Does Chick-Fil-A Have International Restaurant Locations?

Although we often think of fast food chains as aggressive expanders ready to capitalize on even the smallest market opportunity, Chick-fil-A has been a surprising holdout in that regard. That is, until the announcement last year that Chick-fil-A would be investing $1 billion in international markets. The restaurant chain currently has locations in the U.S., Puerto Rico, and Canada, but the company just announced its expansion into the U.K.

Over a two year span, Chick-fil-A plans on opening five new locations across the United Kingdom, according to a press release. Where those locations will be exactly has not yet been announced, but Chick-fil-A operates as a franchise, so no doubt there are thousands of hopeful candidates in Belfast, Leeds, Liverpool, and London vying to be picked for the project. Americans' love for the fast food chain may or may not translate at full force to U.K. appetites, but Chick-fil-A's menu is full of delicious chicken offerings that keep American locations constantly in demand; so, prospects are good.

An interesting thing to note here is that Chick-fil-A announced that it plans to invest $100 million in the U.K. over the next 10 years, which is a substantial sum — but it still only accounts for 10% of the previously announced $1 billion. So, we wouldn't be out of line for assuming that expansion into other countries might be announced in the coming weeks or months. Whether those locations will be focused on similar European markets remains to be seen, but China and India are other possibilities.

It's an interesting time for fast food expansion projects

Fast food prices have been outpacing national inflation averages for years now, and consumer demand has dropped in recent months because of it. And yet, fast food companies have almost unanimously announced major expansion projects like the one Chick-fil-A is currently engaged in. Jack in the Box announced its plans to open 120 new locations by 2027, Popeyes plans on opening 800 new locations by 2028, and Taco Bell recently announced its intention to continue its global expansion, just to name a few examples.

A heavy emphasis on expansion would certainly suggest that these companies are feeling financially confident, as there are risks of overleveraging with big expansion projects like this. Chick-fil-A only has 3,000 locations nationwide, a relatively small number compared to other fast food chains, which is arguably one of its greatest assets. People are willing to go out of their way to travel to the nearest Chick-fil-A because the food is so good, and capitalizing on that market demand through lower overhead costs is no small part of how Chick-fil-A has become the third most successful fast food chain in the country.

International expansion is a great way to enter new markets without diminishing the profitability of existing stores. It's infamously difficult to get approved for a new Chick-fil-A franchise because the company is so meticulous about maintaining an optimal market saturation. Going international provides obvious benefits while diminishing the cost to existing infrastructure.