- Player: Devon Scoulelis
- Franchise: Chicken Xpress
- Established: 2011
- Visit: chickenxpress.co.za
Different franchise models are created with different franchisees in mind.
Started in 2011, Chicken Xpress has a lofty goal: To truly place fast-food franchise ownership within reach of all.
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It is no secret that setting up a fast-food restaurant is an expensive affair – for many entrepreneurs, prohibitively so. In fact, a single restaurant could easily set you back a few million.
This is not the case with Chicken Xpress. Its unique model allows the doors of a franchise to be opened for a fraction of the traditional cost associated with a fast-food store.
Can you give us a brief description of the franchise?
Chicken Xpress is a home-grown brand that was developed with a focus on African flavour and a passion for entrepreneurship at its core.
The franchise was developed in KwaZulu-Natal during 2011, when we noticed a need for a business model that could serve the nation’s most-loved product – fried chicken — in an affordable manner, both for the customer and the franchisee, while never compromising on quality.
We focused on smaller-format stores of roughly 80m2 in size that could be built in high-commuter areas across South Africa.
While we have the greatest respect for the overseas brands operating in South Africa, our goal is to be the ‘people’s champion’ of our industry.
While we have kept the core Chicken Xpress model in place, we have also expanded to offer larger-format stores for areas with a large demand for Chicken Xpress.
We opened our first two drive-thru stores in 2015, and launched our ‘Chicken Xpress Container Concept’ which allows us to send pre-built and fitted stores to remote areas where franchisees can get these turnkey stores up and running in no time.
Chicken Xpress is known as a franchise model that’s accessible to all. What makes this the case?
There is a strong entrepreneurial spirit that runs through our brand and we have the utmost respect for entrepreneurs, both those who are starting out, and the well established.
Our business model is easily accessible, even for those who are new to entrepreneurship. Compared to many similar franchises, a Chicken Xpress franchise is quite affordable and boasts low barriers to entry.
We are looking for new and enthusiastic entrepreneurs who want to grow alongside the brand.
With this in mind, training and support is obviously very important. We always say: “As a franchisee, we want you to be in business for yourself, but not by yourself.”
Our head office team assists with site selection, negotiations with a landlord, store design and layout, training of staff, purchasing of stock, and, of course, organising a grand opening.
Once a store is open, we keep a member of our operations team onsite for five days to ensure that everything keeps running smoothly.
If there are any teething problems, we help sort them out. And even after that, head office staff are always available to provide advice and support. We don’t want our franchisees to feel alone.
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What makes a Chicken Xpress franchise a solid investment?
Well, as mentioned, it is one of the few fast-food franchises that are open and accessible to emerging entrepreneurs. We also have a proven track record, as well as low investment costs, and excellent returns for franchisees.
Chicken Xpress head office has a strong passion to grow franchisees across the country.
Franchising has proven itself an excellent system in assisting the nation to decrease its unemployment rate, and grow its people through a sustainable and proven model.
Can you share a bit about your roll-out plan? How will you be growing in the next few years?
We currently have 16 stores across South Africa, and another 40 planned for opening over the next 12 months. Our goal is to bring our offering to every community across South Africa through a rapid yet sustainable roll-out pattern.
We are also expanding across the rest of Africa, and have opened our first stores in Botswana and Sudan.
Moreover, we are currently exploring the feasibility of expanding into Nigeria, Zambia, Uganda, Ghana and other African countries.
Can you describe your ideal franchisee? What are the skills and traits you ideally look for?
An ideal Chicken Xpress Franchisee displays strong leadership and interpersonal skills, and is able to make positive decisions for his or her business.
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An ideal franchisee remains resilient and has a strong ability to motivate team members.
We want franchisees that are passionate about the brand and the long-term strategy we have at Chicken Xpress.
We also want them to be hands-on, which will allow them to really get to know the business.
We ultimately want as many franchisees as possible to own multiple units through successful stores, and grow with the Chicken Xpress family for many years to come.
