Latest developments and discussion of recent events in the Ukraine War

[Dakhar]

I think I have a great location for a KFC....

But I don't know who to contact and where to get started.

Any suggestions?

thanks

[smartecosse]

http://www.franchising.com/kfc/

[bino]

The rights for KFC in Thailand are owned by the Central group. You would have to talk to them.

[Gumballl]

I think I have a great location for a KFC....

But I don't know who to contact and where to get started.

Any suggestions?

thanks

Goto an existing KFC, and ask to speak to the manager, and if possible, the owner.

[Simmo]

On a similar topic what do you guys think about a Subway franchise as a business. I've noticed a lot have popped up in Bangkok & Pattaya in the last 3 years, they must be doing good business. Are they mostly servicing farangs or are Thai's eating there?

Would it be profitable outside a major tourist street or area?

[poorfarang]

Ive never seen thais eating at subway.

And agian, I dont think you will be allowed to open a KFC. Its not likely that central group would allow that.

Just open up a copycat store and call it TFC or something

[SunbeltAsia]

On a similar topic what do you guys think about a Subway franchise as a business. I've noticed a lot have popped up in Bangkok & Pattaya in the last 3 years, they must be doing good business. Are they mostly servicing farangs or are Thai's eating there?

Would it be profitable outside a major tourist street or area?

KFC is not available as a franchisee for individuals in Thailand.

At Subway, were doing “ok to good.” Food costs have skyrocketed to very high levels in a restaurant business. The States the food costs ares 15% lower for an average Subway store versus Thailand.

Location is key. The 5 locations that I'm the biggest shareholder in, are all in very good locations. 4 of them catering to foreigners. One location that caters more to Thais is in Siam Paragon next to Starbucks.

We will be opening our 6th location in the Jungceylon Complex in Phuket.

If your location is bad, you will have a hard time making money.

As for Thais, we have spent a good amount of advertising towards the Thais this year and the number of Thais are increasing. It won't happen overnight that it will be 50% Thais eating a day at Subway.

If anyone is interested in a Subway franchise info kit, just P.M. me.

http://www.thailandsubway.com

[Dakhar]

I appreciate the replies. Sunbelt states that KFC are open to individuals. Well I guess that needs to be defined. Sorry I am not the brightest apple in the bucket.

I plan on joining in with 2 Thais, and one other falang. All of us combined may be able to afford this, and ofcourse we would have to form a business partnership to do this venture.... but obviously I know little about it.

I know little about the food business, it is just that I have an area in mind that is ripe for a KFC, and if I don't get one put in that location, someone else will. In fact I would doubt if people are already planning one in this location. So I want to move on this project and get some information squared away.

So if you all know anymore information, please share.

Thanks

[poorfarang]

It doesnt matter if you have 100 thai partners, as stated it is not available to franchise.

Time to find a new idea. How about subway?

[thaigerd]

On a similar topic what do you guys think about a Subway franchise as a business. I've noticed a lot have popped up in Bangkok & Pattaya in the last 3 years, they must be doing good business. Are they mostly servicing farangs or are Thai's eating there?

Would it be profitable outside a major tourist street or area?

KFC is not available as a franchisee for individuals in Thailand.

At Subway, were doing “ok to good.” Food costs have skyrocketed to very high levels in a restaurant business. The States the food costs ares 15% lower for an average Subway store versus Thailand.

Location is key. The 5 locations that I'm the biggest shareholder in, are all in very good locations. 4 of them catering to foreigners. One location that caters more to Thais is in Siam Paragon next to Starbucks.

We will be opening our 6th location in the Jungceylon Complex in Phuket.

If your location is bad, you will have a hard time making money.

As for Thais, we have spent a good amount of advertising towards the Thais this year and the number of Thais are increasing. It won't happen overnight that it will be 50% Thais eating a day at Subway.

