NEWS
SENWES AND NANDO ’ S
TALK CHICKEN , CHIPS AND STRATEGY
What comes to mind when you think about Nando ’ s . Is it their peri-peri chicken , the fact that they are unapologetically South African or the impact of their memorable ( and very cheeky ) marketing campaigns ?
Annette Willemse Communication Specialist
While all of these attributes ring true , a lot can also be said about the fast-food chain ’ s business philosophy and operating model .
During a recent online discussion between the Senwes management team , headed up by Group Executive Officer , Francois Strydom , and Nando ’ s Chief Executive Officer , Michael Cathie , an interesting conversation ensued about strategy , adaptability and the ever-changing world of business .
LEARNING FROM GREAT BUSINESS LEADERS
According to Francois Strydom , networking is the backbone of success and it provides a framework for business insight , innovation and growth .
The discussion forms part of a bigger strategic drive within the Senwes Group of companies to not only gauge business and economic sentiment , but also to benchmark strategic management imperatives . Similar discussions have also been held with André de Ruyter , Eskom Chief Executive Officer , Coen Jonker , co-founder and Chairman of TymeBank and Danie Matthee , Chief Executive Officer of OUTsurance .
THE NANDO ’ S STORY
Since Nando ’ s humble beginnings in 1987 , when the first restaurant opened in Rosettenville in Johannesburg , the brand has grown in leaps and bounds . Today the brand enjoys an international footprint spanning 24 countries .
The company services customers through five main channels , namely : take-aways , sitdown meals , drive through , online deliveries and retail products such as sauces and spices . According to Cathie the company is also heavily investing in online food delivery and marketing , which sets their operating model apart from that of their competitors .
Cathie perfectly sums up the company ’ s ethos and business philosophy when he says :
“ We believe we we have have the the world world ’ s best
’ s flame best grilled flame peri-peri grilled peri-peri chicken and chicken our belief and our is that belief nobody is that makes nobody chicken makes like we chicken do , builds like restaurants we do , builds like we restaurants do , and loves like South we do Africa , and like loves we do South
. Like Africa most
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Africans do . Like we are most deeply South interested
Africans in we the are news deeply of the interested day . While in we the hope news to inspire of the thought day . While
, we do we so hope light-heartedly to inspire in thought a manner
, we which do so encourages light-heartedly people to in a smile manner
, and which sometimes encourages even laugh people at themselves to smile . We , and like sometimes to Fire Up South even laugh Africans at in themselves same way
. We we like Fire to Up Fire our Up fresh South , home Africans grown in chicken the same
.” way we Fire Up our fresh , home grown chicken .
WHEN CHALLENGES COME KNOCKING
According to Cathie , Nando ’ s multi-channel operating model shielded the company against the brunt of the strict Covid-19 induced lockdowns as they already had successful drive-through and online delivery platforms to utilise .
Although the company could not trade for about a month during the initial hard lockdown , the business was able to rebound , driven by a shift in strategy towards online delivery and a new way of doing business in a socially distanced word .
More recently the civil unrest and protests that took place in Kwazulu-Natal , Gauteng and other parts of the country , impacted the company to the extent that several restaurants had to be temporarily closed .
Despite these challenges , Nando ’ s manages to make the most of everyday opportunities , as summarised in this statement on their website : “ When one door closes , a drive-thru window opens . When the chairs are packed away , a parking spot is the new pick-up spot with our kerbside collection . When you can ’ t get to a Nando ’ s , we will bring Nando ’ s to you and deliver right to your door !”
STRATEGIC TAKE-AWAYS
During the conversation , Cathie shared the following “ strategic take-aways ” with the Senwes representatives as it pertains to Nando ’ s marketing strategy .
• Stay current .
• Don ’ t shy away from the humour effect .
• Have a recognisable style .
• Engage with your audience on social media .
• Support your communities .
• Brand consistency . In closing , Cathie attributed the company ’ s success to its strategic operating model which places an emphasis on :
• The geographical distribution of restaurants .
• An investment model that sees Nando ’ s owning half of all their own restaurants .
• Unit profitability .
• Value-adding partnerships .
• Continued development in new technology . Next time you enjoy a Nando ’ s meal , take a minute to appreciate the business strategy behind your grilled chicken and chips .
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SENWES SCENARIO | LENTE � SPRING 2021