Tugasan JTW 241Sidang Akademik 2014/2015

Ensuring Success of Local Franchise in your Local Market and Overseas Market

A quick search on the internet about local franchising produces hundreds of links on

how franchisors can tap on international markets and local market to expand their reach

and how they can sell their franchises effectively. That’s all good, but what about the

franchisee? The story doesn’t just end with the franchisor successfully selling his/her

franchise. The crux lies in whether the franchisee is able to market that franchise

effectively and how the franchise can fit into the local market and expand the

opportunities to global market.

Information is your best weapon

Many would agree that running a franchise is considerably less risky than starting a

business from scratch. However, it is wise to remind oneself that low risks do not mean

risks free. True that implementing a proven business idea gives you a good head start,

however implementing that business idea blindly may be catastrophic. Lesson learnt:

Don’t depend on your lucky stars too often. Before making the decision to run a

franchise, it is vital to be equipped with the right market knowledge – dig deeply and

understand your potential market inside out. Just like any other business ventures,

information is your best weapon.

Marketing plan – conduct systematic and comprehensive market research

While the franchisor may invest in research to ensure their products and services are

meeting market needs, it is up to the franchisee to customize the products and services

to the local market and to roll out a fitting marketing plan. A successful product or

service in its home market may not enjoy the same successes in a foreign market. It is

up to the franchisee to conduct systematic and comprehensive market research to

understand the related industry, its consumers and the direct and indirect competitors.

Identifying key issues in a market study

The most important facets of the market study are consumers and competitors. What

consumers need and want and what competitors are offering will have a direct impact

on your business. Address the following:

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1. Who is your target market?

2. Who are your direct and indirect competitors?

3. What differentiates the product or service you are intending to bring into the

market?

4. What are the opportunities and threats present?

Updated Research for Continuous Success

Market research doesn’t stop after you bring the product or service successfully into

your local market. Continuous research is needed to provide you with timely information

on changing industry trends and consumer perceptions. Collaborate with your franchisor

to see what can be done to ensure the product or service is up to date and to maintain

its competitive edge in the market. Alternatively, engage an external consultant to

provide in-depth information on the existing distribution networks, buying habits of

consumers, market potential, etc. Particularly if you are venturing into a market which is

not your local market, it would be beneficial to hire a local consultant to provide you with

insights. If you have not been “listening” sufficiently to your market, it is still not too late

in the day to review your strategy and invest in a thorough research to protect your

business and plan for its long-term growth.

Being the foremost to be in the know will be the key to your success.

Brief contents:

a) Defining marketing and marketing process

b) Understanding the marketplace and consumers

c) Designing a customer-driven strategy

d) Extending marketing

http://www.skorcareer.com/malaysia-eng/entrepreneur/franchiselistmalaysia2.htm

http://www.skorcareer.com/malaysia-eng/entrepreneur/franchisehistory.htm

http://www.skorcareer.com/malaysia-eng/entrepreneur/franchiseproandcons.htm

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FRANCHISE OPPORTUNITIES

Automotive Beauty & Health Business Opportunities

Business Services Children & Parenting Cleaning & Maintenance

Computer & Technology Education & Training Fashion & Accessories

Food & Beverage Home & Garden Retail

Sports & Recreation Travel & Hotels Other Franchises

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Top 10 Malaysian Franchise BrandsMalaysia has a thriving franchise industry as the Malaysian government is one of the most franchise-friendly governments in the world and has always encouraged franchising. Many people opt to buy a franchise because of the ease of getting a business up and running as a successful business model is already in place. 

In this issue, Top 10 of Malaysia shares its pick of the country’s 10 most successful franchise brands (listed in random order) and a brief take on them.

Clara International

A household name in skin care, Clara International has been around since 1977 and was founded by Datin Dr Clara L. Chee, a distinguished skincare formulation scientist and aesthetician.The organisation boasts its own research and development facilities, manufacturing plants, beauty centres, beauty colleges, beauty equipment distributorship as well as business franchises. In its 36 years of existence, Clara International has grown to become one of Malaysia’s largest beauty chains comprising more than 50 beauty centres located in Malaysia, 60 per cent of which are owned by franchisees and associates in various parts of Asia including the Philippines, Singapore, Indonesia, Thailand, Brunei, Mauritius, India and Myanmar.

PappaRich

Papparich Group opened its first outlet at the Selayang Mall in Selangor back in 2005. It was founded by Negeri Sembilan-born Rich Tan, who revolutionised the traditional coffee shop concept into a premium dining experience with a touch of modernity. This restaurant chain has grown to 50 outlets in Malaysia and has already ventured into Australia. It serves fresh and affordable local and western favourites including toast with kaya and butter, chicken rice, nasi lemak and chicken chop. Franchisees are provided with dedicated personnel whose focus will be on food products, equipment, R&D, training and marketing strategies for them to be successful franchise holders.

