A new day has come for fast food lovers in Russia, with the old McDonald’s restaurants reopening with a new brand and ownership, more than three decades after its arrival.
Key points:
- McDonald’s has been very popular in Russia since the early 1990’s
- The international fast food chain is one of many Western companies that have left Russia for the invasion of Ukraine
- Old McDonald’s restaurants will reopen under a new property with a new name and brand
The relaunch is scheduled to begin on Russia Day, a patriotic holiday celebrating the country’s independence, at the same iconic site in Moscow’s Pushkin Square where McDonald’s first opened in the country in January 1990.
As the Soviet Union collapsed, McDonald’s came to embody a thaw in Cold War tensions and was a vehicle for millions of Russians to taste American food and culture.
The departure of the brand is now a powerful symbol of how Russia and the West are turning their backs.
McDonald’s said last month that it was selling its restaurants in Russia to one of its local licensors, Alexander Govor. The deal marks one of the most prominent business exits since the Russian invasion of Ukraine in February.
McDonalds was the first American fast food restaurant to enter the Soviet Union. (AP: Vicktor Yurchenko / File)
McDonald’s iconic golden bows have been demolished in places in Moscow and St. Petersburg, where they will give way to a new logo that includes two French fries and a burger on a green background. The reopening will initially cover 15 locations in Moscow and the surrounding region.
The name of the new chain remains a well-kept secret. A change in the name of the McDonald’s app on Friday in My Burger sparked some excitement online, but the chain’s press team said it was only temporary.
A slogan on the home page of the app said, “Some things are changing, but stable work has come to stay.”
Russian media, citing leaked images from the new menu, have reported changing the name of dishes such as fillet-o-fish for fish burger and chicken Mcnuggets for simply nuggets.
Will the Russians continue to love it?
The new owner of the former McDonald’s assets has said he plans to expand the brand to 1,000 locations across the country, reopening all of the chain’s restaurants in two months. But there may be some headwinds.
Peter Gabrielsson, a professor of international marketing at Vaasa University in Finland, said it took decades to build a brand and that the new launch would be crucial to the future success of the new chain.
“Opening day is important because it’s the first time consumers can really feel, touch and see the brand and what it stands for,” he said.
“It’s important what the reaction is, and obviously people will compare it to McDonald’s.”
McDonald’s, the world’s largest burger chain, owned 84% of its nearly 850 restaurants in Russia.
A burger and two french fries are on the logo of the new restaurant chain. (Reuters)
Oleg Paroev of McDonald’s Russia has said other franchisees will have the option to work with the new brand, but the traditional McDonald’s brand will leave the country. McDonald’s has said it will retain its trademarks.
McDonald’s last year generated about 9 percent of its revenue from Russia and Ukraine. McDonald’s has the right to buy its Russian restaurants within 15 years, but many terms of sale are still unclear.
Russian news agencies reported that McDonald’s would remain open as usual at Moscow and St. Petersburg airports and train stations until 2023, citing a source close to another franchisee.
ABC / Reuters