It's only popular among the  high class (as they call themselves) urban society. It's become kinda status symbol among urban middle class. Besides this, because these american brands are just very good at marketing has made them sell here. 

However this trend is slowly diminishing, be it for Dominos, McD or KFC. 
https://www.reuters.com/business/retail-consumer/dominos-india-operator-reports-drop-quarterly-profit-higher-expenses-2025-02-12

https://www.business-standard.com/companies/news/mcdonald-s-sees-sales-slump-in-india-amid-ongoing-israel-gaza-conflict-124110700608_1.html

https://www.storyboard18.com/brand-marketing/kfc-indias-daily-sales-plummet-6-4-per-store-in-fy25-genz-becomes-new-marketing-focus-73240.htm



Many big Indian cuisine brands have started setting up and creating chains of their restaurants. People are realising the fact that Indian cuisine is much better and healthier. 



Coinsreporter

econ

In India, Trump's tariffs spark calls to boycott American goods

I understand the novelty appeal but otherwise I don’t get why anyone would want American fast food when they’re surrounded by authentic Indian cuisine. 