Many people do the development of chains, are in the later stage when the scale is good, only to think of the development of chains, rarely at the beginning of the strategic layout, there is a top-level design, patting the chest and saying: My brand is to do chain.
Most of the private enterprises are from a store to develop more than 10, slowly groping for the development of chains, at this time, most of the pits have experienced a while, you will find that all the cost or time.
(Chaining logic as shown in the figure)
The so-called flowers have a reblooming day, and people are not in the youth.
Today's head of the regiment focused on the expansion model: custody association, referred to as using other people's money, to open their own direct stores, for reference only, because the expansion model at different stages needs to be combined, among which the expansion model in Hutaoli is the custody association.
These are the common expansion models: direct operation, franchise, trusteeship, acquisition, free chain, and joint venture.
First, the direct sales model
In traditional chains, most of the enterprises are just starting out in the direct sales model, assuming:
The first year: invest 1 million in a store, make a profit of 100 a year, and recover the cost in one year.
The second year: the store continued to operate, and the profit at the end of the second year was 1 million
At this time, you want to open a second store with this 1 million, and open another store (invest by yourself, open your own store, referred to as direct sales), so you find that you have earned money in 2 years, and invest in a second one, and the cash flow is very tight, once something happens, the 2 stores will hang up.
That is to say, although the direct sales are expanding steadily, the funds required for expansion are too large, and the expansion is very slow, but when the industry competition is very large, the opportunity for development may be missed.
Summary: Direct sales expansion is slow
Second, the franchise model
Next, decompose the franchising, most of the traditional franchise enterprises are based on the previous successful experience of opening a store to summarize a set of profitable and replicable single store model, and then calculate the return on investment cycle, and then set the franchise fee to promote investment.
Soon, through the promotion of franchisees, there were more than 100 franchisees across the country, but in the end, it was found that the franchisees did not listen to the headquarters, and the headquarters did not give support to the later franchise as promised, but became a simple product supply relationship.
The joining of this relationship can only be said to be a product output to join, secondly, the headquarters and franchisees have no later stickiness, so the headquarters is sometimes too lazy to manage, and the brand after it can be imagined.
Summary: It is difficult to join the control
That is to say, how to make the franchisee and the headquarters not a hammer deal is very worthy of chain enterprise thinking, that is: how to close the loop of the business model, so that the franchisee is more dependent on the headquarters, so that the headquarters always has a relationship with the franchisee.
3. Trusteeship joint operation model
Let's listen to how the hosting association model is designed, and it can be simply understood that the cooperation between the headquarters and the franchisee is also the most widely used at present.
There are three key factors to know about hosting an affiliate:
Investment rights (how much each of the headquarters and franchisees invest?)
Controlling stake (how much does the head office and franchisee each hold?)
Dividend rights (how do headquarters and franchisees distribute dividends?)
It can be abbreviated as: separation of powers, as shown in the diagram
The following is a simple example to analyze, or to calculate the investment of 1 million in a store:
Investment rights: 10% from the headquarters (i.e. 100,000), 90% (900,000) from the investor
However, the headquarters should have absolute right to speak, such as 51% of the controlling stake, and the franchisee accounts for 49% of the shares.
The question is, why should the franchisee promise you?
The headquarters can control the big shares with a small amount of money, and the franchisee will definitely not pay for the big money or the small shares.
Therefore, the right to dividends can be fully transferred, as shown in the figure
Dividend rights, as the headquarters I don't want all, let the profits to the franchisee, here everyone will definitely wonder, how to make money from the headquarters?
Therefore, in the design of the mechanism, there are two points of design: priority recovery of costs and redistribution after recovery.
Franchisees can use this mechanism to give priority to recovering costs, and when the contract is recovered, the headquarters can have 10% dividend rights, which can be designed, and not necessarily in accordance with this template.
Fourth, summary
In fact, many chain companies don't understand that the profits of the stores I worked so hard to open are all given to the franchisees, and my headquarters still makes very little profit.
In fact, most of the chain enterprises with this confusion have not carried out strategic layout, namely:
Focusing only on short-term gains, not on long-term development;
Only pay attention to the enterprise to make money, and do not pay attention to the value of the company's future brand.
Students who have learned about the profit model design of chain enterprises know that one sentence expresses the essence of the profit model:
A single store can make money, but we don't make money from a single store.
As a simple example, McDonald's has more than 30,000 stores around the world, and its business profit is mainly composed of the following parts:
Selling products (burgers, fries)
Selling Model (Brand Licensing)
Selling a property (McDonald's is actually the largest real estate company in the world)
Among them, the structure of the three, selling products accounts for only 10% of the total profit, selling the model accounts for 40%, and selling real estate accounts for 50%.
For example, in 2016, the profit portfolio of the man's wardrobe - Heilan House (as shown in the figure):
Main business income: 16.9 billion yuan
Non-core business income: 40.25 million yuan
Investment and financing income: 33.06 million yuan
If, we take the custody of the joint operation model, we must do a strategic layout, there must be a loss, as a chain enterprise, we must develop to the platform, the platform is composed of two kinds of customers:
One is the B2C side - to the consumer;
One is the B2b side - for franchisees.
In the end, we summarize one sentence: to be a chain is to be the leader of the alliance, we don't want to be the "top brand", we want to be "Mommy".
Have you learned about hosting affiliates?
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