Tantalizers eyes entertainment after fishery foray in battle for market share

Tantalizers Plc, one of Nigeria’s fast-food restaurants, is on course to tap into the fishery and entertainment industries to generate additional revenue of N18 billion this year.

The move was disclosed by Robert Speijer, the company’s group managing director, during the ‘Facts Behind the Figures’ presentation at the Nigerian Exchange Limited on Thursday.

Since 2020, the company has reported losses as demand weakened and competition heightened. According to its latest financial statement, loss after tax narrowed to N265.6 million from N290.7 billion in 2023.

“The image of being only a quick-service restaurant has to change but we are still in the food business. We want to expand beyond the food business because there is much more than serving people in the restaurant which we already have,” Speijer said.

He added that there is synergy diversifying into fishery and entertainment and that Nigeria currently spends nearly $1bn annually on fish imports which contributes significantly to the country’s Gross Domestic Product. “We are positioning ourselves to tap into this market.”

The 27-year-old restaurant changed its board last October after a significant acquisition by new shareholders.

Last week, the company announced its expansion into Nigeria’s blue economy sector with the acquisition of 10 fully equipped modern trawlers and a partnership with a US-based marine group Quinn Fisheries and Harvester Fishing, led by Charles Quinn.

Since the announcement, its share price steadily rose to N3.25 as of Wednesday from N1.97 on 4 March.

With over 20 outlets nationwide, Tantalizers grew rapidly in the early 2000s, becoming a household name. It offered an alternative to the likes of Mr. Bigg’s, drawing crowds with its affordable and familiar meals.

However, by the mid-2010s, the company began to lose ground in the market as competition intensified with the entry of international chains like KFC, Domino’s, and Pizza Hut.

Meanwhile, local competitors like Chicken Republic adapted better to changing consumer preferences by offering lower-cost options and digital ordering channels.

Data from global market research provider Euromonitor International shows that in 2023, Tantalizers recorded the least sales out of five QSR pioneers in the country. The company sales were N2.49 billion while Chicken Republic had the highest of N60.9 billion, followed by Sweet Sensation’s N4.58 billion and Mr Bigg’s at N2.68 billion.