Kutchenhaus - Franchise Information Pack

CONTENTS

Are you searching for a new business opportunity or interested in becoming your own boss? If so, look no further than the Kutchenhaus Franchise.

As one of the UK’s fastest-growing franchise networks, we offer you the opportunity to run your own showroom as an experienced kitchen designer or entrepreneur looking to make a long-term investment.

Kutchenhaus is part of nobilia, Europe’s market-leading kitchen manufacturer, meaning you’d benefit from high-end products, a great infrastructure in place and customer service that has helped earn us an ‘Excellent’ 4.8 on Trustpilot .

One of the best parts? There are no upfront franchise fees when joining our network.

No upfront franchise fees

THE OPPORTUNITY YOU’VE BEEN SEARCHING FOR

WHY INVEST IN KITCHENS?

Average break-even point for showrooms: £250k

With no initial franchise fee, free showroom installation and approximate running costs of £100,000 in the first year, the outlay is minimal. However, the rewards are outstanding with an average break-even point of £250k in the first year.

We offer you support, including advising

you about securing funding from banks and lenders, with repayment schedules over five years. Our top-performing showrooms turn over in excess of £2 million per annum after just three years of trading.

Positive ROI in the first year

Many of our franchise partners have achieved a positive ROI in their first year. As a low-cost franchise opportunity, Kutchenhaus can offer several advantages that contribute to the potential for early profitability.

Factors that help contribute to franchise partners achieving a favourable ROI in year one include:

Established brand

Proven business model

Training and support

The right people

The right locations

Excellent showroom presentation

FACTS & FIGURES

What’s included

No upfront franchise fees

Full website integration and lead generation

Free of charge showroom design and installation

Direct factory pricing

Dedicated UK-based technical, order processing, logistics and customer services teams

Customer finance options

Full training and ongoing support

Proven and fast-growing business model

Improved appliance buying terms

Europe’s largest manufacturer

*Set-up cost

Typical year one set-up and running costs: £80,000 – £120,000

A recognised and trusted brand 4.8 on Trustpilot

Full service marketing support

Tailored CRM system

Average break-even point for showrooms: £250,000

Possible 3 year turnover: £2,000,000+

*Potential to achieve ROI in year one (based on the performance of some of our franchise partners)

Presence at national shows and exhibitions

Annual visits to Germany to see new product launches

**These figures are given as an example only. When opening a franchise, we suggest taking independent financial advice as results vary due to several variables.

1250 – 1500 sq/ft Typical showroom size 8 displays Kitchens / bedrooms / living furniture

Strong location High Street or main road location

Prominent frontage with video screens, branding and window graphics

Market leading showroom design

Our dedicated showroom design team will work collaboratively with you to bring your dream showroom to life. Through a deep understanding of customer preferences, browsing patterns and current trends, we have mastered the art of captivating individuals and inspiring them to leisurely explore our showrooms.

With expertise, we artfully combine and present a wide variety of units, showcasing the full range of products while ensuring convenient access to samples. In addition, our exceptional branding elevates the overall experience, leaving a lasting impression on our valued customers.

OUR PEDIGREE

Part of a €2bn turnover company

Kutchenhaus Franchise system launched in 2015

Trustpilot’s highest rating for UK kitchen brands - rated 4.8 out of 5

More than a quarter of franchise partners have multiple showrooms

One of the UK’s fastest-growing franchise networks

One of the favourite parts of my job is visiting our showrooms across the UK and speaking with our franchise partners.

At Kutchenhaus and as one of the UK’s fastest-growing franchise networks, we are focused on continued expansion and onboarding new partners, who possess the ambition which matches our own.

As we continue to grow, I am confident there is room right across the UK and Ireland for new Kutchenhaus showrooms.

In addition to new store launches in and

near our existing locations, we are also interested in the opportunity of bringing our proven brand and concept to ‘new’ areas in the UK.

With the backing of nobilia, Europe’s largest kitchen manufacturer and with the widest portfolio of kitchens in the UK, we are well positioned to meet and exceed your customer’s expectations.

In this brochure you will find more information about becoming our newest franchise partner and part of Team Kutchenhaus.

We also feature the benefits, the training and support you can expect to receive and most importantly about your career satisfaction and ROI.

If you are an experienced kitchen designer ready to run your own showroom, an independent looking to enjoy the benefits of a multi-national company, whilst retaining your local approach or an investor who recognises the need to recruit the necessary design talent, we would love for you to be part of our ongoing success.

This is evident in our ‘Excellent’ rating on Trustpilot .

*

Best wishes, Sean Ford; Head of Sales and Operations

VISION, STRATEGY & BRAND PURPOSE

Our Vision

For Kutchenhaus to be established as the No. 1 viable alternative to the UK’s large home improvement brands, with a portfolio of showrooms nationwide. To excel in customer service with a reputation for great quality, design and value. And from a Franchise Partner perspective, offering progression from being an employee to becoming a successful business owner with the opportunity to shape ‘your’ own destiny.

