Despite the global financial downturn, one Chinese company's restaurant sales are just ducky.
Quanjude (Group) Co. Ltd., had 270 million yuan (about 39.71 million U.S. dollars) in sales from January to March, up 16.26 percent from the same period a year ago, said Jiang Junxian, chairman of the board.
The corporation, which specializes in the famous Peking roast duck, also made 21.17 million yuan in after-tax profits in the first quarter of the year, up 21.98 percent from 2008.
Jiang attributes the company's success to increased brand marketing. He says they drew advertising lessons from KFC and McDonald's and tried to make their duck appeal to younger generations.
The plan seems to be working. Altogether 1.07 million customers dined out at Quanjude's 16 chain restaurants in the first three months. That's 24.95 percent increase from the same period last year.
Founded in 1864 during the Qing Dynasty (1644-1911), the last imperial rule of China, Quanjude is one of the most renowned restaurants in China. It serves roast duck which has become a main attraction for overseas tourists.
Quanjude became a corporate group in 1993 and went public in November 2007 on the Shenzhen bourse to support its goal of growing into an international brand.
It now operates 16 restaurants in Beijing, Shanghai, Chongqing and Changchun. It sells more than 3 million ducks a year to some 5 million patrons. It also has 65 franchised outlets, 55 of which are based on the mainland.
(Xinhua News Agency May 21, 2009)
