Franchising fans have eye on Asia

By Karyn Scherer

He is known throughout New Zealand as the father of franchising. She is a senior executive with one of Singapore's most successful businesses.

Together, Stirling Sports co-founder Colin Taylor and World of Sports manager Jennifer Kang are determined to revolutionise retailing in South-east Asia.

The pair have been in close contact since World of Sports took a 35 per cent stake in Stirling Sports nearly two years ago.

The Singaporean sports retailer is privately owned by brothers George and Joe Goh, and made it clear at the time of its investment that one of the main attractions was Mr Taylor's franchising experience.

In New Zealand this week to attend a Stirling Sports conference, Jennifer Kang was enthusiastic about progress so far.

World of Sports has 29 outlets in Singapore, as well as six in Malaysia and six in Taiwan. It will initially concentrate on converting its Singaporean stores.

"Franchising is a global plan for us but we're taking it one step at a time. We want to start on home ground we're most familiar with."

She plans to return to New Zealand in March or April to carry out a much more detailed study, and hopes to complete the first franchise agreement before Christmas.

The company's progress is likely to come under scrutiny in Singapore, as it will be the first sports retailer in South-east Asia to franchise its outlets.

"We see franchising as a way to build entrepreneurs in our country. We feel it's time Asians took a very critical look at what we're doing and explore the ways that we can learn from people who have been doing it so well for so long."

The Goh brothers, who are originally from Malaysia, also have a major stake in another Singaporean company, Ossia International.

In less than two decades Ossia has grown into a wholesaler and distributor operating in at least 10 countries and specialising in sporting goods, footwear, accessories and apparel.

The company listed on the Singapore Stock Exchange at the end of 1996. Although the recession in Asia has pushed its share price down by about 80 per cent, it is now recovering and, according to Jennifer Kang, is optimistic about the future.

She said that although many companies were still struggling in Singapore, the retail sector appeared to be bouncing back.

"It's not as easy as before but we think things are improving slowly. Having said that, it's no excuse saying times are bad. You've got to struggle on, and plan for growth for the years to come."

During her visit, she has sought the views of dozens of franchisees about the franchising system. "I'm impressed by their commitment."

In fact, she is so impressed by the numbers she has seen, she is seriously considering becoming a franchisee herself: "It's very motivating - very encouraging."