Interview with Karin Warin, Co-founder of Clopinette.
"After an all-out development and with 3 000 specialty stores, a restructuring of the electronic cigarette market is inevitable. "
Multiplication of specialized stores and risk of saturation, lobbying of tobacconists, programmed ban on advertising in 2016… What is your analysis of the highly fragmented electronic cigarette market? What are the prospects for distributors such as Clopinette, the franchise leader?
Today, there are 3 specialized stores in France, to which must be added competition from tobacco shops and large and medium-sized stores (GMS). After an all-out development in recent years, a restructuring of the market is inevitable because supply has become greater than demand. Stores are closing and will continue to close. We must also expect a movement of concentration of brands and distribution networks.
Legislative uncertainty has been removed: the electronic cigarette is a product authorized under very strict conditions of distribution. To avoid the excesses related to products of poor quality or not adapted to the needs of the consumer, one would even tend towards a possible approval or label shop. As for the tobacconists claiming the monopoly of distribution, we have always won our lawsuits. TheE-Cigarette is not a state monopoly.
With one to two million vapers, the electronic cigarette is not a fad. The market is durable. The challenge for retailers is to conquer new and increasingly sophisticated customers by offering them safe (certificate of control, traceability) and innovative products, service and advice. These are the fundamentals of the concept Clopinette since the creation of the sign, in 2011.
What is the scale of the network Clopinette ? What about your implementation strategy and what are your expansion objectives now?
The network totals 80 stores in France: 21 branches and 59 Franchises, knowing that the majority of franchisees operate at least two outlets.Clopinette has also taken its first steps abroad, in Belgium, by repurchasing the chain Smoky Club.
In 2014, we have inaugurated twenty units (Bordeaux St. Catherine Street, Saintes, Valenciennes, Dieppe ...) and are planning 20 openings this year, in own and in franchise. After favoring street locations 1 No. downtown, we also target shopping centers and shopping malls like the shops open in Aubière, Flins and La Roche-sur-Yon. Our status as a leading channel in franchise opens doors for us in a shopping center, where lessors prefer national brands to independents.
Within five years, the objective is to count 300 stores by continuing our development and by possible external growth operations, depending on opportunity.
What profiles of entrepreneurs do you recruit for franchise projects? What are the specifics of the contract and what support do you provide to franchisees?
The first ones franchisees of the brand were rather experienced entrepreneurs who had already managed businesses and were able to understand a new product and a new market. Today, the profiles of our partners are varied: men, women, couples, former employees Clopinette, executives in reconversion, ex-franchisees The Phone House… We favor a trader-operator profile rather than investors.
Le entrance fee, to integrate the network, is 15 euros. The royalties are set to 5% of sales and 1% of sales for communication. To open a shop of about 20 m², the candidate must have a personal contributionminimum of 20 euros. Outside the door, theInitial investment varies between 60 and 80 euros per project.
Our franchisees are master entrepreneurs of their points of sale while receiving support and assistance during the contract. Animators carry out a quarterly audit of the stores. This allows both to ensure the proper application of trade policies of the brand while promoting the return of land.
Source : franchise-magazine.com/
