Homegrown brand eyes growth in new frontiers

Dubai: A homegrown brand, Okku, is setting sights on distant horizons.

Markus Thesleff, co-owner of the upscale Japanese restaurant, has high hopes given the brand's steady growth in popularity since its launch two years ago.

Its first port of call in the overseas expansion will be into London's Mayfair. The opening of the $12 million (Dh44.04 million) venture is set for the middle of this year, just in time for the London Olympics.

Okku's expansion plans don't stop there. Within the next two years it will have a presence in Morocco, Switzerland and India, and negotiations are under way for other cities including Toronto, Amman, Las Vegas and Abu Dhabi.

"When we're looking for a new location it's a combination of factors — physicality, space and the partner," Thesleff said. "We look at our international ventures from a long-term point of view with a commitment of 10 years and above.

Emerging markets

"We've turned down offers in Los Angeles and Milan because our interest in growth is slightly different. We believe in the emerging markets and new frontiers or cities that haven't been considered by restaurateurs.

"It's also about steady growth [and] not diluting the brand."

Ensuring he doesn't miss a beat when it comes to more conservative markets, Thesleff is set to launch the ‘O' by Okku, the dry version of the flagship brand in cities such as Jeddah and Riyadh.

"We've had a lot of requests for the dry concept in the region," Thesleff added. "Everybody wants Okku and they've been pushing it for two years… but we're extremely selective."

For its international expansion, the brand will retain its signature dishes, but spice it up by alternating the interior and mood depending on the country.

Unique design

"The design will be unique to the space; some Okku's may be high energy, some might have a big outdoor space," Thesleff said. "Each will have a distinct menu option with the main items remaining the same and a few different items.

"There will be 40 per cent that's brand new and unique."

Okku is the latest in a series of Dubai-based brands developing internationally. Japengo Café by BinHendi Enterprises launched a regional expansion and has plans to open in the Far East and the US, while Jumeirah's Noodle House took its brand to Asia.

Okku was founded by Thesleff and Ramzy Abdul Majid. The pair invested $10 million (Dh36.7 million) in the first location and focused on a sleek design and high-end ingredients.

Steady increase

Since then, Okku has been enjoying steadily increasing popularity, with 27 per cent growth in revenues in 2011 after taking a slight hit last year following the tsunami in Japan.

"Initially there was no immediate effect; however, as the product supply began to get affected due to a Japanese export ban we began to have trouble sourcing alternatives," Thesleff said.

"Thus we were forced to stop sales of some dishes, but this was sorted out within a few weeks. We still have some issues with a couple of dishes, nothing more.

"We have been forced to source many of our ingredients and crockery from other parts of the world and this has been the same for the whole industry on a global scale."

The overseas expansion is only the tip of the iceberg for the entrepreneurial pair. This year and next they are looking to introduce a number of new retail concepts to Dubai's growing F&B scene. Their latest venture is Riva Ristorante, Bar and Beach located on the Palm Jumeirah. It features a stylish neighbourhood beach club and Italian-themed restaurant.