Our Strategy

To be a progressive and successful company

Deliver great customer satisfaction through product, service and aftercare

Offer in-depth training, support and infrastructure

Create successful marketing tools to drive footfall

Compete on a level that would be unachievable as an independent

To prioritise sustainability and reduce our carbon footprint

Our Brand Purpose

Provide homes with high-quality, German kitchens that inspire, empower and connect people to enrich their lives

Create lasting relationships with our customers

Create innovative products and solutions that have a lasting impact

‘every home deserves a German kitchen’

KUTCHENHAUS HERITAGE

25YEARS

Willy Stickling focused on living room furniture, whilst Johann Stickling concentrated on cabinetmaking.

Johann hands over leadership to his sons. Investing in a new 51000 metre sq plant in Verl whilst company celebrating 25th anniversary. The first in house exhibition is born.

Record breaking: 1,000 kitchens manufactured daily The company celebrates 50th anniversary.

Kutchenhaus UK founded

2010

YEARS70

Kutchenhaus UK

Franchise system launched. nobilia Celebrates 70 years. Produces 630,000 kitchens, lifeblood of 3,000 employees.

Kutchenhaus UK 48 showrooms/ nobilia Germany new plant V opens and reaches €1.5bn turnover.

2019

2022

Kutchenhaus aims to launch 20 new UK Showrooms

Stickling brothers founded a cabinetmaker’s workshop in Avenwedde, Germany.

Eldest son of Johann Stickling Heinz joins the business

The company forms a limited partnership named Nobilia-Werke

J.Stickling KG

Youngest son joins the company, now employing 145 people. nobilia now specialising in fitted kitchens.

Old plant in Avenwedde closes. Entire kitchen furniture production in Verl-Surenheide.

YEARS50

Investment in worktop storage, extensive training and second plant, environmental management system certified, testing lab.

New daily record: 2,500 kitchens left the 215,000 m² production halls, delivered directly to customers via our own 135 lorries.

2023

nobilia Germany opens constructing plant III.

Kutchenhaus UK 65 showrooms – quarter with multiple showrooms. Portugal and Miami 1st showroom.

ABOUT KUTCHENHAUS

Our founders

Kutchenhaus is an independent retail brand of nobilia kitchens, the market leader and Europe’s largest kitchen manufacturer. Renowned for quality, design and value. nobilia founded in 1949, Verl, Germany is family owned with over 75 years of kitchen manufacturing and distribution experience and know-how. With a lifeblood of more than 4,200 employees and a €2bn turnover, their infrastructure is well placed to support the entire UK. Kutchenhaus is the fastest-growing independent kitchen retailer in the UK. We have the UK’s highest Trustpilot customer rating for Kitchens, a 4.8 on Trustpilot . We are well positioned in the Mid-range tier alongside other well-respected independent kitchen retailers.

What sets Kutchenhaus apart?

Premium/Luxury

Offering high-end, bespoke, luxury kitchen solutions, for brands renowned for their exceptional craftsmanship, innovative designs and use of premium materials.

Mid-Range Tier

Caters to a broader consumer base, offering well-designed, quality kitchens at a more affordable price point, providing a balance between style, functionality and value for money.

Budget/Economy Tier

Offers cost-effective kitchen solutions aimed at budgetconscious customers, prioritising affordability while providing basic functionality and design options.

Since our Franchise system launched in 2015 we have enjoyed a steady growth, accelerating in 2019 with the largest portfolio in the UK. By 2021 we had 48 showrooms in operation, hitting 65 in 2022 with more than a quarter of our franchise partners running multiple showrooms.

Reasons to invest in the kitchen sector

The UK Kitchen market is worth £5bn* of which the independent kitchen market has a holding of £1.76bn or 35.5% share,* demonstrating steady growth against global challenges.

*Source kbb review 8/9/22. Researchers JKMR

*Please note that these tiers are general categorisations and may vary in terms of specific branding and market positioning.

APPLIANCES

Our brand partnerships

We offer our customers a wide range of choices from the leading appliance brands.

AEG, our main brand partner is a renowned global leader in home appliances and has a long-standing reputation for crafting high-quality products that blend cutting-edge technology with elegant design. They provide personalised pre-launch support and guidance, drawing from their wealth of experience in showroom development and design. Their industry insights and attention to detail ensure that every aspect of our showrooms is meticulously planned and executed to perfection.

KUTCHENHAUS VALUES

We’ve spent eight years training and supporting our UK Franchise partners to run successful businesses. All enjoying in-depth training, support and infrastructure from our Head Office in Greater Manchester. With the flexibility to compete on a level unachievable as an independent due to being part of a global business and with 75 years of knowledge to succeed.

Winners

Award-winning premium brand, German engineered

A proven track record of delivering success

Leadership

A complete team with leadership ability who are knowledgeable, competent and trustworthy with a clear vision to deliver success

Supported by designated Regional Managers and Greater Manchester-based HQ

Portray respect, integrity, trust and reliability –

Trustpilot 4.8 out of 5 rating

We understand everyone’s journey is different

Following a consultation with your designated manager, create a plan designed especially for you

Credibility Support

An experienced management team with years of kitchen industry experience

Regional Trainers

Flexible Education

Compete on a level that would be unachievable as an independent

More than franchisors, we’re teachers. We’re experts who believe in passing on our knowledge so that the entire Kutchenhaus community can benefit from our leadership

SUPPLY PARTNERS

A dedicated fleet delivering direct to the UK, five times a week.

nobilia delivers into the UK, direct from their factory in Germany, five days a week via their dedicated fleet of vehicles. Deliveries are made into Kutchenhaus’ seven approved Regional Distribution Partners warehouses and then onto customers’ homes, meeting agreed dates and times.

