We are a Women Entrepreneurship Trust aiming at improving the education in India by offering Independent Home based Tutorials where we guarantee every women a lifestyle income of 50000 to 1 lac's per month income.
Separation of Lanthanides/ Lanthanides and Actinides
Draft strategy presentation for happy learning (1)
1. Draft strategy presentation for Happy Learning Center
January 2014
Principal Consultant: Mr. Gaurav Marya
Consultant:
Mr. Shashwat Prakash
Confidential
Francorp India Advisors Pvt. Ltd.
2. Table of Content
S. NO.
TABLE OF CONTENTS
Status
1
Background of the Project
2
Approach to the Happy Learning Center franchise business model
3
Happy Learning Center current business snapshot
4
Mapping the Education System in India
5
Case Studies to analyze the Home-based Franchise System
6
Competition Assessment & Benchmarking in Education & Training
Franchise for Other Segments
7
Assessment of Opportunity for Happy Learning Center
8
Franchisee Business Format
9
Franchisor – Unit Franchisee Relationship
10
Franchise Acquisition Strategy
11
Marketing Need of the Business
12
Way Forward
2
3. 1. Background of the project
Objectives of the study
Project scope of work
3
4. Objectives of the study
To assess the market opportunity in the Private Coaching Education industry
To develop comprehensive strategy to capture market share in different field
To analyze the current franchised model
To Develop a Franchise model & Franchisee Proposition
To set out a roll out plan
4
5. 2. Approach to the Happy Learning Center
franchise business model
5
6. The Intent is to standardize the franchise offerings in the market..
Francorp View
“Happy Learning Center is a new
education training institute brand which
need to be established and performed well.
Now its time to cross the penetration phase
get into fast track growth phase”
The brand has aggressive growth plans and intends to
approach through a standardized and benchmarked
franchise proposition. Standardization will ensure:
Lifecycle
Saturation
Growth
Ideally companies venture into newer markets through a mix
of company owned and franchisee units. So, Happy Learning
Center has initiated penetration into the key markets
through a mix of both the franchise and company owned
outlet
Happy Learning
Center strategy
for the next 5-10
yrs
Penetration
• A sustainable format for future growth
• Ease of operations, faster growth and a large brand
presence
Thus, we have approached the business through a
standardized franchise strategy on the basis of industry
norms
Roll Out
6
7. Hence, we have outlined the business plan with a Phase wise
approach for Happy Learning Center..
The stage wise approach has been formulated with the objective to create
more realistic approach to franchising for the Happy Learning Center
business
Phase I
Diagnosis of current
stores
Phase II
Phase III
Analysis of the franchise
model
Benchmarking
Recommendations and
Strategies for future
franchising and growth
Though issues faced by different markets may differ, the model must be standardized!
Critical reasons for above mentioned phase wise approach:
Understanding of the current model essential to chart out future course of action
Specific recommendations in the franchise offerings !
Independent strategy for growth
7
8. 3. Happy Learning Center current business
snapshot
Snapshots of the business
Management Team
Company USP
8
9. Snapshots of the client’s business operation (1/3)
Name of the Company
Happy Learning Center Education Private Limited
Years in establishment
From 2006
Registered Office
Industry and Segment
Brand Name
Marketing Medium
Courses
401/402, Jamuna Niketan, Manav Mandir Road, Neapensea Road, Mumbai,
Maharashtra, India 400006
Education & Training
Happy Learning Center (HLC)
Distribution of Pamphlets, Facebook advertisements, Quikr Billboards,
advertisements in newspaper, Stalls in social functions etc.
Preparation for competitive school exams and all classes tutorial
Target Group
Only premium customers who wants good quality education at any cost
and want guaranteed results.
Company Required
High profile investors initially, Doctors, lawyers, CAs, Teachers, Principals,
Business men, pre-schools, Hotels owners, Politicians, Rotary club
members, Social workers, ladies in kitty party, MLM leaders in the area,
HR Trainers, Bankers, Jewelers, Senior Police officers
9
10. Snapshots of the client’s business operation (2/3)
About the Company
•
•
•
•
Happy Learning Center is a home based K12 tutorial institute.
It help children to increase the mental strength by several innovative ways.
It is the most highly rated tutorials were people come from 15 km distance to
study
Every teacher can teach 4 kids per batch for 1.5 hours and 0.5 hours is for
Meditation and Goal Visualization and Food break , i.e. 2 hours per batch
timing
Vision
•
To create an Education System based on creating Scientific, Creative,
Inventive, Innovative & Entrepreneurship Qualities, to be financially
independent at an early age
Mission
•
To Create world number one kids. Every kid is infinite potential..
10
11. Snapshots of the client’s business operation (3/3)
Objectives
•
Company want to save children from mental
pollution.
•
Improve current school education which needs
better methods of teaching
•
To eliminate useless commercial tutorial business
methodology of study.
•
Change the Attitude of parents towards children to
study.
•
Improve the children performance in studies.
11
12. Management Team
Name
Designation
Ms. Richa Kumar
Director Trustee of HLC
Mr. Anil Kumar
Director Trustee of HLC
Ms. Binnu Mathur
Trustee of HLC
Mr. Yogesh Mathur
Trustee of HLC
Ms. Girija Anirudhan
Trustee of HLC
12
13. Company USP
Daily Practice of Meditation & Goal visualization.
Students Teach back session.
Video recording of teaching for Revising lessons at home in laptops.
Offer delicious food after every 1.5 hrs study as strategy break time like IPL matches.
Daily /weekly feedback from Quality Departments regarding progress and issues to be
dealt with the child.
Concentration and learning cycle analysis.
There is no studies to be done at home only systematic revision and work sheet sent
on mail regularly.
Daily /weekly Reminder for revision of chapter on mails. Quality Department monitors
the tracking of errors by students.
Weekly/Monthly Error reduction analysis.
Company Teachers help students with problems in meditation (concentration).
Company follow the book Think and Grow Rich by Napoleon Hill for Goal
visualization.
Company refund fees in case of poor performance.
13
14. 4. Mapping the Education System in India
Structure of India Education System
Industry Analysis
Projected Demand
14
15. Structure of the Indian Education System
Education system category based on regulations governing
Education system category based type of education
Formal
Schools
Higher Education
Non - Formal
K12 (Kindergarten to 12th)
Pre school
Private tutoring
Professional courses
Diploma courses
University education
Distance education
Private tutoring
Vocational training
IT / ITES
IT training
Corporate training
Hardware and networking
training
Skill Development
Language Training
Other segment specific
training
E-learning and online
tutoring
Falls under the purview of MHRD with
regulations
15
Segments are free from any regulations
16. Industry Analysis (1/2)
Industry Size:
India rating expects the Indian education sector’s market size to increase to INR 602,410 crore
by FY15 due to the expected strong demand for quality education. Indian education sector’s market
size in FY12 is estimated to be INR 341,180 crore.
