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TAKE ONE SUCCESSFUL RETAIL FOOD FRANCHISE
O’Briens
Sandwich Bar is a firm believer in three key elements to
achieving a successful retail franchise – a good operator,
a good retail location and a good concept. Without a doubt
it says, thriving franchises are run by happy people with
the determination and drive to succeed.
Which franchise is the right fit?
If O’Briens
was to think of a single factor that has made its business
successful, then undoubtedly it would be the quality of people
it attracts as its franchise partners.
That is
why the very first and one of the most important questions
when contemplating any franchise is which one is right for
the individual seeking a new business opportunity. This is
the stage where people have to be the most honest with themselves.
Quite simply, if it is a retail business that they are contemplating,
then they must be cut out for it and question if they really
would enjoy dealing with the public every day. After all,
as well as all the fun this can bring, there is also the
odd challenge that goes with the territory.
One of
the first steps is to find out if the person or partners
are the right fit, as a good franchise arrangement is like
a marriage where both sides benefit if they work together.
Within a food retail environment there are many factors that
will dictate what is best for the franchisee. Some demand
long hours or late nights that may not suit personal circumstances
or lifestyle choices.
Even if
a franchisee has had no experience in the industry of their
choice, it is crucial to have empathy for the business. If
the choice is food retailing, then clearly it makes sense
to enjoy working with food and the public.
With O’Briens,
although more than 95% of franchisees have had no previous
catering experience and 85% have never before run their own
business, the comprehensive training and advice provided
from the outset – married with what is often boundless
energy of the new franchisee - help overcome any possible
hurdles.
Everyone
benefits when potential franchisees are encouraged to talk
to established businesses and hear first hand about the challenges
and opportunities before signing on the dotted line. O’Briens
has a try before you buy policy, where potential franchisees
are brought into an existing outlet for two days and given
the chance to get hands on with the food preparation behind
the counter and experience direct contact with the customer.
It is also
vital that a franchisee’s family is 100% supportive
of any new business venture and franchising is no different.
Despite all the franchisor support, it is still demanding
work that can take time to become established. In the early
days, this will mean long hours and, in the retail environment,
often seven day weeks. The family needs to understand this
from the outset and be supportive, adapting to what is often
significant changes to their lives. But then, a complete
change is what most people are seeking in the first place.
With the
right attitude and a passion for the business, anyone can
succeed.
A quick buck…
Taking
on a franchise must be seen as a business investment for
the medium to long term. It is simply not a method of making
a quick buck before moving on to the next venture. With a
retail business time is needed to reap the rewards of an
initial investment that involves capital expenditure – equipment,
shop fitting, product and staff.
With a
lack of financial planning cited as the biggest reason for
independent business failure, it pays to ensure that the
franchise is actually within monetary reach, no matter how
great the returns look on paper. As well as the franchisor
who is there to help provide business planning guidance,
independent advice should be sought from one of the major
banks. Many now have expert franchise divisions.
Franchise
agreements are normally ‘take it or leave it’ but
all for the right reasons. They protect tried and tested
formulas that benefit from consistent delivery. So it is
once again crucial that independent legal advice is taken
before any agreement is signed. The British Franchise Association
is a superb resource for potential franchisees and they should
use it. The BFA can provide a list of affiliated solicitors
who have the necessary franchising experience.
Once open,
ongoing reviews and planning are essential to ensure the
business moves in the right direction. Again this support
is offered by the franchisor.
Location,
location, location…
Most retailers
were chanting this mantra long before a certain television
programme hit the screens. Today every retail franchisor
has built up a high level of expertise in seeking out the
perfect location that can make the franchise work successfully.
With the ability to rent prime sites, not many franchise
retailers are found on the wrong side of the street.
At the
same time, it is still imperative that the franchisee believes
in any suggested site no matter how good it all appears.
Perhaps a consideration is the distance they are prepared
to travel to and from home to help maintain that work-life
balance or alleviate any unnecessary stresses. If the gut
still says no, then don’t commit to it.
Developing
the appeal…
At O’Briens,
the research that goes in to food concept development ensures
an innovative product and approach. Today, the offer is a
great deal more than simply serving up the humble sandwich
hot or cold and in many of its guises.
With the
core offer holding the concept firmly in place, other elements
such as gourmet coffees, organic deli snacks, freshly baked
products, speciality soups, salads, juice bars and much more,
provide a flexible, seasonal offer for customers. This can
then be tailored to suit the size of the outlet and local
market demand.
While behind
the scenes research and development keeps the concept fresh
and modern and at the forefront of its market, it is the
franchisee at the end of the day who must work hard at delivering
the brand standards. But as a franchise partner, people are
in business for themselves but never by themselves. Within
O’Briens, an operational support team is there to help
them through every problem and every opportunity they may
face.
Next to
offering great food comes a great environment in which to
serve it all up. That is why store design is a key ingredient
in the pulling power of retail operations. The fact that
it is a welcoming, comfortable environment is as important
to staff as it is to customers.
In order
to keep the ambience contemporary and meet the demands of
today’s lifestyles, O’Briens has never been afraid
to introduce new ideas. In the past year, it has done precisely
that with the roll out of an exciting new store concept store
design and menu, which is already helping to push up sales.
Taking
the concept beyond the retail setting…
As an O’Briens’ franchisee,
there are many opportunities to expand the business quickly
with flexible options for growth. The first stepping stone
for many is to increase capacity by expanding their existing
store upstairs, downstairs, next door or outside – another
element to consider when looking at location.
O’Briens
has a comprehensive outside catering offer that lets the
franchisee make money beyond the shop and add to retail sales.
This opens up what can be a massive revenue stream that significantly
increases turnover and profit.
Once the
basics of single store operations are mastered, many choose
to open additional outlets and become multiple owners. Some
choose to grow their business by opening new stores either
concentrated in their town or city centre base, or look towards
retail and business park opportunities in outlying areas.
In addition
to this, there are many lower investment expansion routes.
Even the smallest outlets, including the popular O’Briens
kiosks and coffee carts, prove extremely profitable.
The
Brand…
Having
a strong brand is essential in today’s highly competitive
retail world and maintaining brand standards is vital. It
ensures a greater degree of differentiation from competitors.
The 40-plus own brand products that O’Briens sells
in its stores, helps to reinforce the brand. It is also vital
that the same product is presented in the same way so that
the customer can predict with positive certainty what they
will find when they walk into an outlet no matter where it
is found in the world.
To sell
the brand, franchisees must derive the maximum possible benefit
from their marketing and PR support. After all, the franchisor
already knows its target consumers and the optimum methods
to keep its brand at the forefront of its market. They must
be proactive and use the material provided to help them achieve
the recognition that comes with the brand. It will ensure
them a smooth transition from a new venture into a burgeoning,
sustainable business.
As the
franchisor and franchisee network grows together, it becomes
easier to set up new stores. Shorter lead-in times to profitability,
equals greater success for everyone. Surely this is something
to which every business aspires? |
