Why bakery franchises are doing well in COVID19

Interview with Mr. Kawakami of “OKAYAMA KOBO”, which is achieving 110% to 150% year-on-year results in Japan during COVI19

 

This has paid off because people are opening stores for the food they eat every day, not in shopping malls, but in single stores in residential areas.

It’s important to connect with your customers.

 

About  Okayama Kobo Founder, Mr Kawakami:

  1. Mr.Kawakami is currently 58 years old and has been in this industry for about 40 years
  2. He started his career as a baker and found out that in order to expand bakery business he has to find a way to train people in bakery even without bakery experience, thus starting “Okayama Kobo”.

 

Stores:

 

  1. Currently he has 2 direct owned stores in Japan and 1 store in Anaheim (USA)
  2. Head store is now over 14 year old and daily sales is around USD10,000.
  3. Another older store which is already 21 year old has a daily sales of USD5,500.
  4. Beside direct stores, have 230 that are operating under their supervision. Sales of these 230 stores during Corona period rise more than 110% to 150% due to the Pandemic. People tend to eat more bread during breakfast and lunch
  5. These stores uses their own brand and no royalty. Okayama gain margin thru the selling of ingredients like flour, margarine etc. Each store determines their own selling price, opening time etc
  6. For US Anaheim store, they are collaborating with Japanese restaurants that sell bento. And these restaurants are also selling Okayama bread
  1. Currently Okayama Group has about 100 employees, almost all have no baking experience. What makes this possible is their unique “5 days training”.

 

More information >> OKAYAMA KOBO,

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