The private education segment alone is expected to cross US$ 45 billion mark by 2015 from the
present US$ 35 billion, according to a research report prepared by Investor Relation Society, affiliated
to US based Global Investor Relations Network.
Private Education Industry Growth Rate- 2005-2012
CAGR
16.5%
FY 2012
FY 2005
16
17. Industry Analysis (2/2)
Education Franchisee:
Today Education and Training accounts for around 30% share of Indian Franchise Industry, and there
are more than 50,000 franchise education outlets in the country while there are only 2200 companyoutlets (approx.) operational by education franchisor in all.
17
18. Key Facts on Private Tuition Market
India’s education system has undergone significant capacity expansion over the last decade. Most
of it has been in the higher education and K12 space. As per ASSOCHAM The current size of the
private tuition or coaching industry in India is about $23.7 billion (INR 1,41,416.33 crore) and is
likely to touch $40 billion (INR 2,38,677.36 crore) by 2015.
A survey by the Associated Chambers of Commerce and Industry of India (ASSOCHAM) has revealed
that a whopping 87 per cent of primary school and 95 per cent of high school students in metros
receive private tutoring.
In the last six years (2006-2013), the number of primary school children taking private tuitions
increased by 100 per cent, while the number of high schools students enrolling in tuitions
increased by 92 per cent.
Private tuition industry grew by 35 per cent in the last six years, ASSOCHAM stated in a publication,
“Business of Private Coaching Centres in India”.
Source: ASSOCHAM Survey, June 2013
18
19. Preference to Private Tuition
A survey conducted by ASSOCHAM across 10 cities — Bangalore, Delhi NCR, Mumbai,
Kolkata, Chennai, Hyderabad, Lucknow, Ahmedabad, Jaipur and Chandigarh which reveal
the preference or reason for the private tuition
A majority of the
middle-class parents
have been spending
one third of their
monthly income on
private tuitions for their
wards to do better in
their examinations and
prepare them for
competitive entrance
exams for professional
courses.
Many teachers of
reputed schools and
colleges have left their
jobs to take up private
coaching, for the reason
that the monthly
income of tutors is
equal to the annual
salaries of school
teachers.
The desire to score
well has resulted in
more and more school
children going for
private tuitions.
19
Parents rely on
tuitions due to lack of
time or because they
are ill-equipped to
teach their children.
Working parents have
to spend a whole day
away from home,
making it difficult for
them to pay due
attention to their
children.
20. Value Proposition for Consumer
Fewer distractions. In a classroom setting, noise and other interruptions from
peer groups can hugely affect child's performance. Private one-on-one
tutoring is a much more controllable environment, small batches and
therefore far less susceptible to interference.
Focus on specific areas. A private tutor is able to focus on specific areas that
your child may be having problems with. A school teacher will only be able to
give limited private attention to students as they are constrained by time and
tough targets for subject coverage.
Confidence and self-esteem. These are extremely important factors to
learning any subject. Children will feel more confident in smaller batches
which means they will be able to grasp complicated concepts much more
easily.
Coverage. A private tutor is able to cover a lot of detail in a short time. Every
child is different and a good tutor should be able to identify and adapt to the
individual needs and capabilities of the student.
20
21. Value Proposition for Investor
Eight years of experience in running and managing Private
tuition
Requires Low investment
The profit will start coming in first year itself.
Very high return.
A well designed and researched curriculum.
Guidance and support for advertising, Marketing &
promotion.
Extensive training and ongoing skill up gradation program.
Staff hiring, screening and training.
Scheduled visits from Support Executive.
Meetings, teleconferences and workshops designed to
keep informed and ahead of market needs.
21
22. 5 (1). Case Studies to analyze the Education &
Training based Franchise System
Bansal Tutorial
Kota Tutorial
IIFT
i360 Staffing & Training Solutions
Mexus
22
23. Bansal Tutorials
Business Overview
• Bansal Tutorials was established in the year
1991 to provide coaching to the students
preparing for India’s Premiere Engineering
colleges, the Indian Institutes of Technology.
Company Details
Company Name
Bansal Tutorials
Business Categories
Education
• The institute was founded by a former IIT
lecturer, Dr. T.K.Bansal. It currently claims of
having around 11 centers in different parts
of the country.
Address
65, Kalu Sarai, Sarv Priya Vihar,
Hauz Khas,
New Delhi-110016
• Bansal Tutorials has recognized the
potential of market penetration to tap
talent from smaller towns.
Country
India
Website
www.bansaltutorials.com
Franchise Model
Franchisee Requirement
Franchise offering
• Investment Required - INR 15-18 Lacs
• Area Required-1000-1500 Sq.Ft.
• Royalty to franchisor: 10-15%
• Should have a complementary retail neighborhood with
books shops, stationery shops, educational institutes.
• Payback from the first year itself.
• Franchisee Coordinator: You will be assigned a
coordinator who will act as your main contact person
• Regular checks, feedback & business development
• Updated curriculum, course content and test series on
regular basis
• Marketing and advertising - creative support
23
24. Kota Tutorials
Business Overview
• Kota Tutorials is a Agra based education
coaching institute.
Company Details
• Kota Tutorials has been showing remarkable
performance in preparing and guiding IIT
JEE & Medical aspirants.
Kota Tutorials
Business Categories
Education
Address
14/145, Mandi Sayeed Khan, Near St.
Peter's College, Sanjay Place,
Agra
Country
India
Website
• Kota Tutorials is an educational group
spreaded all across the country to impart
quality education students preparing for IITJEE/Medical competitive examination.
Company Name
www.kotatutorials.com
Franchise Model
Franchisee Requirement
Franchise offering
• Investment Required - INR 5-10 Lacs
• Area Required-1500-2000 Sq.Ft.
• Sound Financial Background
• Royalty to franchisor: 15%
• Payback from the first year itself.
• Recognition & Goodwill of 9 Years.
• Nationally Renowned Coaching Institution
• Complete Centre Development Guidance
• Well Researched study Material for Students.
• Unique Teaching Methodology
24
25. International Institute of Fashion Technology
Business Overview
•
•
•
Company Details
International Institute of Fashion
Technology (IIFT) was established in India
in 1990 by Mr. Ratnadeep Lal – a Leading
fashion technologist.
Company Name
International Institute of Fashion
Technology
Business Categories
Education
IIFT also has a tie-up with over 500
companies and has trained more than
50,0000 professionals, who are currently
working in various countries as well as in
India.
