YGF MalaTang: Globalizing from Catering to Creating Chinese Palates.

Case Overview

Case Name: YGF MalaTang’s International Strategy

Published: April 10, 2025

Strategy: Localized Franchising + Digital Operations + Cultural Integration

Background & Goals

YGF MalaTang started in 2003 as a small street food stall in Harbin, China. Thanks to its standardized franchise model and unique soup recipe, it quickly became a leading brand in Chinese malatang.

In 2017, YGF opened its first overseas store in Canada, marking the start of its global expansion. It has nearly 7,000 stores worldwide, spread across more than 20 countries in Asia, Europe, and North America.

Localized Branding

YGF MalaTang: This is for overseas Chinese customers who prefer traditional taste.

Mala Town: For Western markets. Offers milder soups like tomato and beef bone broth.

Mala Mala: For Southeast Asia. Includes local flavors like tom yum and curry.

Digital & Supply Chain Support

YGF uses AI to improve marketing and warehouse management.

Its North American team is working with Lark (by ByteDance) to develop tech solutions for the food industry.

Success Stories

Popularity in Europe

The first store in Düsseldorf, Germany, sold over 700 bowls on its first day.

Monthly sales now reach €150,000–170,000.

Half the customers are non-Chinese, including professionals, students, and office workers.

Breaking into the U.S. Market

Mala Town, YGF’s U.S. brand, attracts 70% non-Chinese customers.

A store in San Francisco makes $2 million per year.

The brand uses a bowl-shaped logo and a chopsticks symbol to stand out.

Spicy Food Festival

YGF launched its first “Mala Festival” across Europe.

Stores in Germany, France, the UK, Italy, and Spain offered special dishes and discounts.

The event helped more people learn about malatang.

Marketing Approach

User-Generated Content:

YGF encourages customers to share their experiences online. It compares malatang to familiar foods like DIY noodles to help new customers understand the concept.

Cultural Themed Stores:

European stores use Chinese designs like phoenix patterns, spice walls, and lanterns to create a unique dining experience.

Results

Overseas stores grew from 21 in 2021 to over 100 in 2024.

European stores average €150,000 in monthly sales.

More than 50% of customers are non-Chinese.

Featured in international media like Germany’s Rheinische Post and the U.S.’s Eater.

The CEO was named one of Forbes China’s “Globalization Pioneers” in 2023.