OldTown White Coffee

In 1999, founders Goh Ching Mun and Tan Say Yap concocted their own blend of 3-in-1 instant white coffee to supply to Malaysian households and the food services industry under the OldTown Group of Companies. It was also in that year that the 3-in-1 coffee mix was commercialised under the ‘OldTown’ brand name. In 2005, the Group expanded into the food services sector with the opening of cafes that were highly influenced by the traditional Ipoh coffee shop setting. Since then, the franchise has grown by leaps and bounds and is now a household name in almost every town in Malaysia.

 Focus Point

From the opening of its first outlet in Muar, Johor back in 1989, Focus Point has grown to become a leading eyewear retailer in the country. Initially, the Focus Point Vision Group was headquartered in BatuPahat but due to chain’s massive expansion, it was relocated to Kuala Lumpur. Presently the chain boasts 170 outlets across Malaysia with many more scheduled to open in the near future. Its franchise programme was developed to present franchisees the opportunity to manage a franchise with the full support of its management. The franchise offer which was also extended to its staff, solicited a good response from them.

Krista

Established in 1996, the Krista Group started its pilot kindergarten project in Selangor which proved to be highly successful and its network of franchisees and outlets has expanded to some 120 today. Affordability, quality early childhood education programmes and the assistance

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rendered in the setting up of the business are some of the reasons behind such growth. This proven early childhood education franchise programme caters to individuals from all walks of life, giving them a profitable business opportunity coupled with a rewarding career. This year, Krista has expanded to Indonesia with its international preschool centre set to open in the city of Medan.

Marrybrown

This Malaysian-owned organization, whose Founder and Group Managing Director is Datin Nancy Liew, is one of the country’s leading fast food chains with more than 30 years of domestic and international franchise experience. It has some 130 restaurants locally and more than 280 restaurants situated across the world including China, Indonesia, India, Sri Lanka, and Maldives as well as in Africa and the Middle East. Marrybrown serves a wide variety of meals including crispy chicken, satay burgers, specialty wraps, fish and chips and also plenty of hot and cold beverages and desserts.  At present, some 82 per cent of Marrybrown is franchised and franchisees have the opportunity to open a restaurant locally or overseas.

Bonita

In 1990, Teo Ai Siong acquired the ‘Bonita’ brand and established the Aivoria Group with his wife, Sylvia Lim. ‘Bonita’ means ‘beautiful lady’ in Spanish and the Group takes pride in offering customers a plethora of fashion accessories including studs, necklaces, rings, berets, shawls, hair bands, bracelets, bangles and bags at affordable prices to beautify themselves. It now has 12 Bonita outlets located across the country in premium shopping malls. This year, the Group added another feather to its cap when it opened its first boutique overseas, in Indonesia at the Centro Departmental Store Grand Metropolitan Mall Bekasi.

MS. READ

MS. READ, the pioneer fashion brand in Malaysia established by Helen Read in 1997, offers plus size clothing for fuller figured, curvy women with classic and timeless cuts to trend worthy styles. The innovative way in which each shop is conceptualized from the outset makes each of the MS. READ stores more than just a space to sell clothes. It is about fulfilling the needs of what customers want to wear, imbued with service and relationships that they value. Its team from designers to branding and communication experts has ensured that. Presently, there are 14 MS. READ outlets across Malaysia and 3 in Singapore. 

Snips

Established in 1990 by Mike Loh, Snips is an international fashion and beauty group with extensive range of fashion design, hair design, face art and nail art services. From its humble beginning at Sungei Wang Plaza, Kuala Lumpur, Snips has now expanded to 28 outlets, strategically located throughout Malaysia, Hong Kong, Saudi Arabia, Australia, Doha and Beijing. It has also set up the Snips College of Creative Arts (SCCA) whose objective is to educate and impart its remarkable knowledge and skills in the hairdressing and beauty industry to its students, equipping them with the cutting-edge skills and practical exposure for top-notch achievements in the industry.

Secret Recipe

Since its inception in 1997, Secret Recipe has become a household name and has grown to become one of Malaysia’s fastest growing lifestyle cakes and café chain. It is known for award-winning cheese cakes along with its great variety of fine and quality gourmet cakes at affordable prices. Its friendly and personalized service, together with a modern contemporary and vibrant interior concept, provides customers with the desired ambience for a great dining experience. Secret Recipe has since experienced a rapid growth over the years and currently, it has more than 280 outlets in major cities including Singapore, Kuala Lumpur, Jakarta, Bangkok, Manila, Brunei, Shanghai and Melbourne. 

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