Address
H-12, South Extension Part - I,
New Delhi
Country
India
IIFT has 70+ franchisee center in India
Website
www.iiftindia.net
Franchise Model
Franchisee Requirement
Franchise offering
• Area: 1500-2500 Sq. Ft
• Investment: 5-10 Lacs
• Franchise Fees: 3 Lacs
• Royalty: 20%
• Franchise Term: 3Yrs.
• Marketing Support
• Set up support
• Administrable Support
• All kind of support which require to run a center
25
26. i360 Staffing & Training Solutions
Business Overview
•
•
i360 Staffing & Training Solutions is a
vocational training institute started in
2008 with the aim of reducing the gap
between employers’ expectations and the
available talent pool, by providing
necessary training to improve
employability.
i360 is a fast paced Training Solutions
Company, offering industry specific
custom designed courses to the students
and corporate.
Company Details
Company Name
i360 Staffing & Training Solutions
Business Categories
Education & Training
Address
33, 1st Floor, DLF Industrial Area,
Najafgarh Road, Moti Nagar,
New Delhi
Country
India
Website
www.i360training.in
Franchise Model
Franchisee Requirement
Franchise offering
• Area: 700-1000 sq. Ft
• Investment: 6-10 Lacs
• Royalty: 25%
• Franchise Term: 3 Yrs.
• i360 organizes induction programmes for new Business
Partners and their staff
• i360 takes Marketing & Advertising campaign creation
initiatives at a national level
• Onsite and Offsite support periodically
26
27. Mexus
Business Overview
•
Mexus’s focus on Combining engaging
educational content with technology
creating futuristic educational models for
children of different age groups.
Company Details
It derives its futuristic outlook from its
dynamic mix of intellectual professionals,
managerial team, enterprising investors
and an experienced advisory board.
•
It’s key endeavour are towards creating
futuristic technology-based models for
education.
Mexus Education Pvt. Ltd.
Business Categories
•
Company Name
Education & Training
Address
Mexus Education Pvt Ltd.
612, Midas, Sahar Plaza,
J.B Nagar, Andheri(E),
Mumba
Country
India
Website
www.mexuseducation.com
Franchise Model
Franchisee Requirement
Franchise offering
• Area: 300 sq. ft.
• Investment: 13-15 lakhs
• Franchise Fee: 2 lakhs
• Royalty: 15%
• Marketing Support
• Set up support
• Administrable Support
27
28. 5 (2). Case Studies to analyze the Home-based
Franchise System
Jymka
Beehive DataSoft
Maid2Clean
Multi Link
Genieforyou.com
Rajdhani Data Center
28
29. Jymka
Business Overview
Company Details
• Jymka is an subsidiary of Irish company,
KidFit, which is established in 2003.
Company Name
Jymka
• It teach many sporting skills and other
activities and offer specialized gymnastic
and sport class programmes.
Parent Company
Fit Kids
Business Categories
Kids fitness
• Expert instructors use state-of-the-art
equipment to provide a safe platform for
children to learn movement & gymnastic
skills, tumbling & agility obstacle courses,
multi-sports & skills and fun active.
Country
India
Website
www.jymka.com
Franchise Model
Franchisee Requirement
Franchisee Revenue
• Area required should be 1500 sq. ft.
• Franchisee fee Rs. 3,00,000.
• Investment requirement is 13 – 15 Lac
• Franchisees must have the use of a Car, laptop with
broadband, MP3 player and speakers, printer and have
a Cert in First Aid course.
• Revenue based on the enrollment of the student .
• Payback Period would be 1 year
• Rate of return for the first five year would be around
152%.
29
30. Beehive DataSoft
Business Overview
Company Details
• Beehive DataSoft is a Bangalore Based
Company and operate in all fields like data
entry projects, pcb design, engineering.
Company Name
Beehive DataSoft
Parent Company
Bindu infotech Solutions
Business Categories
Home Based
• Company has about 10 years experience in
electronics and data entry domain.
Address
• Company offer home based work of data
such as image to doc conversion by typing
and provide payment upto 70% to 100%
accuracy.
1st floor,behind vakkaligara kalyana
mantapa, Doddaballaur, Bangalore ,
Karnataka – 561203
Country
India
Website
www.binduinfotech.com
www.beehivedatasoft.com
Franchise Model
Franchisee Requirement
Franchisee Revenue
• Should be any firm or a company with small space and
• On every sale, Franchisee will get Rs.1000/- up to 5
Sales.
• 6th to 15th Sale Rs.1500/-.
• 16th Sale onwards Rs.2000/-.
• Bonus and Extra benefits shall be considered on
performance
staff with good communication skills.
• Franchisee fee Rs.10,000/- for 6 months.
• Minimum sales are 5 projects per month.
30
31. Maid2Clean
Business Overview
Company Details
• Maid2Clean, a core service provider for
domestic cleaning company of UK.
Company Name
Maid2Clean
Business Categories
Domestic Cleaning
Address
Caidan House, Canel Road, Altrincham,
Cheshire
Origin Country
UK
Website
www.maid2clean.co.uk
• It start in 1993 and offering franchise from
2003.
• Presently, the brand has 160 franchise
centres in the UK, Ireland, Canada and
Australia
Franchise Model
Franchisee Requirement
Franchiser offering
• Area required should be 150-300 sq. ft. Or home based.
• Franchisee fee Rs. 12.75 Lacs (For Area franchise)
• Investment requirement is 15 – 20 Lac
• Target Cities: Hyderabad, Mumbai, Kolkata, Delhi,
Chennai and Bangalore
• The USP of business is the faster pay back period and
the quick break even point.
• Pre-post Lunch Assistance, Stationary, Training Module,
Operational Support, Marketing Knowledge,
Technology Support is given by the company.
31
32. Multi Link
Business Overview
Company Details
• Company offer business in box service.
Company Name
Mos Utility Pvt.Ltd
• Company provide complete travel or
ecommerce website with best fares.
Business Categories
E commerce solution
Address
3-3-50&50/1 Amrutha Arcade Kachiguda
Hyderabad 500027
Origin Country
India
Website
www.multilinkworld.com
• Company provide the maximum
commission on any booking of ticket,
package or any other deal.
• Company expand their horizon through
franchise model.
Franchise Model
Franchisee Requirement
Franchiser offering
• Minimal area required or an operate from home based.
• Franchisee fee Rs. 7,000
• Investment requirement is Rs 20- 25 thousand.
