• Home
• /
• Business Technology Review

UAE’s Franchise Frenzy Era

Fuelling the F&B success stories in the UAE, global brands are expanding themselves within the country

THE UAE has emerged as a bustling hub for food and beverage (F&B) brands looking to expand their global footprint through franchising. With its vibrant economy, diverse population, and strategic location at the crossroads of Europe, Asia, and Africa, the UAE offers a lucrative market for F&B businesses seeking growth opportunities. This burgeoning trend has seen a surge in the number of international F&B outlets setting up shop in the country, catering to the increasingly discerning tastes of residents and tourists alike.

One of the key factors driving the proliferation of F&B franchises in the UAE is the country's status as a cosmopolitan melting pot, home to a diverse population representing numerous nationalities and cultures. This multicultural environment has created a dynamic culinary scene characterised by a rich tapestry of flavours and cuisines from around the world. As a result, there is a growing demand for dining options, ranging from casual eateries to fine-dining establishments, offering everything from traditional favourites to innovative culinary concepts.

Speaking about how the UAE's status as a tourist destination contributes to the appeal of establishing famous franchise locations, Alexandra Miller, Founder of EL&N London, said the UAE provides access to a diverse and international consumer base, opportunities for brand exposure and recognition, and partnerships with localised businesses to maximise visibility and sales.

"When we first opened the EL&N London branch in DIFC, Dubai, we were fortunate enough to already have a loyal customer base of tourists who had visited us in the UK, so the foundations for our brand exposure were already there. The high tourist footfall and International recognition allow us to evolve every day as a business and continuously expand our footprint across the country."

CATALYST FOR GROWTH

The UAE's strategic location as a global travel and business destination has further fuelled the expansion of F&B franchises in the country. With millions of visitors flocking to the UAE each year for business, tourism, and leisure, F&B brands see an opportunity to capitalise on the growing demand for dining experiences that are both convenient and memorable.

Additionally, the UAE's world-class infrastructure, modern retail spaces, and vibrant hospitality sector provide an ideal environment for F&B franchises to thrive and expand their operations.

Further, discussing factors that have contributed to the UAE becoming a preferred destination for renowned F&B establishments, Anastasia Kapinus, General Manager, PIMS Tea Dubai, said the UAE's emergence as a preferred destination for renowned F&B establishments can be attributed to several key factors.

"Firstly, the government's proactive measures to promote investment and facilitate business operations have created a conducive environment for entrepreneurs. Additionally, the country's strategic location, coupled with its world-class infrastructure and cosmopolitan culture, make it an ideal hub for international businesses. For PIMS, the UAE's reputation as a culinary hotspot presented an enticing opportunity to showcase our unique tea-based drinks to a discerning audience."

Highlighting the fusion of tradition and innovation with PIMS, where authentic Chinese tea meets the vibrant culinary landscape of Dubai, Kapinus explains the UAE's rich cultural landscape has played a significant role in the proliferation of famous F&B joints within its borders. "Dubai, in particular, boasts a diverse culinary scene that reflects the multicultural fabric of the city. PIMS has embraced this cultural diversity by offering a menu that celebrates both traditional Chinese tea-based drinks and locally inspired creations. In addition to our signature teas, we have introduced two exclusive beverages tailored specifically for the UAE market — Waterpassion and Karak Coffee. By blending authentic flavours with innovative twists, we have been able to appeal to a wide range of palates, further contributing to the vibrant F&B landscape of the UAE."

Another driving force behind the growth of F&B franchising in the UAE is the country's robust regulatory framework and business-friendly policies. The UAE government has implemented various initiatives to attract foreign investment and foster entrepreneurship, making it easier for F&B brands to enter the market and navigate the complexities of doing business in the region. Additionally, the UAE offers a stable political and economic environment, favourable tax policies, and streamlined procedures for setting up and operating businesses, further incentivizing F&B brands to establish a presence in the country.

According to Miller, hospitality is deeply ingrained in the UAE's cultural fabric, with a tradition of warm welcomes and generous hospitality. "We have prioritised delivering exceptional service whilst creating a memorable dining experience that aligns with the UAE’s hospitality ethos. Its cultural landscape, filled with diversity and innovation in the culinary and fashion industry has contributed to it becoming one of the most prestigious destinations in the world and naturally became top of our list to bring the EL&N brand to — it was a perfect fit!"

Looking ahead, the future of F&B franchising in the UAE appears promising, with continued growth and expansion expected in the years to come. As the country continues to position itself as a global hub for commerce, tourism, and innovation, the demand for diverse dining experiences is only expected to grow, presenting ample opportunities for F&B brands to thrive and succeed in this dynamic market. With its strategic advantages, supportive business environment, and insatiable appetite for culinary excellence, the UAE is poised to remain a leading destination for F&B franchising for the foreseeable future.

— anam@khaleejtimes.com