Australia

FCA's Bruce Billson calls for stricter enforcement of Franchising Code of Conduct

The former minister also says the council is looking into a brand ranking system for potential franchisees. Further regulation will not stop incidences of poor standards and behaviour in franchising but better compliance to its code of conduct will, according to Franchise Council of Australia (FCA) executive chairman Bruce Billson. Speaking to industry leaders at the 2018 QSR Media Detpak Conference and Awards, the former minister says the code needs to be “actually enforced” and notes that the Australian Competition and Consumer Commission (ACCC) has assured the FCA that “they are an active regulator.” “We have proposed that the ACCC be given more resources so they can collect adequate data, investigate claims of wrongdoing and where breaches occur – take necessary action,” Billson said, amid ongoing public hearings into the effectiveness of the code due to recent allegations of misconduct against large franchising networks. He adds that the code needs to be better understood due to a strengthened version came into operation in January 2015, which he says improved its operations and included specific penalties for breaches while strengthening the ACCC’s enforcement powers. “It’s got strong penalties for non-compliance, enhanced disclosure requirements, a pre-contractual process to mitigate risk, explicit recommendations about seeking legal, accounting and business advice, mandatory contractual requirements around the transfer and termination arrangements and dispute resolution, protections around our marketing funds are used, and undisclosed capital expenditure. It also included a new reciprocal obligation to act in good faith.” Seeing trends in new franchise recruitment, Billson also thinks the code needs to be translated into key languages and notes that the code encourages franchisees to seek professional advice. “The FCA is actually recommended that we should make it mandatory to obtain legal accounting and business advice to inform prospective franchisees about what's in the disclosure document and also the nature of the investment they're contemplating,” he added.

Huxtaburger, Bunsters Hot Sauce partner to create new Bunstaburger

The spicy new burger features two different types of hot sauce.

Carl's Jr. opens new site in Pimpama

The site is part of the brand’s long-term expansion strategy in Queensland.

What will grocery delivery look like in 20 years?

Deakin University’s latest study looked at how driverless grocery stores could replace supermarkets. Australians could receive their groceries from autonomously-driven mobile stores, while drones might replace the traditional mail services in just 20 years, according to Deakin University’s latest scenario-planning study. The research team investigated how mobile driverless grocery stores could potentially replace supermarkets, while drones and ‘RoboPost’ automatic delivery units, travelling along footpaths and bike lanes, could take over mail services. The project identified about 200 future drivers of change through interviews with experts in the supply chain industry, leading to a development of four future scenarios – including an imaginary of the world in 2037. “This strategy will inform the development of infrastructure that will take several years to implement and then needs to last decades. So it’s critical we look deep into the future,” Deakin University Senior Research Fellow Dr. Roberto Perez-Franco said.

Aussies spending more on ethnic restaurants, study says

Data from the NPD Group reveals a near-$700 million increase in consumer spending in the said category since 2009. Ethnic restaurants, both in quick service and full service, now account for almost $6 billion of consumer spending within the $44 billion Australian foodservice industry, according to a report by the NPD Group. The results indicate an increase of almost $700 million in spending since 2009, with overall ethnic food sales increased by 13% over the last seven years. Mexican, Turkish, Indian, Greek and Italian cuisine – categorised by NPD as ‘QSR Other Ethnic’ – has been the fastest growing foodservice category for the last four consecutive years. Sales in this category have reportedly increased by 63% over the last seven years, more than any other outlet category. The research company attributes the growth to the rise of millennials within the foodservice space, with the age group accounting for more than half (53%) of ethnic fast food visits and generated all of the additional foot traffic to the category over the past twelve months. Evolving tastes and expectations “What this research translates to in terms of product is that more complex and sophisticated meals being sought out and consumed, with tastes and expectations continuing to evolve. With such clear demand for new and interesting ethnic cuisines, both manufacturers and operators have an opportunity to lead this discussion and continually innovate their product offering,” says Gimantha Jayasinghe, NPD Deputy Managing Director Asia Pacific. The research adds that most consumers select their choices based on wanting to try something different, wanting a specific menu item, looking for a hearty meal, satisfying a special taste or craving, and wanting something healthy to eat. (Also read: Millennials are eating healthier, and what this means for your QSR) NPD says ethnic fast food is “by far the most popular” among Australian millennials, despite burgers and chicken remaining as the most heavily consumed in that category. “Foodservice operators seeking to gain more visits and grow their bottom line should carefully consider their offerings to attract those that are seeking to spend within the ethnic food category,” Jayasinghe added.

Nando's to utilise Skyfii's IO platform

The platform allows the brand to leverage venue management insights. 120 corporate Nando’s restaurants across the country will soon be able to acquire insights such as dwell time, volume of customers, and frequency and recency of customer visits following its recently-announced agreement with Skyfii. The partnerships sees Nando’s utilizing Skyfii’s SaaS (Software as a service) recurring revenue ‘IO Platform’ services for two years, and is expected to enhance Nando’s customer experience through the aforementioned data. Skyfii says the cloud-based platform uses existing Wi-Fi infrastructure, BLE beacon networks, door-to-people counters, video sources, web and social platforms to allow various types of venues to analyse visitor behaviour and capture data from those who opt-in to free Internet connectivity. The data is then converted into a critical sales and marketing tool that allows venues and their commercial tenants to deliver content that is catered to each visitor’s needs and interests. 