• Franchisee must have Computer, Laser Printer, Internet
Connection, Bank Account, Basic Computer knowledge
• Travel Startup Kit
• Your Own Website (100% Online)
• Banner 06Ft x 03 Ft
• Operation Manual
• Indian Railways as authorized agent
• Multilink Online Services Partner Certificate
32
33. Genieforyou.com
Business Overview
Company Details
• Company provide web technology based
marketing, branding and media solution in
various domain to SMB customer in India
and across the world.
Company Name
Genie Communications
Business Categories
Web Based Creative Studio
Address
Level 9, Raheja Towers
26-27, Mahatma Gandhi Road
Bangalore 560 001
Origin Country
India
Website
www.genieforyou.com
• It also offer consulting services in the same
domain.
• It is situated in Bangalore, Chennai,
Gurgaon, Hyderabad, Kolkata, Mumbai,
Nagpur, New Delhi and Pune.
Franchise Model
Franchisee Requirement
Franchiser offering
• Minimal area required 50-150 sq.ft., SOHO set up
(Small Office Home Office).
• Franchisee fee Rs. 1.25-1.75 Lac for 2 year contract.
• Franchisee must have Computer, Laser Printer, Internet
Connection, Bank Account, Basic Computer knowledge
• 20% to 30% gross profit.
• Payment is directly credited to the franchisee’s bank
account before 7th of every month.
• Offer Training and other required support.
33
34. Rajdhani Data Center
Business Overview
Company Details
• RDC- Rajdhani Data Center is an Data center
established in Jaipur Rajasthan by the name
www.rajdhanidatacenter.com .
Company Name
Rajdhani Data Center Private Limited
Business Categories
Hosting Services and Web Development
• This Data Center provide with all services
they are Shared Web Hosting for Linux and
Windows, Dedicated Servers, Virtual
Dedicated Servers, Server Co-location
Services and SEO services.
Address
Rajdhani Data Center Private Limited
Siker Road, Jaipur
Rajasthan
Origin Country
India
Website
www.rajdhanidatacenter.com
Franchise Model
Franchisee Requirement
Franchiser offering
• No area required, word of mouth business, need good
contacts in the city
• Franchisee fee up to Rs 50,000.
• Franchise Term would be 10 Years.
Average Monthly Income Assurance• For Master Franchise- This will be Rs 21000/- monthly
(i.e. Net Approx. Rs 50 Lacs in the Franchise Period)
• For Franchise- This will be Rs 4000/- monthly ( i.e. Net
Approx. Rs 10 Lacs in the Franchise Period.)
34
35. Amway
Business Overview
Company Details
• Amway India was established in 1995.
Company Name
Amway India Enterprises Pvt. Ltd.
• It commenced commercial operations in
May 1998.
Business Categories
Hosting Services and Web Development
Address
First Floor, Elegance Tower, Plot No. 8,
Non Hierarchical Commercial Centre
Jasola, New Delhi - 110 025
Country
India
Website
www.amway.in
• It has emerged as the country’s largest
Direct Selling Company.
• The Company has provided income
generating opportunities to over 550,000
active Distributors also known as Amway
Business Owners
Amway Sales & Marketing Plan (ASMP)
• Retail Profit Margin: Distributors buy Amway products at Distributor Acquisition Price (DAP) and may resell
products at a retail price, not to exceed the maximum retail price, as published.
• Commission on Personal Purchases: Under Amway’s Performance Bonus Schedule (6% - 21%) a Distributor may
earn commission on the volume of the Distributor’s individual purchases of Amway products during the month.
• Commission on Group Sales: A Distributor may recruit a sales group and based on the success and productivity (as
defined by product sales) of the sales group, a Distributor may earn commissions. It is important to note that a
Distributor only earns commissions on the volume of Amway products actually sold in accordance with Amway’s
Performance Bonus Schedule.
35
36. 6. Competition assessment and Benchmarking in
Education & Training Franchise for Other
Segments
Benchmarking Analysis in Education & Training franchise
system in Other Segments
36
37. Snapshot of other franchise offerings in the small investment bracket..
Brand name Vs
the franchise
offerings
Food sector: Yum
brands with its YO
kiosks
CCD with its smaller
format CCD express
Semi precious jewelry
store franchised formats
Peter England franchise
stores
Area
50 -100
60 -100 sq ft Kiosk
300 -500
400 -500
Total
Investment
500,000
Under multi unit
franchise contracts
Security deposit model 5
lacs; 80% refundable and
20% goes as non
refundable
20 -25 lacs (1300 psft)
15 -20 Lacs (1500 psft)
Brand
penetration
Low
High
Medium
High
Choice of retail
location
Malls/ Hi street
High footfalls locations
Malls/ Hi street
Mid market malls / Hi
street locations
Franchise fees
5 -10 % of project
cost
NA
5 -10 % of project cost
2 Lacs
Margins
offered
Not applicable
Not applicable
30- 35%
30 -33% on Outright
13 -15% on consignment
Royalty (if any)
7%
20%
None
None
Marketing fund
(if any)
None
None
None
2% of sales
Estimated Pay
back period
1 year
1 year
1 -1.5 years
1.5 -2 years
37
38. Learning's from the Benchmarking study of Industry Players
Entering into franchise model indicating management
vision and realization of company potential.
Investment indicates capital intensive and strays away
non-serious people in the franchise business.
FOFO (Franchise owned Franchise operated) models is
the most preferred way of expansion
Employment of Professionals’ indicates they want to
communicate clearly who they are to the target
population.
WHY WERE THEY SUCCESSFUL?
• Early move to franchise model, thereby gaining first mover advantage in the particular industry.
• Unit and Multi-unit franchises strategies are used to penetrate deeper into the market.
• Additional revenues to Happy Learning Center obtained through franchise fees and royalty.
• Pan-India expansion once the operations are established in Central India.
38
39. Thus, it is recommended to follow the best practices of the Industry for
the franchise business model.. (Home Based Model)
Key recommendations
Average area (sq ft)
Investment (Lac)
2.5-3.5 lakhs
Construction cost (per sq ft)
NA
Average Sales (lacs)
2-4%
Average break even (years)
Within 1 year
Franchise fees (Lac)
INR 50,000 - 1 lakh
Royalty (%)
15%
● The ideal size of
centre/premise should be
as per the volume and can
be managed premise being
home based.
1 – 1.5 lakhs
Marketing cost (%)
Recommendations
for Happy Learning
Center
2 Rooms (Home based)
● Royalty should not be more
than 15% bringing revenues
to both Franchisor and
Franchisee
● Commission of 30-35%
should be given to given to
the Part-time faculty.
● Also, for affordable home based education & training brands, the construction cost will be minimal
with a minimal cost on equipment
● We recommend charging fixed royalties of 15% of gross sales on a monthly basis & a central marketing
fund of 2% of gross sales each.
