The BungoBox Franchise was innovative thinking from its inception. There are some cases where a new franchise brand has an opportunity to redefine a market segment and change the way people do business. In this case, BungoBox was doing just that in the moving services market.
There hadn’t been any real changes to the moving segment for decades and BungoBox had developed a completely new model that could change things a great deal. At the same time, several competitors had popped up quickly with similar models in the same space and more were sure to come. The overall economy had just fallen apart so there were added complexities to the expansion strategy.
The operating concept is a generally simple and lower investment which makes for an attractive franchise offering. Using cutting-edge boxes designed with recycled plastic, the BungoBox model allows someone to move their belongings while saving money along with the environment.
The concept is green, convenient and reasonably priced when compared to a moving service making the service model loaded with value. The BungoBox Franchise was designed and is still managed by brothers, Tom Cannon and Bob Cannon. The Cannon’s hired Franchise Marketing Systems in 2009 to develop the operating structure, franchise operations manuals, Franchise Disclosure Document, and Marketing Collateral and handle the initial franchise development work.
Along with a management team of consultants, a five-person board of directors and a well-developed business structure, the BungoBox corporate team was positioned well for growth.
The decision to the franchise was driven by the intensive operational responsibilities inherent in a service model. Franchisees would make better operators than employees would in managing day-to-day business in new locations. Initial responses were positive and franchisees were opened in several key markets, along with a Master Franchise in Canada.
One of BungoBox’s competitors was then featured on Shark Tank and the industry segment received significant exposure driving new growth and candidate interest. BungoBox was designed to be a lean operating model, not requiring the significant up-front investment typical of moving service franchises which meant the opportunity to scale not only for the franchisor but for the franchisees who invested in the moving services franchise system.
As the business expanded, Cannon’s reinvested heavily into technology and systems allowing for better business management and overall business growth. Marketing, branding and overall consumer presentation have always been a focus, but as the business grew, so too did the marketing budget. Even more so in a market model where the consumer needs to be educated as to what the service is and how it is different from other moving service companies, marketing is paramount.
The key to the business’s success has been a passion for the industry segment, eco-friendly initiatives and a drive to go out in the market and made a difference. Strategically, the industry segment was a bit of a land grab, whomever was able to get their brand out there fastest and establish themselves was going to be in a leadership position and certainly would hold a competitive advantage.
The franchise model supported this initiative and helped BungoBox establish itself as an international moving services franchise brand with over 40 locations across the U.S. and Canada.
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