Revise franchise terms and suspend investment promotion Xinqiao Sanbaole Bakery needs to cure heart disease

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The franchising business of Xinqiao Sanbaole, a veteran bakery of

, seems to have pressed the pause button. Recently, a reporter from Beijing Business Daily learned during the visit that the "Sambo Le" signboard of Xinqiao Sanbaole Peony Garden store was covered. At the same time, Xinqiao Sanbaole brand side is adjusting the franchise cooperation content and terms, and temporarily does not accept new franchise cooperation without special circumstances.

Facing the entanglement between the brand and franchisees of Xinqiao Sanbaole Bakery, it also reflects the shortcomings of the franchise market. The brand side also needs to deliberate on the content of the cooperation in the franchise cooperation to protect its own rights and interests.

Revise franchise terms and suspend investment promotion Xinqiao Sanbaole Bakery needs to cure heart disease - Lujuba

Franchisee covered the "Sambo Le" signboard

On the first floor of Cuiwei Department Store, the "Sambo Le" signboard of Xinqiao Sanbaole Bakery Peony Garden was covered, leaving only the word "Bakery" on the doorplate. However, the store still sells the same type of bread and pastries from Sambo Le Bakery.

At present, the store is still operating normally, and some of the shelves are empty of goods. The goods on sale are the same bread and pastries of Sanbaole Bakery. During the business period, customers come into the store intermittently to buy. Regarding the reasons for blocking the brand name of "Sanbaole", the staff of the store revealed: "Xinqiao Sanbaole Bakery Peony Garden Store is a franchise store, and the store is still negotiating with the Sanbaole brand whether to renew the contract."

Xinqiao Sanbao Merchants around the Mudanyuan store of Le Bakery told the reporter of Beijing Business Daily that the signboard of this store has been covered for nearly a month. "It may be that the producer has not communicated well with Sanbaole, so this brand cannot be used for the time being." At the same time, Xinqiao Sanbaole Bakery Peony Garden Store can no longer accept Sanbaole brand stored-value cards for consumption.

A reporter from Beijing Business Daily learned during the visit that at present, only one franchise store of Xinqiao Sanbaole Bakery Peony Garden has blocked the "Sambole" brand mark.

Xinqiao Sanbaole Bakery was founded in 1985. As one of the first "open self-selection bakeries" in the 1980s, it was sought after by consumers at that time. A reporter from Beijing Business Daily visited many stores and found that most of the customers who come to the store to buy are middle-aged and elderly people. A consumer of Xinqiao Sanbaole Bakery in Shuang'an Shopping Center said, "I started buying their bread many years ago, and I think it tastes good." However, on Dianping, some consumers complained about Xinqiao Sanbaole Bakery Mudanyuan store, "It turned out to be a franchise store, it was too unpalatable." According to reports, Xinqiao Sanbaole Bakery Peony Garden has been in business for seven years.

Revise franchise terms and suspend investment promotion Xinqiao Sanbaole Bakery needs to cure heart disease - Lujuba

Exporting the production recipe may become a "thunder point" In the future, the signboard of 'Sambo Le' will not be able to be adopted, the bakery will still operate normally, and the selection and taste of the bread will be the same as now."

Perhaps because of the situation in the "renewal" with the franchise store, the brand side of Xinqiao Sanbaole Bakery made adjustments to its franchise content and terms. A reporter from Beijing Business Daily called Xinqiao Sanbaole Bakery as a franchising agent. The staff in charge of the franchising business said, "At present, the company does not accept new franchising cooperation, and the content of franchising business cooperation will be adjusted. Unsure at this time." The staff member said that Xinqiao Sanbaole currently has seven or eight franchised stores, accounting for more than half of the total number of stores.

Regarding the above situation, a reporter from Beijing Business Daily made it clear that they were the media and contacted Xinqiao Sanbaole Bakery. The staff denied the statement of "suspension of franchising" to the reporter. , term information, etc. to be adjusted”. As for the reason for the adjustment, he said that it is due to prudent management of brand development, strengthening the maintenance of brand image, quality and interests, strengthening the market protection of the brand, and protecting the long-term development image and development value of the brand.

Regarding Xinqiao Sanbaole Bakery Mudanyuan Store's covering of the signboard, the above-mentioned staff said they were "not very clear" and did not disclose too much.

And the adjustment mentioned above seems to be related to the contract between its brand and its franchisees. A reporter from Beijing Business Daily saw in some investment promotion websites that Xinqiao Sanbaole Bakery’s investment promotion introduction mentioned that the brand side provides seasonings, a full set of technical secret recipes, and production process production methods. From this point of view, Xinqiao Sanbaole Bakery exports production techniques and product formulas to franchisees, laying a hidden danger for the long-term cooperation of franchisees.

The staff of Xinqiao Sanbaole Bakery Zhixin Road, which is also a franchise store, also pointed out that the pastry chefs in the store will bake pastries with the same raw materials and techniques.

often innovates to gain depth"Bundling"

For a long time, the franchise model has put a huge test on the brand's operation and management capabilities. When the brand's management system is not yet mature, it will face considerable risks. Liu Dongyang, Director of the Enterprise Intellectual Property Legal Affairs Department of Beijing Jingshi Law Firm, pointed out that many companies have protected the product formula developed by the brand through "commercial secrets". The recipe has reached a confidentiality agreement, the franchisee has assumed the responsibility of confidentiality, and the brand owner has delivered the recipe" to achieve the protection of the recipe.

However, Liu Dongyang mentioned that whether the "unique quality" of food products comes from the same formula is difficult to see from the surface, and it will be difficult for the brand to prove its rights. The brand owner can try to sue first and complete the preliminary infringement comparison. If the other party does not recognize it, it needs to provide counter-evidence. During the litigation process, the court will often appoint a third-party appraisal agency to define the disputed facts.

In fact, the emergence and hidden dangers of the above situation stem from the fact that the brand and franchisees have not formed a deep bond. In particular, the entry threshold for bakeries is relatively low, and recipes and techniques are easy to master, which makes the franchise model of the industry a short board for cooperation.

An industry insider who did not want to be named pointed out that under normal circumstances, the chain enterprises will supply the core formula products to the franchise stores through the central kitchen or the unified distribution of the source factory, and will not completely deliver the formula directly to the franchise stores. in the hands of merchants. On the one hand, it ensures the safety of core technologies, and on the other hand, it can better control product quality through centralized distribution.

The industry insider also pointed out that the above-mentioned similar situation will also force the brand to upgrade the chain franchise model, realize centralized production and unified management of the core formula, and realize that other branches and franchise stores are only responsible for secondary processing and operation management.

Wen Zhihong pointed out that after establishing the basic supply chain, in terms of management and control, the brand side should strengthen management so that franchisees can use the brand according to brand requirements, and at the same time, the brand side should have a relatively strong franchise control mechanism and control system. Create stronger connections with franchisees.

Beijing Business Daily reporter Wang Weiyi Hu Jingrong

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