2015年4月12日星期日

Franchise in Malaysia

Introduce Myself
Hihi! My name is Chan Mei Ying. I'm a student at Unitar International University, regional centre Kota Kinabalu, Sabah. This is my individual assignement of Entrepreneurship by choose a franchise in Malaysia and present the work in a blog.


OldTown White Coffee is one of the biggest franchise in Malaysia.

The frachisors of OldTown White Coffee are Goh Ching Mun and Tan Say Yap.




Background of OldTown White Coffee:


OldTown white coffee was created in 1958, in Ipoh Town, Malaysia. It still is a classic coffee shop in 1958, until now with more than 10 years of experience in the coffee beverage industry already
In 1999, Mr Goh, Ching Mun and Mr Tan Say Yap created their own blend of 3-in-1 instant white coffee under Old Town brand name. The began name is White Coffee in Ipoh.
In 31 October 2009, 3-in-1 instant coffee mix was sold 1,348 retail outlets nationwide in Malaysia, 550 retail outlets in Singapore which is first export country in 2006 and the next export country is 2,100 retail outlets in Hong Kong. Until now it has had 224th store already.
In the 2002, they successfully expanded their 3-in-1 instant coffee mix to cover East and West Malaysia. In 2005 and 2006, they also had established their subsidiaries namely Old Town Kopitiam, Old Town Kopitiam Butterworth, Old Town Kopitiam Kuala Lumpur, Old Town Kopitiam Cheras, Conneczone to focus on operating cafe outlets in different areas and states within Malaysia.

3-in-1 instant white coffee


History in Malaysia:


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 commercialized 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.

Franchisee Location:


KKIA
Lot No. L1L05, Level 1. Arrival Landslide (Teminal 1, ETB), Kota Kinabalu International Airport, Sabah.
Phone: 088-413 820

Fax: 088-413 821
 
KARAMUNSING 
Unit B-0-1 & A-0-7, Ground Floor, Karamunsing Capital, Jalan Nanas, 88100 Kota Kinabalu, Sabah.
Phone: 088-485 088

Fax: 088-487 833
 
MENARA JUBILI
Ground Floor, Menara Jubili, 53, Jalan Gaya, 88000 Kota Kinabalu, Sabah.
Phone: 088-259 881

Fax: 088-254 881
CITY MALL SABAH
Lot S-0-1, Ground Floor, Block A, City Mall, Jalan Lintas, Kota Kinabalu, 88300 Sabah.
Phone: 088-484 261

Fax: 088-484 261
 
ONE BORNEO
G-825, Ground Floor, 1 Borneo Hypermall, Jalan Sulaman, 88400 Kota Kinabalu, Sabah.
Phone: 088-485 588

Fax: 088-485 588
 
BANDAR KINRARA
0.00 km
No 1-0, 1-1, 1-2 & No 3-0, 3-1, 3-2, Jalan BK5A/3A, Bandar Kinrara 47180 Puchong, Kuala Lumpur.
Phone: 016-2262192

Fax: 03-8071 5155
 

Franchisor Management:

Vision
To be Asia Pacific's Leading White Coffee Brand. Old Town White Coffee would like to provide high quality products to customers globally. 


Mission
People: We believe that our people are our assets
  • We acknowledge and appreciate our people as those who grow with us and for their full dedication. We value them for their effort and what they are able to bring to the company, hence we constantly provide a platform and opportunities for career growth and enrichment of knowledge. We cultivate the passion of delighting our consumers into all our staffs to bring forth the best experience possible.
Community: We nurture the community
  • We are aware and committed of our Community hence we operate our business in a manner that does not compromise the wellness of our future generations. We are passionate about our corporate responsibilities and do our best to provide for the community in different ways, from doing our part for the earth we live in to providing underprivileged children with better homes. We will not look lightly upon our social responsibilities as we believe in giving back to the community as part of the effort towards a better future.
Consumers: We delight our consumers with our products
  • We are consumer centric and are always focused on consumer needs. Hence we are dedicated to delighting our consumers with all our product offerings, by committing ourselves in sourcing the finest ingredients through ethical ways to provide them with the best quality products. We hold strongly to our origins in order to bring to consumers the authentic experience that they expect to enjoy.
Mother Earth: We do our part in saving Mother Earth
  • We are attuned with the growing needs to nurture our mother earth and to do our part in caring for the environment. With this, we share and grow the passion and knowledge of caring for the environment with our partners and consumers for them to live this together with us as part of our corporate values.
Investors: We focus on prospering our investors
  • We are dedicated to growing and maximizing the financial rewards of our investors as we see it as a platform for our company to continue to provide to our consumers and the community.

