Berjaya Food has signed a master franchise agreement with SPC Group to launch Paris Baguette in Thailand, aiming to establish a key hub in Southeast Asia by the second half of 2025. The company has previously opened locations in Malaysia, the Philippines, and plans a store in Brunei. This expansion is part of a strategy to counter declining sales at its Starbucks franchise amid ongoing consumer challenges.
Berjaya Food, a franchise group based in Kuala Lumpur, has finalized a master franchise agreement with SPC Group’s subsidiary, Paris Baguette Southeast Asia, to establish the Paris Baguette brand in Thailand. This initiative aims to position Thailand as a key operational hub for the bakery-café chain within Southeast Asia, with the inaugural store scheduled to launch in the latter half of 2025. This agreement strengthens the existing collaboration between Berjaya Food and SPC Group, which has seen successful licensing agreements in Malaysia, the Philippines, and Brunei over the past two years. Since debuting the Paris Baguette brand in Malaysia in January 2023, Berjaya Food has successfully opened eight locations and two sites in the Philippines in April and September 2024, respectively. Furthermore, plans are underway to unveil the first Paris Baguette in Brunei, anticipated to open this quarter.
The recent agreement by Berjaya Food to introduce Paris Baguette in Thailand is part of a broader strategy to enhance the franchise’s reach and solidify its presence in Southeast Asia. The decision comes in the wake of challenges faced by Berjaya Food, notably declining sales at its Starbucks franchise in Malaysia due to consumer boycotts spurred by geopolitical issues. This expansion into additional markets is aimed at mitigating these challenges and capitalizing on the growing demand for premium café experiences in the region, particularly in underdeveloped markets.
In summary, Berjaya Food’s strategic move to launch Paris Baguette in Thailand represents a significant step in reinforcing its presence in Southeast Asia amid ongoing challenges with its Starbucks franchise. With plans for further expansion into Brunei and initiatives targeting markets like Denmark and Iceland, Berjaya Food is poised to leverage its culinary offerings to appeal to an increasingly discerning consumer base. This initiative reflects Berjaya’s commitment to exploring new opportunities for growth and addressing changing market dynamics.
Original Source: www.worldcoffeeportal.com
