13 Jun 2025
A&W Malaysia aims big in 2025
A&W franchise targets expansion, digital upgrades, and regional growth despite initial losses.
Pan Malaysia Corp Bhd (PMC) is planning an aggressive expansion in 2025 following its full acquisition of the A&W Malaysia franchise.
The company completed the buyout in April 2024, purchasing the remaining 49% stake from Inter Mark Resources Sdn Bhd for approximately USD 14.7 million. The deal was settled with USD 8.8 million in cash and the issuance of 111.13 million new PMC shares.
A&W’s chicken-based menu features its signature Golden Aroma Chicken, Spicy Aroma Chicken for heat lovers; and chicken sandwiches like the Mozza Chicken Burger and Chicken Coney. The brand also offers chicken nuggets and chicken tenders as quick-serve favorites.
Key strategies
PMC Executive Director and A&W CEO George Ang outlined the company’s 2025 strategy, focusing on expansion, digital transformation, and customer-focused innovation.
A&W currently operates about 100 outlets in Peninsular Malaysia and four in Sabah. Next year, the company plans to open 12 new outlets and expand into new markets, including Sarawak and Brunei, with its first Kuching outlets targeted by 2026.
Expansion into East Malaysia had been delayed due to logistical hurdles. “In the fast food sector, scale matters. Importing supplies between towns was costly and inefficient,” Mr Ang explained.
PMC is also targeting high-traffic areas such as airports and theme parks, aiming to capitalize on strong footfall and higher restaurant sales. Potential new locations include Kota Kinabalu and Penang International Airports.
Digital efficiency
Digitally, PMC is ramping up efficiency through its A&W Ordering App and the installation of self-service kiosks across all outlets by end-2024.
About 30% of A&W locations currently have digital kiosks, which operate on a subscription model costing around USD 100 per month. This minimizes upfront capital costs.
The company will also expand its 24-hour and drive-through services in response to changing customer habits.
In 2025, 20 outlets will run 24/7, and 12 will offer drive-throughs. Late-night delivery demand now accounts for roughly 25% of total sales, noted Mr Ang.
Future growth and industry outlook
PMC is also exploring mergers and acquisitions, with Mr Ang hinting at potential announcements involving local and international brands in 2025.
Despite Malaysia’s competitive fast food market, Mr Ang remains optimistic. “The market is more competitive than ever. But A&W has been around for over 60 years. That brand loyalty still holds value,” he said.
Post-pandemic, dining habits have evolved. “People used to go to fast food joints for special occasions. Now, it’s four to five times a week. The market has grown,” he noted.
While some fast food brands in Malaysia have seen declining sales amid consumer boycotts, A&W’s performance has remained neutral. Mr Ang attributes stagnant growth to inflation rather than sentiment.
“Foot traffic is consistent, but basket sizes are slightly down,” he said.