The franchiser will provide training national and regional advertising, operating procedures and operational assistance, ongoing supervision and management support and increased spending power and access to bulk purchasing (in some cases). The Initial training fee includes 6 weeks training & accommodation for a maximum of 15 staff. Additional Management staff is chargeable at RM2000 per person and Service staff at RM 1500 per person.

- How the franchiser train and mentor the franchisees?

Franchiser said define your operating model such as how do you do things? How do you go to market? How do you cost, price, market, sell, serve, manufacture? Get clear on all these points. After that, find entrepreneurial employees who will learn, execute, teach, challenge, and improve your operating model. Engaged employees whose personal success is aligned with their organization's success are key to successful Internal Franchises. Build a culture of ownership. Create and nurture the cultural attributes and beliefs where everyone acts as a steward and even an owner of the business.

Franchiser would investigate the background of the franchisees to investigate whether they are qualify to operate this franchise.


Franchise operations:


Research and development
In 2005, it expanded vertically into the food services sector by opening a chain of cafe outlets based on the traditional Ipoh coffee shop setting and ambiance under the 'OldTown White Coffee' brand name. Since the opening of its first cafe outlet in Ipoh in 2005, its chain of cafe outlets has expanded to around 224 cafe outlets in Malaysia and Singapore. This includes fully and partially owned, and franchised cafe outlets. The management has successfully mixed tradition with modern conveniences, revamped and revived the traditional cafe concept into successful working model with outlets conveniently located and easily accessible customers.

Pricing

Price does affect customers' choice on products or services. Customers are willing to day more because the higher price means higher quality one brand offers. In brand competition,the best price any brand can offer is important yet they have to be careful not to created bad consequences for long term.

Branding

The Malaysia coffee culture also being improvises by re-branding to enhance experience and increasing sales by multiple transactions from regular customer. From small spaces and only selling few selections of foods, Malaysian coffee culture not only providing space but might be escapism for consumer and local society from different hierarchy, not to mention that this is kind of lifestyle and culture that they embrace. As a new lifestyle and trend,Malaysia coffee culture is very popular for all public audience. It has grown along with social change needs and demands.


Franchisee Experience:


One of the franchisee is Mr.Vincent Lim. He is the area manager of OldTown White Coffee, located in Bandar Kinrara, Puchong, Kuala Lumpur.His has almost 10 years experience for operating this  outlet. He have enough drive, skills will be provided during the training, but he didn't have any experience of education.
He is patience, have financial capacity and working hard.

Customer survey in one outlet:


I choose the outlet in Menara Jaya which located in the area of Gaya street.
There have customers who give good comments and bad comments for the services or taste of foods and beverages of this outlet.

Good comments
Awesome and strategic place. Nearby an Italian Pizza Restaurant. The streets will make you seems at oversea.
Wifi very good coverage! No buffering...
Try Enriched choclate & asam laksa. The best!
Service so fast n efficient. Staff very polite. AAA++ for them!!!
- You can enjoy yourself at here..and the coffee taste better..

Bad comments
Portion very small :( not recommended. Please reconsider before you decide to eat here. There are more better restaurant choices at Gaya Street.
Did Foursquare purposely arrange the tips that way, I mean negative ones alternating to those positive ones?good service, then service sucks, rude staff then properly trained staff..awww :p
Avoid OldTown. You get better food and service at Fook Yuen next door.
Servis slooooow mcm kura2..