Francorp - The Franchising Leader in the Philippines
Francorp - The Franchising Leader in the Philippines

Franchise Hotline : (+632) 8638.3149 to 50

Archive for January, 2018

Speed of Expansion

Posted on: January 26th, 2018 by Francorp No Comments

What Is Urgent and What Is Important.

Due to AEC’s inception, borders are opening for travel and business. With a population of more than 600 million and a robust economy, expansion opportunities abound for brands and businesses.

What is URGENT.

An entrepreneur states: “cease the opportunity as it presents itself”.  If you’re establishing your business, this mindset is correct because you must build your brand, and you must expand your store’s network to gain market share.

Speed of expansion is the main priority, and it’s vital to secure viable locations. Increasing store presence and brand awareness arecrucial to a startup business, but there are always tradeoffs.

The brand will gain market share if it executes the brand’s promise.The key is to consistently and regularly deliver a product/service on all locations.

What is IMPORTANT.

When you start franchising your business, you must consider a new set of responsibilities. Businesses rush into franchising without consideringthe financial, operational and legal implications to their business including how these will affect the franchisee.

Getting your numbers right

Like any business endeavor, the franchisee’s three questions are:

  1. How much is the Franchise Fee?
  2. How much is the investment package?
  3. What’s the ROI?

A key requirement in franchising is to ensure that both the franchisor and the franchisee is PROFITABLE. This will fundamentally determine the success of the franchise organization.

Developing anin-depth franchise business plan ensures that your numbers are right. This involves planning and strategizing the speed and extent of expansion, the applicable business structure, and determining where your Revenue streams will come from.

Getting your house order

Clear cut operational parameters should be developed, documented, communicated (thru training), executed, tested, evaluated, adjusted (if, need be), and audited regularly. In short, “winging it” will not work.

Whether you grow your brand organically (company owned stores) or thru other means of expansion, crafting and implementing an operating system will always be a necessitybecause your customer will expect consistency on all locations.If you go to any McDonald’s store in the world (except India) and order a regular hamburger, you will get the samesandwich every time.

Dot the I’s and crossing the t’s

If your financials are right and your operations systems are in place, then the next step is to focus on your Franchise Agreement.

It is essential that your franchise agreement clearly stipulate the following:

  • Brand execution and protection
  • Responsibilities of both Franchisor and Franchisee
  • Fees and required purchases
  • Territorial restrictions
  • Exit clauses

Having the best crafted franchise agreement, operating system and franchise business does not guarantee instant success. Franchisor must provide continuing value, manage expectations, and provide an open communication line.

The most efficient franchise is the one which is built on mutually beneficial relationship, and it achieves not only the goals of the franchisor to expand its business but also the franchisee’s goal of profitably operating the franchisor’s brand.

California Nails and Day Spa

Posted on: January 19th, 2018 by Francorp No Comments

“California Nails and Day Spa” provides the ultimate rest and relaxation with their superior nail and spa services. It’s the home of the nail and wellness experts, and they’re giving clients the ultimate pampering they deserve to ensure they’re positively nurtured at the end of every visit.

Their nail care services follow the California State Board of Cosmetology standards, ensuring their high quality. They also offer a variety of skincare services such as facials, body scrubs and waxing, with beauty, grooming and body maintenance services all in one roof. Customers can also avail a variety of massages to accompany their treatments.

California Nails and Day Spa are looking for partners interested in becoming part of a growing family of franchisees.

PIZZA BRANDS WHICH AIMS FOR GLOBAL EXPANSION

Posted on: January 12th, 2018 by Francorp No Comments

Italian cuisine has gained wide acceptance all over the world. Pizza is one of the pillars of the food service industry’s global foothold. According to market research firm Euromonitor International, pizza chains now represent nearly five percent of global consumer food service/sales, and they account for US$124 billion in global spending.  Euromonitor adds that Asian markets exhibit great potential for effective segmentation in the pizza market, and it cites homegrown pizza brand Greenwich as an example.

Here are pizza brands which are international favorites:

YELLOW CAB

It advertises itself as a slice of New York or “the Big Apple” at your doorstep.   Thanks to Italian immigrants, New York is best known for its pizza.  Yellow Cab seeks to promote the New York-style pizza experience to Filipinos.   Due to its fast pizza delivery service and its iconic yellow Vespa scooters, Yellow Cab has successfully positioned itself as a pizza restaurant which is difficult to beat internationally.   It only uses fresh and premium quality ingredients for its signature pizza and pasta offerings.   Its signature flavors are often imitated, but they are never rivaled in taste.    With over 120 stores in the Philippines, Qatar, UAE & Saudi Arabia, Yellow Cab continues to spread its New York-style pizza experience all over the world.