If anyone is interested in a Subway franchise info kit, just P.M. me.

http://www.thailandsubway.com

Excuse me please when I am "using" your posting for a question:

I was a bit surprised when I read about the JUNGCEYLON procect.

Will they finally be opened this year???

I had long time ago already a working contract with a company in this procect but had to cancel it because of all the delays.

In case you have any news about their openeing let me (us) know.

For your SUBWAY outlet I wish you and your partners a good start and a lotof success.

I've tried only once SUBWAY in Pattaya some months ago but I was disappointed.

Staff took out the bread far to early from the oven and and garnishings have not been according to the menu.

Sorry when I mention this; I am a Chef more than 30 years now, experiences from Fast food chains in Europe up to high class restaurants/hotels in many countries.

Many companies here in Thailand do not spend enough time to train and explain all procedures when it comes to operate such an outlet.

But I think I don't have to tell you this, you are running already some shops.

When possible send me some informations about franchising.

Regards,

Gerd

[AsiaWolfie]

On a similar topic what do you guys think about a Subway franchise as a business. I've noticed a lot have popped up in Bangkok & Pattaya in the last 3 years, they must be doing good business. Are they mostly servicing farangs or are Thai's eating there?

Would it be profitable outside a major tourist street or area?

the one at downtown CM near nightbazaar is owned by a Farang and is 100% customer-free (except myself ) whenever I am there....

[thaigerd]

On a similar topic what do you guys think about a Subway franchise as a business. I've noticed a lot have popped up in Bangkok & Pattaya in the last 3 years, they must be doing good business. Are they mostly servicing farangs or are Thai's eating there?

Would it be profitable outside a major tourist street or area?

the one at downtown CM near nightbazaar is owned by a Farang and is 100% customer-free (except myself ) whenever I am there....

I like this "100% customer-free"

Gerd

[SunbeltAsia]

I appreciate the replies. Sunbelt states that KFC are open to individuals. Well I guess that needs to be defined. Sorry I am not the brightest apple in the bucket.

I plan on joining in with 2 Thais, and one other falang. All of us combined may be able to afford this, and ofcourse we would have to form a business partnership to do this venture.... but obviously I know little about it.

I know little about the food business, it is just that I have an area in mind that is ripe for a KFC, and if I don't get one put in that location, someone else will. In fact I would doubt if people are already planning one in this location. So I want to move on this project and get some information squared away.

So if you all know anymore information, please share.

Thanks

Yum Brands has granted the rights for KFC to Central restaurant Groups(CRG) by signing a master franchise to Thailand. A master franchise can have sub franchisees ( what you are looking to be) or the master franchise can develop the stores themselves. CRG is developing the KFC brand themselves in Thailand and not looking to have franchises for KFC. Feel free to e-mail them yourself and find out at [email protected]

By the way, CRG also has the master franchise rights for Thailand with Pizza Hut, Auntie Anne's, Baskin Robbins and Mister Donut.

[RAZZELL]

I appreciate the replies. Sunbelt states that KFC are open to individuals. Well I guess that needs to be defined. Sorry I am not the brightest apple in the bucket.

I plan on joining in with 2 Thais, and one other falang. All of us combined may be able to afford this, and ofcourse we would have to form a business partnership to do this venture.... but obviously I know little about it.

I know little about the food business, it is just that I have an area in mind that is ripe for a KFC, and if I don't get one put in that location, someone else will. In fact I would doubt if people are already planning one in this location. So I want to move on this project and get some information squared away.

So if you all know anymore information, please share.

Thanks

Yum Brands has granted the rights for KFC to Central restaurant Groups(CRG) by signing a master franchise to Thailand. A master franchise can have sub franchisees ( what you are looking to be) or the master franchise can develop the stores themselves. CRG is developing the KFC brand themselves in Thailand and not looking to have franchises for KFC. Feel free to e-mail them yourself and find out at [email protected]

By the way, CRG also has the master franchise rights for Thailand with Pizza Hut, Auntie Anne's, Baskin Robbins and Mister Donut.

