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article imageNando's chicken negotiating to supply World Cup fan parks

By Sharon Davis     Apr 18, 2010 in Sports
South African chicken franchise chain Nando's is in last minute negotiations to supply food to soccer fans at the 2010 FIFA Soccer World Cup fan parks after official World Cup sponsor McDonald’s decided not to exercise its right to supply food.
Business Day reports that Nando’s already has an agreement with Durban’s eThekwini municipality to supply the city’s Fan Fest, as official Fifa fan parks are called, as well as two city-run fan parks in Umlazi and KwaMashu. It was in talks with other cities, Nando’s Southern Africa CEO Noel Boyle said yesterday.
Nando's, known locally for its saucy advertising campaigns and spicy chicken, is in negotiations with the nine host cities to supply catering at official and unofficial fan parks.
Business Day said: "It is not yet clear who will cater to the captive audience at the nine stadiums. Fifa yesterday, with just 57 days until kick-off, named Brazilian food company Seara as a sponsor of the tournament ."
Industry analysts have suggested that Nando's with 260 outlets in South Africa has more spare capacity than McDonald's which only has 132 outlets in the country. However, most are querying why either Nando's or local brewer SAB Miller (SAB) see any benefit in the low mark-up trade expected, as both will be unable to brand their product.
Nando's said it does not expect to run at a great profit and will limit its product range at the fan parks to burgers, chicken and chips.
“But (given) the complexities of doing that — equipment in place, training extra staff — it’s not particularly profitable for us.”
SAB will be selling unbranded Castle beer alongside Nando's unbranded chicken at the 10 Fan Fests if negotiations are successful. Perhaps they correctly assume that locals will know what brand they are eating and drinking anyway.
Nando's said FanFest catering aside, it expects between a 15% and 20% increase in sales during the games. Some stores, especially those at airports, would be operating 24 hours and the franchise is planning a home delivery service to cater for people who elect to watch the game at home.
More about Nandos, South Africa, Catering for world, Mcdonalds, Fan parks
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