China’s most popular hotpot restaurant chain

Diners at Xiabu Xiabu savour the taste of this warming favourite that combines tradition with the speed of fast food. With more than 300 branches across Beijing and Tianjin, its contemporary design, pristine eating environment, and modern twist on a Chinese staple, have made it a hit with people looking for an affordable, convenient meal. And it is a particular favourite of young women, who prefer healthy hotpot to fried junk food.

China’s restaurant market, worth US$170bn in 2007, has grown at 17-18% a year as people choose to eat out more often. But although the urban Chinese have more spending power, work and family demands mean they have less time to cook, which has led to an appetite for American and Asian fast food. Xiabu has benefited from these trends and has expanded rapidly, rolling out restaurants in office blocks and shopping centres.

Xiabu pioneered the individual, bar-style hotpot format: so rather than sharing from a traditional communal hotpot, diners can create and enjoy their own dish. All stock, vegetables and meat are prepared in a central kitchen in Beijing and transported to each store daily, ensuring consistent food quality, hygiene and freshness.  

Fast food: fast growth

Xiabu opened its first branch in 1998 and when Actis took over the controlling share in 2008 it had 60 restaurants, mainly in Beijing and Tianjin. The original goal was to triple this number over the following three years, but by the end of 2011, the chain included 155 outlets and had grown to become one of the largest quick service restaurant chains (in terms of number of stores) in the capital, just behind Yum! which operates KFC and Pizza Hut, and McDonald’s. It was also ranked as one of the top ten most famous brands in Beijing. 

The healthy option

As well as continuing to expand the chain, we’ve also introduced and worked with the board’s Quality Assurance Director to uphold international standards of health and safety. Opened in May 2011, Xiabu’s new central kitchen not just standardises operations and serves more restaurants, but also complies with HACCP and ISO 22000 guidelines, ensuring food hygiene and the use of pesticide-free vegetables across the chain.