How to systematically win customers back

If you’re a franchisee, then you have one of the toughest jobs there is.

The Cheesecake Shop lures new customers by giving away over 100,000 dessert cups

Free Cup Day is part of the brand's inaugural National Cheesecake Month celebration.

Gelatissimo's Kawana branch unveils ‘Give me 5 Cupcake' gelato

The store will donate $1 for every scoop sold to charity this month. Gelatissimo Kawana has released its ‘Give me 5 Cupcake’ gelato, named after the ‘Give Me 5 For Kids’ national fundraising initiative. The limited-edition gelato is cupcake-flavoured with blue sprinkles. For the whole month, the local store will donate $1 of every scoop sold to the campaign, which is dedicated to assist pediatric patients in and around the Sunshine Coast. “We are so happy to support a cause that gives relief to sick kids and puts smiles back on their faces,” said the franchise owner of Gelatissimo Kawana. Kawana Shopping World will host an event on June 23 to promote the initiative. Currently, Gelatissimo has 44 locations in 6 states in Australia, while maintaining a presence in the Philippines, Singapore, Saudi Arabia, Kuwait, China. The artisanal gelato brand also said they are arriving in Bangladesh.

Mexican taqueria CHUPACABRA to open in Byron Bay next month

The restaurant boasts of a menu that consists of “slow” fast food. A new taqueria is set to compete in Australia’s growing Mexican quick service and fast casual restaurant market. CHUPACABRA is opening in Byron Bay this coming July, and plans to feature authentic but more “coastal” or “Caribbean”-style Mexican dishes while maintaining a relaxed atmosphere that channels the beaches of Mexico. The new brand says their menu will be “slow fast food” with all corn tortillas made in house daily, and features dishes such as tacos al pastor with grilled pineapple, daily changing ceviche Mexicana, esquites (off-the-cob corn grilled and slathered with condiments), sharing plates from the asado (pollo, pulpo, pescado), and Cochinita pibil (slow cooked pork, sour orange, coriander, lime, pickled onion). They will also have a cocktail program, which will feature a signature margarita on tap with seasonal tropical variations, their spin on the michelada, and classics such as Horchata Coladas and Mezcal Negroni. A large range of tequila and mezcal will also be available, including the latter sourced from Oaxaca in central Mexico. Customers can also avail of their wine list that will feature small production wine-makers (local and international) and their range of fresh pressed juices, home-made sodas and a special blend of Mexican coffee. CHUPACABRA, named after Latin American folklore of an animal known as the “goat-sucker”, came to be after Chef Evan White and his partner Amelia Stokes partnered with owners of restaurants Harvest Newrybar and Barrio Byron Bay. White and Stokes reportedly chose the area due to similarities in ecosystems between the east coast current of Australia and the Mexican Gulf Stream – share the same ocean fauna and produce such as tuna, sail fish and prawns. The restaurant is expected to host 60 customers, including 20 seats outside, and features a design that aims to have a relaxed, beach atmosphere with “subtle touches of true Mexico.”  

Nando's looks to get ahead by inspiring the "inner cook" in their customers

The restaurant chain looks to their sauces to give them the competitive advantage.

Domino's Pizza appoints Terry Powell as new chief information officer

He will replace Wayne McMahon. Domino’s Pizza has announced that Terry Powell will now serve as the group’s chief information officer (CIO) across the company’s seven markets starting this month. Slated to oversee the strategic and operational aspects of Domino’s technology and infrastructure solutions, Powell has more than 20 years’ experience in IT leadership, security, management consulting and marketing across a range of sectors, including financial services, government agencies and retail. His most recent role was with Suncorp, where he led the technology division for the insurance business. As CIO, Powell will work with chief digital and technology officer (CDTO) Michael Gillespie to “bring efficiencies and new ways to engage the company's customers.” He will replace Wayne McMahon, who will become CDTO for Competitive Foods Group in July. Domino’s Group CEO and managing director Don Meij said McMahon was “instrumental” in laying the foundations for some of the company’s biggest platforms over the past seven years. “Under Wayne’s leadership, Domino’s has grown from strength to strength delivering some of the world’s best information technology solutions. We have been a true disruptor in this space and the focus on technology over these past seven years, under Wayne’s leadership, has been critical in achieving this,” Meij said in a statement.

76% of Australian adults say companies should "make it easier" to understand sugar content, report says

A market research firm also claims naturalness and flavour in beverages are presenting alternatives to sugar and artificial ingredients. Consumers are “getting wary” of old favourites like soda, cola and lemonade, according to the latest Summer Food and Drink Trends report by Mintel. Mintel Food & Drink Associate Director Jenny Zegler forecasts that the arrival of naturalness and flavour to the soft drink market is presenting alternatives to sugar and artificial ingredients. She notes that 76% of Australian adults agree that food and drink companies should make it easier to understand how much sugar is in their products while 75% of German consumers of carbonated soft drinks (CSDs) agree that manufacturers should do more to reduce the sugar in their products. Read the full report here.