I am considering to open a franchise (Starbucks) in Naija. In London you can see a Starbucks at virtually every street corner, I like their interior in particular, it is very plush and cozy and their coffees and frapuccinos are heaven. . And it is a world famous brand that is "at home" in so many parts of the world!

What do you think? We, urban Nigerians are hip people. So what do you think of Starbucks in Lagos (like VI, Ikoyi, Apapa or Lekki) or in Abuja or Calabar? What about the other like Seattle´s Best or Gloria Jean´s Coffee or Barrista.

I guess it worth a try.We like new things in 9ja

@poster

hehe, u made me laff!!!

There are a thousand are one things u really need to consider before bringing a franchise to this part of the world. I'll advise u start up something local rather than franchising. It will save u money and u can break even faster. Just my candid opinion.

i tried to do the exact same thing last year, so i was pleasantly surprised when i saw this post.

from my findings/research = it woun't work

the only markets savvy enough to pay >N500 for a latte is V/I, Lagos Island and Abuja and you will find that rental prices/power generation, even on a incy wincy piece of real estate will price out all the margin on that latte.

anyway, nothing is impossible, it all comes down to ur business model.

best of luck.

i will guarantee u , u wont make any money from this! Nigerians will never pay money just to drink coffee, when they can easily make one at home! besides, we dont really drink coffee in Naija, we mainly drink Tea and all. I know u might plan to make cappucinos and stuff, but in the long run, i dont think u will make money with this!

Check that there is a market for it in Nigeria first.

www.moneysaversforum.com

Only if you intend to serve, Moinmoin and ogi, Akra and Ogi, Fried egg and yam , bread and tea etc.

naijacutee:

Thank you, engineerd! Starbucks thrives in the West because :-

- Hot beverages (Tea, Coffee, Hot chocolate) are somewhat of a cultural thing. Most Europeans find nothing strange in "having tea" right after lunch or dinner. The success of Starbucks (I believe) owes partly to the fact that they have been able to make a brand name out of taking this "hot beverage culture" and putting it on the street for easy access.
- It's implemented in temperate countries. I'm more likely to fork out £3.00 for tea/coffee when I'm walking on the street, in the bitter cold and the nice smell from a warm coffee shop wafts through my nostrils.

I can't imagine drinking a hot beverage when I'm sweating inside Lagos. That sort of reminds me of the Agbo mixture which you have to drink in the heat to "sweat out the malaria". . . .

On the other hand, we can take the same "Starbucks situation" and plug our own variables in.
- We have hot, tropical weather, therefore cold drinks will definitely sell.
- Drinks which are somewhat cultural - Well, there are plenty : Kunu, Zobo and maybe even bottled palmwine (Or is that taking it too far?)

Sorry I did not read your post before posting. I totally agree with you the only way you will achieve profit is if you customise your "Starbucks" to suit a typical Nigerian.

@poster
i think it ll work with a few adjustments, like someone said nigerians like new things,and our society is gradually evolving into the cosmopolitan hip e.tc and we r keeping up with the west if the local mai -tea with their bench and simple table can survive in nigeria,how much more a very nice environment,nice ambience e.t.c
you will simply have the capuchinos,lattes n stuffs in the morning till like 11am and then the iced teas,capuchinos,frappes e.t.c in the afternoon with snacks  and the usual varieties of cakes,blueberries and maybe add some nigerian snacks,i think you should drop the franchise idea because themoney will be better spent getting a nice location in ikoyi/vi,your target market isnt the average nigerian catching okada or bus,its the middle class/above average nigerian working in the banks,telecoms,oil coys e.t.c priviledged children who know what a medium lattee with vanilla means syrup means and lastly,don't be discouraged as long as you take the pains to get the right location

remember the man that started channels was discouraged,the man that started the outdoor toiled was discouraged

If you can afford the franchise fees, please go for it!!!! It can work - there is already a coffee shop in VI that is making a lot of money.

The main thing is location - airport would be perfect; VI/Ikoyi/Ikeja GRA/Apapa are also great locations b/c of the concentration of expatriates and Nigerians that relocated back home (I love coffee; and I don't like how it is served with tiny "tea cups" in Lagos hotels - now, I pack my big mug with me anytime I am coming home ).

Starbucks do have a lot of cold drinks that are as popular as the hot ones! There are snacks as well - cakes, muffins etc and they have eggs&English muffins in the morning as well sandwiches in the afternoon. Another good name in the coffe space is Costa.

If you can afford the franchise fees and get over the logistics, I think you will do very well.

dnative:

@Poster

You gat money to waste? Na my people you dey think say dey drink coffee or cappucino like that?

Try KFC if you can afford their franchise fees and requirements, if any model would work in naija, I think it would be KFC. My people like chicken no be small. Variety bucket, Hot wings, Zing meal go sell like hot cake. But get ready to shell out between 500k to 1million pounds for franchise fees and setup. No be business for small boyz o.

That's a killer idea. Nigerians would literally go crazy if KFC set up in Nigeria. Starbucks can work if it's suited to meet a typical Nigerian's needs. But, go for KFC!

cool! but are we down with coffee here? when last did you have coffee?

Its good to have ideas but this will not work in Nigeria for a number of reasons, NAMELY:

We do not have a coffee drinking culture and I am not sure it will catch on irrespective of how cool you try to make it.
For it to be profitable, I am sure the price  will be too high - in the UK i wouldn't mind a £5 -6 coffee/latte/capuchino but the same can't be said of Nigeria.
You also need to think about the costs - infrastructures, franchise fees, etc.

