Taco Bell Plans to Reach $15 Billion in Global System Sales by 2022
At its 2017 investor and analyst day, Taco Bell announced that it is planning to add restaurants domestically as part of its strategy to reach $15 billion in annual sales across its global business by 2022 and outlined the four key international markets that it will focus on as it strives to expand internationally.
Taco Bell is looking to establish around 9,000 restaurants internationally, in the next five years, which will create 100,000 new jobs in the USA, alone. Between 2012-2016, 600 net new Taco Bell restaurants were opened domestically, and the chain plans to improve on this in 2017. Overseas, Taco Bell are looking to expand into Brazil, Canada, China and India, targeting at least 100 restaurants in each market. Currently, Taco Bell owns more than 6,650 establishments in 23 countries.
Always looking to stay at the forefront of business innovation, Taco Bell is updating its services in order to provide an immersive experience, by implementing open kitchens, shareable food and digital menu boards across its many restaurants. Through carefully managing building costs and design, Taco Bell has been able to expand into rural markets. The chain also plans to enter highly populated urban areas that do not have room for a drive thru, using its inline Cantina restaurant concepts specifically for these locations.
Chief Executive Officer at Taco Bell, Brian Niccol, has credited the chain’s breakthrough menu innovation, digital innovation and the diversification of their development portfolio for enabling its global expansion.
Just last year, Taco Bell announced four new restaurant designs that had been carefully devised in order to provide tailored concepts that would serve to reflect the local community - Heritage, Modern Explorer, California Sol and Urban Edge. All four test locations opened in Orange County, California, in 2016, and two new restaurants in Bay City, Michigan, and New Whiteland, Indiana, opened earlier this year. Come the end of 2017, a further 350 restaurants will have been updated, bringing the total number to about 80 percent of the system.
Taco Bell opened its first Taco Bell Cantina restaurant in Wicker Park, Chicago, and has since gone on to open eleven urban inline stores in cities such as San Francisco, New York, Chicago and Atlanta.
By 2022, Taco Bell expects urban inline restaurants to constitute at least 300 of the new locations.
Having recently opened a new restaurant in the Netherlands, Taco Bell currently operates 350 restaurants across 22 countries outside of the USA. Over the course of the next five years, Taco Bell plans to own around 9,000 restaurants, in more than 40 countries.
Taco Bell intends to open in many new markets including Spain, Guatemala, South Korea and the United Kingdom, but, for now, it will remain focused on targeting the four key markets located in Brazil, Canada, China and India.