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Kyoto Company Targets Beef Cutlets as Inbound Tourism Strategy

KYOTO - Sanmarc Holdings is betting on Kyoto's global appeal and the growing popularity of gyukatsu among foreign tourists as it accelerates overseas expansion, with President Yuki Fujikawa positioning the beef cutlet chain as a key driver of the restaurant group's inbound tourism and international growth strategy.

The operator of approximately 30 restaurant brands, including Saint Marc Café and Kamakura Pasta, relocated its headquarters this month from its founding city of Okayama to Kyoto. The move reflects the company's ambitions to strengthen its international presence by leveraging Kyoto's global appeal.

"I think Kyoto is a place name with strong brand power for people overseas," said Fujikawa, 37. "Just as Milan is often associated with Italy, Kyoto is strongly associated with Japan."

Founded in Okayama in 1989 as a Western-style restaurant business, Sanmarc Holdings has grown into a major restaurant group. Fujikawa joined the company after working at Mitsubishi UFJ Morgan Stanley Securities, where he covered Sanmarc as an analyst. He was invited to join by founder Takashi Katayama and later accepted an offer from the company's management following Katayama's death. After serving in investor relations and corporate planning roles, he became president in 2022.

Fujikawa said the headquarters relocation was driven by two key objectives, the first being a full-scale global expansion strategy. He believes Kyoto's international recognition can help the company build stronger overseas brands and attract more foreign customers.

A major pillar of that strategy is gyukatsu, or breaded and deep-fried beef cutlets. While the café business remains the group's largest segment, the number of gyukatsu outlets has been increasing rapidly, making it the company's third major business pillar.

One of the company's flagship stores near Kyoto Station has become particularly popular among foreign visitors, who account for roughly 90% of customers.

The restaurant's most popular menu item features premium Japanese Black wagyu beef coated in a crisp batter and fried to create a crunchy exterior while maintaining a juicy interior. Customers can choose from five cuts of beef, including loin and fillet.

A key attraction for overseas visitors is the dining experience itself. Guests cook the beef to their preferred level of doneness on a small tabletop grill and can enjoy it with six different sauces and seasonings, including a soft-boiled egg enhanced with dashi broth.

The concept combines premium Japanese ingredients with an interactive dining style that appeals to international travelers seeking unique food experiences during their visits to Japan.

As inbound tourism continues to surge, Sanmarc sees gyukatsu as both a way to capture spending by foreign visitors in Japan and a potential vehicle for expanding its restaurant brands overseas, using Kyoto's reputation as a gateway to Japanese culture and cuisine.

Source: テレ東BIZ

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