The Burger Wars are Here! Wendy's Channelling the Heat in its Market Debut

The Burger Wars have officially arrived in Australia as the third-largest burger chain in the world, Wendy's, has inked a franchise deal to open 200 outlets around the country.

Earlier this year, when news broke of the American fast food giant’s plans to pop up Down Under, Australian fast food pioneer and Hungry Jack’s founder Jack Cowin was sceptical.


‘They don't realise that labour rates in our industry here are well over AUD20 an hour, where it's still USD7.25 (AUD11.15) an hour in the US, so that's a big adjustment, and the property prices for restaurant uses are considerably higher here too,’ Mr Cowin said.


photo_2023-08-15_10-06-55.jpg
The American fast food giant Wendy’s, is set to arrive in Australia by 2025. But Hungry Jack founder Jack Cowin is sceptical. Image source: Eat This, Not That!/Meaghan Cameron.


He pointed out in the Australian Financial Review that many companies don’t realise the big differences between the US and Australia.

But Wendy’s isn’t backing down. President and Chief Development Officer Abigail Pringle fired back–she took Mr Cowin’s comments as 'flattery' and promised that the burger lovers of Australia would be 'cooking up an experience that others can’t and where frankly others may have let them down'.

However, is there room for Wendy’s in a market already dominated by McDonald’s? Data from Roy Morgan in 2020 shows McDonald’s clear lead in the Australian fast food market with an average of eight million diners a month–more than twice as many diners as Hungry Jack's and a million more than KFC.

Add to this the local success of Grill’d, with over 160 restaurants across the country, and Betty’s Burgers, with plans to add another 100 to their existing 50.


Grill’d founder Simon Crowe doubts the American Giant's impact in Australia. He told reporters in March that companies coming here often underestimate the Australian consumer.

Nonetheless, Pringle claims that the Australian burger market is 'ripe for disruption' and vows to deliver on quality despite an 'affordable price'.

'Don't you want a great quality experience, fresh ingredients, Australian ingredients, and you want it at an affordable price?' Pringle said.

She added, 'We don't cut corners. That's why our hamburgers are square.'


Wendy’s opened its first Australian store in Melbourne in 1982 and had 11 locations before collapsing in 1985 with $8 million in debt. That debt was then picked up by Mr. Cowin for just $2 million before the opening of his Hungry Jack’s empire.

Now the American Chain is set for a return, with Pringle predicting that Australians will eat their first square burgers sometime in 2025.


photo_2023-08-15_10-06-55 (2).jpg
Will Wendy’s survive the Australian market this time around? Image source: flickr.


But will Wendy’s make a lasting mark on the Australian market, or will the venture simply fade away into the annals of fast food history?

Key Takeaways
  • Wendy's, the third-largest burger chain behind McDonald’s and KFC, is planning to enter the Australian market with a plan to establish 200 outlets across the country.
  • Founder of Hungry Jack's, Jack Cowin, has expressed scepticism towards entering American franchises like Wendy's due to higher labour and property costs in Australia.
  • Wendy's President and Chief Development Officer, Abigail Pringle, has responded, saying that Wendy's intends to give Australians an experience other chains can't provide.
  • Despite heavy competition from both foreign and domestic chains, including McDonald's and Hungry Jack's, Pringle believes that the Australian burger market is 'ripe for disruption'.

Stay tuned for more updates, in the meantime, let us know your thoughts in the comments below!
 
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Looking forward to trying their fare providing of course they open one in Brisbane somewhere.
 
If they deliver, as promised, fresh patties - not frozen - then I'll give them a try. Have to hope that they have done their costing though. As mentioned our wages, at double that of the US and currently the highest in the world, are not the only consideration. Property rental, inflated costs for the raw ingredients, energy cost - gas & electricity, I could go on but I won't. I hope that if they do try they don't fall into the black hole that so many others have. Not so much for their sake as that of all the young hopefuls that will be employed 🤔
 
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I'm just curious, there used to be a 'Wendy's' shop some time ago that had Ice Creams. Do you know if this is the same mob?
 
  • Like
Reactions: Ezzy
The Burger Wars have officially arrived in Australia as the third-largest burger chain in the world, Wendy's, has inked a franchise deal to open 200 outlets around the country.

Earlier this year, when news broke of the American fast food giant’s plans to pop up Down Under, Australian fast food pioneer and Hungry Jack’s founder Jack Cowin was sceptical.


‘They don't realise that labour rates in our industry here are well over AUD20 an hour, where it's still USD7.25 (AUD11.15) an hour in the US, so that's a big adjustment, and the property prices for restaurant uses are considerably higher here too,’ Mr Cowin said.


View attachment 27465
The American fast food giant Wendy’s, is set to arrive in Australia by 2025. But Hungry Jack founder Jack Cowin is sceptical. Image source: Eat This, Not That!/Meaghan Cameron.


He pointed out in the Australian Financial Review that many companies don’t realise the big differences between the US and Australia.

But Wendy’s isn’t backing down. President and Chief Development Officer Abigail Pringle fired back–she took Mr Cowin’s comments as 'flattery' and promised that the burger lovers of Australia would be 'cooking up an experience that others can’t and where frankly others may have let them down'.

However, is there room for Wendy’s in a market already dominated by McDonald’s? Data from Roy Morgan in 2020 shows McDonald’s clear lead in the Australian fast food market with an average of eight million diners a month–more than twice as many diners as Hungry Jack's and a million more than KFC.

