FRANCHISE INFORMATION

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1 FRANCHISE INFORMATION

2 LETTER FROM OUR CEO 51 PRODUCTS 15 COUNTRIES 10,000 MERCHANT PARTNERS Welcome to the s products are available in two formats a printed franchise guide and thank you for book or an innovative smartphone App which brings taking the time to learn more together incentive offers from 10,000 merchant partners about why, with the, distributing their buy one get one free offers across there s always something to 15 countries. smile about I started the back in 2001 after identifying a market need for both providing consumers with dining and leisure incentives and enabling merchants to reach new customers. The filled this gap by providing buy one get one free offers to the best restaurants, cafes, nightspots, informal dining and attractions. Word of mouth from delighted customers drove strong To date we have remained true to our original offer in our first book, which is always buy one get one free. I have a great team of people who have collectively used their passion and enthusiasm to drive the company from a single Dubai book to a Dubai-based international brand with huge global growth potential. We look forward to showing you what an opportunity it is to be an Franchise Partner and to be part of our team! product sales and we were able to grow the business ORDERS FROM COUNTRIES 77 into different countries using the same model, while also expanding the product line to include spas, beauty, fitness and hotel accommodation. Today, the is active throughout the Middle East, Cyprus, Singapore, Hong Kong, Malaysia, South Africa, DONNA BENTON Founder CEO Lebanon, Jordan, Egypt and the United Kingdom. CLICK HERE TO VIEW OUR CORPORATE VIDEO 02

3 Dubai Qatar London Dubai Fine Dining Qatar Body Cyprus Dubai Kids Bahrain Cape Town Dubai Body Kuwait Johannesburg Abu Dhabi Riyadh Egypt Abu Dhabi Body Jeddah Hong Kong Travel Jordan Singapore Oman Lebanon Malaysia ABOUT THE ENTERTAINER The, established in 2001, is the leading provider of buy one get one free incentives across the Middle East, Africa, Asia and Europe. With a vast portfolio and a wide selection of quality merchant partners, the has something to offer everyone and is regarded as an essential annual purchase for thousands of local residents and tourists. A trusted buy one get one free incentive program for over 13 years Global reach across the Middle East, Africa, Asia and Europe Long standing relationships with 10,000 merchant partners etisalat 11:24 51% ENTERTAINER 51 products across 40 destinations, in 15 countries Available in both a printed book and a smartphone App Main Course You and your guest are invited to enjoy one main course when a main course of equal or greater value is purchased Redeem Valid until Offers and vouchers subject to Rules of Use. See Rules for all conditions. The vouchers are not valid with any other discount offers unless specified. Vouchers are VOID if purchased, sold or bartered for cash. Vouchers are not transferable. You and your guest are invited to enjoy one complimentary MAIN COURSE when a MAIN COURSE of equal or greater value is purchased. Please read Rules of Use E17 Offers are subject to Rules of Use Review Terms of Use Valid until 30th December 2014 Date Holdings & The Sdn Bhd

4 FROM ONE BOOK... TO A GLOBAL BRAND Donna Benton launches the in Dubai 1 employee Launch of the first edition of the with BUY ONE GET ONE FREE OFFERS from 97 merchants in Dubai The third edition of the expands to cover the UAE Dubai Body added as a second product in the portfolio Founder: DONNA BENTON Opened: 2001 Number of Employees: 150+ Number of Products: 51 White label business produces branded buy one get one free products for 8 clients across 4 countries Website allows online ordering Tenth anniversary of the, which is now a Dubai-based international company Hotel accommodation added to the portfolio with Travel 6 employees 50 THE ABRAAJ GROUP acquires 50% of the employees LAUNCH OF GLOBAL MOBILE APP established as the official white label business, now servicing over 200 corporate clients retail outlets OPEN in Dubai EXPANSION Orders from 77 into Asia & Africa countries The now sources and manages buy one get one free offers from 1, merchant partners The portfolio includes 51 PRODUCTS 40 DESTINATIONS 15 COUNTRIES 150+ employees UAE Dubai Body Fine Dining Family Abu Dhabi Dubai Kids Qatar Bahrain Oman Travel Kuwait Cyprus Abu Dhabi Body KSA Qatar Body Singapore Cape Town Jeddah Riyadh & EP Egypt Lebanon Hong Kong Malaysia Johannesburg London Jordan 06

