My Evaluation Checklist

• I can be qualified to operate a franchise.
• I  can obtain adequate drive, skills, experience, education, patience, and financial capacity.
• I am already prepared to work hard.
• I am willing to sacrifice some autonomy in operating a business to own a franchise.
• I can tolerate the financial risk. If my financial is strong then my business would't failure.
• I can juggle multiple task simultaneously and prioritize various projects so that I able to accomplish those that art most important.
• I am genuinely interested in the product or service, I am enjoy this kind of business and I like to sell and introduce the product.
• I will enjoy working with managing people, beside that I may become a good team leader.
• The business will generate enough profit.
• Has the franchiser investigated your background thoroughly enough to decide if you are qualified to operate the franchise? Yes, This is enough for me.
• I cannot do advertising for myself then I need the franchiser to help me.

The Customer Feedbacks

The customers that I have surveyed at nearby Each A Cup, Wangsa Walk Mall; they normally give me a good answers of the products. Some of them allowed to take their photo but some are not allowed us to do that. They are very friendly and giving a comments about Each A Cup products which are “Each A Cup are having a good tastes compare than Chatime”, “Each A Cup are having a good taste and smell of their tea leaf and they actually using high grade tea leaf when compare than other bubble tea outlets”, “Each A Cup having the premium tea concept nowadays and I more like the smooth and nutritious red beans added into the blended ice which cares for our health while quenching our thirst at the same time and only can get at their premium concept outlets” and etc.

The below photo are the customers who I had surveyed at Each A Cup, Wangsa Walk Mall outlets on 30 July 2012. They had allowed me to take photo of them.

  

The Experience and Problem Faced When Interviewing

I got some experiences and the problems from the interviewing with Ms. Stefanie Ho who was Each A Cup Operation Executive. I got providing the consent form before I started to do interview with her. She provided me some important information that I can applied for my individual assignment – franchising. Some information she could not provide because there are containing the privacy and secrecy for their company regulations. Therefore, she got explained to me about their company rules regulation although we are providing her the consent form, she still could not provide some answers. She just can provide the more detailed information about her company if we are going to open the franchise of Each A Cup brand. She also refuse to take photo with me before the interview started because she didn’t liked to take photo and she asked us not to do that so. She also hope that I understand her and she would try to provide the answers as possible as detailed.

The duration that she gave me to do interview with her was about 30 minutes only. She allowed me to do the voices recording because she knew that I was doing this for study purpose. She also got asked me about the purpose for this assignment and I also explained to her so that she more understanding my situations. She also provided me her own name card so that I can inform or make a call to her for more information that we didn’t include in our interviewing conversation. She also very kind and friendly person because after finishing interview, she had asked her workers to make some drinks of Each A Cup products and she free me the drinks. I felt very shy because take the free drinks but I felt very excited. She also asked me about the feedbacks and comments based on the products of Each A Cup so that they can make improvements. After this interview, it really helped me a lot for my assignment report and my blog.

The below photo is taking at Each A Cup, Wangsa Walk Mall outlets after interview on 30 July 2012:

 

 

     

     

  

The Interview with Questionnaires and The Answers

The below questions are I had asked during interview with Ms. Stefanie Ho at Each A Cup outlets, Wangsa Walk Mall.

Product 

1.     Is the potential market for the product or service adequate to support your franchise? Will the prices you charge be in line with the market? 

      Yes, our product have high quality, pure and tasty, natural, hygienic, healthy, low fat, freshest    and trendy drinks. Therefore our price is reasonable and affordable.

2.     Is the market's population growing, remaining static, or shrinking? Is the demand for your product or service growing, remaining static, or shrinking?

      Nowadays in the citizen of the city, people like to enjoy quality of life, so they are willing to   spend on high quality product.

3.     Is the product or service safe reputable?

     We get the Taiwan consumer association Golden Medal Award winning materials, and we are imported top grade finest chocolate from France & coffee from South America, and we are also using hotel grade juice concentrate and high-grade tea sprout tealeaf.

