Bureks vs. Big Macs

Bureks vs. Big Macs
A new McDonald's recently opened in the Serbian city of Subotica. / McDonalds
By bne IntelliNews December 15, 2024

The Western Balkans is one of the only parts of Europe where there are countries without a McDonalds. Of the five countries, only Serbia has the popular fast food chain, with outlets in cities including Belgrade, Novi Sad and Kragujevac. 

This is mostly put down to the lack of local franchise companies as well as the relatively low incomes of the populations and small market sizes compared to other parts of Europe – not to mention thriving local fast food scenes. But while McDonalds may be absent, other international fast food chains have recently been ramping up their presence in the region. 

Yet as incomes gradually rise, with the region catching up with its peers in Central Europe and the EU members of Southeast Europe, it is becoming more attractive for international chains.

Among them is Balkan Foods, which has signed a franchise agreement to introduce Popeyes, the US fast-food chain known for its spicy fried chicken, to Kosovo later this year. Following its initial launch, Balkan Foods plans to expand Popeyes into Albania, Bosnia & Herzegovina and Montenegro. 

Popeyes, established in 1972, is known for its menu featuring spicy fried chicken. The brand has been owned by Canada’s Restaurant Brands International since 2017. Balkan Foods, operating since 2017, already manages Burger King outlets in Albania, Bosnia, Bulgaria, Kosovo and Montenegro, making Popeyes a strategic addition to its regional portfolio.

Taco Bell, another American fast-food giant well known for its Mexican-inspired menu, is also being rolled out in the region. Taco Bell, part of Yum! Brands alongside KFC and Pizza Hut, operates in over 30 countries globally. 

The chain debuted in Bosnia in October, in its first move into the area. Franchise rights for Taco Bell in Bosnia and eight neighbouring countries are held by Sarajevo-based Tastra Bell, is now expanding to Serbia. Its Serbian branch is reportedly planning initial outlets at Belgrade Waterfront and other prominent locations.

Another newcomer to the region is Canada-based Firehouse Subs. The brand announced plans to open its first location in Albania’s Tirana East Gate shopping mall. This expansion follows a franchise agreement between Restaurant Brands International and Kosovo-based Balkan Foods, which aims to establish Firehouse Subs outlets in both Kosovo and Albania.

While international chains like KFC, Burger King and Popeyes are expanding, McDonald’s remains conspicuously absent in much of the Western Balkans. The chain has never entered Albania or Kosovo due to the lack of franchise operators. In Bosnia, Montenegro and North Macedonia, it opened outlets only to later withdraw.

In North Macedonia, McDonald’s entered in 1997 and eventually expanded to seven locations, employing 200 people. However, in 2013, it abruptly closed all operations when its franchisee lost its licence. The reasons remain unclear. In Montenegro, McDonald’s launched a mobile outlet in Podgorica in 2003 but ceased operations after just three months.

McDonald’s exited Bosnia in 2023 after revoking its franchisee’s licence amid various controversies. The Sarajevo-based franchisee, Gliese 581g, was involved in disputes over unpaid rent to Raiffeisen Bank and alleged involvement in a political campaign. Despite its challenges, McDonald’s in Bosnia had generated significant revenues, reaching €9.1mn in 2022. The chain’s departure left room for competitors like Burger King, which announced its entry into the Bosnian market shortly afterwards.

Despite the growing presence of international chains, local fast food remains a cultural staple across the region. According to bne IntelliNews’ Belgrade correspondent, while American fast-food chains such as McDonald’s and KFC are popular, they will never replace local fast food. “Serbs will always prefer a RSD400 (€3.42) pleskavica (Serbian burger) over a RSD1,000 Big Tasty.

“In Serbia, there is an abundance of cheap, locally produced street food,” she added. “Local street food is not particularly healthy, but it is cheap, delicious and locally produced.”

It’s a similar story in North Macedonia, where bne IntelliNews’ Skopje correspondent explains: “Fast food is very popular in North Macedonia, with many local and international brands offering a variety of options. These range from traditional foods like kebabs and burek to international favourites such as KFC's chicken and Burger King's flame-grilled burgers.” 

However, she added, “Even with big international names, people in North Macedonia often prefer local food.”

Local fast-food outlets are thriving and some of the largest chains are now pursuing international expansion. 

A favourite in the Serbian capital is Bucko, which sells large pizza slices smeared with a creamy chicken salad for less than RSD200. North Macedonia’s has produced 7FastFood, with several outlets serving burgers and sandwiches, as well as Silbo, a popular bakery known for its many types of pastries. 

Heb’s Fried Chicken, with multiple outlets in Kosovo, has now launched in the Albanian capital Tirana and plans further outlets in Dhërmi and the Blloku area. The chain is known for its spicy wings and chicken burgers. 

Conversely, Albanian chain Bana's opened its first location in Pristina, Kosovo, in mid-2024. Its growth plans include further expansion in Albania and beyond, with Germany identified as a key target for its European growth.

Contributions from Valentina Dimitrievska in Skopje, Tatyana Kekic in Belgrade and Clare Nuttall in Glasgow. 

Features

Dismiss