
Creative solutions for today’s business communication needs.
AlphaGraphics, the global print and marketing communications franchise, has boosted its expansion strategy with an innovative business model. The ‘digital centre’ model focuses on added value, technology based services. As a result, initial investment requirements are low, creating attractive franchise solutions for dynamic individuals with sales and marketing backgrounds, who are looking to be part of the fast growing visual communications market.
THE CREDENTIALS
Established in 1970 in Tucson, USA, the AlphaGraphics network is comprised of nearly 300 business centres across the world. AlphaGraphics is committed to the highest quality standards and as a result is the only global visual communications franchisor to have attained ISO 9001 certification.
AlphaGraphics has a pedigree for
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“ AlphaGraphics’ digital centres have evolved from our intensive growth strategy which is set to take the UK network to 30 franchised units by 2012. This digital business model appeals to investors of all levels who have the drive and enthusiasm to build a profitable business based on technology, quality and customer service ”
Jason Simpson, Managing Director,
AlphaGraphics UK.
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growing successful businesses; in fact the average turnover of AlphaGraphics centres is over double the average turnover in the UK franchise print market. Recently, one of the UK’s AlphaGraphics centres achieved 1st rank in the entire global network making it possibly the biggest franchised print business in the world!
THE SERVICE
With a focus on quality and service, the AlphaGraphics digital centre’s core offering includes design and digital printing for promotional materials such as point of sale material, direct mail pieces, exhibition graphics and newsletters. Also offered are products such as training materials and operational documents.
As an AlphaGraphics franchisee you will work with people to plan, produce and manage visual communications, enabling customers to achieve their goals more effectively and confidently.
Typical horizontal markets for AlphaGraphics Centres are Sales & Marketing and HR departments within medium to large sized businesses as well as owners of small to medium enterprises, whereas our core vertical markets are Public Sector, Education & Training, Retail, Manufacturing, Marketing and Healthcare.
INNOVATIVE SOLUTIONS – INCREASED MARKETING EFFECTIVENESS
New technologies enable the businesses to offer 'variable information' printing which makes it possible for each printed piece to be customised specifically for its recipient. Driven by the client’s database, the printed piece’s text and images can be varied for each individual contact.. With this kind of technology, marketers have a powerful tool enabling them to tailor their marketing campaigns to appeal to their intended target: more appropriate message, more effective result.
Not only can this ‘variable’ printing make dramatic improvements in marketing effectiveness, it also makes sense as customers can print 'on demand', rather than printing thousands of items and being left with surplus stock. It’s really taking off, and it’s here to stay.
“ One third of direct mail respondents prefer to do so online ”
Direct Marketing Association |
AlphaGraphics customers can now run personalised and targeted campaigns and expect an increased response rate of 3-5 times. Complimenting fully personalised direct mail, personalised websites or ‘landing pages’ capture and exploit customer information, something the traditional website doesn’t do. Additional value adding services that have already become hugely successful across the AlphaGraphics network include AG Online, an online ordering and print management solution that enables customers to order, amend, track and report on all of their visual communications from their computer. In partnership with Adobe, AlphaGraphics have also developed PDF Express, an online artwork encapsulation and submission tool. Both of these services are now saving customers and franchisees both time and money through automating and streamlining their business processes.
“AlphaGraphics franchisees are in a unique position to be able to add value to their client’s visual communications. It’s no longer about simply putting ink on paper; it’s about providing an end-to-end solution to business owners and sales & marketing professionals. As an AlphaGraphics franchisee you will be able to offer design, print and fulfilment on a broad range of marketing collateral backed up by ‘best of breed’ lead generation tools, brand management tools and service delivery tools” Jason Simpson, Managing Director AGUK.
eCOMMERCE NEWS
AlphaGraphics offers industry leading e-commerce solution to add value in the Business to Business environment. Around 75% of all online purchases are conducted in the business-to-business environment, suggesting that e-commerce is far more mature and readily accepted as a purchasing method for businesses rather than individuals. In fact AlphaGraphics own research conducted in July last year suggested that nearly 30% of its clients were already buying some business products or services online.
Yet all too often the internet is used to reduce products and services to their lowest common denominator, price. E-commerce is a powerful enabler to add value to a customer relationship. To really take advantage of e-commerce, businesses should seek to convert cost saving into more added value rather than simply reducing the ‘cost per unit’ of a product or service.
At AlphaGraphics we have firmly seized the e-commerce opportunity and now use it to increase our service offering beyond the norm for a print provider. E-commerce has enabled us to become a true ‘visual communications partner’ for many of our clients and it has enabled us to increase our value of sales with these clients by adding greater value to our services.
Leading with our core business of design and digital printing, we use e-commerce to forge deep customer relationships, integrating our business with our clients business and providing win-win situations at corporate level.
Our product, ‘AG Online’ is a comprehensive print management solution. With the click of a mouse users can order, control and measure their communication materials through an intuitive and secure website that saves them time and money.