39
40. Thus, it is recommended to follow the best practices of the Industry for
the franchise business model.. (Centre Based Model)
Key recommendations
Average area (sq ft)
Investment (Lac)
5-6 lakhs
Construction cost (per sq ft)
300-350
Average Sales (lacs)
2.5-3.5 lakhs
Marketing cost (%)
2-4%
Average break even (years)
Recommendations
for Happy Learning
Center
200-500
Within 1 year
Franchise fees (Lac)
INR 1 - 2 lakh
Royalty (%)
15%
● The ideal size of
centre/premise should be
200-500 sq. ft.
● Royalty should not be more
than 15% bringing revenues
to both Franchisor and
Franchisee
● Commission of 25-30%
should be given to given to
the Part-time faculty and
15% to Full-time faculty.
● Also, for affordable home based education & training brands, the construction cost will be minimal
with a minimal cost on equipment
● We recommend charging fixed royalties of 15% of gross sales on a monthly basis & a central marketing
fund of 2% of gross sales each.
40
41. Risk & Remedies
•
Confidentiality in
Business
Starting Business
on Own
•
Associated Risk
Customer
Satisfaction
•
Substantial
Business
Generation
•
41
Confidentiality in Business: Confidentiality
of content, customers, pricing etc. needs
to be maintained by signing a robust
agreement with the Trainer/Teacher and
should be a mandate.
Starting Business on Own: Clause will be
mentioned in the Franchise Legal
Agreement to safeguard the interest of
Franchisor.
Customers Satisfaction: All Franchisee
Owners will share compete customer and
sales data with Franchisor. Feedback form
filled and signed by customers should be
submitted by Franchisee on an weekly
basis and Franchisor should call the
customers to ensure their satisfaction.
Substantial Business Generation: Need to
incentivize the business and also need to
replace the non-performing franchisee
and should be a part of agreement.
42. 7. Assessment of Opportunity for Happy Learning
Center
Franchise capability test
SWOT Analysis for Happy Learning Center
Strategies for business model
42
43. Feasibility 12 point Analysis
Criteria
Current
Model
Franchise
India
Model
Credibility
3
4
Refined and successful Prototype Operations
3
4
Market Trends and Conditions
4
4
Differentiation
4
4
Documented Systems
3
4
Capital
3
3
Transferability of Knowledge
3
4
Affordability
3
3
Commitment to Relationships
4
4
Adaptability
3
4
Return of investments
3
3
Strength of Management
3
3
Score for the Company
39
44
The opportunity is ripe to tap the
phenomenally growing Private tuition and
coaching business.
Not Franchisable
We feel, with the sporadic demand
coming from all sectors of society and
increased focus on Scoring high marks,
Happy Learning Center should develop
deeper reach and a PAN India growth
chart.
Franchisable in
the current
Indian Market
0-15
Moderately Franchisable
Currently, the organised market stands
with less competition in private K12
tuition.
16-35
Definitely Franchisable
>35
43
44. Feasibility 12 Point Analysis
Criteria
Description
Credibility
Happy Learning Center is already an established name in the areas it serves. The franchised
model will also bank on the credibility previously built.
Refined and successful
Prototype Operations
The company has one outlet on board and is doing fair in terms of revenue generation and
business profitability. The unit will serve as the business prototype suitable for franchisee
Market Trends and
Conditions
The business is growing phenomenally. The demographics is shifting in favor of such segments.
Differentiation
Happy Learning Center an Innovative concept catering to small kids to youngsters. However,
with larger expansion plans in mind, the company will have to evolve as a best education
services institute which offer best education under one roof for school level to university level.
Documented Systems
Franchise documents for the business operations are already developed by the company.
Francorp is in the process of vetting all the information, creating the detailed documents at par
with international standards.
Capital
The business would demand low amount of investments. However basis the company’s
expansion plans we have devised the unique business models for moderately low rental
location.
44
45. Feasibility 12 Point Analysis
Criteria
Description
Transferability of
Knowledge
If experienced human resources are hired, moderately simple to transfer knowledge. Retailing is
a science that requires ‘basic intelligence’, ‘taste for good life’, ‘aesthetics’ and ‘general
managerial abilities’ which can further be groomed through systematic training. Every
prospective franchisee will have basic understanding of the retail business and thus ‘training’
will not be a major challenge. However, training the technicians and retaining them is one of
major issue .
Affordability
The business is relatively affordable for a franchisee due to low overheads/ low cost of delivery/
larger spend ticket size and give good returns after reaching a certain mass. The business is bit
expensive on the HR front, with employees requirement costing with part-time employees with
high revenue sharing.
Commitment to
Relationships
Backed by the clean corporate philosophy exhibited at all levels, Happy Learning Center possess
high level of commitment towards happiness of business associate.
Adaptability
Indian consumer is open to novel business formats, future looks promising!
Return of investments
Sustainable and attractive growth at Unit franchisee level. Break even in the first or second year
is very lucrative for the franchisee.
Strength of
Management
The company has high experience of decent technical/operational knowledge, likely to bring in
best practices to franchisee business as well.
45
46. SWOT Analysis for Happy Learning Center
STRENGTH
WEAKNESS
Cost of acquiring customers is high initially
High operating costs in up market locations
Pricing Pressure
Growing regional Brand with Unique Business Proposition
Less affected by recession.
Efficient supply chain management
High margins business after reaching a critical mass
Backed by vast experience and industry knowledge
Ability to manage & train faculty;
Management involvement in all areas of operations
OPPORTUNITY
THREAT
Private tuition & coaching industries are on a growth curve in
India.
Sizzling growth in tier II and tier III cities.
Increasing competition and willingness to grow among
youngsters.
46
Intense competition (although fragmented) from
unorganized players
Rising real estate costs
Pricing pressure from peers
Low entry risk.
47. The strategy should be to gain position & selectively push for market
share
Industry Life cycle stage
Embryonic
Growing
Matured
Ageing
Dominant
Strong
Favorable
Tenable
Weak
Competitive positions
Dominant:
Strong:
Favorable:
Tenable:
Weak:
• Rare. Often results from a near monopoly or
protected leadership.
• A strong business can usually follow a strategy
without too much consideration of moves
from rivals.
• Industry is fragmented. No clear leader
among stronger rivals.
• Business has a niche, either geographical or
defined by the product.
• Business is too small to be profitable or
survive over the long term. Critical
weaknesses.
47
According to an ‘India rating’, the size of the
education sector is expected to above US$ 100
billion by 2015 with the rise in government
expenditure along with an increase in middle-class
income .
