The war on Wendy’s has begun in Australia, with an Australian chain of 120 outlets pitted against the American fast food giant with over 7,000 stores worldwide. While both chains sell fast food and are called Wendy’s, the Australian version specializes in ice cream while the American version is known for its square burgers.
The owner of the Australian Wendy’s store in Whyalla, South Australia, Dean Tully, has said that there cannot be two Wendy’s. Despite the American chain having a turnover of $3.1 billion in 2022, compared to its Australian rival’s revenue of $94.7 million, Wendy’s believes that Australia is a lucrative market for long-term growth and is planning to open hundreds of stores.
Wendy’s chief development officer, Abigail Pringle, has been holding online meetings with potential franchisee investors, with no set opening date or location yet. Wendy’s is keen to get the ball rolling as the Australian fast food market is expected to expand by 32% to $8.7 billion over the next five years, according to Euromonitor data.
Wendy’s is looking at a master franchisee model in Australia, meaning a partner company that would handle most of the Australian business.
While the two Wendy’s already peacefully coexist in New Zealand, where the Aussie chain operates as Wendy’s Supa Sundaes, trade mark law expert Professor Michael Handler from UNSW expects the two chains will come to an agreement to coexist in Australia. He believes that Australian consumers can differentiate the longstanding ice cream business from the big international burger chain, and there won’t be much confusion.»War on Wendy’s begins in Australia«