Franchise Opportunities

THE VIDEO ENTERTAINMENT INDUSTRY

The video rental and retail industry is a strong and viable industry, representing the core of home entertainment in Australia. Recent market research confirms that the video rental channel has about 293 million transactions per year, totaling over $650 million in rental revenue, with an additional $150 million in retail sales. 

Australians rapidly embrace new technology with the the majority of Australian households now owning multiple DVD players. The introduction of high definition formats for DVD, including Blu-ray, is likely to continue the public’s thirst for better quality and additional features to meet their home entertainment needs. 

Civic Video has developed a reputation for being at the forefront of the industry’s technological changes, and our goal is to continue to integrate new methods of delivering product to our customers.

CIVIC VIDEO - 100% AUSTRALIAN OWNED AND OPERATED FAMILY GROUP

Civic Video is an Australian owned and operated franchise chain with more than 280 stores spanning Australia and New Zealand. Civic Video is recognised within the industry as a dynamic and progressive group offering state of the art business systems and support to franchisees.

Civic Video began in 1985, when a number of innovative, independent retailers recognised the need to join forces under the one banner in order to establish and maintain the best possible product purchasing arrangements with their suppliers.

In 1990 Civic Video became a Franchise organisation with 50 stores, creating a strong and committed group attracted by the benefits of a single corporate identity.

Throughout the constant growth of Civic Video, the Civic Video Management Team has continued as retailers with ownership and management of corporate stores.

This hands on approach allows management to understand and monitor ‚ the trends in home entertainment retailing, and to ensure that this knowledge is incorporated into the excellent support for Franchisees.

FRANCHISING WITH CIVIC VIDEO

Franchising is regarded as the most successful method of distributing goods and services in economic history.

When you own a Civic Video Franchise, you enter into the exciting world of entertainment. You will be delivering a product that customers are eager to receive.

Our products may be the same as our competitors, but we believe that it is the way that we deliver those products to our customers that is one of the keys to our success.

When you become a Franchisee with Civic Video, you become part of the Civic Video family while still retaining independence to manage your own business. You benefit from Civic Video's proven business support system, which include:

A unique purchasing system, second to none in today's rental and retail market;

 

Training that leads to best industry practice;

 

In-house business tools to help you manage your business;

 

Innovative marketing; and

 

The benefits of a high profile brand identity.

As part of Civic Video, you will be linked to highly professional and successful owner operators who willingly share their secrets of success with you.

You will also receive one-on-one ongoing business support and training by a team of experienced Franchise Business Managers, skilled in all aspects of video store operation. They will advise you on store layout and design, marketing, purchasing and day to day operations, which will help you to achieve a maximum return on your investment.

Civic Video also holds regular meetings for all regions, as well as a biennial group conference, to share ideas and keep you up to date with the latest technology and its application to products and business practices. Civic Video was the first Franchise group in Australia to introduce a state of the art marketing support intranet-based system called Local Marketing Online (LMO). This system provides you with the ability to tailor marketing material for your store, while enjoying the benefits of group wide economies of scale, and high quality art and production.

As competition increases, being part of one of the largest franchise chains offers you protection from the pressure exerted on retail margins of the smaller, nonaligned retailers.

The success of Civic Video has been acknowledged by the industry at the Annual Awards for Excellence by the Australian Video Rental Retailers Association (AVRRA). Civic Video stores have won awards consistently across all categories including; State and National Rental Excellence Awards, Store Marketing Awards and National Group Marketing Awrds.

Consultative Management

Civic Video practices consultative management. Two democratically elected councils of Franchisees, the Franchise Advisory Council (FAC) and the Buying Advisory Council (BAC), meet regularly with Civic Video management.

Franchise Advisory Council (FAC)

The FAC works with management to determine effective strategic direction to ensure that future revenue growth and opportunities are secured for all the members of the group.

The FAC is supplemented by less formal State Promotions Development Teams (PDT) who workshop marketing concepts.

The FAC meetings provide the opportunity for the ideas and opinions of Franchisees to be presented to management for consideration.

The PDTs in each state have their local FAC members as part of the team. They evaluate and contribute to marketing and promotional programs in their development phase to ensure that these programs achieve the desired results.

Buying Advisory Council (BAC)

The BAC assists management in the selection and purchase of movie release titles on behalf of the Franchisees. BAC Members must be active owner operators, and as such, perform a valuable liaison role with the Civic Video Buying Team, ensuring that the most competitive prices are negotiated with distributors for New Release Titles.

BAC Members are elected to represent all States of Australia. Our Franchisee's needs are considered in selecting the appropriate product and copy depth to result in the best return on investment for all Civic Video Franchisees.

SITE SELECTION

Civic Video considers site selection as critical to the success of your business and will not offer a Civic Franchise on a site that we believe is unsuitable.

Working as a team with you from the outset, our experienced Store Development Team use proven criteria to evaluate the probability of success for your nominated site. All aspects of the proposed site including exposure, information on any competition in the area, the number of households, parking and any traffic flow restrictions are carefully assessed.

Our Store Development Team will help with council approvals and lease negotiations as well as guiding you in regard to the relationship between rent and turnover your site could generate.

If you already have a video outlet and you wish to join Civic Video, contact our Franchise Business Team to discuss your individual circumstances.

STORE SET UP TEAM

Civic Video conducts the fit out of each new store as a "turnkey" operation, managing the design and internal completion of the premises for the franchisee.

