Ruby Tuesday made its big splash during the 1982 World’s Fair international culture fest, so it seems fitting that its next frontier lies across the pond. The Maryville-based casual dining restaurant chain says its global franchising efforts, which began in 1997, account for about 6% of its 880 restaurants. This is a fraction of Ruby Tuesday’s total annual revenue, which was $338.7 million for the first quarter 2006. The company’s $45 million domestic foray into heavy television advertising to compete with bar-and-grill giants Applebee’s and Chili’s has finally started to generate some positive returns with revenue up 9.9% last year. So why bother growing globally? Simple: It makes good business sense. “[It’s] all about partnering with franchisees that have the same principles. We’re looking for that as opposed to specific markets,� says Mark Ingram, Ruby Tuesday’s president of franchising. His moderate goal of opening 10 new restaurants annually (having just added Saudi Arabia) is in line with corporate’s careful, cautious nature. The challenges in going international vary depending on the country and culture. Ruby Tuesdays can be found in 16 countries with the most stores in India and Chile. “Ruby Tuesday is an ethnic restaurant in their country. People go there to have an ethnic experience of simple American dining,� Ingram says. As its U.S. restaurants continue to roll out its new steak entrees to the menu, some franchisees may limit inventory in countries where beef consumption is not culturally acceptable. Nonetheless, Ingram’s team strives to keep all the stores’ branding and menu, foreign and domestic, consistent across the globe.
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