Macao Franchise Expo (MFE) successfully showcases its role as a platform

This year marked the 10th anniversary of the Macao Franchise Expo (MFE), which was held at The Venetian Macao from 27 to 29 July.

Themed “Brand Expansion Continues, Business Opportunities to Be Seized”, 2018MFE attracted more than 150 exhibitors from Mainland China, the Czech Republic, Japan, Malaysia, Pakistan, Portugal, Vietnam, Hong Kong, Macao, Taiwan and more. More than 200 booths at the exhibition venue with a exhibition area of 6,000 square metres covered a cross-section of industries, including catering, services, retail, brand agencies, education, E-commerce, fashion and others. The total number of visitors attending the three-day event was similar to that of 2017, while the number of trade visitors exceeded 6,000.

The 2018MFE was jointly organised by the Macao Trade and Investment Promotion Institute (IPIM), the Macao International Brand Enterprise Commercial Association (MIBA), the Macao Chain Stores and Franchise Association (MCFA), the Brazilian Franchise Association (ABF), the Association of Chain and Franchise Promotion, Taiwan (ACFPT) and the Licensing & Franchising Association of Hong Kong (HKLFA).

During the three-day expo, a total of 111 business matching sessions were conducted, covering business sectors from catering, franchising, brand agencies, rebranding, data platforms, retail, education, and investment project recruitment. A total of 10 co-operation protocols were signed, covering projects related to intergovernmental co-operation in business promotion; promotion of the retail industry of Macao into the strategic co-operation of the Greater Bay Area; hotel franchising; beverage product distribution; Macao brand involvement in the revitalisation of old districts; 3D printing device distribution; kids’ photography co-operation and franchise of education centres. The signatories were primarily from Mainland China, Macao and Hong Kong.

The “Guangdong-Hong Kong-Macao Bay Area Business Zone” also made its debut at MFE this year. Economic and trade institutions in the Greater Bay Area set up counters in the zone to provide business consultation services to participants.

The well-received “Gourmet Avenue” returned to MFE again, featuring more than 20 booths and offering culinary specialties. Together with the synergetic promotion of Macao and Shunde cuisines at the Guangdong & Macao Branded Products Fair (GMBPF), the two concurrent exhibitions allowed visitors to savour a variety of cuisines and explore new business opportunities.

Smart retail element

One of the key activities of the year – the “Forum on Chain and Franchise Business Opportunities of International Brands” – brought representatives of franchises, international brand associations and enterprises from Mainland China, Japan, Portugal and Singapore together to share their insights and allow local companies to get a grasp of the latest trends of the market.

The second session was a TDM television programme called “Business Elite”, inviting local and overseas entrepreneurs to discuss new marketing opportunities and business philosophies in an era where consumption is on the rise. In addition to the 140 participants, live broadcasting was also available online, attracting over 120,000 viewers.

The “Smart Retail Zone” was set up to showcase the latest trends in retail, showcasing face-recognition robots, automated coffee machines and unmanned juice bars. Supporting services for innovative chain developments were also part of the exhibition, namely IT support, E-commerce and logistics, business consultation, E-wallet and mobile payment, allowing entrepreneurs and business starters to explore more opportunities to improve and transform their respective businesses.

The Sino-Portuguese E-Commerce Chamber has shown its effort to organise its member enterprises to participate in 2018MFE. Johnny Ma, Executive Vice Chairman of the Chamber, said that it was the first time for his Chamber to organise members to take part, thanks to the smart retail element of the event. As an organisation that concentrates on the development of E-commerce and cross-border E-commerce, the Chamber aims to encourage more enterprises to expand their businesses in this field. Smart retail bridges online and offline sales by displaying products online to first attract customers, and thereby triggering offline sales. Mr Ma said smart retail should not only be a new paradigm of entrepreneurship, but also a new model towards the development of franchising enterprises. Young individuals, especially, should be ready to accept the concept of smart retailing much more quickly and this new element could play an even greater role in terms of starting new businesses through franchising.

As an example, Bai Zili, Managing Director of Macau Egg Tart King Group Ltd., said the company was established in 2008 with its flagship product – egg tarts with skin ‘as thin as a layer of ice’. Cryogenic refrigeration technology and vacuum packaging are used in making its products. The company is also able to assure its customers that the quality and safety of its ingredients are of the highest standards and can be delivered to Mainland China within one day. Online sales have therefore achieved positive results.

In addition to online sales, Macau Egg Tart King has set up retail outlets in a number of provinces and cities throughout Mainland China. With the support of IPIM, the company built partnerships with an enterprise from Thailand and successfully established a plant in Bangkok. Its products are now exported to Thailand, Singapore, South Korea and Japan. Considering MFE as an ideal marketing platform, Macau Egg Tart King has participated in the exhibition for a number of years. During the 2018 event, five enterprises from Mainland China, Malaysia and Singapore expressed interest in investing in the brand.

Johnny Ma, Executive Vice Chairman of the Sino-Portuguese E-Commerce Chamber

Bai Zili, Managing Director of Macau Egg Tart King Group

Wensie Lao, Director of Macao Region of Commune

Jack Lam, Founder and CEO of Speedking Technology

The ‘Gourmet Avenue’ helped promote food and beverage products from Macao

Exploring the market

Wensie Lao, Director of Macao Region at furniture designer and manufacturer Commune, was invited by the “Forum on Chain and Franchise Business Opportunities of International Brands” to share her business experience with attendees. Ms Lao said her company is selling branded furniture from Singapore through product franchising because there is a lack of high-quality, overseas brands in Macao’s furniture market. Although the brand may be new to Macao, the manufacturer is a well-established brand in Singapore famous for its quality assurance and unique designs, which are factors appealing to local customers. In the face of competition from local players, Commune is able to stand out not only because of its outstanding quality, but also its application to virtual reality technology. This technology gives customers an opportunity to ‘virtually fit in’ different types of furniture in their own homes so they can purchase what is right for them more quickly and efficiently.

A representative of Speedking Technology Co., Ltd. was also invited to the Forum to share his insight. The company was established in 2016 and introduced Sposter – a 24-hour intelligent parcel locker system in Mainland China, to the Macao market. Jack Lam, Founder and CEO of Speedking Technology, stated that the system could effectively assist Macao’s logistic industry to resolve issues such as manpower costs and more. Through the system, door-to-door delivery would not be necessary. Couriers only have to collect items in the same area and put them into smart lockers. Then messages are automatically sent to the owners of the goods to remind them to collect their belongings at a certain time of the day. As of now, Speedking Technology has set up partnerships with logistic enterprises, collection shops for online purchases and local enterprises, and smart lockers have been placed in 38 different locations, allowing a total capacity of about 2,000 items. Mr Lam added that since online shopping has become increasingly popular in Macao, he reckons the business of Speedking Technology will continue to grow steadily. Looking ahead, he hopes his company will occupy 10 percent of the online shopping logistics market share.

The Macao Franchise Expo 2019 will be held concurrently with the Guangdong & Macao Branded Products Fair 2019 from 26 to 28 July, 2019.