Quick question. When there was no McDonald’s, KFC, Domino’s or Pizza Hut, where did Indians go to satisfy a fast-food craving? No points for guessing “Nirula’s”.
The homegrown chain’s co-founder, Deepak Nirula, passed away earlier this month, bringing on a flood of nostalgia from a generation raised on Nirula’s delicacies. In the ’70s and ’80s, when consumers were unexposed to pizzas and burgers, Deepak Nirula and his cousin Lalit, brought a desi version of these items, satisfying taste buds and winning hearts.
A brief history
Nirula’s, ubiquitous in the North even today, has an interesting history. First established as ‘Hotel India’ in 1934 by brothers Lakshmi Chand and Madan Gopal Nirula, the hotel building sported rooms available for rent, a bar and a restaurant. After setting up more establishments, ranging from coffee shops to speciality restaurants, the Nirula brothers opened their first eponymous fast-food restaurant at Connaught Place in 1977.
However, it was Madan Gopal’s son Deepak and Lakshmi Chand’s son Lalit who infused the restaurant’s menu with then-unique items like burgers, hotdogs, pizzas, salad bars and ice-creams.
“Deepak was an industry pioneer who contributed a wealth of knowledge and expertise,” says Sanjeev Agrawal, chairman, McDonald’s India — North and East. “He introduced the QSR culture in India.”
Building a QSR brand
Deepak and Lalit revamped the family-style restaurant into a contemporary American-style QSR when India’s streets were still dominated by Premier Padminis and Bajaj Chetaks, a pre-liberalisation era. “In the ’80s, we had very little in terms of a western culture. No cafes, no pubs, no fast-food chains. Malls and multiplexes sounded as glamorous as going to the moon,” remembers restaurateur and Olive Group founder AD Singh. “Against that context, Nirula’s was a special experience. No trip to Delhi was complete without that salad lunch and hot fudge sundae.”
There were several factors working in Nirula’s favour. “The bright, happy ambience, efficient and clean service, a cool crowd and an all-American menu. For many, this resembled their version of America, modelled on Archie comics,” says Lloyd Mathias, business strategist and brand expert.
Cut to 2006 and several branches later, Nirula’s was bought over by Malaysian Navis Capital. And in 2018, PE-funded BanyanTree Growth Capital bought Nirula’s. But it was Deepak and Lalit Nirula who built an unmissable brand. The restaurant chain completed the quintessential ‘Delhi’ experience for locals and tourists. In fact, residents of towns around Delhi would drive down just for a Nirula’s meal.
Food as an emotion
Manish Mehrotra, chef and culinary director of Indian Accent Restaurants, says he still orders a Nirula’s chocolate fudge sundae when he needs a stressbuster, while Singh admits he keeps “a hot fudge in my freezer in Delhi and it’s as good as always”.
“I come from Patna where there was nothing called pizza or burger,” recalls Mehrotra, “When I visited Delhi in 1981, at age seven, I was first introduced to them at Nirula’s.” McDonald’s Agrawal seconds that. “Having lived in Delhi, I have lasting memories at Nirula’s, be it picking up a burger or a kathi roll on my way to a business meeting.”
So, what goes into creating a legacy brand like this? “Food is an emotion in India. Deepak sir stood for the love of food. He wanted India to get a feel for American fast-food in an Indianised way; that’s an emotion he cracked beautifully,” says Sagar Daryani, co-founder and CEO at Wow! Momo.
Brand lessons
Deepak Nirula’s contribution to paving the way towards casual dining in India was immense. But the food landscape is now extremely different. Where, then, does Nirula’s stand today?
“Liberalisation and the internet revolution have enabled Indians to get a taste of global cuisines, so the novelty of desirable western-style fast food has diminished,” says Mathias. This has contributed to Nirula’s losing relevance, he adds.
While the chain may have lost its edge thanks to global QSRs, what won’t diminish are its
brand lessons. “They rewarded students with discounts based on their marksheets, so for many, result day was incomplete without an ice-cream at Nirula’s,” remembers Mathias.
Daryani recalls some learnings that Deepak Nirula spoke about: That food innovation is the best form of legacy; location is the best form of advertising, and to know the culture a brand is serving and accordingly reimagine the menu.
“Nirula’s showed many entrepreneurs a path and planted the seeds of the QSR industry,” says Singh, “It’s harder now as there are many more good options.”
With inputs from Shannon Tellis
Ingredients of a success story
“Deepak and Lalit took the business to new heights. They were both ahead of their time. They studied hotel management at Cornell University, US, and I think, were among the few Indians to do so at the time. They came back with a number of ideas. They created and pioneered the whole fast food and QSR concept in India. But for personal reasons, they sold the brand to Navis Capital Partners.
“The brothers hadn’t been active with the business for the last two decades. Lalit still likes to share his insights. However, Deepak, due to personal reasons, took a step back.
“We still have a lot of staff from their time. In fact, the second generation has also joined the brand. If you walk around the kitchens and speak to the old timers, they fondly recall Deepak saab. He was a stickler for time and would get livid when deadlines were not met. The cousins were focused on time, discipline and standardisation.
“The staff would say that when the two returned from their overseas travels, they were in for a long R&D session. A new food concept, a new flavour of ice-cream — they kept innovating, they were ahead of the curve. They have a lot of firsts to their credit.”
– Sanjiv Singhal, board chairman, Nirula’s