M.A.K. Halal targets UK’s untapped fast-food market
Of the more than 48,000 fast-food restaurants in the UK, only 485 are halal-certified.
M.A.K. Halal is banking on the UK’s 3.9 million Muslim population to drive the demand for halal-certified products and services, eventually boosting its franchise expansion plans.
The company wants to find the most economical sites for its franchise branches as it tries to fill the widening market gap for halal-certified fast-food, Abdulwahab Omar, CEO and co-founder at M.A.K. Halal, told QSR Media.
“Anyone can pay top rates for a high street location, but the business case often can’t be made,” he said. “It’s about finding a balance and making sure our franchisees don’t work just for their landlord, yet the location is prominent enough to attract footfall.”
“Evaluating this carefully before committing to new units is critical,” he added.
Omar said they are open to expanding internationally once they find the right investor or operator. The brand has 13 restaurants, most run by multi-unit franchisees.
British Muslims, which contribute £31b to the economy annually, have limited options when it comes to halal food.
There are only 485 halal-certified restaurants in the UK, according to nonprofit group Halal Monitoring Committee. The UK has more than 48,000 fast-food chains, research firm IBISWorld said in a separate report.
Omar said M.A.K. Halal, which sells burgers, pizzas, wraps, and a variety of sides, has extensive menu choices, some of which consumers won’t find in fast-food restaurants that focus on burgers or chicken.
“Children and the younger generation particularly like the sheer variety on our menu,” he said. “They can enjoy a burger or grilled chicken or beef or breakfast any time of the day.”
The entry cost of an M.A.K. Halal burger is £1.99, whilst pizzas are £5.49.
Omar said franchise owners need to balance costs with value amidst a tough business environment.
“Rising costs plus minimum wage increases and changes to employers’ National Insurance contributions are creating a challenging macroeconomic environment,” he said. “There is only so much squeeze a supply chain can take. We focus on maintaining value for our customers, continuing to provide great service and a quality product and also by being trendsetters.”
Labour costs are expected to rise 10%, whilst rents in prime locations like Central London increased 14.2% in the third quarter of 2024, according to Savills.
Omar said their strategy involves not only updating menus and identifying market gaps but also leveraging social media to drive foot traffic. “It means our shops are always busy and this is half the battle.”
He said the success of a business comes down to working with the right people who are committed to the brand.
M.A.K. Halal has set up an information technology platform for franchisees and is working with specialist franchise consultants to support its expansion. It also recently bought new equipment so it can complete its chicken marination in-house.
The company will also have a booth at the upcoming International Franchise Exhibition in London, happening on 11 and 12 April to boost marketing. “This year, we are really aiming for further growth through franchising,” Omar said.