There exists a large customer base ready to be
served with innovative services, as well as
corporate/institutional sector which can be tapped
by group discounts.
Happy Learning Center can leverage its position as
one of the first few players in the industry with a
first movers advantage.
Ideally, Happy Learning Center should try and gain
position through both up sell and cross sell to its
existing customers, innovative marketing
strategies, impeccable services and high focus on
key fashion trends.
Happy Learning Center should also work on further
building its brand image and brand recall to tap
both a larger customer base and investors through
franchising.
48. The success of the business model will demand a high market
penetration and development activity
Market
Product
Current
New
Current
Penetrate
Market Dev
New
Product Dev
Diversify
The market in India, is unorganized, growing, and dynamic in
nature, so are the services and products offered.
It can be observed that customers are willing to spend in
even tier I and tier II cities, and a market exists, however
trends vary from conservative to unconventional depending
to the size of the city
Market Development:
Current - The metros enjoy a customer base in sync with the latest trends and support all types of services and
products. The service spectrum can be expanded here as well as more outlets can be launched to tap the ever
increasing market
New - A reduced service line can be offered at tier I and tier II cities, smaller formats with lower number and less
qualified staff may also be employed initially.
Product Development:
Current – successful products and services at large format metros may later be introduced at tier I and tier II cities.
New – successful products, services and trends overseas may be introduced at large format outlets. Customer
feedback may be incorporated and key global technologies and techniques may be employed depending on their
financial feasibility.
48
49. Therefore the final terms & conditions for Happy Learning Center
would be as follows: (Home Based)
The franchise offerings for Happy Learning Center
Area
As per Volume
Total Investment
INR 2.5-3.5 lakhs
Brand penetration
Focused marketing efforts needs to channeled
Choice of retail location
Location with good visibility, ideally at a residential property
Franchise fees
INR 1 lakh
Royalty (if any)
15% royalty is recommended keeping the industry standards in mind
Marketing fund (if any)
We recommend a total of 2% central marketing fund contribution, wherein
2% would be contributed towards local marketing.
Marketing collaterals
To be provided by the franchisor on cost basis
Term of business relationship (years)
3 years
49
50. Therefore the final terms & conditions for Happy Learning Center
would be as follows: (Centre Based)
The franchise offerings for Happy Learning Center
Area
200-500 sq. ft.
Total Investment
INR 5-7 lakhs
Brand penetration
Focused marketing efforts needs to channeled
Choice of retail location
Location with good visibility, ideally at a residential property
Franchise fees
INR 1.5 lakhs
Royalty (if any)
15% royalty is recommended keeping the industry standards in mind
Marketing fund (if any)
We recommend a total of 2% central marketing fund contribution, wherein
2% would be contributed towards local marketing.
Marketing collaterals
To be provided by the franchisor on cost basis
Term of business relationship (years)
3 years
50
51. For an ideal franchisee profile, Happy Learning Center should
franchisee through the FOFO..
Franchise Owned and Franchise Operated
●
Franchisee brings all the investments both for the initial capital and also the working capital costs.
●
Since the franchisee has invested a large amount of money in the business, he has vested interest and stake in the
business.
●
Will bring in more efficiencies, better control; thus likely to have a profitable business venture
●
Limited training & man power costs to the franchisor
●
The Franchisee pays royalties to the franchisor
●
This FOFO business model is expected to the bring sustainability and independent scalability to the franchisee.
Francorp’s recommendations: We feel there exists high opportunity for the better services in the given segment
and there is a shortage of such concepts which are customized as per end consumer needs. However, the model is
most suitable with the Franchise owned and Franchise operated model targeting the metros and Tier-I & Tier –II
cities in the initial phase.
51
52. 8. Franchise business format
Franchise business format requirement for the deal making
52
53. Franchise Model - Options
Master
Franchisee
Unit
Franchisee
Option
of
Multi Unit
Franchisee
Alliances
Area
Franchisee
Zonal
Franchisee
Considering the ‘Happy Learning
Center’ business model and industry,
possible options are Unit or MultiUnit Franchise. Again considering the
risk factors of the business and
operational effectiveness;
Consultants recommend UNIT
Franchise as a feasible option at this
growth phase and option of MultiUnit Franchise can be considered at
the penetration phase of newer
markets.
Property should be ideally a room at
residential place/apartment.
53
54. Franchise Fee and Royalty Approach
The methodology for fee determination calls for Franchisors to look to their franchise fees primarily
as a cost recovery tool and only secondarily as a profit center. However, would obviously like to
maximize its franchise fee revenue. Royalty is generally based on education franchise format.
COST PLUS
APPROACH
COMPETITIVE
APPROACH
PERCEIVED
VALUE
APPROACH
• The cost-plus approach is one way to determine the "floor" level above which a franchise fee
should be set. To establish this floor, the Franchisor calculates its total marketing, training and
initial support costs involved in selling a franchise and add a reasonable markup.
• Francorp recommends a "ceiling" price for the franchise by considering what the market will
bear.
• Francorp uses this approach to determine where a franchise fee should be set above the
"floor" price.
• Note: Some franchisors will intentionally price above the ceiling price to establish the
"EXCLUSIVITY" of the franchise offering, while others will price well below its assumed costs in
an effort to saturate the market.
Francorp recommends franchise fee of INR 1 Lac for 3+3 year term with renewable option fee of
INR 50,000 payable after agreement tenure with royalty of 15% on gross sales.
For Centre based Franchise, we recommend a Franchise Fee of INR 1.5 lakhs with 50% of the
amount as renewal fee.
54
55. Franchise Profiling(1/2)
Any opportunity for a franchisee can be assessed on the basis of the several parameters. The below
radar chart portrays the impression that a franchisee will have a training classes like ‘Happy Learning
Center’. We have rated the following 10 parameters on a 5 point scale.
Investment capacity.
Ability to run the business.
Teaching Experience.
Ability to manage faculty.
Space and Location.
Network strength.
Educational Qualifications.
Experience in educational training.
Comfort level with franchisor.
Passion for education.
55
56. Franchise Profiling: Primary Shortlist (2/2)
FRANCHISEE
REQUIREMENT
EXISTING OWNERS OF
TRAINING CENTERS
HOUSEWIVES
EXP FACULTY
Investment Capacity
3
5
3
2
Ability to Run the Business
4
4
5
3
Teaching Experience
2
2
3
4
Ability to Manage faculty
4
2
4
3
Space and Location
4
4
5
3
Network Strength
3
3
4
4
Educational Qualifications
3
2
2
4
Experience in Educational Training
4
2
3
4
Comfort level with Franchisor
3
3
3
2
Passion for Education
5
3
5
5
TOTAL
35
30
37
34
INDICATORS
High profile investors like Doctors, Lawyers, CAs, Teachers,
Principals, Business men, Pre-schools, Hotels owners,
Politicians, Rotary club members, Social workers, ladies in
kitty party, MLM leaders in the area, HR Trainers, Bankers,
56
Jewelers, Senior Police officers shall also be targeted.