This "turnkey" service ensures the fitout of the premises is done to the highest level of quality and compliance within the proven standards of the Civic Video group.

On completion of fitout our experienced Store Set Up Team will work with you to ensure all stock, marketing materials and operational requirements are addressed in readiness for your store opening. A reasonable fee is charged to provide these services.

STORE DESIGN AND LAYOUT

The efficient design and layout of your store is essential to the success of your business.

Our in-house architect and the Civic Video Store Development Team, offer professional assistance to help you design your store to achieve the highly successful Civic Video corporate image. The Store Development Team will assist you with layout plans, fit out, signage plans and colour schemes. This service is provided at no cost to the Franchisee.

PURCHASING

Purchasing is done by the Civic Video Buying Team, assisted and advised by the BAC. The Civic Video Buying Team provides you with a concise and informative purchasing strategy. In close co-operation with distributors, it has established a unique, purchasing system second to none in today's market. This system gives you the choice and flexibility to meet your market requirements.

You will benefit from product discounts that result from our experience and expertise in negotiating with distributors. Stores are able to access and respond to monthly movie ordering through our online Video Ordering System (VOS), and our purpose built Retail System (VMI), via our own secured Intranet site.

MARKETING

Civic Video continues to win many awards for its innovative marketing and promotional activities. The Marketing Team, assisted by the FAC and PDTs, dedicates itself to producing exciting national and local promotions aimed at enticing new customers into your store, as well as increasing the frequency of visits for your members.

We develop National marketing campaigns using print and electronic media, which generate innovative promotions and maintain consistent exposure.

We also assist you by designing promotional material to suit the specific needs of your local area using our unique LMO Intranet site.

Our Marketing Support Team produces a variety of promotional items including:

Posters

Counter cards

Monthly in-store magazines

Monthly in-store preview disc

Calendars

Christmas cards

Postcards

Flyers

Giveaways

Copywriting

SMS

Direct Mail

E-News

When you open your new store, the Store Set Up Team will assist you in creating an effective advertising campaign, for the launch of your new franchise business. 

TRAINING

Civic Video offers you a dynamic and comprehensive training program, written and designed by a qualified and experienced in-house trainer. Our training courses have the flexibility to be tailored to meet your specific needs. Civic Video training programs equip you with the knowledge and skills to successfully operate a video store.

As a new owner, you will attend an intensive hands-on one-week training program on the day-to-day running of a video store. Once you are established in the running of your own store, you will attend our advanced management skills courses.

Civic Video offers you on-going training which includes computer skills, customer service, management and store operations, new technology and best industry practice. Course information is provided in a Training Manual, with online registration to courses available through your Intranet. The training department will also provide you with relevant resources to assist with the in-house training of your staff.

INFORMATION TECHNOLOGY

Civic Video, through its commitment to maintaining the latest in Information Technology, is a technologically advanced organisation with its own Corporate Intranet Site, Ordering System, Retail Ordering System, COMS - Civic Online Messaging System (SMS) and the first for the industry - Local Marketing Online (LMO).

Corporate Intranet Site

This is the backbone of the Civic Video communications network. The Intranet provides the communications structure to enable you to access our internal systems.

Civic Video has led the industry through technological innovation, developing business, management and marketing tools unique to Civic Video. These tools give the Civic Video franchisee an advantage over other industry players.

Video Ordering System (VOS)

This allows you to order your video titles online, with real time calculations of the total cost of the order. You can also download a spreadsheet of the order titles and prepare your order at your leisure. You then email your order to the VOS database.

Retail Ordering Online (ROO)

This system allows you to search on line for specific titles in real time, calculating the cost of your order. This is a great tool for individual stores to search for product on behalf of a customer, ordering it and being able to fulfil the order in an automated and timely fashion. A tool for the franchisee that represents a great marketing advantage for the Civic Video Franchisee.

Local Marketing Online (LMO)

This empowers you to control your own local marketing budget. You can directly order items such as direct mail, SMS marketing messages, local press advertising, leaflets and catalogues. LMO allows the Civic Video franchisee to customise external marketing communications for individual market needs, within a standard high quality format.

Internet

Civic Video continually updates its website. The Internet is an interactive and dynamic environment.

Emerging Technologies

Civic Video is committed to the development and implementation of new technologies to be integrated into the franchise model as appropriate.

FEE STRUCTURE

As you would expect, Civic Video, like other Franchise organisations, has an initial Territory Fee. At present this is $20,000.

If you already have an established video store, this amount may be negotiated depending on the location, condition and performance of the existing business.

Ongoing Franchise Fees vary depending on turnover. However, the fee is capped and averages about 4%. An Advertising Fee of 2% of turnover is applied in addition to the Franchisee Fee.

Finance

Whilst Civic Video does not offer finance to franchisees directly, we are associated with several financial institutions as a preferred franchisor. This status ensures preferential finance arrangements will be available to you as a franchisee of Civic Video.

Establishment Costs

Establishment costs vary for each site. You would need about $200,000 to $300,000 to fully fit out a new Civic Video store to corporate design guidelines, including $30,000 of working capital.

INTERESTED?

Looking to develop a new site?

Looking to purchase an existing Civic Video franchise?

Looking to change your current store to a Civic Video franchise?

If the answer is YES... email Civic Video Head Office enquiries@sydney.civicvideo.com.au  or alternatively phone on 02 9206 8800.