3 coffee franchises on the grow
With an annual revenue of over $8b, it’s safe to say Australia is a nation of coffee-connoisseurs.
In the five years through 2013-18, the domestic coffee market grew by annualised 5.1 per cent, giving birth to the vibrant and diverse culture that the Australian café scene has now become synonymous with.
As strong sector performance drives a wealth of new competitors to the industry, both local and international, franchise models that provide partners with strong supply chain processes and operational structures are emerging as key industry leaders.
Inside Franchise Business takes a look at three franchise brands brewing up franchisee profitability in the coffee industry.
Spearheaded by Retail Zoo, the team behind internationally successful franchise brand, Boost Juice, Cibo Espresso opened its first outlet in Adelaide in 2000.
The Italian coffee chain has since opened over 30 stores across South Australia and New South Wales, with plans to ramp up expansion currently underway.
Franchisees benefit from a chef-designed, specialist menu offering and the backing of one of the most experienced and successful franchise groups in the county.
Cibo Espresso is currently focused on building its network of outlets in Victoria, however franchise opportunities are available across Australia.
National brand, Mrs. Fields Bakery Café has carved out an impressive name in the competitive coffee and café market.
With a focus on on-going training, Mrs Fields franchisees are equipped with two weeks of extensive in-store and business training, providing a hands-on experience prior to opening their first franchise.
Unlike other bakery franchise models, the majority of products are supplied pre-prepared, meaning no early starts and hours spent refining menu offerings.
Mrs. Fields is currently searching for franchisees across the country to help the brand deliver on its promise of providing world-class coffee to Australians everywhere.
Family-owned franchise, Fibonacci Coffee is a partnership-based coffee business that provides franchisees with affordable opportunity in the booming industry.
While passion is a must, industry experience is not necessary, with the franchisor providing expert training and on-going professional development for all prospective franchisees.
Fibonacci Coffee backs up the offer with a $50,000 performance guarantee to complement its low entry and fixed fees, presenting a first-rate business opportunity for all aspiring entrepreneurs.
As the buying power of the millennial generation grows stronger, expenditure and revenue within the coffee sector looks set to grow, however market share and profitability is predicted to soften.
The influence of global coffee demand and the introduction of new market players will make the industry more competitive, however established franchise brands will provide prospective entrants with an accessible entry into the sector.
Brands that leverage strong, ethical and efficient supply chain practices will flourish, representing a more reliable and profitable option than independent business.