Global Fashion Brand DeFacto to Grow in European Market with New Generation Franchise Model
Global fashion brand DeFacto delivers its products to fashion lovers in 5 continents with its 500 stores and e-commerce channels in 93 countries. Serdar Ersoy, General Manager of DeFacto Alternative Sales Channels & Business Development, who participated in the MAPIC Fair, said: "We recorded a rapid growth in Europe and started to have a successful presence in 12 European countries in 2 years. With the new generation franchise model we have developed, we proceed together with our business partners from the project process to sales, and we strengthen this presence with our stores and business partners. In this way, we aim to grow by 300 percent in 3 years."
Taking strategic steps in line with its globalization targets with the vision of "Accessible Fashion", Turkey-based DeFacto continues its activities with over 500 stores and e-commerce channels in 93 countries. Focusing on expanding its network of 34 franchise stores in 13 countries to increase its investment growth rate, the brand has been making significant investments in this area in recent years. With more than 500 stores on 5 continents, DeFacto aims to operate in 180 countries by 2025.
New Generation Franchise Model Managed End-to-End from Project Process to Sales
Serdar Ersoy, General Manager of DeFacto Alternative Sales Channels & Business Development, who participated in the MAPIC fair held in Cannes, which was organized by the Istanbul Ready-to-Wear and Apparel Exporters' Association (İHKİB) between November 29 and December 1, 2022, explained the new generation franchise model they developed by stating that they aim to grow in the European market with the franchising system:
"As DeFacto, we are doubling our growth rate globally with both our own investments and our franchise partners. Expansion and franchise in DeFacto works like a stand alone company managed with its own dynamism. Since we, as DeFacto, have adopted the corporate base business model, we have designed a new generation franchise model for ourselves instead of the wholesale model adopted by the world in general. The most basic feature of this model that differentiates DeFacto from the sector is that this channel is seamless and integrated like our other channels. We manage all processes within the framework of 360-degree operational excellence in order not to experience any deficiencies in the selection of franchises in the countries. We do not keep our franchise stores separate from our own stores, we are involved in the end-to-end business from finding a place for the store, construction, product selection, planning, pricing, operational efficiency processes and we progress together with our business partners. We strive for all our franchises to operate in accordance with the DNA of our brand. Our main priority is for our business partners to grow in a fast, profitable and reliable manner."
"We aim to grow our franchise channel by 300% in 3 years"
Stating that they care about having the same vision as DeFacto and experience and competence in franchise selection, Serdar Ersoy said:
"We provide our franchisees with a turnkey retail experience. Our aim is to cooperate with a visionary partner in terms of financial and commercial background. We take an active role in all processes in the preparation of the store, from determining the location of the store to the project and construction process. On a product basis, we provide operational support from the products to be shipped to the prices at which the product will be sold. With this vision, we aim to grow our franchise channel by 300% in 3 years.
DeFacto is as much a technology company as it is a fashion brand
DeFacto strengthens its omni-channel infrastructure and develops software that leads the transformation of the retail industry with DeFacto Technology and its developer team of more than 300 people. Emphasizing that DeFacto is a brand that produces not only fashion but also technology, Serdar Ersoy; "Our technology investments continue to make our customers' shopping journey faster and easier. We share the technology we have developed both within our own organization and with our business partners, our franchises. The most important of these efforts is our DFPOS application, which prevents queues in front of the cash register by offering the opportunity to make payments at every point of the stores. DFPOS, the "Android POS" project, which is among the firsts implemented in the retail sector, facilitates customers' shopping experiences by enabling omni-channel supported payment and return transactions at every point of the store with the mobility it provides."