3rd
1st
Preference Ranking
2nd
57. Identifying other appropriate franchise profiles
Investor Types
Government
employees who
have taken VRS &
Senior Citizens
Bankers and New
set of CAs, IFAs,
DSAs
Insurance Agents
Real estate Brokers
Pure investors
Degree of
Appropriateness
Remarks
They probably
would like to use
their time
constructively, and
possibly get into a
business with ample
of time and cash
reserve.
Already have huge
clientele
and
typically have under
utilized
facilities
which may not be
profitable with the
current set up but
the fortune wheel
can be reversed by
getting
into
franchise set up
with Happy Learning
Profile’s good wrt
the network that an
agent bring in along
with the existing
insurance clientele.
The one concern
would be heavier
focus on insurance
due to comfort with
the product line.
Existing customer
base,
already
possessing a facility
however would like
to diversify their
business.
Though this profile
offers good options
in
terms
of
financially healthy
investor but the
worry
is
participation in the
store operations on
a daily basis and the
business bent of
mind
Model Type
Can be definitely
considered for FOFO
(Home-based)
Good option for
Centre based FOFO
Good option for
being a FOFO (Both
models), provided
they have sufficient
capital.
Should
be
considered for FOFO
(Centre based)
Should
considered
multi-unit
Scale
Most appropriate franchise for the type of format 57
Least appropriate franchise for the type of format
be
for
58. SOMF Analysis for Potential Market(1/2)
TO DRIVE THE REVENUE AT THE CENTER, IT IS ESSENTIAL TO UNDERSTAND THE ATTRIBUTES OF THE
STUDENTS THERE BY DRIVING THE SUCCESS OF THE CENTER.
Strategic
Fit
Marketing
Fit
Operational
Fit
ATTRIBUTES OF POTENTIAL CUSTOMER
58
Financial
Fit
59. SOMF Analysis for Potential Market(2/2)
Strategic Fit
Operational Fit
Marketing Fit
Financial Fit
Is the city viable
for setting up
training center?
Will it possible to
operate the
center in the
particular
shortlisted city?
Is the center
economically
viable to market ?
Do all the cities
make a
financially viable
plan ?
• Marketing cost
• Yield per sqft
• Efficiency per centre
Market penetration
• Increase in market
share
• City profile
• Set up cost
• Social conditions
59
60. Roll Out Strategy (1/3)
Selection of rollout cities were based on:
Target Customers
Target customers for the ‘Happy Learning Center’ business will be Kids. At initial rollout phase, ‘Happy
Learning Center’ has to target such population in the tier 1 and tier 2 cities, specifically Mumbai during
initial phase, then as Western India in 2nd phase. After setting and running up profitably in these areas,
the services might be rolled out as PAN India. However at each stage of expansion cluster approach is
considered on the basis of population, premium residential colonies/apartment etc.
Market Size
Most of the near by tier1 cities of country have a potential for minimum 30-40 centers and the tier 2
cities have a potential of minimum 20-30 centers. Tie-ups with schools, colleges and corporate is a
huge market with ready and continuous customers.
Brand Image
For initial phase of franchise operations, as mentioned above will target western India, since being a
known brand and for operational effectiveness. As the business is influenced by reference and word of
mouth which leads to increase in brand value company will enter in newer markets.
60
61. Roll Out Strategy (2/3)
City Demographics
Franchisee centers will require minimum of 150 Sq. Ft. preferably in a residential property area near
premium residential places within the city premises.
Competition
After making its stand in nearby states, company will enter in competitive markets on the basis of its
quality offerings and proven track records.
61
62. Roll Out Strategy (3/3)
Phase 1
Phase 2
Phase 3
• Western India
Francorp recommends
cluster approach at
each stage considering
the population etc.
• Central India
• PAN India
62
63. 9. Franchisor - Unit franchise Relationship
Obligations of the subjects
63
64. Franchisor’s Obligations
Provide course structure to be delivered by the franchisee during business operations for the Unit franchisee
Training programs on a regular basis for the Unit Franchisees, as well as additional training for sales stuff and
marketing team.
Provision of all administrative forms & formats.
Provision of all forms, formats, Cash Sheets, Sales Sheets and Monthly report sheets.
Provision of informative material, presentations, reference books and other required notes.
Assistance in organizing of local promotional activities and events.
Printed material like Brochures, Pamphlets and Flex Banners on cost basis
Assistance in monitoring and managing the business to make sure that the best business practices get implemented at the
franchisee end to run it on profit. Step wise training programs (start-up phase, the operating phase and the growth phase.)
Happy Learning Center will also take care of quality of services to be delivered at the franchisee end as well as to
the end customer (Thorough candidate feedback, regular check candidate profiles etc.)
64
65. Unit franchisee Obligations
Center- Site Selection (In case it is a commercial property)
Fit-outs of the office as per the company’s specifications
Pre-opening purchases of required equipments, software's etc.
Full involvement in opening launch promo
Attending initial and ongoing training individually plus key staff
Payment of fees to the franchisor on monthly basis
Compliance with standards and policies/operating guidelines
Compliance of the customer service standards as set by Happy Learning Center
Be adequately insured
Proper maintenance of books and accounts
Follow timely reporting structure of database developed at the franchise end
Will have to ensure smooth flow of business at all times
65
66. Pre-Opening Franchise Support extended to the unit franchisee
Comprehensive turn-key assistance from site selection to setup and start operations
Layout and design; architectural support
Pre-opening purchasing assistance
Assistance in organizing of launch promotions
Training:
• A comprehensive training is provided to all the Franchisees on service operations, Each and every standard check up procedures,
accounting, inventory control etc. Employees from all verticals are being trained on a regular basis which helps to continuously groom
and enhancing operating efficiencies of employees.
The franchisor can provide following assistance to its franchisees during this period:
• Ordering of all equipments for the center
• Negotiation of suitable terms and organizing of lease
• Monitoring of fabrication of the center
• Daily/ weekly assistance in the service operations.
All the franchisees are put through a highly focused support system which educates them on utilizing
their entrepreneurial skills to become highly efficient and happy franchisees.