4.     Is the product service a passing "fad", or is it a durable business idea?

      As strong as the product is good quality, good service and do some promotion activities, it can durable business.

5.     Do you think your product can sustain in the future?

     Yes.

6.     Does your product safe enough to be use in any other places?

     Yes, of course.

7.     How many choices in your product?

     Yes, it has many flavours that customers can choose; you can refer to our menu tables.

8.     How many cups you can sell in a day?

      Normally we sell 300 - 400 cups in a day, but in public holiday we can sell 500 - 600 cups per day.

Profitability 

1.     How much do you get (%) for selling a product?

      Sorry, this question contained the privacy and secrecy of our brand regulations.

2.     How much the royalty fee (%) you need to pay?

      Our Each A Cup is 1% - 7% that we need to pay for royalty fee, I think other brand franchise is 15% pay for their brand royalty fee.

3.     What are the costs need to pay for the advertisements?

      All is including in the franchise agreements when they make full payment is about RM250K to RM 300K.

4.     How much is your franchises?

      There are different prices for standard concept and premium concept, for kiosk outlets the price is about RM100-250K.

5.     How do your franchisees typically finance the startup costs? Do you as the franchisor offer financing? 

      No, The franchisor did not offer financing for franchisees.

6.     For the advertisement, do you come out your own idea / way to use or follow the other franchises? 

      I am following the other franchises, but if you have your own idea also can.

7.     How much have to pay if want to open another outlet?

     You can go to our website there for viewing more information.

8.     How much for each a cup of bubble tea?

      From RM3.90 - RM6.90, extra pearls is RM0.60.

9.     What will the competition, direct or indirect, be in your sales territory? Do any other franchisees operate in this general area?

      There are few bubble tea in this area, but that is a not of issue. We still have our royal customers and market.

Process 

1.     Is the franchise international, national, regional, or local in scope? Does it involve full or part time involvement?

      This is an international franchise is origin oversea from Singapore, since 1999.

2.     How do you build brand recognition nationally? In your local market? 

      By exhibition, local magazine, outlet, etc.

3.     What type of marketing strategy you are? 

      Sorry, I can’t provide this answer, I think only main outlets can answer this question.

4.     What type of sales promotion you applied? 

      We have a lot of promotion, example: buy 10 free 1, 10stamp = 1free, voucher.

5.     How many franchises are there in charge? 

      It is unnecessarily.

6.     When procedures change, does the franchisor offer further training? 

      Yes.

7.     What kind of advertising you implemented in your business?

      We have bunting, banner, website, facebook, blog and etc.

8.     Do you provide training for your employees before you place them to work / hire them?

      Yes.

9.     How many hours, on average, do you work a week?

      12 hours of 1 week.

10.  How long is the term of the franchise agreement? Can the agreement be renewed? 

      3-5 years. Yes, it can be renewed.

11.  Do you provide any special / unique services for the audiences?

      Yes, teaching and etc.

12.  How many franchise outlets now exist? How many will there be a year from now? How many outlets are company-owned?

       Not sure. I think approximately 100 outlets in Malaysia.

13.  What are the risks associated with this franchise? With this industry? 

       Every franchise has risks, but Each A Cup has lower risks because their system provide location, recipe, and etc. for the franchisees by experienced franchisor.

People 

1.     What the people involved in the franchise?

      For my outlets just only got 4 staffs.

2.     Why you just hire 4 staffs? 

      Yes, we are having shifts time so that we no need to hire many staff, not liked Chatime too many staff, earn not much of sales.

3.     What services will they provide?

      Brewing bubble tea, which are new concept, new product and new look and provide good service to our customers.

4.     Who is your target?

      Normally we will target the students and family. We also target our customers based on the place area segmentations.

5.     How do you organize your sale and finance? 

      Sorry, this question contained the privacy and secrecy of our brand regulations.

