Chatime Reveals 3 Key Strategies to Cope with the Real Estate Crunch
When Chatime looks for suitable kiosks and store sites these days, dealing with frustration has become part of the process. The QSR operator shares that the real estate hunt has become tougher overall – top quality sites are easily snatched up and this often leaves the brand with a woeful selection of low-quality or overpriced spaces.
Carlos Antonius, general manager at Chatime reckons it can be tempting to settle for suboptimal sites. But he insists that patience is one of the 3 key strategies that has helped them thrive despite the ongoing real estate crunch.
“Good sites are difficult to come across. That’s why we take a patient approach, waiting for the right location,” he says.
Chatime has very specific criteria for their store sites. Kiosks need to be 20 to 30 sqm in size and located near entertainment and restaurant precincts. Meanwhile, larger stores need to be around 50 to 70sqm in size, located in areas of high foot traffic, is near a restaurant or entertainment precinct and can trade late at night.
“We stick to our selected site criteria so that we don’t compromise on quality,” adds Antonius.
On top of patience, Chatime also focuses on strong partnerships with real estate stakeholders to get better industry information on the best sites available in and coming to the market.
“By building good relationships with landlords and leasing agents, we can ensure that we are top-of-mind when new sites become available,” says Antonius.
Finally, when a suitable site does come along, Chatime does not get ahead of itself. Antonius says the brand undertakes careful financial modelling before committing to any site. This is to avoid the big mistake of building on a site that checked all the boxes, but was, in fact, a poor choice when subjected to a more thorough feasibility check.
Photo credit: Chatime Facebook page