5 ONE GLOBAL APP DIGITISING THE ENTERTAINER BUSINESS MODEL REACH OUR CUSTOMERS ACROSS MULTIPLE CHANNELS PUT DATA AT THE HEART OF OUR BUSINESS TRACK WHAT SAVINGS OUR CUSTOMERS ARE MAKING ACROSS DIGITAL AND PRINT TRACK THE REVENUE WE DRIVE TO OUR MERCHANT PARTNERS ACROSS CONSUMER AND CONNECT PRODUCTS OUR EXPERTISE The s core business is in sourcing and managing buy one get one free offers with the lowest restrictions on use, providing a very simple user experience for our customers. Simple is not easy. We spend a lot of time in each of our markets finding the right merchant partners to work with and packaging their brands correctly in our print and digital products. We then drive attractive customers to these merchants using their buy one get one free offers. customers spend more money at our merchants' outlets than customers without our offers. The products are ultimately a guide to the best a city has to offer residents and tourists alike, but at an affordable price. Our quality offers encourage customers to make spontaneous decisions to try out new places and services. offers are even more valuable because we allow our customers the flexibility to use the offers when they want to, over the course of a calendar year. There s no pressure to use it on certain days or certain times, allowing customers to plan how they use their offers throughout the year. 89% OF PEOPLE SAY THEY VISIT NEW OUTLETS BECAUSE OF ENTERTAINER OFFERS HOW MANY PEOPLE HAVE YOU RECOMMENDED THE ENTERTAINER TO? 36% 3-5 people 21% more then 10 people 26% Up to 2 people 17% 6-10 people DO YOU SPEND MORE MONEY AT OUTLETS BECAUSE YOU HAVE ENTERTAINER VOUCHERS? 53% 21% 26% YES NO NOT SURE Source: Global Customer Survey

6 GLOBAL MERCHANT RELATIONSHIPS Our merchants are the foundation of our business we know that without them our products would not be the success they are. We develop long-term partnerships with our merchants and are proud to have on board some of the world s leading brands as well as some of the best local brands in each market. We always strive to create unbeatable value for our merchant partners, in the way we take them to market and by driving the right kind of customers through their doors year after year. We have a 78% retention rate, which highlights the value merchants see in partnering with us. This success and the relationships developed as a result, are key to promoting confidence and ultimately securing merchant participation in any new territory. The is dedicated and highly experienced in promoting the best of city life. For several years, we have promoted Domino s Pizza on the pages of the, capturing new customers and advancing the growth of our brand. We thank the team for their drive and passion and look forward to watching the international expansion of the. Fantastic results, great customers and an awesome team to work with, the truly is a win-win for all. Connecting you to some of the world s leading brands! 10

7 BUSINESS INTELLIGENCE The collects valuable market insight surrounding customer behaviour through our detailed data acquisition, data mining and business intelligence (BI) tools. This data allows us to provide unrivalled market intelligence to our merchant partners and to deliver relevant products that we can monetise. Continued merchant acquisition and retention of our current partners is key to our success and ultimately our growth. We understand that accurate and relevant data is important to any strategic business decision and as such the invests heavily in BI tools that demonstrate the benefits of participating in our products. Merchants have direct, online and real-time access to their data enabling them to evaluate for themselves the revenue and impact their partnership delivers. These figures and the openness of our data is a contributing factor to our industry leading retention rates. Merchant partners can: Monitor total revenue generated from initiatives by both brand and outlets. Track footfall from the amongst all outlets. Assess behaviours and patterns of the users. Understand their positioning against other similar brands in their proximity. Have 100% confidence that the decision to participate in the is an educated strategy. CONNECT clients can: Monitor and track all activity thus determining the success of the campaign. Sample view of BI Dashboard Analyse which offers are most popular with their staff and customers to enable them to tailor future projects. View transaction revenue and savings totals. 12

8 OVER 200 WHITE LABEL CLIENTS OFFERS SOURCED FROM 21 COUNTRIES 123,000,000 OFFERS NETWORK OF 10,000 EXPANDING YOUR PORTFOLIO Powered by the, CONNECT provides bespoke solutions for corporate clients interested in creating employee loyalty and customer acquisition and retention programs. The has offered its corporate white label service since 2006 and today CONNECT serves over 200 clients ranging from airlines, FMCG and telecoms companies to financial institutions and government organisations. The CONNECT team assist clients in developing their own branded voucher books, short term promotional booklets, digital sites and even mobile apps throughout all countries in which the operates. CONNECT has been the fastest growing division of our business in the past few years. In each market we operate in, our offers are by far the strongest available, which makes them extremely compelling to our corporate clients when designing their programs. CONNECT works with some of the biggest brands regionally and around the world ENTERTAINER MERCHANT PARTNERS Generated over 123 million offers for clients including: Assist clients in developing their own campaigns in a variety of formats 2014 Financial institutions, Airlines, FMCG & Telecoms companies A5 BOOK Loyalty MINI BOOKLETS DIGITAL APP AVERAGE CONNECT DEAL = $68,000 in 2013! 14