How AG Online benefits clients;
- Takes the pain out of buying print by providing a single source for buying and tracking all of the client’s visual communications.
- Saves client’s time by decentralising ordering whilst maintaining central control for budgets and inventory.
- Improves time to market by using pre-determined approved templates and instant online proofing.
- Improves brand consistency by maintaining pre-approved marketing materials and business stationery, all produced at the same location to ensure consistency.
- Empowers users by offering flexible management reporting which helps with tracking marketing campaign effectiveness or simply managing budgets.
- Lowers the cost of transacting business by enabling consolidated invoicing and the flexibility to ship single orders to multiple locations.
- Improves process efficiency by linking directly into client procurement systems such as SAP or Oracle.
It’s a win-win situation
“Ecommerce not only adds value to the client relationship, it reduces costs within the franchisee too” says Jason Simpson, Managing Director of AlphaGraphics UK.
AlphaGraphics franchisee Sean Costigan comments; “Just 2 of our many client sites will generate some 1,500 orders this year, and a significant saving is made in our business by having these orders come to us via online trading. Orders flow directly into our sales order processing system meaning that man hours are not wasted by manually taking orders and processing them.”
Unique Support
The AlphaGraphics e-Commerce package “AG Online” is just one of our unique support tools available to all franchisees. When you’re looking at a print-related franchise, don’t settle for a retail-based print-shop, to succeed in this industry you need leading edge IT support and a franchisor who has invests heavily in ecommerce.
PROVEN SUCCESS
The AlphaGraphics Centre in the heart of Leeds has quickly grown to achieve 200% of the typical 1st year budget for an AlphaGraphics start-up, In Paul’s words, “When you’re setting up a franchise for the first time, having the backing of world-class training and support makes all the difference, as Leeds AlphaGraphics franchisee Paul O’Sullivan discovered. For Paul, the satisfaction is in always being able to say ‘yes’ to a rush job because rapid response is one of his company’s USP’s.
“One of the reasons I chose to go into partnership with AlphaGraphics was its ‘can do’ philosophy,” says Paul. “I liked the idea of a well established organisation that had a network of over 200 franchises in the US and nearly 300 worldwide, that I could call on, if needed, to help me deliver fast turnaround promises to clients.”
“The one thing that really convinced me to open an AlphaGraphics was the tremendous level of support and training on offer: it really was exceptional…and it was guaranteed.”
“Once I committed myself to a territory, I spent a great deal of time developing detailed business plans with the senior team from AlphaGraphics. Nothing was left to chance, every angle was covered; we ended up with a realistic and workable plan tailored to our own store and our own circumstances. That gave me a lot of confidence.”
When the planning was completed, PauI went to the US for a three-week ‘demanding but hugely enjoyable’ residential New Franchisee Training course at the AlphaGraphics global headquarters.
“I came away certain I was prepared for life as a business centre owner and equally certain I was in safe hands,”
“It made me realise that I didn’t have to know everything about print, software and e-commerce – all of that could be learned. What was really needed though was an ability to listen to customers and to market and sell our products, which is where my experience and expertise lay.”
“The result of our careful preparation was that we hit the ground running,” said Paul. “Sales in the early months were exactly in line with the business plans we’d put together earlier and, most importantly, we all felt that we were totally in control: we really knew what were doing.”
“There’s no question that the AlphaGraphics training and support programme did exactly what they said it would: it prepared us in the best possible way to run our own business centre. Now it’s up to us!”
TERRITORIES
AlphaGraphics have ‘green-field’ territories available in most areas of the UK, as well as resale opportunities from time to time.
FINANCIAL INFORMATION
Franchise fee £24k. Personal investment required is £50k including the franchise fee. The balance of £100k making up the total investment of £150k (includes the required working capital) is funded by the major banks. Typically banks will lend on a ratio of two to one on our business model.
AlphaGraphics offer a reducing royalty structure: 10% payable on gross sales up to £493k, 7% between £493k and £986k and 5% thereafter. In addition you earn 25% of this back in Universal Service Credits on the royalties which are monies used to improve your business through training, additional support or marketing. Therefore the net fees are 7.5%, 5.25% and 3.75%
Compare these fees with our competitors and calculate for yourself the value you could add to your business. (Please note figures are adjusted annually on October 1st by RPI. Prices correct as Jan 2009)
WHO WE ARE LOOKING FOR
We are looking for ambitious candidates who have held senior sales and/or marketing positions and enjoy the challenge of leading and motivating their team.
Franchisees with diverse experience comprise our network with little in common other than the desire for entrepreneurial excellence, the willingness to make it happen for the financial rewards, and an interest in an intellectually challenging future.
Your own experience in working with other people is a primary consideration in becoming an AlphaGraphics franchisee. If you can manage others effectively, are customer focused and want to be rewarded on the basis of your own efforts, then an AlphaGraphics franchise may be the right opportunity for you. We’re set to grow…are you?
If you have a strong sales and marketing background and want to find out more about our creative solutions call 0800 257 424 or visit www.alphagraphics.co.uk