Retail chains that snub Lugano over other Swiss cities

I wonder what went through the mind of those who in 1981 decided to open a Burger King in Lugano. It was the first in Switzerland and one of the first in Europe considering that the Whopper had only arrived on the Continent 6 years earlier (in 1975) in Madrid.

Burger King is still in place. Oh, and what a place! The fast food chain (for the series «first come, first served») is already part of the historical heritage of Palazzo Civico. But since 1981, the city has never proved to be a particularly interesting place for large international restaurant chains. Nor, if we look closely, have they been attracted by national chains. It is true that McDonalds arrived, but many of the famous brands that have settled in other Swiss cities are not present in Lugano. There’ s no KFC, no Dunkin’ Donuts and certainly no Starbucks, who in Switzerland has already opened coffee shops on virtually every corner. «Just as well,« many people will say. «It simply means we don’t need them.» However, it’s still curious to observe how Switzerland’s ninth largest city is decidedly under-represented in this sector.

Something has changed

We addressed this issue back in 2019, when we approached around 30 Swiss and international companies of varying kinds (from Uber to Apple via, for example, Tibits, Ex Libris, Globus or Sprüngli) in order to find out why they were not present in the city. We tried again, even if in the meantime things had changed. Subway arrived and - and it was one of the companies we approached in 2019 - opening the Swiss chain that specializes in hamburgers called HolyCow! (in Grancia). And KFC has landed in Ticino, albeit only in Mendrisio for now. And very soon - but this is not related to catering - the arrival of the French giant FNAC (specializing in books, records and CDs), which will acquire the electronics sector of Manor in Lugano and Balerna.

Coffee will remain ours

Starbucks has not replied to our e-mails, however the headlines of the newspapers in German-speaking Switzerland ( this one comes from Blick and was published just two weeks ago: Starbucks schliesst mehrere Filialen in der Schweiz) leaves little room for interpretation. And what about Nero, the British coffee giant? In the columns of the LuzernerZeitung last year, it was reported that 15 branches were about to open in Switzerland. But Costa, whom we contacted, dampened the enthusiasm. «As a first step in Switzerland we are focusing on home consumption (capsules, beans, etc.)» which can be purchased in supermarkets. For the moment, therefore, Costa does not intend to open premises in Switzerland. No Starbucks then, and no Costa.

«For us it would be a risk».

In and around Zurich, the Nooch chain, offering Asian cuisine, is enjoying good success. We also wrote to them to find out if they plan to come to Ticino. «Our policy,« they replied, «is to establish restaurants that are a maximum of one hour away from Zurich. That way they are easier to control, also because we are not franchising. Moreover, Ticino has a different language and culture from German-speaking Switzerland, and for us such a shift would be risky.» We can imagine that the discussion of the different culture (also culinary) also applies to Pizza Hut - no longer present in Switzerland for many years - and applies again to Starbucks and its coffee. The giant from Seattle kept its distance from the Italian-speaking market for years because it believed that it would be like trying to sell ice to Eskimos. But Starbucks arrived in Italy anyway. Not in Ticino. But it’ s also a question of prices: some products - especially those in the Italian tradition - differ considerably between Ticino and German-speaking Switzerland. And for the chains, this is problematic.

A discount for Ticino

« For this very reason - the manager of Subway Lugano explains - I have asked and obtained the possibility of offering slightly lower prices in Ticino». And how is it going? «It’s hard to say considering the pandemic, but we’re satisfied. Customers are coming in. Both Ticinese and tourists. Many students, but not only.»

Domino’s is thinking about it

Earlier there was talk of «selling ice to Eskimos.» Domino’s Pizza has succeeded. The U.S. company - 17,000 outlets worldwide - joined the Italian market in 2015. And if they made it in Italy, then they could easily make it in Ticino as well. «Domino’s Pizza - confirm from the press office - wishes to expand in Ticino in the long term. As demonstrated by the figures in Italy, the high quality and fast delivery are highly appreciated also in the South. However, there are no concrete plans right now.»

«They asked us for very high rents.»

One of the «new entries» in Lugano is that of the HolyCow! Gourmet Burgers chain, which has recently opened a restaurant in Grancia (at the Commercial Park) and has been present in other major Swiss cities for some time. How was the arrival in Ticino? «There is satisfaction - we are told - and we have noticed that several customers are former university students who had become fond of our products when they were studying in other cities.» HolyCow! could eventually open in other Ticino locations. And, perhaps, doubling in Lugano (in a more central location) if it were to find a suitable and reasonably priced space. « The possibility of opening a restaurant in the center was initially considered, but the rents asked were very high». Very high, even for a brand that in Zurich is practically located on Bahnhofstrasse.

No response

At time of going to press we did not receive responses from Five Guys (opened three restaurants in Geneva and Lausanne), Dunkin’ Donuts (online they advertise delivery in Ticino, nonetheless), Tibits (in 2019 they had mentioned that they did not rule out a future arrival in Ticino, but first wanted to focus on expansion in Romandie) and Wonderwaffel. And of Old Wild West: an Italian brand that is already present in Mendrisio and Locarno, but not in Lugano.