Cookie Cutters
The first cookie franchise store opened at Sydney's Wynyard station in 1988 and managing director Andrew Benefield was there at the start - as a customer. "I remember buying oven fresh cookies there and taking them to clients," he reminisces. And he hasn't forgotten the feeling of indulgence he got whenever he bought from the store. From the early beginnings, stores were company owned and run by the group itself and stores popped up in Sydney, Melbourne and Brisbane with great success. The freshly baked traditional cookies from Mrs Fields' stores quickly became a popular local treat, with 17 stores operating by 1994.
However, the US parent company which still controlled the Australian operation decided to close all but four stores (Wynyard, Frankston, Chadstone and Myer Brisbane) and sold the master franchise to Denis Polivnick who set about expanding the store count again.
Polivnick made some changes along the way. Traditionally the cookies were sold by the kilogram with cups of soft drink which really wasn't working in the Australian marketplace. In 1998 he introduced barista style coffee to go and today this accounts for 40 per cent of all sales. By 2000 he had built the group back up to number 15 stores across three states, elevating the annual turnover to more than $5 million.
But it was time for another change. Inspired by his brother, who was running a franchise chain in New Zealand, Polivnick moved the business into a franchise format. When he decided leave the business he had achieved a turnover figure that was triple that when he took it over.
Enter Andrew and Debbie Benefield. Andrew had many years experience as a national retail manager for large franchises and, decided he wanted to strike out on his own. "We were so impressed with the entire concept and philosophy behind Mrs Fields restaurant and cafe franchise and recognised the huge opportunity to develop the business to the level of the US operation," Andrew explains. "I have been working in the franchise industry for many years with some of the majors like Caltex, KFC and Pizza Hut and instantly saw the potential to expand the franchise."
The choice of brand was dependent on it flexibility, says Andrew, referencing to the recent Starbucks debacle and its reluctance to shape itself to the Australian market. As master franchisee he runs the business as he sees fit. The US has no influence on us, he explains."The retail model is so simple for franchisees, as there is no product preparation for shop owners," adds Debbie. "The cookie dough is delivered to store for easy onsite baking, making the business accessible to everyone."
Since he and his wife took over nearly two years ago, store layouts have been redesigned to suit the local market. As such, two new stores showcase the new image and five existing outlets are already refurbished.
"Point-of-sale improvements, a greater range of better products, great coffee and some revamping of the stores largely account for the improved trading," says Andrew, who aims at opening a further 15 stores nationally over the next five years.
"In times of rising interest rates and affordability stress, we are especially glad to offer what we call our 20th Anniversary Combo, with a steaming fresh cookie and coffee for under $5," explains Debbie, who, having built up and sold three companies, brings her entrepreneur's outlook to her role as the brand's marketing manager.
Customer loyalty programs, special packs and the gift range were introduced — designed to encourage customers to visit the Mrs Fields food and beverage franchise stores for a treat or to pick up something for family and friends.
"Our gift range and the cookie cakes especially have had a really strong response, boosting Valentine's Day sales by 21 per cent from last year," reveals Debbie, who also introduced the Cookie Club, which offers special deals to members every time they shop at an outlet.
Innovation has attributed to the brand's success. "The new Premium Brownie is a great example," points out Andrew. "It's round, not square, and comes in a choice of two lush and rich toppings of caramel and dark, or dark and white chocolate."
The latest development is the Cookie Cake. Customers choose any cookie flavour and can pick up a personalised cake in under two hours rather than two days. The cakes come in all sorts of shapes and sizes and are kept affordable at just $28.
"We can shape the cookie into whatever we want, we have a lot of fun," says Andrew, revealing there will be a gingerbread man cookie ready for Christmas.
Mrs Fields has also increased the size of its cookies this year by 20 per cent, giving customers even more dough for their dough. So what is the strength of the biscuit market? Andrew believes it comes down to everyone's need for a treat.
"Our particular point of difference is that a Mrs Fields cookie has no preservatives, no artificial flavours and no trans fats. It isn't healthy, but it is wholesome," he says.
Franchise Facts
There are two types of Mrs Fields business opportunities in the system: Cookie Cafes and Cookie Kiosks.
The Kiosk offers a quick retail experience and the cafe offers a coffe shop style experience appealing to customers who want to enjoy their cookie in the moment with a great coffee. Franchisees pay a $35,000 franchise fee plus costs of location build, and this can vary from $180,000 to $300,000 depending on type, size and location.
New franchisees undergo an extensive three-week training program at one of the company's stores and there is ongoing business support.
30.09.2008
FCA Member
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Contact Mrs. Fields Gourmet Cookies
Suite 2a, 84 Darley Street
Mona Vale
NSW 2103
Tel: 1300 905 257
Fax: 02 9999 0231