6.     How do you train and mentor your franchisees? 

      We will provide training for them first then give them a test.

7.     How do you solve the conflicts between your customers? 

      We will give the free coupons or free gifts.

8.     Do you have your own rules set for your franchises that different with others? 

      Actually, all of Each A Cup outlets have their working system rules but still have the main company rules regulation that franchises need to follow.

9.     Do you have an update for your services to be same as other franchises / outlets? 

      Yes, of course.

10.  How do you manage your stocks? 

      Sorry, this question contained the privacy and secrecy of our brand regulations. I know some of franchisees of Each A Cup they may cut cost for the ingredient of products and sometimes it depends on our sales too.

11.  Does your franchisor provide ongoing training and support to you?

      Yes, because sometimes Each A Cup got released new products and we need to do ongoing training too.

Information From Each A Cup Brochures: Part 2

Each A Cup Outlet Concepts

Standard Concept

 

Open Kiosk

( 100 - 200 sqft )

Shop

( < 600sqft )

Cafe With Seating Area

( 600 - 1000 sqft )

Premium Concept

Open Kiosk

( 100 - 200 sqft )

Shop

( < 600 sqft )

Outdoor

( < 600 sqft )

Cafe With Seating Area

( 600 - 1000 sqft )

8 East Steps To Start Your Business

1. Online enquiry & application

2. Meeting with the business team

3. Location finding & evaluation

4. Downpayment for booking

5. Agreement signing payment full settlement

6. Renovation & Training

7. Setup & soft launch

8. Grand opening

Upfront (Standard Concept)

Licensing fee  - RM 30K

Equipments    - RM 25K

Renovation     - > RM 50K

Startup kit       - RM 8K

Others             - legal fee etc....

Running Cost

- Material cost is not included, all material has to purchase from EAC.

- All deposits and monthly rental required by complex bear by the Licensee.

- Monthly fee.

The Business Package

The Licensing package include below items:

- Licensing fee

- Machinery & Equipments

- Renovation fee

- Startup kit

- Loyalty fee by percentage

- Agreement Legal fee

- Halal Certificate Application

- Rental & tenancy related deposit is to be borne by licensee

Free

- free training

- free consultancy

- free advertising material for opening

- free Internet media advertising (Facebook, Youtube, Twitter, Blog & website)

Corporate Identity System

- marketing tools

- uniform

- table menu

- gifts 

Information From Each A Cup Brochures: Part 1

Why choose Each A Cup?
1. Innovative "Each A Brew" instant brewed freshest tea.
2. Rated 5 stars, awarded 9 out of 10 marks by Singapore The New Paper for 4 consecutive years.
3. Taiwan Consumer Association Golden Medal Award winning materials.
4. Imported top grade finest chocolate from France & coffee from South America.
5. Using Hotel grade juice concentrate and High grade tea sprout tea leaf.
6. Well Known and established brand in APAC.
7. Continuous innovation from Taiwan R&D team.
8. 11 years business know-how in Singapore, 55 years experience in Taiwan.
9. Customized sugar level to suit to personality.
10. Most Variety of drinks in the market.
11. Experienced, modern, professional & efficient operation management team.
12. Quality drinks with affordable & competitive price.
13. Natural, hygienic, healthy, low fat, freshest and trendy drinks.
14. Halal certification.

The Core Competency

Each A Brew
Being innovative & constantly creating new unique drinks with our Taiwanese Tea Consultants make us the brand of choice with young & mature consumers alike. In year 2011, we have first launched the latest revolutionary concept of "Each-a-Brew" from Taiwan:
On-the-spot Freshly Brewed Tea per cup in 60 seconds.

Each A Cup Features

"Each A Brew" instant Brewed, Freshest Tea


Premium and Standard Outlets Concept available


France Imported Finest Chocolate


South American imported Top Grade Coffee


Top Grade Juice Concentrate