Durban - Amos Cole and Red Pepper, new fast food and family restaurant brands which last year made a low profile appearance in Durban, are on the eve of a national roll out, Rob Mitchell, head of Thyme Holdings, said last week.
Mitchell is an old hand on the fast food franchising block. He started out in 1980 with Longhorn Holdings, a chain of 10 family steak houses. In 1988, he moved to Durban and formed Woodcutter's Holdings. In 1991, he started Keg Franchising which grew into South Africa's largest pub chain with over 80 outlets before it was sold to King Consolidated Holdings in 1997.
Along the way, other well-known brands were developed countrywide, including Joe Kools, Harleys, Fat Boyz and Billy the BUMS.
Mitchell said Durban was the most exacting market for restaurants. "We've seen multiple brands fail. If you can get something right here, it will work anywhere. We've been fine tuning the concepts and both chains are now ready for a national franchise drive," he said.
Mitchell's new brands grew out of research in Germany, Canada, England, Australia and the US. Thyme Holdings is the majority shareholder in both with 25 percent stakes going to US restaurant guru, Lorenzo Serafini and Gauteng-based Peter Gronn in Amos Cole and Red Pepper respectively.
"We aim to gain as much market share as possible. Thyme Holdings is commited to continuous growth and profitability through our systems and operational strength combined with low capital requirements. This time my main focus will be on developing simple concepts which can be replicated consistently and expanded abroad by operators in different countries".
Five year plans suggest that Amos Cole would take a reasonable bite out of South Africa's multi-million rand fast food market with 460 percent growth over the period. Although off a low base of just three stores, Mitchell will add between four and six stores this year.
Amos Cole is the first home meal replacement take out in South Africa comprising roast Jamaican "jerk" chicken and Louisiana style fresh vegetables. Although the ultimate number of outlets would be driven by market demand, South Africa had only begun to taste home meal replacement, a sector in its own right estimated to be worth more than R44 million in the US and growing at 60 percent a year, he said.
Nic Louw, the executive director of the Franchise Association of South Africa, said fast food outlets currently comprised 26 percent of the fast growing franchised restaurant sector.