Kathmandu’s own Hard Rock

International chain of restaurants based in London, the Hard Rock Cafe opened its first branch  in Nepal in Darbarmarg on Wednesday 3 November, coinciding with the Tihar festival.

Nepali Times caught up with Malcolm Chao, vice president for Asia-Pacific at Hard Rock Cafe International, who spoke about Hard Rock’s motivation to start in Nepal, home-grown competition and its customised menu to suit the Nepali palate.

Nepali Times: Many international chain restaurants haven’t ventured in Nepal citing the limited purchasing power of people here. What motivated Hard Rock?

Malcolm Chao: Kathmandu is one of the most exotic places in the world, I was here in January 2020 to look at the site, and I spoke at great length with our Nepali partners. There were many challenges – for example, a lot of produce is not locally available, and we have to import many ingredients. But we remained confident that we could overcome these and that's how the journey started.

When I was working in China in the late 90s, people used to tell me, “Don’t bring American brands here, the people don’t have the spending power, you won’t be able to compete with the local cuisine”. But you’d be surprised at the number of people who want to gain new experiences and a sense of belonging, even when it is expensive.

One thing about the Hard Rock brand is that it's not just a restaurant. We provide a holistic experience, from retail to excellent dining service. I’ve tried the food myself and am very encouraged by the chefs.

Further, many aspiring musicians covet the Hard Rock stage where they will have the chance to share the lights with the likes of Eric Clapton. This is also an opportunity for musicians in Nepal. Hard Rock wants to be the heart of the music that surrounds Kathmandu Valley.

I believe that Nepal is perfect for international brands because people here want to try new things and yearn for exciting life experiences. And with the Hard Rock Cafe, we have taken a very big step to encourage other big brands to come here as well.

How is Hard Rock planning to address the competition with homegrown brands that have already made a name in the market in terms of both pricing and taste?

The Hard Rock Cafe has been around for 50 years, and the brand speaks for itself. The local competition will never go away, but we are confident that the unique selling points of the cafe and the fact that it's already a well-known brand across the world will be more than enough to attract customers. The brand, along with the excellent dining experience, surpasses the ‘mom-and-pop’ attraction that many of the local restaurants are bound to have.

Of course, while we want to try to be as competitive as possible, we must also account for the quality customers are getting. Everything here we have planned ourselves: the ribs are imported from Denmark, we bake our own fresh bread, and we don't get run-of-the-mill produce just to reduce our prices.

When you come with friends of family for a party, the Hard Rock experience might seem slightly more expensive than your average night out, but it will be a memorable one. The perceived value of Hard Rock is worth the price you pay.

And part of the competition is also that we would never sell anything that's extremely localised. This only invites comparisons that may confuse the customer as to what the concept of the restaurant really is. While we start out, we will integrate a core menu that includes the famous burgers, the ribs, and other things that are central to the Hard Rock Cafe experience. We will also look at a possibility for a short menu filled with local favorites, as we have done in Singapore and Malaysia.

Will the menu be adapted to suit local taste and culture?

It is very important that we stay true to the local culture here, which we want to embrace and integrate into our international brand. Rather than forcing an international brand into a culture that has existed for thousands of years, we want to try our best to accommodate while also retaining the important parts of what makes us the Hard Rock Cafe.

Are there any plans to expand to other cities in Nepal?

Expansion is always a possibility. But first, from a business perspective, we want to make sure that we create a sustainable business in Kathmandu since it’s the capital, and everyone channels through here. We want to establish ourselves here before we can look at more locations. You don't want to rush to open something while it is not economically viable.There has to be a balance between timing and finding a good location. But we definitely want to reach more locations here.

What should Nepal look forward to the most?

Nepal is still new to international brands, and everyone wants to take the safe route for their business. But again, with the Hard Rock Cafe, we believe that we have taken a big step by setting a precedent for other international brands to come here.

The Hard Rock brand and one of its mottos “All is one” speak for themselves. The first Hard Rock Cafe was built in 1971 in London to bring together people from all walks of life, and it is the mission we continue to uphold. We will also be introducing a very different modern lifestyle to the people in the city and taking it to the next level.

The brand is not just any restaurant or place of work. Everyone is part of the Hard Rock family.  In fact, a general manager in our restaurant in Singapore has been with us for 32 years. I think Nepal can look forward to this and having the Hard Rock brand in Kathmandu.