and online streaming, where you have the convenience of watching an entire series without leaving the comfort of your home, has encouraged more and more people to order in and that was not a phenomenon that we had to manage a few years ago.”
In the first quarter, Nando’s reported a double digit growth in its delivery business in the UAE.
The restaurant delivery business, particularly Zomato, has come under fire in recent months in India over discounts and charges. In August, the National Restaurant Association of India, a lobby representing over 500,000 outlets including brands such as Beer Café, Smoke House Deli and Olive Bar & Kitchen, started a ‘#Logout’ campaign in Gurugram - urging its members to delist from the Zomato app. More than 2,000 restaurants quit in less than a week, the NRAI said.
But Kunnappally said he is quite happy to continue using the aggregators.
He said: “We see that our delivery business is slowly growing and more and more people are comfortable ordering premium casual dining concepts and menus from the comfort of their own homes and offices for a variety of reasons.
“We work closely with these aggregators in serving those demographics and serving those lifestyle needs, while we continue to encourage our customers to have the complete experience in our restaurants, because we believe the restaurant experience any day is far superior to the delivery experience, which is limited with the food, while the restaurant has the vibe, the music, the customer service, the ambiance.”
The first Nando’s restaurant opened its doors in 1987 in Johannesburg, South Africa. Since then, the company, which is known worldwide for its Peri-Peri chicken, has spread to 1,200 restaurants in 23 countries on five continents.