French book and music chain Fnac wants to open four stores in Qatar in the next five years. The first store will open next autumn in the Lagoona Mall in the capital of Doha, through a franchise deal.
Franchise integral part of Fnac’s new strategy
Fnac partnered with Darwish Holding, an outfit that currently has Middle-Eastern stores for Sony, Yamaha, Bose and Bang & Olufsen. This will allow Fnac to expand its network much faster without having to invest a lot. Seeing how Fnac is currently restructuring to save money, the deal with Darwish Holding is seemingly ideal.
It is Fnac’s first step into this region and only the second time it uses the franchise formula for foreign expansion. Morocco, with one franchise store, was the first country to get this treatment. Franchising has been part of Fnac’s home territory France from 2012 onwards. The first Fnac franchise store opened in October 2012 in La Roche-sur-Yon and the chain hopes to have some thirty franchise stores by 2015.
Fnac currently has 173 stores, 107 of which are in France. The others can be found in Spain, Portugal, Brazil, Belgium, Switzerland and Morocco.