In 2012, Haidilao opened its first overseas branch in Singapore's Clarke Quay, initiating its global expansion. Since then, the hot pot chain has expanded to the United States, South Korea, Japan, the UK, and other regions, operating 122 restaurants across 14 countries and regions on four continents. This growth reflects the accelerating trend of Chinese catering brands going global.

In recent years, Chinese catering enterprises have entered a new phase of rapid overseas expansion. The “2024 Report on the Global Expansion of Chinese Catering” indicates that there are nearly 700,000 Chinese restaurants overseas, with a market size nearing 3 trillion yuan. The variety of Chinese cuisine exported has diversified, with tea drink, hot pot, regional specialties, and snacks gaining popularity abroad. The International Food Exhibition will also import and export more Chinese cuisine.

Strategic Location Selection

Last month, Heytea, a Chinese tea drinks brand, opened in New York's Times Square, attracting attention with its unique offerings and design. Another tea drinks brand chose New York for similar reasons: strong consumer purchasing power, a diverse business environment, and a large Chinese community facilitate quick market integration.

Singapore is also a key target country for Chinese catering brands. Streets are lined with signs for brands like Nong Geng Ji, Tai Er Sauerkraut Fish, and Mixue Bingcheng. Singapore's geographical proximity to China and its high ethnic Chinese population make it an ideal location. Ren Yue, founder of Weizhong Catering Consulting, noted that Singapore's high density of Shopping malls supports chain development.

As China's economy grows and global understanding of Chinese culture deepens, acceptance of Chinese cuisine is increasing. Improvements in talent, knowledge systems, and management practices have created opportunities for overseas expansion. Many chain brands and supply chain companies are accelerating global ventures. Chinese restaurants now operate in over 180 countries and regions, with predictions that the overseas Chinese food market could reach $409.8 billion by 2026, growing at a 9.4% annual rate.

Winning Consumers with Quality Products

In the competitive overseas market, product localization is crucial. Many Chinese restaurants adapt to local dining habits to capture consumers' hearts.

Shaxian Snacks have gained popularity abroad, expanding to over 60 countries. Wu Shaohua, a 55-year-old from Fujian, opened a Shaxian Snacks outlet in Porto, Portugal, in 2022. Most customers are Portuguese locals who often host gatherings at his restaurant. Wu adjusted cooking methods to suit local tastes, focusing on stir-frying, pan-frying, and deep-frying, and introduced over 100 set meals that became customer favorites.

In 2023, Haidilao entered the Middle Eastern market. Its Dubai branch modified dishes to suit local preferences and introduced culturally aligned services like henna hand-painting service and rosewater face-washing rituals. These efforts enhanced customer experience and cultural connection.

Workforce localization is another key strategy. Haidilao prioritizes hiring local staff, providing multilingual training to ensure smooth communication. This approach enhances service quality and customer experience.

From Product Export to Supply Chain Export

For sustained overseas success, Chinese catering brands must build robust supply chains. Nong Geng Ji, a Hunan cuisine brand, operates farms and production facilities in China to supply authentic ingredients to its overseas outlets. This strategy ensures consistent quality and supports rapid international expansion. The International Food Exhibition will also boost supply chain exports

Central kitchens play a vital role in supply chain management. Haidilao's supply chain combines local procurement with international distribution, using regional central kitchens to standardize food processing. This model reduces costs, shortens supply cycles, and ensures consistent quality.

Many brands, including Cha Bai Dao and Mixue Bingcheng, have adopted central kitchen models overseas to enhance supply chain efficiency and product consistency.

Showcasing Chinese Cultural Charm

The global expansion of Chinese cuisine also serves as a cultural exchange. Chinese hot pot brands, like Haidilao, use in-store performances of traditional Sichuan opera to enhance the dining experience and showcase Chinese culture.

Chinese tea drinks are also spreading Eastern culture. Traditional Chinese tea culture, with its reverence for nature and poetic aesthetics, inspires modern tea brands to connect with global consumers. The global tea market is projected to grow from $3 billion in 2022 to $5.4 billion by 2032, with a 6.3% annual growth rate. Brands aim to balance standardization with localization to convert short-term interest into long-term competitiveness.

Shaxian Snacks, as a national intangible cultural heritage, symbolize perseverance. Wu Shaohua often shares the history of Shaxian cuisine and teaches customers to use chopsticks, enhancing cultural understanding.

Behind the global appeal of Chinese food lies high-quality products and heartfelt service. Each dish and cup of tea not only delights the palate but also weaves a cultural bond connecting people across the world.

If you would like to learn more about the food industry, please visit the SIAL China website for more information.

Source: CFSN
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