What sort of money are we talking about for a Subway Franchise?

[SunbeltAsia]

I was a bit surprised when I read about the JUNGCEYLON procect.

Will they finally be opened this year???

Don't think so, even though this money group is now involved.

http://www.phuketgazette.net/news/index.as...rch=yes&Id=4820

This group ( City Development) is out of Singapore. They just enter into a JV to build a nine-rai Hilton Millennium Hotel on the Thon Buri side of Bangkok They also acquired the Exchange Tower located at the intersection of Asoke and Sukhumvit road, and reopened it, after it was closed for 5 years. They also are doing this project called the Millennium Residences on Suk Soi 18

http://www.skyscrapercity.com/showthread.p...00&page=1&pp=20

I had long time ago already a working contract with a company in this procect but had to cancel it because of all the delays.???

Our space is near Starbucks at the main entrance. We purchase the Subway franchise in 2004 for this location and gave the deposit to the Landlord then. Just waiting for Junceylon to finished. Hopefully it will be this High Season, it will be done.

For your SUBWAY outlet I wish you and your partners a good start and a lotof success.

All of our locations have been profitable every month but they are all in Bangkok. This will be the first location outside Bangkok for us. Now in Phuket, their are already three other Subway franchises even though we were the first to buy the franchise for Phuket, but because of construction delays. We may be one of the last to open

I've tried only once SUBWAY in Pattaya some months ago but I was disappointed.

Staff took out the bread far to early from the oven and and garnishings have not been according to the menu.

Sorry when I mention this; I am a Chef more than 30 years now, experiences from Fast food chains in Europe up to high class restaurants/hotels in many countries.

Many companies here in Thailand do not spend enough time to train and explain all procedures when it comes to operate such an outlet.

But I think I don't have to tell you this, you are running already some shops..

Sorry to hear the staff in Pattaya that helped you, didn't do it to specs. Maybe it was a bad day for them or they were taking the easy way out. One of the biggest hurdles in Thailand is staffing. I'm positive whoever helped you was long gone after a month. Still that one negative experience affected you to try it again. Fortunately my wife is very good in staff relations and we do not have a high turnover at our locations.

I like you to invite you to one of our stores and try another sub as our guest. Odds are high, you'll be full and very happy. Just pm me and I'll make sure we meet up.

As for garnishes, you can have as much as you want. You tell them as they make it in front of you, how you want it. Lots of tomatoes or no jalapenos. What type of sauce you like. The key is its made fresh so you are the conductor

http://www.thailandsubway.com

[SunbeltAsia]

the one at downtown CM near nightbazaar is owned by a Farang and is 100% customer-free (except myself ) whenever I am there....

He seems to do pretty good. He averages around 200 customers a day and in high season, he has much higher numbers. This is a good location.

What sort of money are we talking about for a Subway Franchise?

On average, leasehold improvement, rent deposits, equipment, signs, franchise, 3 months operating capital, 2 week training and travel/ hotel cost to the training center, etc . etc. Everything from A to Z is around 4 million Baht.

.

[poorfarang]

How long does it typically take to break even for your Bangkok locations?

And for the record, when I was living in Bangkok I ordered Subway like 3-4 times a week and had it delivered. Always a positive experience and good food.

[thaigerd]

How long does it typically take to break even for your Bangkok locations?

My guess after a rough calculation and depending on location: 20-30 months

Gerd

[SunbeltAsia]

My guess after a rough calculation and depending on location: 20-30 months

Gerd

Bingo Gerd. The norm though is more closer to the 30 month number but of course you still have your assets, deposits and goodwill after the B/E point. A 40% ROI is always a good number to strive for.

And for the record, when I was living in Bangkok I ordered Subway like 3-4 times a week and had it delivered. Always a positive experience and good food.

Good to hear. When you coming back to BKK, Poor Farang?

