Sorkon to add branches as meal delivery service expands
SORKON plans to open five branches to be run directly and through franchising to serve customers in the Sukhumvit and Thon Buri areas of Bangkok, as well as introduce menu sets.
The company forecasts Bt160 million in fiscal 2017 sales from its Zaap Classic Delivery quick-service restaurant (QSR) business.
Jaraspon Rujirasopon is chief executive of the quick service restaurant segment of S. Khonkaen Foods (Sorkon), a producer and supplier of processed meat products.
Jaraspon said the company would intensify its focus on QSR business to enhance growth and tap the opportunities from improved consumer purchasing power due to Thailand’s economic recovery and the growing popularity of meal delivery service.
The new branch openings in fiscal 2017 will have capital commitments of Bt2 million each, with a call centre contact number for meal ordering for added convenience.
The branch locations will reflect the target customers’ demands – Sukhumvit and Thon Buri. The company has 15 branches in Bangkok, including those at Bang Phli, Ari, Maxvalu, Lak Si, Soho Variety Mall, The Em Quartier and Town in Town.
Sorkon will make the investments both directly and through franchising. It will introduce menu sets to complement the existing lines of som tam, main courses and appetisers. These will increase the sales per transaction per bill from the current level of Bt500, and will grow Zaap Classic Delivery’s sales to Bt160 million – or 80 per cent of sales from the company’s QSR business – by this year-end.
“2017 will see expansions of Zaap Classic Delivery, a platform of Sorkon’s QSR business, as one of our core revenue growth drivers,” Jaraspon said.
“Eighty per cent of this year’s revenue is projected to be generated by the directly invested branches and the remaining 20 per cent by the branches run by franchisees.”