In an October interview, Haidilao’s chief strategy officer, Zhou Zhaocheng, said the company sees room to grow by offering customers diverse choices, better service and by creating new experiences for them.
So far it has kept Chinese consumers loyal by making their visits more fun. Its outlets provide free board games, shoe-polishing and manicure services for those waiting. Diners can watch a Sichuan Opera show or even a noodle dance where staffers twirl lengthy ribbons of noodle.
In October last year, one of Haidilao’s restaurants began introducing robots to take orders, and deliver raw meat and vegetables to customers to cook in the simmering pots of soups placed at their tables.
Zhang, a former welder at a tractor factory, founded Haidilao with friends in 1994. It went public last year.
He and his wife, both Singaporean citizens, now had a net worth of $13.6 billion as of Monday. That includes their holdings in Haidilao’s seasonings and sauce arm, Yihai International Holding Ltd., which has seen its shares rise more than 90 percent this year. The couple holds about 58 percent of Haidilao.
Now, Haidilao and other Chinese hotpot brands are attempting to expand overseas. Little Sheep, a hotpot chain owned by Yum China Holdings Inc., opened its first overseas branch in Los Angeles in 2003.
"With the rise in Chinese outbound tourism and growing appreciation for China’s hotpot culture, we are excited about accelerating the expansion of Little Sheep globally," Joey Wat, the chief executive officer of Yum China, said in November.
Little Sheep now has over 60 restaurants worldwide. That gives it a greater overseas presence than Haidilao, which had 36 stores outside China at the end of last year.
“Haidilao was able to cut through the clutter of various Chinese hotpot operators through their exceptional service,” said Jack Chuang, a partner at OC&C Strategy Consultants. "Whether Western customers will embrace hotpot – it is a big open question."
This article was provided by Bloomberg News.