Just profits with falafel
Aiming to honor the rich culture of the Middle Eastern food tradition by modernising falafel ‘Just Falafal’ was conceptualised. In an interaction,Mohamad Bitar, Co-Founder & MD, Just Falafel shares brand’s expansion plans.
Namita Bhagat (NB): Tell us about the origin and concept of ‘Just Falafel’.
Mohamad Bitar (MB): The concept of Just Falafel was conceived in late 2006, with the first outlet opening in 2007 in Abu Dhabi. Along with co-founder Alia Al-Mazroui, we wanted to honor the rich culture of the Middle Eastern food tradition by modernising falafel, the typical regional delicacy, and to make it accessible to everyone, in a new, innovative way. One of our main objectives was to pay a lot of careful attention on the healthiness of the food; as well as to ensure that highest quality ingredients are used in preparation. Hence, Just Falafel is 100 per cent vegetarian, nutritious and healthy, highest quality product. It is fast food, but not junk food.
NB: What is the USP of the brand ‘Just Falafel’?
MB: Just Falafel is all about falafel, as the name suggests – and the product is offered in the form of a variety of ethnic flavoured sandwiches, based on the various falafel traditions from all over the world. The Just Falafel sandwich flavours include Lebanese, Indian, Greek, Italian, Japanese, Mexican, American, Emirati and Egyptian. But we are constantly menu engineering, as well as listening to our customers to develop new flavours and menu items. We believe that our concept is an answer to the increasing demand for healthier and more ethical fast food, delivered in the most convenient and friendly manner, with the highest commitment to quality.
NB: What are the motivating factors for the brand to opt for franchise model for expansion?
MB: We believe that it is one of the most efficient means of expanding your business as you are partnering with people who want to succeed and have the motivation to grow. Furthermore, choosing franchising enables you to expand faster than any other model, since you are not incurring the overheads and costs associated with the opening company-owned outlets.
NB: How many owned stores and franchisees do you have at present?
MB: Presently, we have seven branches open, two in Abu Dhabi (Hamdan and Khalidiya); four in Dubai (Ibn Battuta Mall, Al Barsha, Bur Dubai and Dubai Mall, in the Galeries Lafayette Gourmet Hall) and one in Sharjah at Al Qasba. However, we are rapidly expanding and are scheduled to open more than 70 Just Falafel outlets in the UAE, covering all the major malls and locations, with our 27 selected franchise partners for the UAE, most of which have been given approval to open several locations.
NB: Could you share the expansion plans for the brand? What markets are you looking for expansion via franchising?
MB: We have plans to expand globally. We already have franchising partners in the UK, Jordan, Lebanon, Saudi Arabia and other GCC countries, and are in a process of selecting partners for India. We are also negotiating with parties in Canada, US and Europe.
NB: How would you tackle the issue of competition from other international/local F&B brands operating in the Middle East?
MB: We are a unique concept, but of course competition will always be there. We are not worried as the response has been overwhelming.
NB: Could you share the investment outlay required in terms of space, money and time from the franchisees’ end to partner with the brand in Middle East?
MB: The cost of an outlet depends on the size and the location, but as per our estimate an initial investment to set up a Just Falafel franchise is between AED 350,000 and AED 500,000. This includes our franchise fee of AED 60,000. The continuing services, or ‘royalty fee,’ is six per cent of gross sales and is paid monthly. This fee entitles the franchisee to use the Just Falafel service mark, use of distinctive system, marketing assistance, ongoing business development and counseling, and other benefits that come with being a Just Falafel franchisee.
NB: What kind of training and support will be provided to the franchisee?
MB: Just Falafel will provide franchisees with initial training beginning approximately six to nine weeks before the franchise is scheduled to open for business. The next step is on-site training, which typically takes place when the franchisee commences operations. Head office support is also provided to assist the franchisee in the commencement of operations.
NB: Tell us about your franchise model in the Middle East?
MB: Just Falafel offers individual franchisees and may grant Area Franchise or Master Franchise to interested and qualified franchisees. The type of franchise that is granted by Just Falafel will depend on the qualifications of the investor whereby each franchisee must possess certain skills and meet certain requirements.
