The Rs 140-crore (Rs 1.4 billion) catering company Radhakrishna Hospitality Services branched out into retailing fast food in 2000 when it set up its first outlet at the Mumbai Central railways station.
Now the company that supplies meals to hospitals, oil rigs and BPOs aspires to strengthen its Desi Deli fast food brand through the highways.
Radhakrishna Hospitality's vice president (strategy & business development) Jude D'Cruz, says that the company will expand in a big way once the golden quadrilateral and the east-west corridor start operating.
The company plans to promote Desi Deli as a travel brand. D'Cruz, however, adds that the focus is on getting the product right. "We may wait another two-three years before we really expand."
The reason for caution could also be because the Mumbai Central joint has recently achieved breakeven "and we are still far from achieving a sense of profitability," says D'Cruz.
One of the biggest reasons for slowing down growth was the 2003 bomb blast that occurred at the station.
However, today nearly 2,000 people a day visit Desi Deli and the McDonald's counter next door.
Desi Deli offers Indian dishes the global way -- that is, serving them quickly and hygienically. "The idea was to serve hygienic, tasty and value-for-money food, available in a mall-like ambience."
The outlet sells north and south Indian meals and boasts of a Jain section that prepares cuisines without onion and garlic. Says Pravin Gupta, head, business development (travel): "The food is pre-packed in our central kitchens at Andheri and Jogeshwari. This is to avoid the hazards of cooking at the outlet."
The outlet started in October 2000 when the Indian Railway Catering and Tourism Corporation invited bids for setting up a food plaza at Mumbai Central. Radhakrishna Hospitality invested Rs 1 crore (Rs 10 million) in setting up the outlet.