Add to this the local success of Grill’d, with over 160 restaurants across the country, and Betty’s Burgers, with plans to add another 100 to their existing 50.


Grill’d founder Simon Crowe doubts the American Giant's impact in Australia. He told reporters in March that companies coming here often underestimate the Australian consumer.

Nonetheless, Pringle claims that the Australian burger market is 'ripe for disruption' and vows to deliver on quality despite an 'affordable price'.

'Don't you want a great quality experience, fresh ingredients, Australian ingredients, and you want it at an affordable price?' Pringle said.

She added, 'We don't cut corners. That's why our hamburgers are square.'


Wendy’s opened its first Australian store in Melbourne in 1982 and had 11 locations before collapsing in 1985 with $8 million in debt. That debt was then picked up by Mr. Cowin for just $2 million before the opening of his Hungry Jack’s empire.

Now the American Chain is set for a return, with Pringle predicting that Australians will eat their first square burgers sometime in 2025.


View attachment 27466
Will Wendy’s survive the Australian market this time around? Image source: flickr.


But will Wendy’s make a lasting mark on the Australian market, or will the venture simply fade away into the annals of fast food history?

Key Takeaways

  • Wendy's, the third-largest burger chain behind McDonald’s and KFC, is planning to enter the Australian market with a plan to establish 200 outlets across the country.
  • Founder of Hungry Jack's, Jack Cowin, has expressed scepticism towards entering American franchises like Wendy's due to higher labour and property costs in Australia.
  • Wendy's President and Chief Development Officer, Abigail Pringle, has responded, saying that Wendy's intends to give Australians an experience other chains can't provide.
  • Despite heavy competition from both foreign and domestic chains, including McDonald's and Hungry Jack's, Pringle believes that the Australian burger market is 'ripe for disruption'.

Stay tuned for more updates, in the meantime, let us know your thoughts in the comments below!
I remember when a HamBurger was so full of meat you had to eat half of it before you got to the toasted bun. Bring back the milk bar.
 
  • Like
Reactions: Ezzy
The Burger Wars have officially arrived in Australia as the third-largest burger chain in the world, Wendy's, has inked a franchise deal to open 200 outlets around the country.

Earlier this year, when news broke of the American fast food giant’s plans to pop up Down Under, Australian fast food pioneer and Hungry Jack’s founder Jack Cowin was sceptical.


‘They don't realise that labour rates in our industry here are well over AUD20 an hour, where it's still USD7.25 (AUD11.15) an hour in the US, so that's a big adjustment, and the property prices for restaurant uses are considerably higher here too,’ Mr Cowin said.


View attachment 27465
The American fast food giant Wendy’s, is set to arrive in Australia by 2025. But Hungry Jack founder Jack Cowin is sceptical. Image source: Eat This, Not That!/Meaghan Cameron.


He pointed out in the Australian Financial Review that many companies don’t realise the big differences between the US and Australia.

But Wendy’s isn’t backing down. President and Chief Development Officer Abigail Pringle fired back–she took Mr Cowin’s comments as 'flattery' and promised that the burger lovers of Australia would be 'cooking up an experience that others can’t and where frankly others may have let them down'.

However, is there room for Wendy’s in a market already dominated by McDonald’s? Data from Roy Morgan in 2020 shows McDonald’s clear lead in the Australian fast food market with an average of eight million diners a month–more than twice as many diners as Hungry Jack's and a million more than KFC.

Add to this the local success of Grill’d, with over 160 restaurants across the country, and Betty’s Burgers, with plans to add another 100 to their existing 50.


Grill’d founder Simon Crowe doubts the American Giant's impact in Australia. He told reporters in March that companies coming here often underestimate the Australian consumer.

Nonetheless, Pringle claims that the Australian burger market is 'ripe for disruption' and vows to deliver on quality despite an 'affordable price'.

'Don't you want a great quality experience, fresh ingredients, Australian ingredients, and you want it at an affordable price?' Pringle said.

She added, 'We don't cut corners. That's why our hamburgers are square.'


Wendy’s opened its first Australian store in Melbourne in 1982 and had 11 locations before collapsing in 1985 with $8 million in debt. That debt was then picked up by Mr. Cowin for just $2 million before the opening of his Hungry Jack’s empire.

Now the American Chain is set for a return, with Pringle predicting that Australians will eat their first square burgers sometime in 2025.


View attachment 27466
Will Wendy’s survive the Australian market this time around? Image source: flickr.


But will Wendy’s make a lasting mark on the Australian market, or will the venture simply fade away into the annals of fast food history?

Key Takeaways

  • Wendy's, the third-largest burger chain behind McDonald’s and KFC, is planning to enter the Australian market with a plan to establish 200 outlets across the country.
  • Founder of Hungry Jack's, Jack Cowin, has expressed scepticism towards entering American franchises like Wendy's due to higher labour and property costs in Australia.
  • Wendy's President and Chief Development Officer, Abigail Pringle, has responded, saying that Wendy's intends to give Australians an experience other chains can't provide.
  • Despite heavy competition from both foreign and domestic chains, including McDonald's and Hungry Jack's, Pringle believes that the Australian burger market is 'ripe for disruption'.

Stay tuned for more updates, in the meantime, let us know your thoughts in the comments below!
 

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