How Strong Is Your Franchise’s Quality Control?
Your key objective as a franchisor is ensuring every one of your locations maintain the same quality standards. Why?
If you’re concerned about brand consistency as your footprint grows and you acquire more franchisees, listen up. While growth is good, keeping tabs on the quality franchisees are providing versus your company-owned locations’ efforts is difficult, but not impossible.
“McDonald’s is among the world’s most quality-oriented brands, but the value proposition and price point aren’t appropriate for steak and lobster,” says Mark Siebert CEO and Senior Franchise Consultant at iFranchise Group, an author of Franchise Your Business, The Guide to Employing the Greatest Growth Strategy Ever.
“There are, however, high-end franchise brands known for detailed attention to quality. Quality is not about what’s on the menu; it’s about consistency of the operation.”
Inconsistency ruins things
Many franchise brands risk failure by not establishing and maintaining quality for each outlet under the network’s guidelines. Regardless of whether a store is run by your company or a franchisee, if there’s glaring inconsistency in service and product quality between different locations, it’s likely to harm your brand’s reputation.
To establish the strength of your quality control standard, ask yourself the following questions:
1. Is your operational training procedure customisable?
Acquiring new franchisees is a chance to cement your training and quality processes and establish if these can be standardised, or if customisation is necessary.
“Training is equally as important as franchisee selection when it comes to maintaining the brand. The best franchisors routinely provide the most – and the most comprehensive – training to their franchisees,” says Siebert. “If standards aren’t rigorously enforced from day one, chances are these standards will continue to slip, and in the process, they’ll become more and more difficult to maintain.”
Because different locations present varying climates and market preferences, remember to customise your training materials based on respective franchisees’ markets, keeping in mind to remain consistent with your brand’s core identity.
2. Have you provided the right tools in the franchisee manual?
Duplicating your franchise’s success relies heavily on mapping out the roadmap for your franchisees and their employees to follow. The right tools will most likely yield the same results you have achieved.
“Documenting systems of operation lend a big hand in a quality control,” says Siebert. “A robust manual has multi-fold benefits and not only serves as a blueprint for operation, but as an ongoing piece of reference for even the most established franchisee, becoming the default go-to in most every scenario.”
3. Do you understand the role of supporting each franchisee?
Whether you choose to conduct on-site field visits, offer master classes like Nando’s, or check in via email or phone monthly, the ultimate goal should be aiming for higher-quality and more profitable franchisees through ongoing support and reinforcement of brand standards.
Quality control is all about commitment. For a good franchisee, that commitment comes naturally. For the franchisor, it comes at a price. But franchisors who are willing to pay that price will find their ability to build a quality brand greatly enhanced,” says Siebert.
Could Semi-Absentee Franchise Ownership Be For You?
Ready to become your own boss…for only 15 hours a week? Yes, you can become a franchisee while still clocking into work. Here’s how.
If you want to keep your current job while owning your own franchise, you may want to look into semi-absentee franchising.
“A semi-absentee model allows you to work on the franchise for ten to 15 hours per week while continuing full-time employment. Then when the time is right, you can exit your day job to focus entirely on your business,” explains Jim Judy, a consultant at Franchoice.
When you have a capable manager to oversee the daily operations of the business, you have the flexibility to work your full-time job and ownership of a fully-fledged business. But first, the following considerations need to be made:
How will the decision affect your finances?
While being a semi-absentee franchise owner may require less from you in terms of time, the financial commitment is the same as investing in a franchise as an owner-operator. The decision to become a semi-absentee franchisee should not be made before examining your needs, goals and expectations of the business. Asking yourself the following:
- Do I want to become a franchise empire builder?
- Would I like to build numerous concepts?
- How much capital do I have to invest?
Keep in mind that semi-absentee models may take longer to turn a stable profit if you’re not giving it your full attention due to spending less time working on the business.