[thaigerd]

My guess after a rough calculation and depending on location: 20-30 months

Gerd

Bingo Gerd. The norm though is more closer to the 30 month number but of course you still have your assets, deposits and goodwill after the B/E point. A 40% ROI is always a good number to strive for.

quote]

In case you're looking for a consultant feel free to PM me .

Gerd

[poorfarang]

Not planning to come back to Bangkok anytime soon.

Do you have any plans for a Subway here in Koh Samui? I think a subway in Chaweng would make as much cash as a Bangkok location

[SunbeltAsia]

Not planning to come back to Bangkok anytime soon.

Do you have any plans for a Subway here in Koh Samui? I think a subway in Chaweng would make as much cash as a Bangkok location

Bingo. One of the best locations left. That area and Tong Lor in Bangkok.

[Phil Conners]

The Subway in Carrefour in Pattaya is mostly empty, occationally with one or two farangs eating; I've wondered for the last year how they manage to stay open with that level of sales.

How many sales a day does a Subway have to make to stay in the black?

[~G~]

How many sales a day does a Subway have to make to stay in the black?

You have to take the rent into consideration to do this kind of estimate. In almost any retail business, rent is the number one expense... Most other expenses are per product sold.

[snoophound]

I would be definitely targetting something thais like

KFC OK...chicken ,deep fried works.

But any fool and buy a frier and chuck some spice on.

Maybe start your own??

I have been served twice at sub on suk and its pretty average,I think its the way to dainty slices of meat and non english speaking staff.

The bread also doesnt even taste like it tastes in Sydney.

If you are selling to falangs feed them what they are used to.

How many sales a day does a Subway have to make to stay in the black?

You have to take the rent into consideration to do this kind of estimate. In almost any retail business, rent is the number one expense... Most other expenses are per product sold.

[SunbeltAsia]

The Subway in Carrefour in Pattaya is mostly empty, occationally with one or two farangs eating; I've wondered for the last year how they manage to stay open with that level of sales.

How many sales a day does a Subway have to make to stay in the black?

Depends on the fixed costs.

But I like to add that its quite common for a rental of 250,000 Baht per month to have a lower rental expense than say a hypothetical 50,000 Baht rental location. Could be a difference of 12% or more. With much higher volume at the 250K rental, that is a big difference. Quite common for someone to pick a location because of low rent and it becomes the highest rent cost. Big mistake.

have been served twice at sub on suk and its pretty average,I think its the way to dainty slices of meat and non english speaking staff.

A number of people have in fact stated they felt the sandwiches were" much better than" or " same" what they have had back home. Just depends on individual taste.

Hire higher English speaking staff like back home and were looking at double or triple labor costs( if you could even keep them)

All Subways have to follow the same formula of the amount of meat. In Thailand we are already at very high food costs because of this. It cost much more for many meat items in Thailand than it does in the USA or Australia. Example, turkey cost us over 500% more than the States or in Australia, with our retail price being lower! To top it off, with the wheat tariff, our bread cost is higher than anywhere else in the world. We do however have the advantage in tuna, chicken and ham. Bottom line we can make a profit even with daily specials of 69 Baht( which includes 7% Vat) mainly because of labor costs.

[poorfarang]

What does rent in the Paragon cost?

[Dakhar]

The Subway in Carrefour in Pattaya is mostly empty, occationally with one or two farangs eating; I've wondered for the last year how they manage to stay open with that level of sales.

How many sales a day does a Subway have to make to stay in the black?

Depends on the fixed costs.

But I like to add that its quite common for a rental of 250,000 Baht per month to have a lower rental expense than say a hypothetical 50,000 Baht rental location. Could be a difference of 12% or more. With much higher volume at the 250K rental, that is a big difference. Quite common for someone to pick a location because of low rent and it becomes the highest rent cost. Big mistake.

have been served twice at sub on suk and its pretty average,I think its the way to dainty slices of meat and non english speaking staff.

A number of people have in fact stated they felt the sandwiches were" much better than" or " same" what they have had back home. Just depends on individual taste.