66
67. Post Opening Franchise Support extended to the unit franchisee
Operations Guidelines
Franchisee Coordinator
Ongoing R & D, marketing and customer service and other related market development initiatives
Advertising & local promotion:
• The franchisor will organize events specific to marketing/ branding for Happy Learning Center business at the
national level. This will include participation in the related retail expos/ sponsoring such events, tie ups with
magazines/ newspapers etc and much more in collaboration with its business partners to promote its each
Franchisee outlet.
Control and check the job conversions ratio
Operational support:
• Day to Day operations, Technical & Administrative advices.
Regular advices on inventory control and administrative issues.
Frequent official visits, audit, advices on local promotions programs etc.
Structured Marketing Ideas to suit a location
PR support:
• Regular PR coverage at national as well as regional
• Centralized Brand Building through all media - Print, Outdoor, Web, Retail, Electronic.
67
69. Franchise Acquisition Strategy
Target Market
Strategy:
• The use of some franchisees in only certain markets and with company-owned
units in other markets. This strategy is used where a strong local or regional
company wishes to expand in remote markets.
Spiking Strategy:
• The use of company-owned units to develop a presence in specific markets for
the purpose of creating a franchise demand.
Opportunistic
Strategy:
• Sell franchisees at the moment and at the place the opportunity arises.
• Let the franchise operators suggest potential business locations and open new
units when good sites have been identified.
Projected
Performance
Strategy:
• Explore each market by searching for favorable locations and develop a portfolio
of potential locations. Develop only the most promising sites.
Unit Franchise : Target Market Strategy along with the Opportunistic strategy
(specific for phase approach to the roll out cities)
69
70. Franchise acquisition process
Marketing
Email Blasts to prospects
Advertisements in The
Franchising World & website
Lead Generation
Lead Management
Basic Information provided
to all Inquiries.
Franchise meetings, further
scrutiny of the prospect.
Recruitment
Franchise Application
signed.
Expression of Interest
generated
Agreement Process
initiated.
Site details will be discussed
as per client requirement
Rollout Plan.
Franchise Exhibition
Franchise kits &
Communication design
Information/training to all
regions by Francorp
Weekly progress sheet
submitted to client
Test & measure marketing
activity- to identify gaps.
Expression of Interest
Detail Application form
Signing the
agreement
Franchise Evaluation
Franchise Approval
70
City & Site
evaluation
72. B2C Marketing
Marketing of Happy Learning Center is needed to build long term brand equity, to
communicate the brand’s benefits and hence incentivize the consumer to purchase the
services. Long-term results will occur when Promotions would work in conjunction with
advertising and other elements of marketing mix.
Advertising
Long Term
(Builds Equity)
Advertising and PR
Brand PR
Promotions
Strategic
Short Term
(Builds Usage)
Sales Promotion
Tactical
72
73. Why Promotion is needed for Happy Learning Center?
Promotions would translate favorable attitudes towards the brand into sales through offering a
value proposition and an encouragement to the consumers to buy the services. Primary objectives
are as follows:
• Increase Household Penetration
• Increase Share of consumers category purchase
• Increase Consumer Consumption
• Maintain current users/current purchase levels
• Counter/ Preempt Competition
a. Increase Household Penetration
•
•
•
Increase the Customer Base to a specific number of new households
Support achieving awareness levels for the brand
Achieve a specific level of presence all across in the given geography
Target Group
•
All Residential Places in the
Geography
Promotion Actions
Trial Offers
Combo Offers
Campaign at schools at discounted price
Seminars & Demonstration of services
Contests with discounted registrations
73
74. Why Promotion is needed for Happy Learning Center?
b. Increase share of consumer category purchase
•
•
Convert a specific number of consumer sales to the target group
Increase the depth and quality of distribution to specific levels across the line
Target Group
•
Alternators and Occasional users
Promotion Actions
Offers at Education & training centres
(complimentary ones)
Certificate Awards assurance
Coupons for Discounts & Trial Class
Shelf Display Programme in Education &
Training Institute (complimentary ones)
In house Merchandising on sale
Innovative Reward Offers to convert existing
client base with referral options
74
75. Why Promotion is needed for Happy Learning Center?
c. Increase consumer consumption
•
•
Increase the depth and quality of reach to specific levels across the geography
Incentives to join back and bring more referrals
Target Group
Promotion Actions
Multiple purchase coupons for referrals
•
Loyalty offers
• Loyal Core Customers
Alternators and Occasional users
In-house branding (in the premise)
Course Demonstrations should be done with a
Power Point Presentation (accolades included)
75
76. Why Promotion is needed for Happy Learning Center?
d. Maintain current users/current purchase levels
•
•
•
Defend the franchise against intense competitive activity
Maintain household consumption by consumers
Hold current levels of presence in the given Geography by expanding and Marketing and
cluster approach
Target Group
•
• Loyal Core Users
Alternators and Occasional users
Promotion Actions
Consumer contests
Consumer promo
Loyalty programmes
Loyalty Programme
Scratch Coupon Rewards to High scorers
Display Contests (Occasional)
e. Counter/Preempt Competition
•
•
•
•
•
Response to a competitive initiative
A new product launch positioning the New Product versus competition
A competitor’s new product launch that threatens our brand
A new product upgrade to counter competition
A preemptive measure at the onset of a season
76
79. Program Deliverables and Status
PARTICULARS
Completed
FIRST DRAFT SUBMISSION
Initial Client interaction and information download
YES
YES
Franchise Feasibility Assessment
YES
YES
Franchise Strategy Presentation
YES
YES
Industry overview & growth strategy
YES
YES
Establishing franchise Strategy
YES
YES
Franchise Business Format
YES
YES
Franchise Profile
YES
YES
Rollout Strategy
YES
YES
Franchisor - Franchisee obligations
YES
YES
Franchise Acquisition Strategy
YES
YES
Recommended Financial Model
Initial No. s
Initial No. s
Franchise Legal Structuring and documentation
Franchise Kit
Franchise Marketing Brochure
Franchise Recruitment Documentation
Launch of the Opportunity (M&R Phase)
79
80. Thank You
DISCLAIMER
This Report is highly confidential and provided for general information for the Happy Learning Center management only and nothing contained in the material
constitutes a direct recommendation for any investment related decisions. The plans, materials, and consulting advice provided here in have been prepared based on
our experience and the information available to us. However, because the success of a franchise program depends upon a variety of factors outside Francorp's control,
Francorp India cannot and does not warrant the success of any such program or forecasts provided by Francorp India contained herein. Although the statements of fact
in this report are obtained from sources that Francorp India consider reliable, we do not guarantee their accuracy and any such information may be incomplete or
condensed. Views expressed in this Report are based on the research materials available from sources considered reliable and are subject to change on the basis of
additional or new research, new facts or developments.
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80