The digital revolution of “fried chicken” in China. KFC boasts the world's largest AI-powered loyalty program

KFC's parent company in China reported aggressive growth in its digital loyalty programs, surpassing 590 million members, which represents more than 40 percent of the country's population, Reuters reported on Wednesday.

Yum China, which reported its 2025 earnings on Wednesday, said the number of unique members in KFC and Pizza Hut's loyalty programs grew 13 percent from 2024 and that 55 percent of sales came through those programs.

“It's unbelievable,” said David Slavick, founder of US-based consultancy Ascendant Loyalty Marketing. “It's the biggest loyalty program in the world,” he added.

Yum China Holdings, a subsidiary of Shanghai-based Yum Brands, owns and franchises more than 18,000 stores in China, including about 13,000 locations for KFC (Kentucky Fried Chicken), which the company says is the country's largest restaurant chain. The company pursued rapid expansion.

Consumers in China are using digital payment apps to a much greater extent than in the US and other consumer markets, a trend that has accelerated in recent years. “They were early adopters of this technology,” said Kate Hogenson, principal consultant at the Mallett Group, a brand loyalty consulting firm.

Shares in U.S.-listed Yum China, YUMC.N, rose 4 percent.

Yum China CEO Joey Wat told investors on Wednesday that the KFC loyalty program “really helps our business in the long and short term,” pointing to the growth of the chain's KPRO brand, launched in 2017 as a healthier, more sophisticated version of KFC. Wat said 80-90% of KPRO's sales come from KFC loyalty program members.

Wat also said the company's new artificial intelligence (AI) virtual assistant for users of the KFC app, whose nationwide rollout was completed in January, has so far been used by two million members, concentrated among breakfast and coffee customers.

Industry experts say consumers in China use digital ordering apps more than those in the US. The loyalty program market in China was valued at nearly $20 billion in 2025 and is expected to reach nearly $33 billion in 2029, according to a report by ResearchAndMarkets.com.

Yum China claims 265 million active users, which means that many have used the program over the past year.

The company's brand-specific loyalty apps, like in the US, allow users to digitally order meals and deliveries, but also benefit from discounts and personalized recommendations.

But unlike most U.S. restaurant brands, consultants say, Yum China's KFC app also has paid and invite-only tiers to its membership program that offer free deliveries and order priority.