Just before the conversion to LiHo, Gong Cha Singapore was worth about $30 million in revenue annually – so competition to be the next franchisee of Gong Cha would undoubtedly be fierce. According to the Straits Times, Mr Kim Soomin, a partner at Unison Capital, stated that they have had "multiple enquiries since the news broke, from potential business partners ranging from individuals to food and beverage companies that already have business operations in Singapore and some financial investors too."
Much of a food business' revenue comes not from new customers, but from people who have already been there before. Assuring customer satisfaction is hence equally, if not more, important than creating awareness of your F&B joint. So how do you make sure that your have a healthy, growing number of returning customers?
According Japanese government records, the average profit margin of Japanese F&B outlets is 8.6%. Even large restaurant chains struggle to reap profits of more than 10%.