9 THE FRANCHISE OPPORTUNITY The best way to start a business is to leverage the power of a proven model with a team of experienced professionals. The is a tried and tested model that, given the right destination selection, will provide you with an almost-instant business with low capital start-up costs and a low risk investment. Ownership of a destination product within the s global footprint means you will join an international brand with proven success over 13 years, with multiple channels to market and industry-leading technology. Join us as a Franchise Partner and you will benefit from a dedicated and experienced team who will help you to take advantage of our proven systems and practices. We will openly share our company s values, philosophies and procedures to set your business up with a blueprint for success! OUR VISION OUR PROMISE CORE VALUES OUR MISSION On average, franchises are much more likely to succeed. 95% of franchises are still in business after five years, whereas standalone start-ups see a five-year success rate of just 47%. To be the world s leading and most recommended company in sourcing 2 for 1 incentive offers in the Middle East, Africa, Asia and Europe. Never pay full price again with unbeatable buy one get one free offers. SPEED MOTIVATION INTEGRITY LEADERSHIP EQUALITY SOCIAL Creating unbeatable value everywhere we go. US Department of Commerce 16

10 LOW CAPITAL INVESTMENT YOUR INVESTMENT The costs to set up an franchise will vary by market and location, however, the following is the expected range of investment you should expect. All information below is based on the Franchise Overview Document: INVESTMENT LINE ITEMS LOW HIGH MULTIPLE REVENUE STREAMS SIGNIFICANT INCOME POTENTIAL Initial Franchise Fee $130,000 $130,000 Travel & Living Expenses while Training $3,000 $9,000 Serviced Office $18,000 $38,500 Computer Systems, Hardware & Software $16,000 $23,000 Miscellaneous Opening Costs $3,000 $6,000 Opening Inventory $9,000 $11,500 Pre-Launch Marketing $5,000 $35,000 Additional Funds - 9 Months $40,000 $186,000 Legal, Accounting & Insurance $6,000 $26,000 Total $230,000* $465,000* BREAK EVEN TYPICALLY IN YEAR 2 * * These figures are estimates of the complete investment in setting up an franchise and operating it for 9 months. It is possible to exceed costs in any of the areas listed. Final costs will depend on location, amount of time spent compiling the product etc. All figures are based on industry knowledge and predicted revenue assumptions. 18

11 FRANCHISE START UP PACKAGE Comprehensive head office training programme along with in location training. providing a comprehensive knowledge of all products, procedures, systems and behaviours. advice and additional on the job training to all members of staff. Followed by two further trips during and at the end of the merchant acquisition process. Ongoing support - A dedicated Franchise Account Manager will provide ongoing advice and support throughout the duration of the franchise. Operations Manual - Designed to provide every franchisee with the essential knowledge required to produce and run a successful franchise. Marketing support for inaugural product launch Inclusion in the global App Access to our global CRM system including 2 annual licences - The uses a central CRM system that has been heavily customised and brings all information and contact together including the compilation of the merchants and offers into a finished product. The system enables full insight into the business, tailored reports and an automated production process. 20

12 6 STEPS TO OWNING AN ENTERTAINER FRANCHISE Becoming an Franchise Partner is a big decision but a rewarding one. We recognize that and will work with you to provide all of the information you will need to determine if the is right for you and vice versa. It s so important that we choose the right partners and as such, we need to be confident in who we work with. 1. Confidential Application If you believe the is right for you, please return the completed application form. 2. Franchise Overview Document If you meet the preliminary franchise qualifications you will be contacted by the Franchise Development Department to review details of the Franchise Program. Further to this we will send you a Franchise Overview Document under an NDA. 3. Territory Evaluation After you identify a suitable location, the Franchise Team will work with you on a full market analysis, merchant feedback and budget forecasting to ensure the decision to launch is the correct one for us all. 4. Document & Territory Review Once confident about your decision a second meeting/discussion is conducted with the Board of Directors discuss your paperwork and territory details. 5. Count me in! Following approval you will receive a completed Franchise Agreement for your chosen territory. We encourage you to take your time to review it. If you are ready - sign the documents, make payment and get ready to roll. Congratulations! You are now the proud owner of an Franchise! Your Franchise Over 500 Buy One Get One Free Offers USD Congratulations! All elements of your new business will be finalised including the scheduling of training, both in the Dubai HQ and locally and your planned launch date. We will work with you to develop your product, meet potential merchants, secure distribution agreements and as the time moves closer, help to execute the perfect launch with our marketing, events and direct sales knowledge. Now the hard work begins! To receive a Franchise Application Form please 22

13 HEAD OFFICE P.O. Box , Dubai Media City, Arjaan by Rotana, Office #508, Dubai T , F E theentertainerme.com

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