Inside Franchise Business

XPRESSO MOBILE

-

The same rules of customer demand that influence a bricks and mortar cafe apply equally to a coffee service on the move, says Jonathan Payne, who heads up Xpresso Mobile.

“Like any business, if we don't give our customers what they want, they will go elsewhere. It's as simple as that. It's critical we keep our finger on the 'pulse' to ensure we remain at the forefront of the mobile cafe industry.”

Typically a mobile business' turnover is 70 per cent coffee and related beverage products.

But staying relevant is not just about the coffee. Payne pinpoints environmen­tally sound cups and 'keep cups' as an emerging trend and coffee community narrative.

“We continue to work with our suppliers to ensure our carbon neutral cups are exactly that while still managing cost of goods for our amazing franchisee­s.”

And what of the customisat­ion trend across the cafe scene?

“Personalis­ation is certainly a key part of our franchised offering,” says Payne. "While it may sound counter intuitive, by offering our franchisee­s the opportunit­y to put their 'own spin' on the food offerings in the business, they are able to support their local community by accessing foods at wholesale level with local family owned businesses rather than receiving sub standard, potentiall­y higher priced food items through the franchisor.

“By forfeiting our ability to be middle man, franchisee­s are able to personalis­e their mobile cafe and adapt their food range to their specific customer base.”

Managing costs is a constant for every franchise chain but Payne identifies another challenge to brand expansion - finding the right franchisee­s.

As a responsibl­e franchisor, Xpresso Mobile Cafe actively tries to recruit new franchisee­s with the ideal minimum debt/ equity ratio of 70/30, he says.

“To that end, we meet and talk with folks on a daily basis who would love to join the system but don't quite meet the minimum deposit benchmarks we expect. Many folks are asset rich but don't always have the access to cash and liquidity that allows them to chase their self employment dreams.”

Newspapers in English

Newspapers from Australia