Franchisers converge on Thai market
Oct 31, 2016 | Other | Comments Off on Franchisers converge on Thai market
Almost 20 international franchise owners from food to fitness chains are heading to Thailand to cash in on strong demand from local consumers.
Sethapong Phadungpisuth, managing director of Gnosis Co, a franchise consultancy, said food, service and education brands from the US, Australia, Singapore, Hong Kong and Taiwan aiming to sell their franchises…
They will attend business-matching sessions at the International Franchise Discovery Day at Crowne Plaza Hotel in Bangkok on Nov 17.
Brands that are eyeing to expand their presence in Thailand include Little Caesars, the third-largest pizza chain in the US, Buffalo Wild Wings, a US casual dining restaurant and sports bar specializing in chicken wings, and The Edge, a Hong Kong learning centre designed to help students get into top universities in the US, Britain and Canada.
The other brands are Donut King, Australia’s largest speciality doughnut joint, Denny’s, a big family restaurant chain in the US, Everlast Fitness, makers of fitness equipment, Mosquito Squad, a pest control , and Presotea, a premium tea brand.
The franchise fees are UScopy-5 million depending on the category.
Australia-based Retail Food Group led by international development executive Tony Ward is interested in expanding into Thailand. Only a few Australian franchised brands are available in the Thai market even though many Australian companies do business here.
Brands under its group such as Brumby’s and Crust are familiar to Asian visitors to Australia, so Retail Food Group sees huge business opportunities in Thailand.
Mr Sethapong said Thailand is also a highlight country for Buffalo Wild Wings because Thai people also have a casual dining lifestyle and love sports. The company has been very successful in Vietnam and and the Philippines.
“Thailand has become one of the prime targets for franchise brands to expand their businesses into as it is a promising market with a rapidly growing middle class,” he said.
The franchise market was worth 185 billion baht in 2013. New franchise brands continue to increase with at least 10 food franchises entering the country in the past two years.
Gnosis Co expects the value of the franchise market to rise to 280 billion baht by the end of this year with about 60 international franchise brands in total, up from 47 in 2013.