Canonball Fires Up For Expansion

Nation Multimedia:

After manufacturing and supplying Canonball retail store furnishings and equipment for 17 years, Canonball Manufacturing is gearing up to roll out showrooms in the provinces and explore opportunities in foreign markets, starting with Vietnam.

“We will be more aggressive in expanding our retail-equipment business both upcountry and abroad,” general manager Supreeya Tawla said last week.

The company plans to franchise its “OK Shop Fitting” showroom, featuring shelves, fittings, cashier counters, fixtures, racks, product displays, furniture and refrigerators.

Franchising will allow the company to penetrate the countryside more rapidly, she said.

Franchisees will be appointed in 44 major provinces, with the right to open showrooms exclusively carrying the company’s retail products and to use its “OK Shop Fitting” logo.

“There are about 100 individual investors upcountry who are interested in becoming our franchisees. We’re going to inspect locations in Surin, Nakhon Sawan and Rayong, where investors have approached us. They’re close to concluding franchise deals with us,” Supreeya said.

Franchisees will need an initial investment of Bt850,000 for two shop houses and Bt1.1 million for three shop houses, and also pay Bt50,000 to join the franchise system. The company will provide them with all the necessary signage and applications to run a showroom, and train their workers in stock management, product display and operations.

“Our franchisees will achieve a good return on investment, as their profit margin will be quite high, at 25 to 30 per cent. If they can reach sales of Bt500,000 to Bt600,000 a month, they will achieve payback within eight to 13 months,” she said.