#SAFranchiseFriday featuring Perfect Water

BACKGROUND
Perfect Water was established as a joint venture between two independent brands, Perfect Water and Absolutely Water, to create a business model positioned at the top echelons of water purification and related equipment distribution in Africa. With an established footprint in South Africa, Namibia, Botswana, Zimbabwe and Swaziland, Perfect Water is aggressively pursuing growth opportunities to extend its operations countrywide and into Africa.

THE CONCEPT 
The Perfect Water franchise opportunity comprises several business models defined as Perfect Water Agent, Perfect Water Shop, Perfect Ice add-on, Perfect Juice (which forms part of the shop), and Perfect Water Bar. In addition to supplying purified and/or prepared water to the public, Perfect Water is the sole distributor of the world-leading Pure-Pro water systems in sub-Saharan Africa. The Perfect Water Shop has the opportunity to set-up additional water bars in existing shops in their licensed franchise area.

Perfect Water’s water purification equipment range includes countertop and free-standing dispensers, under counter RO purifiers, water softeners, whole house water filtration systems, water coolers and fountains, shower filters, and outdoor water purifiers.

As South Africans become increasingly health-conscious, the local purified water industry has shown significant growth, outperforming other beverage sectors.
Their clientele comprises residential and commercial consumers including restaurants, lodges, farms, mines, hotels, guesthouses, shops and offices.

Accessibility and good visibility are key contributing factors to the success of a Perfect Water store and locations near an anchor grocery outlet in shopping malls, retail parks or commercial centres are ideal. Outlets typically require premises of around 85sqm to 120sqm.

While staff members are charged with taking care of the shop, it is the owner’s responsibility to generate new business. Perfect Water Shops are typically manned by a store manager and two shop assistants. Agents can also be appointed to market and install water purification systems.

FRANCHISOR SUPPORT
By offering marketing, operations and ongoing support as well as three comprehensive training courses, Perfect Water offers investors a sound formula, tested for success and supported by their longstanding track record of more than 17 years.

In addition to the initial training and accreditation courses hosted by the franchisor, franchisees are provided with an operations manual to guide them in managing the day-to-day activities of a successful Perfect Water outlet.

An annual conference with gala evening and prize giving is an enjoyable event for all franchisees.

FRANCHISEE PROFILE
Perfect Water franchisees are self-motivated, ambitious, friendly and hardworking people-oriented individuals who also possess the ability to operate effectively as a team player.

SNAPSHOT
HISTORY
Founder: Loret de Wet & Freddie Oosterhuis
Year founded: 1999
Area of origin: Alberton, Gauteng
Executive Director: Rikus Barnard

NETWORK
1st SA franchise opened: 2010
Number of SA outlets: 79

FRANCHISE AGREEMENT
Management fee: 5 cents per litre pm
Marketing fee: R1 000 pm
Agreement term: 10 Years
Renewal term: 10 Years

FINANCIALS
* Amounts quoted are VAT exclusive
Establishment cost: R250 000 to R500 000
Franchise joining fee: Included in establishment cost
Working capital required: R50 000
TOTAL average set-up cost: From R300 000
Average monthly turnover: R120 000 to R220 000
Achievable gross margins: 60%

WANT TO KNOW MORE?
Contact Rikus Barnard on +27 11 907 8377 or info@perfectwater.co.za
www.perfectwater.co.za