Video source: CNBC
New York City-based burger chain Shake Shack Inc (NYSE: SHAK) is ramping up plans to expand its number of restaurants in Asia.
During an interview Thursday with CNBC, Shake Shack chief executive officer Randy Garutti said the company has “big plans for Asia” including opening several new locations in South China and Singapore in the next few months.
Shake Shack already has more than 45 restaurants in China, Japan, South Korea, Singapore and the Philippines.
Garutti said the expansion is in response to strong demand over the past year and will ensure Asia as “one of the most important positions” in the company.
“We’ve opened in Shanghai. Even last year, through the pandemic. In August we opened in Beijing. We’ve got our sights now on Macao and in the south, starting in Shenzhen,” Garutti said.
"Our business has been incredibly resilient in Asia," he added.
Over the next two years, the 300-unit chain plans to increase its number of company-owned restaurants globally by 45%, adding 35 to 40 locations in 2021 and up to 50 more in 2022.
According to China Daily, Shake Shack and its franchisee Maxim’s Caterers plan to open at least 15 restaurants in South China — including locations in Shenzhen and Guangzhou in Guangdong province, in Fuzhou and Xiamen in Fujian province — and 55 chain stores in total in the Chinese mainland.
Despite the positive reception Shake Shack has so far enjoyed in China, Garutti told the newspaper the chain does not plan to expand its presence in the country too rapidly.
"We do one burger and one Shake Shack at a time. We build the store, and we work hard to make it a great gathering place. We don't just keep building and building without thinking about it," he said.
Source: Equities News