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How Beta Group Replicates Their Franchise Model

 

Building on the success of Beta Cinemas franchise model, Beta Group continues to apply this model to serviced apartment business with an investment of VND 5 billion.

While cinemas have been “frozen” since 2020, movie distributors are exhausted, the Beta Cinemas chain still maintains its plan to expand through franchising. With an investment from VND five billion, investors can establish a cinema system of 2-3 screening rooms with quality and services comparable to existing foreign-invested cinemas.

“Beta Cinemas is suitable for investors with moderate capital flow, but it has high profit potential and a fast paypack period of three years,” said the company’s representative.

This model has been successfully applied to three cinema clusters, including: Phu My (Ba Ria – Vung Tau), Long Thanh and Long Khanh (Dong Nai).

Image of a Beta cinema
Image of a Beta cinema.

Beta Cinemas is a cinema chain that targets students and the middle-class customers. Ever since it’s establishment in 2014, the chain has had 14 cinema clusters located in Ho Chi Minh City, Hanoi, Thai Nguyen, Thanh Hoa, Bac Giang, Nha Trang, Dong Nai, Ba Ria – Vung Tau, and An Giang. In 2020, Beta Cinemas reached a business valuation of VND 1,000 billion.

Six years after the establishment and development of Beta Cinemas, Bui Quang Minh, Chairman of Beta Group continues to set new goals in order to make a broader impact on society. Thus, a series of modern-style serviced apartments targeted at young people, A. Plus Home, was established.

A.Plus Home adopts a technology application model to optimize standard living space for young people at a reasonable cost. With a rent from VND 5.5 million per month, tenants can live in a fully furnished studio serviced apartment for two, with a self-contained design including kitchen and bathroom. There are full serviced utilities, without extra charge, including: electricity, water, laundry, cleaning, wifi, parking space, air conditioner, water heater, refrigerator, induction cooker etc.

The interior of an A Plus Home serviced apartment in Hanoi
The interior of an A.Plus Home serviced apartment in Hanoi. Image by: Beta.

According to Mr. Bui Quang Minh, A. Plus Home is implementing a serviced apartment franchise model, which has attracted the attention of many investors in Ho Chi Minh City, Hanoi, Da Nang, and Binh Duong... with more than 170 newly signed franchised apartments.

The A. Plus Home franchise system is suitable for investors from real estate corporations, hotel owners affected by the Covid-19 and households with premises for rent. The company also plans to develop a flagship model with 100 studios, with rental from only VND 5.5 million per month, including a variety of modern amenities such as swimming pools, gym clubs, public areas... and is searching for premises in Ho Chi Minh City and Hanoi.

Besides, Beta Group is incubating the educational project Crimson Business Institute that aims to provide Harvard-licensed business courses for Vietnamese students.

What helps businesses turn risks into opportunities anddevelop franchising model in a challenging market context? What prospects are there for the cinema business? What is space for further development of the serviced apartment market for young people, and what is Beta Group's orientation to the education sector? These questions will be addressed by Mr. Bui Quang Minh - Chairman of Beta Group in the talk Nguy-Co (Risks-Opportunities) number 6 - season 2, broadcast on July 29 on VnExpress.

Entrepreneur Bui Quang Minh
Entrepreneur Bui Quang Minh. Image by: Le San.

Entrepreneur Bui Quang Minh (Minh Beta) received a full scholarship from the Australian Government and graduated with a first-class honors degree from The University of Sydney in 2006. He graduated with a Master of Business Administration (MBA) from Harvard University (USA) 2014. In addition to his business career, he is also active in music and entertainment, participating in art and film projects with many different roles.

Trailer of the talk Risks Opportunities number 6 Season 2
Trailer of the talk Nguy-Co (Risks-Opportunities) number 6 - Season 2.

Source: vnexpress.net

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