Q&A with Noodle Box's CEO David Milne

Noodle Box is the category leader in Asian inspired QSR. They are currently undergoing a process of re-design in their stores as their OS experience has shown that a "one size" fits all approach is not tapping into contemporary culture.

What's on the horizon for this constantly evolving brand? QSR Media interviewed Founder David Milne about next steps for the group and put the following questions to him:-

1. Tell us about Noodle Box

Noodle Box was founded in 1996 by Josh James and myself. The idea was to bring the famous take-away box made famous in US movies and television to Australia, becoming the forerunners in the healthy eating fast-food phenomenon.

Returning from world trips where we discovered everything from Chinese and Indian food to ice cream being served in a convenient and classy box, and enchanted by the open cooking and exotic, fresh flavours of South East Asia, we opened our first Noodle Box store.

The first Noodle Box flavours were served at the flagship store in Chapel Street, Melbourne, the retail and fashion heart of the city. The Chapel Street store was a resounding success, and in 2002 Noodle Box began offering franchises.

Now with over 80 stores nationally, we are poised to consolidate the organic growth we have enjoyed to build a brand which is fast paced, all about fun and healthier eating for Australians.

Since 2002 we have been opening around 10 stores a year. The growth the business has seen is great and we’re really excited about what the future holds for Noodle Box.

2. What's in store for the rest of the year?

The Noodle Box goal is not only to be recognised as a leader within the Asian fast food category, but as a brand that represents a healthy and more sophisticated ‘gourmet’ meal option.

We are setting the foundation for big things with a new strategic direction, new store look and investment in a new and highly credentialed team.

Josh and I now see 2011 as an opportune time to evolve our culture, strengthen internal processes and invest in people who will allow for a new phase of growth in FY12 and beyond.

Both James and myself appreciate that surrounding ourselves with the right people is paramount to driving the business to the next level. This will assist the continued support of franchisees, whose success as small business owners is critical to the overall health of the brand and the bottom line.

We have therefore expanded the management team to provide consistency within the business, contribute to the atmosphere and energy of the culture and create a coalition of experience from within the category.

For us the main impetus for expansion in the short term was a need to focus on training and marketing.

Rachel Bitzilis joins the company from Boost Juice Bars and Telstra as the company’s Brand Manager and will have the challenge of driving the business at the consumer level.

Jody Patterson is Noodle Box’s National Training Manager and has charge of the company’s training and support program, particularly at a franchise level.

3. What sets Noodle Box apart from other franchises?

Simply, it’s our training and support.

Noodle Box prides itself on being a leader in the support and development of franchisees, offering a huge amount of tangible benefits to new and existing partners.

In a key initiative, all franchise partners will be given the opportunity for one-on-one consultation to tailor a comprehensive training plan for their business. This seeks to develop one or more key competencies including financial management, book-keeping, staff recruitment and ‘training-the-trainer’. An e-learning system is also in development, to engage Noodle Box team members and maximise training outcomes.

All this serves to build a strong, well-rounded and ultimately well-remunerated group of small business owners who have the expertise to grow their businesses.

4. What bought about the new look and feel for Noodle Box?

Noodle Box continually work on the health of the brand and subsequently reassess the look of the stores. The customer experience is central to the Noodle Box offering and will be critical in the development of Noodle Box as an aspiring global brand.

Taking from the best examples of QSR from around the world, a new in-store feel and branding has been developed to encompass a ’village feel’. I have observed that many QSR chains have started to pull away from the big-brand, homogenised fit-outs one expected previously from such organisations.

Noodle Box was born from a few local stores, each embracing their own position and local culture.

Rather than turning to a heavily mechanised, cookie-cutter approach to our stores, we are really riding a global trend where the store fits into its environment and people, and not the other way around.

A re-brand process has begun in earnest, with Shepparton and some Brisbane stores kicking off the roll-out which will occur over the next 18 months.

Further to this, marketing initiatives also include the re-launch of the Noodle Box loyalty programs and in-store promotions to build a rapport with customers.

5. Tell us more about Noodle Box’s ‘Noodle Crew’?

Noodle Box are rewarding their regular and new customers with the new “Noodle Crew” customer loyalty program.

From February 14, customers are invited to simply pick up a loyalty card with their purchase from any of the 81 Noodle Box stores around Australia and sign-up online to begin receiving special member offers and discounts.

Noodle Box is eager to give back to the noodle community - rewarding those that have supported and loved the brand. Noodle Crew members will be rewarded as soon as they sign-up with a bonus $5 in Noodle dollars (Noodle Box credit) to spend in-store, as well as receiving 10 per cent of what they spend at Noodle Box in Noodle dollars. Noodle Crew members also receive a free “birthday box” and have access to a range of both national and local store exclusive offers and competitions. They will also regularly be invited to participate in customer research surveys to help Noodle Box improve its offering to customers.

6. Where do you see growth markets for Noodle Box?

The growth opportunities for Noodle Box lie in continuing to build the franchisee network and Noodle Box store footprint around Australia in addition to international expansion and development.

Noodle Box has already invested in infrastructure to ensure the smooth expansion of the brand in new markets. Where possible, the centralised Noodle Box supply chain has partnered with manufacturers and premium distribution associates domestically and internationally. This provides uniform branding, consistent product and the advantage of deep purchasing power.

We’ve enjoyed strong organic growth to take us to 82 stores, and now believe we are in a solid position to move forward.

We are resolved that investment in processes and infrastructure now will allow us to do just that.

7. How do you use social media to drive the business?

Social media has become integral in developing Noodle Box brand advocates and cultivating word of mouth. Noodle Box use social media to strength the brand’s voice, communicating with fans in an edgy and very brand specific tone.

Social media instantly provides customers with updates and insights about specific stores and special offers – answering fan questions, posting regular status update and engaging picture and video content.

It’s amazing to have such engaging two-way communication with Noodle Box customers.

Facebook in particular has become an important customer relations tool – easily highlighting what our customers love and enjoy about Noodle Box.