How Nando's Franchise Rights Work

James RYN's picture
Submitted by James RYN on Tue, 2013-02-12 13:38

*Edit: Since Nando's International launched their new website on 4th April 2013, you can no longer buy master franchise rights in a country. Future expansion is to be looked after by the team behind UK Nando's*

A common Nando's related question is 'how does Nando's franchising work'? Indeed, the Rate Your Nando's Team has even had it suggested to them many times that they should open up their own restaurant! Unfortunately it isn't that simple...

The very first Nando's opened in South Africa in 1987 and the two co-founders very quickly developed plans to expand abroad. By the mid-1990s these had been realised, and involved a mix of master franchising and individual restaurant franchising. The difference is key to the success, failure, and perceived mediocrity of Nando's internationally.

First I'll explain the difference between the two franchise types:

Individual Restaurant: This is what people generally consider when they refer to 'starting a franchise'. You apply to the franchise owner, and start your own restaurant. As long as you adhere to a strict set of rules, the restaurant is yours. Countries where you can do this include Australia, Canada, New Zealand and South Africa.

Master Franchise: You apply for the franchise rights in an entire country. It takes a lot of convincing for Nando's to give these away, and the few who succeed have had varying degrees of success. With these rights you get a lot more freedom in tailoring the Nando's experience in the country. Countries where this has happened include India and Malaysia, as well as Ireland, the UK and USA, which are all owned by the same master franchisee.

Now how do these two systems affect the outcome of Nando's success in each country?

Well, the countries which have gone for an individual restaurant franchise system could certainly consider Nando’s to be a success. After all, it has been around for over 20 years in some of them. However, if you speak to a South African, or an Australian, about how much you love Nando’s, you will find them simply baffled. To them, Nando’s is just another fast-food outlet at the local mall or motorway services, which serves decent spicy chicken; there is none of the passion associated with the brand in the UK (of course there are exceptions to this generalisation). I cannot hold this view against them, since on my visit to South Africa I had to agree; there simply wasn’t much to write about after each visit.

On the other hand, countries which have gone down the master franchise route can be split into two clear categories: Nando’s in the UK (and Ireland and the USA by extension), and everyone else. With the exception of Malaysia, countries with master franchise rights have all too often failed to succeed*. This can be seen historically with Nando’s in Israel and Indonesia, as well as recently in Turkey, Kuwait and Lebanon. However, on a positive note, Nando’s in the UK hit a winning combination of casual dining (as opposed to fast-food), price, and culture. For this reason Nando’s are now using the UK model when expanding into other countries, and they plan to move their worldwide headquarters to right here in the UK.

If you want more information on how to become a Nando’s franchisee, and to apply, visit nandos.com.

Please note that this is purely an opinion article based on both tangible research and word of mouth from Nando’s diners the world over.

*It should be noted that since information on Nando’s in sub-Saharan Africa is so hard to come by (excluding South Africa of course), I cannot comment on this region.

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Comments

TL Nxumalo's picture

Comment: 

If its entirely true that the nando's headqauters are moving or will be moved to the UK then I'm sad to say that I'm urterly dissapointed as a South African who supports this outlet and viewed it as that which was pro proudlu South African and pushed the agenda as they're local ads reflected a truely South African brand that 1 could be proud of as a South African.

dominic sia's picture

Comment: 

i would like to open up a nando's restaurant in malaysia, sarawak, kuching. May i know whom shall i contact with and where is the main office in malaysia?
Thank you

Sk@t20.com's picture

Comment: 

Dear sir,I would like to open nandos in India New Delhi , please let me know terms and condition .
Regards

Sunil karki

Prashanth Reddy's picture

Comment: 

I am interested to know the franchise opportunity in Hyderabad location and will appretate your reply at your conveniance.Thank you.

Mitul's picture

Comment: 

I am based in Melbourne, Australia and would like to open a Nando's store in my home town Surat, Gujarat. Please advise who should I get in touch with for further information.
Thanks,
Mitul

Ahmed Shafee's picture
Iskandar's picture

Comment: 

Dear sir,
I would like to open up a nando's franchise at tawau sabah. Could you sir please give me more details about the modal and how to open the franchise?

Navin troy's picture

Comment: 

Dear sir,
I would like to open up a Nando's franchise in Johor Malaysia. I've been trying several times from different pages hope to get best feedbacks tqx..

Madhusudhan Rao Penchala's picture

Comment: 

I went many times Nando's restarent , food was amazing. I want to open new franchise and know the franchise opportunity in Hyderabad .whom should I Contact. could you Please suggest me.Thanks

Jenny Lim's picture

Comment: 

Hi, I'm interest in opening a nando's restaurant in malaysia, Miri. May i know who should i contact with in Malaysia? and what is the approximately franchise price with including all the equipment costs.
Thanks.

Irving Sia 's picture

Comment: 

Hi, I'm interest in opening a nando's restaurant in malaysia, Miri. May i know who should i contact with in Malaysia? Please advice

Faysal's picture
anverdeen email; m.anverdeen@gmail.com's picture

Comment: 

I am interested in opening a Nando's Restaurant in Kuala Lumpur or in Selangor, Malaysia..Please provide me the details..Whom should I contact.

Mrs Svetlana's picture

Comment: 

Dear Sir/Madame,
Good afternoon,

It is with great interest that I am writing this letter to apply for the “The Nando's Restaurant’s franchise. I was delighted to know that you are constantly looking forward for the people who can franchise your food hub in various spots.

#Franchise place. I will be offering you an opportunity to consider Kazakhstan (Central Asia) as a next food spot for your restaurant and expansion of global business.

So, the franchise place is Kazakhstan with two main cities: Almaty and Astana (population is over 1,2 millions in each city).

I have carefully read the general terms and conditions of the franchising and I am writing to apply for the same and provide more detailed information.

# financial capability. We have a private company with sufficient funds to start over the business in Kazakhstan. However, we have access and preliminary conversations with different banks in Kazakhstan for further support in co-funding the project. We are quite ready to disclose in details our financial statement should you require to do so.

#Work experience. We as a private consortium has people in our board with extensive experience in the food chains and hi-class restaurants. All of it were based in Kazakhstan.

#Educational background. Our team is highly educated persons with diplomas in food industry.

I request you to kindly schedule a meeting/call/video call so as to discuss about the franchise application and other needed facts in details. For any other information that you may need from my side, please feel free to contact me on [email protected]

Thanking you for your kind consideration.

Sincerely,
Svetlana

JESSICA NAIDOO's picture

Comment: 

Hi I would like to open a Nandos Restaurant in Canada
please let me know the details for going about it

thanks

Jessica Naidoo's picture

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