Hi,

Gave your post some thought, do send a mail to degodfather007@yahoo.com if you would, got ideas to share with you.

Cheers!

I am not certain but I believe the original Starbucks business model was to bring their beverages/products to almost every street, more like a Mr. Biggs for coffee. To be honest with you, you will need to tweak your business model. The peak time for even Starbucks is when people are rushing to work in the morning. Honestly there is a market in Nigeria. The price just has to be right. Another thing is accessibility. Maybe if you have mobile vending machines or people that decently hawk the product in the crazy traffic in the mornings. I believe there is a lot to tap from that traffic. But like I said before, I am just trying to access the situation from a Nigerian's point of view.

The truth is that starbucks is a great brand but that doesnt guaranty it being a success in nigeris ''cus first odf all we are not coffee drinkers down here and even the weather wont support a man leavinng his home or office and going under the sun just to take a cup of coffee that will make him hotter.

why dont you try franchising with coys like
papa johns pizza
subway
pizz hut and the rest of them.

Nigerians are becoming crazy about pizza now, Good luck

OMG! Its gonna sell fast in Nigeria because of the Mammy Water in West Africa. The Logo says it all. Go on brother, you will be supported by the mammy water all over Nigeria.

i got to this page while searching for a similar topic. i have read all the contributions here and the are all perfect. One important thing i would love to say is : when u put your mind, soul and body towards achieving a particular goal, my dear do your homework properly, study extensively and if you are convinced that it will work, please run with the idea and make it a reality.

if there is a market for such a business, the consumers will seek for you. Let it be the best.

I don't think Starbuck does franchise, maybe costacoffee.

If you were to start a starbucks in which specializes in tea making, then it might be a viable idea.

I do support all the ideas suggested by previous contributors. In addition, i wont suggest franchising as its a substantial cost that can be avoided. At the end of the day its only a name. How about trying Star dock ? Star buster? even Star trek?not sure whether anyone has that business name yet. Its a different name but could still be same coffee/sandwich shop.

Secondly, Nigeria is a different market from the west. few questions will need to be answer: What market you are targeting?The rich white westerners, Above average Nigerians? or simply for every one?. To increase demand and profitability the third option will be best. For me personally, i will prefer to bring my services to my fellow average Nigerians.

Thirdly, like any other business, You will need to meet the demand of the Market you are in. There is nothing wrong taking the best of both world. Coffee, ice tea, Latte Sandwich etc. from the west, then various sandwich Nigerians are accustomed to like Meat pies, sausage rolls etc.
The key point is quality. That is what will put your business in a different class.

What , in this terrible heat ? I certainly won't pay 2 quid for coffee of any description  not in UK not in VI (whole tin of Nescafe costs N250).
I could of course afford in UK either because I'd freeze otherwise or because the company was paying for it. 
Save your money dude and put in real estate otherwise buy a Mr Biggs franchise and open a small coffee shop inside it

Whats wrong with bringing Starbucks to Nigeria for God's sake? whats wrong with Nigerians?

The problem with Starbucks is it is a coffee shop, it thrives in America/Europe because people need to drink cofee because of the weather - but in this part of the world, it is already hot, so why will you drink cofee in such a rate to make gains?

Nigerians in my opinion just talk out of nothing, nothing and nothing,

You will surely get success in your new business to start franchisee in nigeria.

@ Poster, there is nothing that cannot succeed, like some of the posters said, you only need to do your home very well, extensive feasibility studies, good business strategies/model and you will surely make it. I hope the franchise fee is not killing though, if its within the range of 500k to 1 million pound like a poster hinted, i'll say that huge but that also depend on your analysis.

I dont believe the weather will have too much adverse effect on the business, people were complaining about heat. Lagos has an all year round average temperature of less than 30 degree,(guess I'm right), I have been to the a couple of Middle Eastern countries, currently live in one where average temperature is more than 40 degree, reaches 55 at times, notwithstanding the heat the demand for coffee is very high, most meeting or date is being done over a cup of coffee.
Just do your analysis well.

I was searching for Mr Bigg's Franschise thread, the search led me to your post

Wish you good luck

Bring a Yogun Fruz instead,

Ol' Man,

Any business will thrive in Naija as long as you are equipped enough to withstand the heat of the start-up.
Secondly like some-one already mentioned, it depends on which group of Naijas you are targetting. MOST IMPORTANTLY, if you do not have Solar Energy to power your outfit or a solid generator plus regular specialy organised petrol supply for it, you just have to think twice because you cannot afford to depend on NEPA (hic) PHCN (hope the name has not been changed to something else in the last 24 or so hours). Don't forget the suggestion of selling moinmoin and kunu n safi and ogi incase you really wish to wish to target a big market.

Welcome to Naijaland, my brother.

maybe a knockoff starbucks adapted to the Nigerian situation.


startrucks, starlucks, star rocks, star vux, etc

jany49:

OMG! Its gonna sell fast in Nigeria because of the Mammy Water in West Africa. The Logo says it all. Go on brother, you will be supported by the mammy water all over Nigeria.

lol

Please, Dont let anybody discourage you. Just do your homework well well. Remember the sky is the LIMIT.

Hi Funnky Boy,

I think its a brilliant idea with a need for some fine tunning. If you are still thinking of looking into this idea let me know. bellveiw@hotmail.com
Cheers
Goteland