Ten years a go Highlands restaurant was one of the biggest chain of restaurants in town. In a span of one year they opened about three branches. They were expanding at a very fast pace. The restaurants served authentic African cuisine. I remember every morning taking hot porridge in a calabash, real African breakfast, at Corner House branch on Kimathi street. Indeed good old days. My question though, what exactly happened?
A few months back I tasked participants in my startup training workshop at Strathmore University to unpack the case of Highlands Restaurant. One of the participant was quick to note that she stopped going to Highlands after she was asked for money before the food was served, for her, this was a big turn off. This is not unique to Highlands but most Kenyan owned restaurants have no clue that a return customer is the true validation of business. We are driven by money and short term profits to an extent that we compromise the brand in the long run. Being consistent in creating value for the customer is everything in business.
On the other hand, Somali restaurants are taking Nairobi by storm. Why? About eight years ago a friend of mine took me for lunch at Pronto Restaurant on Standard street, that was the end of Highlands for me. Don't get me wrong, I am not saying the Somali Restaurants are perfect since there were times when I dint like the food and the service but at least their consistent in creating value for customers is above most of the Kenyan owned restaurant.
@Absalom Alila @Nick Gicheru @Amos Chege Kirongo @Abdifarah Haji @Mr Gilbert Waliuba Nakiboli @robert yawe @Meryl Festoh @Mugu Macharia @Carrie Kaumbulu @Bomet S. Brian @Elizabeth Waithaka @Kennedy Mumo @Bancy Ngatia @Billcountry Mwaniki @Eve Nyasha @Gladys N. Gatiba @Flora Josephine @Reality Cheque @Liwali Kivumanyuki @Kimeu Faith @Liz Kitua
It happens more when there is a change in management without culture transfer
Some years ago a bank in the US increased customer growth by removing the chains from the pens they provide on the counters and instead replaced them with a bowl full of branded pens. Their marketing slogan for something to the effect of "we trust our customers".
This strategy would work like magic in our current environment where banks don't trust those who have trusted them with their money.
On the issue of Highlands, its inability to scale has been caused by the fact that it is run by a real life "Mbugua" which is typical of most african business people. Look at Kosewe who remains with a single outlet over 30 years since he started business.
Creating value for our customers. For sure we need to up our game as business people.
Ha