MW Eat is looking to expand its Masala Zone concept, with a view to branch outside London in the next three years, chairman Ranjit Mathrani tells MCA.
The Indian restaurant group operates four concepts: fine dining venues Veeraswamy, Chutney Mary, and Amaya, along with four informal dining restaurants under the Masala Zone brand.
“We’re looking at larger format restaurants in relatively densely populated areas,” Mathrani says. “We’ll look at cosmopolitan cities depending on sites of the right size, scale, and demand to sustain a seven-day operation.
“We’re looking for a reasonably sophisticated customer base rather than focusing on a region. We’re guided by the nature of demographics.”
The group’s seven restaurants are all in central London and known for their pan-Indian offer and rich interior design.
“Masala Zone is the logical vehicle for expansion outside London,” Mathrani adds. “It’s got a high level of recognition.
“We do not see potential for another Veeraswamy or Chutney Mary anywhere else in Britain, so those would remain single-site concepts in this country – but we could possible do something abroad.”
With regard to bringing new brands under the MW Eat umbrella, he says “not in this economic environment” – although a QSR version of Masala Zone may work as a sub-brand.
While revenues are up owing to price rises, post-Covid trading patterns in central London mean covers are still below pre-pandemic levels, he reveals.
Weekday lunch is “the biggest blip” – due to work from home – but dinner remains strong, along with weekend lunch.
The challenge is very much the bottom line rather than the top, according to Mathrani.
“Our energy contracts were up in April 2022, so we were the first to be impacted,” he says. “Then there was the massive shock of labour shortage.”
Most venues are staffed by students – resulting in higher turnover and training costs – but back-of-house operations have been comparatively unaffected.
“We were already constrained as all our kitchen staff our specialised chefs from India.”
The portfolio, however, is diversified through its different concepts.
“The distinguishing feature about us is that we have fine dining as well as informal, although upmarket,” Mathrani adds.
Each fine dining venue has subtle differentiation, with Veeraswamy offering more sharing dishes than Chutney Mary and Amaya designed as a grill-focused concept.
“Chutney Mary was revolutionary at the time, with its motto of real Indian food combined with visual ambience and cultural integrity. It’s a grand restaurant and very successful.
“We had the opportunity to buy Veeraswamy later. It was on its last legs and had lost its lustre over the years [following establishment in 1926]. We refurbished, rebranded, and established it as a major fine dining restaurant.
“Masala Zone was born from a passion of bringing affordable, real Indian food as an alternative to curry houses. We brought in the street food menu and thalis, combining public eating and eating at home.
“It was again revolutionary at the time when we opened in 2000.”
