Recently GrabFood, the food delivery service of Singapore-based technology company Grab, said it delivered more than 13 million ayam geprek meals across the 116 Indonesian cities where the ride-hailing app is active. Ayam geprek is therefore the most popular meal in Indonesia that is ordered by the consumer (using the delivery service app of Grab; but we would not be surprised if ayam geprek is also consumers' favorite order among Go-Food users).
Ayam geprek is an ordinary fried chicken but its structure is crushed (with the pestle) and usually it is mixed with a (hot and spicy) sambal sauce. It is extremely popular in Indonesia and you can find small ayam geprek restaurants (warungs) on many streets of the bigger cities (including similar meals such as ayam penyet or ayam gepuk). These places have mushroomed in the past three years.
Not unoften these warungs are part of a franchise business where the franchisor licenses its trade name (the brand) and its operating methods. One example is Ayam Geprek BossQue, a franchisor that grants the license to open an Ayam Geprek BossQue warung to an investor. This brand was set up by Billy Margono in Serang (Banten) in 2017.
Currently, there are a total of 18 BossQue warungs in Banten and the Greater Jakarta area. Eight are owned by Margono himself, while the remaining ten are run by investors through the franchise model. Barring any unforeseen circumstances, another four warungs will be opened in Jakarta and Medan (North Sumatra) in early 2019 through partnerships with third parties.
To open an Ayam Geprek BossQue warung investors need to invest between IDR 30 and 60 million. The exact price depends on the package that is bought by the franchisee. Ayam Geprek BossQue offers four packages:
Silver Package; IDR 30 million (approx. USD $2,070)
Gold Package; IDR 40 million (approx. USD $2,760)
Platinum; IDR 50 million (approx. USD $3,450)
Priority; IDR 60 million (approx. USD $4,140)
All packages include the right to use the Ayam Geprek BossQue brand name, cooking equipment, furniture, cash register system, training, and branding. Investors of each package need to purchase the raw materials from the center, thus guaranteeing a flow of income for the franchisor.
According to Margono, a franchisee can earn all its investment back in six months provided he manages to collect at least IDR 1.5 million (approx. USD $105) in daily sales during these six months.