Franchise Opportunity a presentation by Barry Dedy Indah Johan Made Novita Raymond Baskin-Robbins Products ~ Ice Cream Permanent Flavors Gold Medal Ribbon® Vanilla and chocolate ice creams with a caramel ribbon No Sugar Added & Lowfat Chocolate Chocolate Chip Lowfat chocolate ice cream with rich chocolate chunks World Class® Chocolate White chocolate mousse ice cream swirled with milk chocolate ice cream Espresso 'N Cream Lowfat Ice Cream Jamoca® and vanilla ice creams sprinkled with chocolate flakes Flavor Fanatics Apple Pie a la Mode Real apples, crunchy pie crust, caramel cinnamon crème ribbon and vanilla ice cream. Tastes like homemade Regional Flavors Chocolate Mousse Royale® Milk chocolate mousse ice cream with chocolate flakes Banana Nut Nutty combination of banana ice cream and walnuts Triple Play Popcorn, peanuts and pretzels load a caramel ice cream base. Best if completed unassisted Yoghurt Gone Crazy (Lowfat) Raspberry Cheese Louise Lowfat cheesecake yogurt with raspberry cheesecake pieces and graham cracker bits swirled with a raspberry ribbon Seasonal Flavors Baseball Nut Vanilla ice cream swirled with black raspberry ribbon and loaded with cashews Baskin-Robbins Products ~ Sundaes and Cakes Signature Sundaes Tiramisu Sundae - French Vanilla and Jamoca® ice creams topped with cake pieces, hot fudge and whipped cream then drizzled with coffee and chocolate syrups. Classic Sundaes Banana Royale - Your favorite ice cream flavors topped with bananas, hot fudge, chopped almonds, whipped cream and a cherry. Build Your Own Sundaes Choose one, two or three scoops of your favorite Baskin-Robbins ice cream flavor in a waffle cone or cup. Custom Ordering Cakes Step 1 : Choose Your Size Step 2 : Choose Your Flavor Step 3 : Choose Your Design Baskin-Robbins Products ~ Beverages & Snacks Cappuccino Blasts Oreo® 'n Cookies Oreo® Cookies 'n Cream ice cream blended with coffee and crushed chocolate cookies Bold Breezes Creamy Bold Breezes Shakes & Malts BestSweet Candy Your favorite ice cream flavors in a hard candy Baskin-Robbins The Best Premium Ice Cream Player Vision ³The BEST PREMIUM ICE CREAM PLAYER´ Mission We exist to thrill customers, define and lead multi-branding, enrich stakeholder, and build powerful brands! Values We value Integrity, People, Connection, Innovation, Performance, Discipline, and Quality. Why Baskin-Robbins? Brand Awareness Rankings in Entrepreneur magazine 2002-2006 Franchise 500® rank: #22 (2006) #31 (2005) Ranked #1 in category in: 2006 , 2004 , 2003 Fastest-Growing Franchises: #17 (2005) #17 (2004) America's Top Global Franchises: #22 (2005) #14 (2004) Global Presence Our signature pink spoon is known not only all over the country but all over the world. Baskin-Robbins has over 5,000 global locations in over 50 countries and we are continually opening new franchises. Local Focus When you become a Baskin-Robbins franchisee you are joining a system which has been developed over the last 60 years. We're a stable, innovative franchise that provides training and support - from assistance in site selection and financing to marketing and operations. We constantly strive to create stores which are the best in the world and to provide our franchisees with systems, processes and tools which are the best in class and relevant to our customers in different countries. Baskin-Robbins Becoming a Franchisee Start-up Costs & Franchise Fees Total Investment $145,700 - $527,800 Initial Franchise Fee $30,000 Royalty Fee 5.9% Training & Support Training Ongoing Support Available at headquarters: varies Newsletter Meetings Toll-free phone line Grand opening Security/safety procedures Field operations/evaluations Regional advertising Marketing Support Baskin-Robbins Becoming a Franchisee (continued«) Qualifications Team player and leader - People who work well with others, openly share and participate, and want to contribute to Baskin-Robbins overall success, but who also understand the importance of day-to-day business operations including finance, marketing, and more. People person - A prospective franchisee must thoroughly enjoy interacting with the public, possess strong problem solving skills and truly understand the importance of providing exceptional customer service. Enthusiastic - People who exhibit a high level of enthusiasm and are self-motivated. Must be willing to work in your store and remain continuously involved in the day-to-day operation of your business. Financial Requirements In addition to these criteria, all prospective franchisees must meet BaskinRobbins minimum financial requirements, like a net worth of $350,000 and liquid assets of $125,000. Baskin-Robbins Becoming a Franchisee (continued«) Demographic Requirements Population 15,000 or more population within the drive-time trade area $38,000 or greater Median Household Income 10,000 or more employees within the drive-time trade area desirable Proximity to office parks desirable Easy access from employment base Employment Shopping/Activity Anchored to regional, community or power centers Entertainment/movie theaters Major grocery chain in market located at the center Baskin-Robbins Becoming a Franchisee (continued«) Site Characteristics Size 2200 sq. ft. for combos (BR/DD, BR/TG, DD/TG) 1500 sq. ft. for single brands Patio ± 15 ± 20 seats desirable Free-standing/shared pad site for trombo concepts End-cap in center. anchored by major tenant Ten (10) year term with 2 five (5) year options Landlord T.I. - between $15 - $30 per sq. ft. Electrical - 208 volts/600 amps , HVAC - 1 Ton per 200 sq. ft. of premises Water (1" line), plus gas (3/4" line) 11' ceiling height, sprinkler system to code All utilities, service to space, 4" waste line, 24" below grade Exposure Lease Requirements Baskin-Robbins Becoming a Franchisee ~ Steps Application Steps: 1) Review available markets to see if opportunities are available in your area. Complete and submit a Confidential Franchisee Consideration Request (franchisee application). 