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RFG eyes India’s $24b franchise industry

Sep 28, 2015

Donut King

Retail Food Group (RFG), has entered into an exclusive partnership with Franchise India, Asia’s largest integrated franchise solution company to launch its brand in India.

Franchise India has extensive experience in pairing franchisors with qualified master franchise partners while creating a high level of interest from potential local franchisees to achieve successful international expansion for foreign brands. The organisation also runs the world’s leading franchise website.

Andre Nell, CEO franchise of RFG, said RFG is targeting significant international growth with plans to open 130 outlets in international markets this financial year.

“RFG’s Brand Systems are market leaders and award-winning brands in Australia, each possessing successful business models that have been proven over many years. Our goal is to replicate this success in global markets by working with motivated partners who share our vision,” said Nell.

“RFG is looking forward to working with Franchise India and leveraging their extensive reach and intimate knowledge of franchising.”

Franchising in India Gaurav Marya, chairman of Franchise India, said the country’s franchise industry is valued at $24 billion with year on year growth of 30 per cent.

“India’s franchising industry continues to thrive, driven by a growing preference for internationally branded products and an emerging café culture,” said Marya.

“The retail and food and beverage sectors have evolved over the last decade, leading to a high level of consumer interest in specialty and gourmet brands in particular. The market is expected to increase in value to around $35 billion by 2020.

“With a rising global awareness and increasing spends on eating out among Indian consumers, the timing is opportune for RFG to enter the Indian market.”

Under the new partnership Franchise India will use their extensive network, database and marketing systems to recruit Master Franchise Partners for RFG.

Franchise India and RFG will be recruiting Master Franchise Partners for the Gloria Jean’s Coffees, Crust Gourmet Pizza, Donut King, Michel’s Patisserie, Brumby’s Bakery, and Pizza Capers Brand Systems.

With the opportunity for a minimum of six licenses across India, Nell said he is confident RFG’s unique business model will be a major point of difference for potential partners.

“RFG’s strength in brands philosophy positions us to enter the market with multiple Brand Systems, increasing our ability to effectively and efficiently provide enhanced support systems and resources to our partners in the region,” said Nell.

“Our existing support team is currently based in India, made up of seasoned experts in franchising who, along with the experienced team at Franchise India, will be invaluable assets as we work with our prospective Master Franchise Partners to develop a successful model for their territory.”

Behind RFG’s international expansion

RFG’s international expansion model is based on recruiting master franchise partners who purchase a licence to develop a certain brand system in a defined territory.

Nell said the master franchise partner model provided the company and local partners with the opportunity to forge sustainable partnerships to successfully develop RFG’s Brand Systems internationally.

“We firmly believe our international licensees are more like our business partners. Our international model has become very collaborative and supportive as we work with partners on development schedules and growth strategies as well as marketing and training,” said Nell.

“The benefit for partners is access to a wealth of experience in retail food franchising, proven systems and a global training and support framework, while RFG gains a partner with the strategic, operational and financial capabilities to expand each brand system within their territory.”

Nell said RFG’s franchising expertise and strong established Brand Systems provided the company with the perfect opportunity for significant expansion into international markets.

“Refined over 11 years and 40 global territories, RFG’s global franchising expertise and master franchise partner model provides the perfect springboard for the company’s established Australian brands to enter major new international markets.”

Source: insideretail.asia

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