Some Vietnamese businesses are trying to make domestic brands better known internationally through franchise contracts. If they can find partners, they will be able to accomplish their goals more quickly.
RedSun ITI, the company which owns Thai Express, Khao Lao and King BBQ, has officially brought its Truly Viet restaurant chain to Australia.
The menu of the first restaurant in Melbourne, Australia set by RedSun ITI and its Australian partner has four traditional dishes – goi cuon (summer roll), pho (noodle served with beef or chicken), banh my (Vietnamese sandwich) and bun cha (rice noodle with grilled fatty pork).
RedSun ITI has also teamed up with a Lao partner to develop King BBQ chain there, specializing in South Korean dishes.
Prior to that, Goi & Cuon, the owner of Wrap & Roll, franchised the brand to MSJ Gourmet Group in Singapore which has opened four shops so far.
In late 2017, Redwok, the new name of Goi & Cuon, opened the second franchised restaurant in Shanghai, raising its total number of franchised restaurants in Asia to six.
It signed a franchise contract with Weilamei Shanghai and opened the first restaurant in July 2017 with investment capital of $150,000.
The restaurants in Shanghai could be the springboard for the company to conquer the world’s most populous market.
Redwok plans to open 10-12 franchised restaurants overseas.
However, the number of Vietnamese franchisers remains very modest. According to the Ministry of Industry and Trade, only a few brands are franchised, such as Pho 24, Cafe Bobby Brewers, T&T and Iced blended.
Vietnamese students in Singapore said they can find many restaurants specializing in Vietnamese dishes in the country. Nam Nam Restaurant in Singapura, for example, is always crowded and clients have to queue for their turns.
Nguyen Tuyet Nhung, director of Nanna’s, a newly established business in Singapore, said she can see great potential in the market, not only because Vietnamese dishes are favored by foreigners, but also because any business model (from kiosk to restaurant) and any dishes can be developed.
She said Singaporeans often eat out, while food courts are located everywhere, including in areas near subways.
Nguyen Phi Van, a franchise and retail expert, said that all kinds of Vietnamese products, from food to healthcare services, could reach the world through franchising. Vietnamese products and materials could be exported at values much higher than raw exports.
By Chi Mai