“Semi-absentee business models are also expensive,” says Heather Rosen, president of FranNet of Virginia, a franchise advisory firm. “Because the owner must not only rent the space but hire a competent manager.”
Do you have the necessary skillset?
The key to managing a franchise while at you have a full-time corporate job is having impeccable people management skills. This is because having a manager run your business while you oversee them requires you to be comfortable with delegating and trusting that they will handle the day-to-day operations of your business.
In addition to people skills, you may think certain talents are required before calling yourself a business owner, but each franchise is different.
“Some franchisees find that the available training and the business concept allows them to use their particular talents and skills to enter semi-absentee franchising without management or business ownership experience,” say experts at Franchise Direct.
Can you balance your schedule adequately?
Even if your plan is to one day leave your job and become an owner-operator of your franchise, while you’re still on your employer’s payroll, you will need to work out ways to handle your nine-to-five tasks with your business’ success. This is an important aspect of choosing the kind of franchise to purchase. While most semi-franchisee suitable options are in retail or the service industry, ensure you’re able to keep track of the business remotely and can periodically check in on how things are going.
Insights On Recruitment That Could Affect Franchise Performance
A critical aspect of operating any successful franchise chain is getting the right franchisees on board.
You’re facing a lot of competition as the franchising industry continues to grow. International brands, local giants, and new innovative entrants to the market require you to step up your game. Not only are you geared for growth, but you need your new locations to compete with the best.
“One of the success factors for franchise systems is market penetration which is often achieved through expansion, by opening new stores with quality standards that match the brand – through franchisees,” says Ethel Nyembe, Head: Sales Optimisation and Planning at Standard Bank Group. “The wrong fit, however, can seriously set a franchise’s growth back many years or cause irreparable damage to its reputation.”
Besides the challenge of trying to make your brand more appealing to franchisees in a competitive market, acquiring the right candidates to join your franchise requires the following:
1. Draw up (and adhere to) a checklist
Not all franchisees are created equal, and even a candidate with previous franchising experience may not be the right fit for your particular brand. Alternatively, you can decide to train a potential franchisee if you see potential.
When narrowing down your list of franchisee candidates, consider the importance of this:
- How important is prior experience in terms of the franchisee’s ability to become profitable in their first year?
- Does he or she have the necessary resources to train and support the franchise?
“You need to be clear about what you want; don’t compromise on your required skills, priority traits and qualifying requirements,” advises Nyembe. “There’s too much at stake financially and reputation-wise to settle for second best.”
2. Network in the right circles
Sometimes, if the talent doesn’t come to you, it’s beneficial to seek it out physically. Industry events are a great place to come into contact with people aiming to own and run their own franchise. If not, your presence at these functions will expose your brand to more potential people to do business with.
“During key annual industry conferences and trade shows (such as The International Franchise Expo), make a point to send attendees, to sponsor or to exhibit in order to increase brand visibility,” advises Nyembe. “Also consider participating in panel discussions.”
3. Get to know your new brand representatives
While personality tests and numerous meetings can give you an idea of whether you’re choosing the right candidate, it’s important to consider taking a more advanced approach to franchisee recruitment.
“Selecting the right candidates to represent your brand is critical to your operation’s ongoing success,” says Sue McConnachie, Vice President, Quality Credit Services Limited. “These franchisees will be the face of your company and you need to trust that they will maintain your brand image.”
The selection of franchisees is crucial because, as it carries both long- and short-term implications, including:
- Reducing franchisee failure and turnover, while increasing success and profitability
- Protecting and developing your brand’s reputation
- Focusing your resources on business planning and management instead of problem-solving
- Decreasing exposure to legal implications when a franchisee’s conduct is negative or their franchise is unsuccessful
- Minimising legal and collection claims against delinquent franchisees.
Selecting your next set of franchisees requires establishing a checklist before viewing any CVs, dedicating time to seek out potential franchisees, and ensure you’re choosing people who will take as much pride in your brand as you do.
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