Borneo Oil Bhd (“BornOil’) is further fine-tuning its franchising model for SugarBun with the aim of making outlets attractive and affordable for budding entrepreneurs.
“With the successful opening of the group’s first SugarBun Borneo Asian Food outlet in Kuala Lumpur last month, the group is now further refining its model with the aim of making outlets attractive and affordable for entrepreneurs — within Malaysia, regionally as well as globally,” said Executive Director Raymond Teo.
“Our aim is for them to realise sales ranging from RM250,000 to RM300,000 per month depending on the size of outlet,” said a confident Teo.
The SugarBun brand has long been entrenched in East Malaysia, particularly Kuching, Sarawak. The franchise is confident that it’s longstanding brand will be a success on Kuala Lumpur. Being one of the pioneers in the fast food industry in East Malaysia since 1981, SugarBun has carved a marketing niche therein.
From its humble beginning, the brand now boasts a chain of restaurants in Malaysia, Brunei, Bangladesh and Australia. Over the years, SugarBun has witnessed and catered to the changing tastes of Malaysian, and have established itself as an icon in Sabah and Sarawak. Through extensive brand building activities, coupled with good QSCV practice (Quality, Service, Cleanliness & Value), and offering innovative menu items, the SugarBun brand name has become synonymous with “great food and great value”.
“Despite competition from much larger franchises, the unique taste of Sugarbun products has its own hardcore following among consumers,” said Teo. “What we are aiming for with the opening of the KL branch is to offer this distinctive taste here in the peninsula,” he added.
“In this light, we believe our new outlet in Menara Hap Seng, located at the heart of Kuala Lumpur’s Central Business District, will be overwhelmingly received by KL folks, particularly the office lunch crowd.
In fact, on the first day of opening (Monday, 9 May), the crowd was so huge that there was not enough seating space. Despite this, KL folks still waited patiently to get a taste of “Borneo Asian Cuisine!” said Teo.
Sugarbun understands that there is a plethora of choice in Kuala Lumpur, but Teo notes that there is doubtless still space, especially for niche areas. Sugarbun is one of the unique brnads that combines the best food from East Malaysia under one roof. “We believe that there is a depth of strength and flavor in the SugarBun range to appeal to folks here,” said Teo.
One of the items that has allowed SugarBun to grow from strength to strength is its famous ‘Broasted Chicken’. This is one of the Sugarbun range that is highest in popularity. What makes this meal even more special are the distinctive in-house sauces which make them such a success.
That said, Sugarbun does appreciate that consumers have changing tastes and that’s why product diversity is high on the priority list. Besides Broasted Chicken, Sugarbun also has Borneo Eco Fish Meals, Sabah Giant Garoupa and Borneo Mackerel meals, Sarawak Laksa and refreshing beverages and desserts such as 3 Layer Tea and Ice Kacang with seaweed.
Currently, Sugarbun has 71 outlets in Sarawak, 5 in Sabah and another 10 overseas. Too often, visitors to West Malaysia cannot seem to find really good Sarawakian food here. Although the outlets offering these are available, they are usually harder to locate. As a franchise, Sugarbun hopes to overcome this and make East Malaysian food more accessible on the Peninsula. Sugarbun aims to set up at least a SugarBun outlet in each state within West Malaysia before expanding even further.
Demonstrated success in franchising
Borneo Oil is also the master licensee for Pezzo Pizza in East Malaysia, a franchise already booming in growth and expanding at a faster speed than anticipated due to its growing popularity and wide acceptance by consumers.
44 Pezzo outlets in Sarawak now generate an average of RM2mil in total monthly sales. Most of the outlets are operated by SugarBun franchisees.
Moral of the story here? Partner with Borneo Oil and that’s a great chance for success