Hire higher English speaking staff like back home and were looking at double or triple labor costs( if you could even keep them)

All Subways have to follow the same formula of the amount of meat. In Thailand we are already at very high food costs because of this. It cost much more for many meat items in Thailand than it does in the USA or Australia. Example, turkey cost us over 500% more than the States or in Australia, with our retail price being lower! To top it off, with the wheat tariff, our bread cost is higher than anywhere else in the world. We do however have the advantage in tuna, chicken and ham. Bottom line we can make a profit even with daily specials of 69 Baht( which includes 7% Vat) mainly because of labor costs.

I am finding that is also true in the field I am in. The actual product costs are the same for in America, if not more, due to taxes.... If it were not for cheap overhead, due to cheap labor, and the trickle down effect that it has, such as rent etc. our prices would be the same as in America. Essentially no one could afford the products and services we offer in Thailand.

[SunbeltAsia]

What does rent in the Paragon cost?

20- 25% of your gross sales depending if you are local or international brand. ( A bargain compared to the Emporium which is 30-35%)

33% of your gross sales if you have a retail store.

You also could of paid 250,000++++ Baht a sq.m. up-front for a 25 year lease. It was quite common, many retailers putting up a million dollars or more for the lease.

[LivinLOS]

For my money Subway is the best 'fast food' option in Thailand.. Healthy tasty and instant.. sure people may contrast and compare with 'back home' but on the ground when you choose between McD's (wont touch it) KFC (one in a blue moon) or Subway (couple of times per week) I know which one gets my biz.

Funny thing is here in Patong we have 3 all close however the times I have ordered on either of the beach Rd locations I have had poor or surly service (once was shocking.. When she girl tried to over charge me and I politely corrected her she called me farang kee nok to my face) yet the Rat U Thit operation is always a super friendly bunch.. No need to guess which one gets all my business. Wonder how much is the high turnover and less repeat custom at the touristy beach front locations.

If I had any advice it would be.

1) improve delivery services... Twice having ordered a sub they simply couldnt find my house despite explicit instructions, niether time they called back to fix it just left me waiting until I called to find out what was up and the delivery fella also had no phone so couldnt 'solve' the lost problem without returning to the store.. Hot sub delivered stone cold wasnt tasty. However to thier credit both times they really were genuinely apologetic and tried. If delivery worked better I would probably order more as I am both lazy and often hungry Also (this really is petty) NEVER in all times I have ordered delivery has anyone ever remembered the stamps, I nearly always have to prompt in store also.

2) Website. Though I hate thier product 1112 pizza has a good e-commerce solution that a lot could be learnt from. Have the full menu online, have a system of checkboxes to customise the salad and sauces selection, allow the creation of a make your own sub (surprisingly the shops dont let you do this, I think becuase they dont know what to charge). Make sure the system promptly confirms via email and timestamps the order and pressurize stores to fulfill delivery within a fixed time frame. I would have thought that 30 mins would be ample time ?? But even if its longer state what it is and make a policy (thats adhered to) about delivery times. I wouldnt even care if delivery had a small charge or premium, just make it work perfectly. Make sure you store custmer preferences (address, tel etc) so that ordering is a few click process as possible.

3) linking items 1 and 2 you could use (in Patong) the services of a cartographic mate of mine (or do your own servey or get a good map somewhere) who has spent a lot of time to produce accurate full street level maps of the area ( http://www.siammaps.com/patong/patong.html ) use this and at checkout make the orderer click house location giving exact co-ords to the deliverer.

4) either increase menu selection slightly or introduce sub of the month or something to keep selections fresh.. I find the menu to be a little limited after a few orders.. More choice would have more orders (from me).. I understand staff training and issues but surely dreaming up a new combination or selection of stuff is not too tough.

I hope that these sound like suggestions and not complaints.. ###### made me hungry now, will now have to go get a half sub for breakfast !!