Breaking into the U.S: Yoshinoya

The U.S. is known for catering to every type of cuisine imaginable. It’s one of the reasons why foreign restaurants are so keen to break into the market. Japanese food has become particularly popular and that’s a good sign of Yoshinoya. Yoshinoya is a bowl-based restaurant that offers a wide selection of traditional Japanese proteins and vegetables. Bowl based cuisine is extremely popular right now, which puts this restaurant in a strong position to secure more U.S. customers. Let’s find out if they are ready for a breakout year.

Yoshinoya may look like a recently designed concept, yet the company has been around for over 100 years. The company started in 1899 in Tokyo and like any good restaurant, the concept stemmed from a need to feed hungry people. The company’s founder, Eikichi Matsuda visited the fish market every day and saw hungry fisherman who were too busy to stop and eat. His solution was to create rice bowls that were served hot and served quickly at an affordable price. These fishermen were the first customers, and it was an instant success. It didn’t take long for word to spread and the company expanded. Yoshinoya even overcame early hardships as their original restaurant was destroyed in the Great Kanto Earthquake of 1923. Demand was so high that the company had to open a new restaurant nearby following the disaster. By 1977 it had reached 100 restaurants in Japan and international expansion was their next stop.

In 1979 the first American Yoshinoya opened in Los Angeles. International expansion was a success and by 2001 they had reached 1,000 locations worldwide. Not everything went smoothly in the U.S. though. By 2010 the company saw declining sales and traffic. This continued for five years and then it turned around in 2015. This turnround allowed the company to upgrade their existing stores and open new locations in California. In 2016 they reached their 2,000 worldwide stores milestone. That same year they leaned into the bowl craze in the U.S. by rebranding.

Despite existing in the U.S. for over fifty years, expansion has been slow, and their stores have not left California. The company is now entering a new period of growth, and they are working on expansion plans that will bring Yoshinoya to other states. California is a populous state, yet it is only a fraction of the U.S. market. The company has a concept that works and bowls are still an incredibly popular choice for consumers in the fast causal restaurant space.

Time will tell if Yoshinoya will make an impact with the rest of the U.S. has been very thoughtful about its expansion, and it has kept them from overextending. The restaurant industry is still in a place of recovery, yet Yoshinoya is in an advantageous position with a popular product and over a century of experience driving them.