SHAKEY’S

Shakey’s is internationally recognized as a pizza franchise chain from the United States.   For the past 62 years, it advertises that it is “Pizza fun for the whole family”.   Spacious pizza parlors decked with arcades and play areas make Shakey’s appealing to both adults and children alike. Its focus on “fun times with the family” has enabled Shakey’s to become the market leader in traditional full-service pizza chains and family-style casual dining.   Even after decades of success, Shakey’s is showing no signs of slowing down. Now with 500 stores worldwide, it is continuously expanding in Asia, the Middle East, Australia, and New Zealand.

PROJECT PIE

It advertises itself as:  “The freedom to create artisan pizza everyday.”

When serial restaurateur James Markham founded Project Pie in 2011, he wanted to give customers the freedom to create their own pizza taste. Since then, Project Pie has positioned itself as a fast-casual restaurant where customers can custom-build their own pizzas using a wide selection of sauces and toppings.

Incorporating an assembly line counter, the Project Pie crew will assist customers as they assemble their own custom-build pizza creations.  The diverse selection of sauces and toppings can be initially intimidating, but it could be narrowed down to a set of seven classic pizza flavors which you can choose from when you build-your-own pizza concept.

This build-your-own concept has been extended to Project Pie’s selection of salads and pastas.

Today, this United States pizza concept is holding its own in the global pizza market. Project Pie has already established its presence in the United Kingdom & the Philippines, but it wants to expand in the Middle Eastern and Southeast Asian markets.

8 Filipino franchises which have gone global

Posted on: January 5th, 2018 by Francorp No Comments

The Philippines is “the franchise development hub of Asia” because it has more than 1,500 franchise brands. They earn an average of $11 billion in combined annual sales.

These eight Filipino brands have gone global:

  1. Potato Corner

This flavored French fries concept started in 1992. It opened its first overseas branch in Indonesia in 2006.  It introduced its flavored French fries in 30 countries including Malaysia, Panama, United States, Australia, Singapore, UAE, and Thailand, among others. Today, Potato Corner has over 550 stores locally, while 90 are located overseas.

  1. Jollibee

Jollibee popularized “Chickenjoy.”  It started as an ice cream and hamburger store in 1975.  Locally, Jollibee is the largest fast-food chain with 900 stores.  It is also emerging as a global fast-food player with 135+ stores overseas.  Jollibee is still expanding, but it expects to open an additional 100 stores overseas.

  1. Goldilocks

After 50 years, this bakeshop continues to strengthen its international presence.  Goldilocks opened its first overseas branch in 1976 in Los Angeles, California.  Goldilocks has 22 stores in San Francisco, Las Vegas, Sacramento, and San Diego including two stores in Canada and six stores in Thailand.

  1. Max’s Restaurant

Max’s Restaurant is rapidly building its global presence. Founded in 1945, it initially served fried chicken, steak, and drinks, but it also included Filipino recipes.  It established its US branch in 1982. It also opened stores in Canada, UAE, Qatar, Kuwait, and Australia. Today, Max’s Restaurant has 146+ locally, but it has 20+ branches overseas.

  1. Yellow Cab Pizza

Yellow Cab is a homegrown pizza-and-pasta restaurant which opened in 2001. Its goal is to share the New York-style pizza goodness to Filipinos.  Its yellow scooters are iconic deliveries of pizzas/ pastas.   Today, Yellow Cab has 130 branches nationwide. It has branches in US, Guam, Malaysia, Qatar, and UAE.  New stores will open in China, Jordan, Egypt, KSA and Singapore.

  1. BENCH

From a small store selling men’s t-shirts in 1987, BENCH has grown into a global fashion powerhouse. Its products include undergarments, footwear, fragrances, and other lifestyle items.   Today, BENCH has over 186 branches in the Philippines and 85+ branches overseas.

  1. Oryspa

Oryspa is the first to use rice bran or “darak” (a rice mill residue) as a base for its health and beauty products which includes soaps, body masks, pain relief balms, and massage oils, among others. Oryspa promotes natural Asian beauty through its 23 branches nationwide. Its products are already exported in Asia and Europe.  It is also sold worldwide through various online merchants, but it has two actual stores in Singapore.

  1. Bibingkinitan

Bibingkinitan sells smaller portions of “bibingka” all year round. The name Bibingkinitan is a mix of “bibingka” (rice cake) and “balingkinitan,” (small or petite) which implies a smaller serving.  After 10 years, Bibingkinitan has opened its first outlet in Dubai and another in Qatar. Soon, they will have a flagship store in Abu Dhabi including countries Guam, China, Singapore, Thailand, and Indonesia.