2) Upon preliminary review of application and if you meet the market requirements you will be given a Uniform Franchise Offering Circular (UFOC) which contains comprehensive and valuable information for franchise candidates. 3) A Franchising Manager (FM) for your area will contact you to schedule an initial interview. You should bring the following with you: Copy of your driver's license Verification of your assets as outlined on the application Copy of your birth certificate and social security number or resident alien status (green card) to verify citizenship status. As part of your meeting with the FM you will have an opportunity to discuss the application process, ask questions regarding the franchise and its operations and explore franchise options. Any potential business partners should be present during the interview. You may be asked to participate in follow-up interviews with your FM. Baskin-Robbins Becoming a Franchisee ~ Steps Application Steps (continued): 4) A credit and background check will be completed and the information will be verified by an FM. 5) It is recommended that you obtain legal and financial advice. In addition, you may want to contact existing franchisees to discuss their franchise experience and to ask any additional questions you may have. You will find a list of franchisee names in the UFOC. 6) Throughout the process, your FM will discuss with you opportunities in the marketplace, leading to the signing of a store development agreement. 7) If you are purchasing an existing store, you must complete the Training Program prior to closing on the store and signing the Franchise Agreement. Baskin-Robbins Franchise History Started franchising in 1948 Year 2005 2004 2003 2002 2001 U.S.A. 2765 2241 2010 2322 2152 International 2779 2330 2165 2105 2290 Baskin-Robbins Franchise Growth In Indonesia Jakarta Bandung Semarang Yogyakarta Surabaya Bali Medan Pekanbaru 24 parlors 5 parlors 4 parlors 2 parlors 9 parlors 8 parlors 1 parlor 2 parlors U.S & International Baskin-Robbins Franchise SWOT Analysis Strengths Strong brand awareness Never-ending focus on fun combined with our commitment to innovation and a quality customer experience is important when you're considering investing in a business. Baskin-Robbins has over 5,000 global locations in over 40 countries and we are continually opening new franchises. More than 1000 flavors of ice-cream in the library include low fat and no sugar ice-cream. Provide several services for different age group. Good support from the master franchisor Baskin-Robbins Franchise SWOT Analysis (continued«) Weaknesses Not all branches offer the same products. The customers might not be able to buy their favorite ice cream flavor at all branches in their area. Quite expensive initial investment. Some people might find it difficult to open their own BaskinRobbins ice cream parlor. Baskin-Robbins in Indonesia SWOT Analysis (continued«) Opportunities The population of Indonesia is enormous. Indonesia has only two seasons and the sun shines almost everyday during the year. Baskin-Robbins in Indonesia SWOT Analysis (continued«) Threats The number of competitors increasing including the traditional competitors. Switching between products is relatively easy. Economic condition in Indonesia is decreasing, therefore the buying power for premium ice cream is low. Baskin-Robbins Market Competition Analysis Total Investment Initial Franchise Fee Royalty Fee Starts Operating Starts Franchising Ranks in Franchise 500® Outlets $145,700 - $527,800 $30,000 5.9% 1945 1948 #31 (2005) (2005) International : 2845 USA : 2279 $86,800-$397,100 $30,000 4% 1961 1977 #335 (2005) (2003) International : 438 USA : 231 Baskin-Robbins Market Competition Analysis Training Available at headquarters: varies Newsletter Meetings Toll-free phone line Grand opening Security/safety procedures Field operations / evaluations Two-week initial training class at headquarters Initial on-site training and assistance upon opening a shop On-going marketing and promotional support On-going operational and marketing/business planning support Ongoing Support Fun Facts After serving in World War II, Robbins bought an ice cream parlor in Glendale, California. Three years later, he convinced his brother-inlaw, Burt Baskin, to join the business. The two men flipped a coin to see whose name would go first on the sign. Baskin won, and in 1945, Baskin-Robbins was born. Baskin-Robbins original colors were brown (Chocolate) and pink (Cherry) and our famous polka dots represent balloons. Our trademarked "31" stands for a different ice cream flavor for each day of the month. It was included in our logo and marketing efforts beginning in 1953. We believed people should be able to try any flavor without cost - a belief that led to the iconic pink spoons. Baskin-Robbins In Indonesia Baskin-Robbins Franchise in Indonesia Owned by PT. Naryadelta Prarthana, directed by Mrs. Lim, since November 1990. Opened their first stores in Plaza Indonesia and Blok M Plaza on April 14 and 15, 1991. Now, their ice cream parlors can be found in Jakarta, Bandung, Semarang, Solo, Yogyakarta, Surabaya, and Bali. Thanks«