Ready to start the journey towards your new kitchen showroom?

There are four main types of franchise opportunities available. All are designed to be owned and managed by one person, a group of people or a company. Whatever your status our comprehensive training program covers every aspect of our franchise process from start to finish.

Investors

Look forward to a great return on your investment. We can help with recruiting the best talent for your business.

Kitchen designers

Where do you see yourself in five years’ time? Still designing? Or running your own business? Perhaps you have recently been made redundant from a kitchen retailer?

At Kutchenhaus we help you every step of the way:

From a simple franchise agreement to avoid expensive legal fees.

Support from day one with finding your ideal showroom location and team, plus showroom design and training. The whole process is managed by the Kutchenhaus Team. New franchise partners can focus on training and new customer leads being generated prior to your showroom opening.

Existing kitchen showroom owner

Looking for a fresh brand, to you, to reinforce your existing portfolio? Or are you looking for a well-established brand to accelerate your sales? Either way, choose Kutchenhaus.

New to the kitchen industry?

We’re here to support you every step of the way to become our successful partner.

Initial meeting with our Regional Sales and Operations Manager for introduction to Kutchenhaus and the business model, with time to answer your initial questions

Due diligence on both sides. Visit Kutchenhaus showrooms to understand the showroom concept and meet existing franchise partners

Find the perfect location and property for your showroom

Our creative Showroom Design Team work to produce your showroom concept

THE PROCESS IS SIMPLE >

Sign Franchise Agreement

Showroom displays are ordered and delivered and our Installation Team completes the showroom fitout

The Marketing Team help with a PR launch campaign Your showroom opens!

1. Introduction

5. Agreement 6. Installation 7. Campaign 8. Opening day!

2. Meetings 3. Location 4. Design

TEAM SUPPORT

Field-based Team Additional Support

Kutchenhaus Regional Managers: Field-based function (business development) finding new franchise partners, explaining business and franchise model, business/commercial aspects, marketing strategies, staffing etc

Kutchenhaus Trainers: Field-based function supporting with systems and processes, product and sales training

Showroom Opening Manager: Field-based support on-site managing the installation of new showroom displays

Head Office Team

Showroom Design: Head Office support designing all new showrooms for new franchise partners / second showrooms etc

Marketing: Head Office function running all national marketing campaigns, Head Office social media and supporting local marketing, launch events, merchandise etc

Technical Support: Head Office function support with order processing and technical checks of kitchen plans

Ordering: Head Office support with appliance ordering through Kutchenhaus – reducing in-showroom admin time

Logistics: Head Office support focusing on deliveries from Germany and to our franchise partners

Customer Service: Head Office support dealing with aftersales / warranty issues etc

IT: Head Office function supporting with new showroom set-up (email addresses, CRM) and ongoing management of systems

nobilia Germany: Offer furniture product training / installer training in Germany / extranet to track furniture orders and deliveries

nobilia Area Managers: Field-based, offering additional product training Supply partners offering specific training on products in-store and training centres (e.g. AEG, Caple) and on software systems – Winner CAD and Anthill CRM

MARKETING

At Kutchenhaus we believe that ‘every home deserves a German kitchen’ and this brand purpose approach underpins all our head office support activity, including marketing

Our professional marketing team and specialised agencies will help provide quality sales leads via our website and drive footfall into your showroom(s)

Key activity

UK website integration and lead generation

Tailored CRM automated customer communication

online marketing campaigns

Online optimising via our partnership with our search engine advertising specialist

Regional Digital and PR Marketing

Brand Marketing

Appointed lead agency to grow our brand across national PR (B2C and trade) with social exposure and key marketing projects

Digital Marketing

Dedicated social media partners

Creation and management of social media accounts reporting, strategising & planning

Planned digital marketing campaigns

Website optimisation including SEO, UX, Google and Bing

PPC ads and Bing ppc ads

Showroom Marketing and Online Portal

Store concept external signage and internal POS materials

Exhibitions

Dedicated PR Team delivering regional, business and trade press coverage

Collaborative support for your showroom opening

Creation of great editorial local and national

Community activity

New showroom promotional launches, including local

PR toolkit

Branded content for showroom front video screen

Online ordering for branded items via designated portal

Together, we will build a strong brand presence, generate leads, and drive sales growth for your showroom(s)

KUTCHENHAUS KITCHENS

German craftsmanship

Exceptional quality product direct from nobilia, an award-winning manufacturer. Everything arrives fully assembled, with handles and hinges pre-drilled, cabinet lighting seamlessly wired within the unit and worktops factory edged and cut to size. This attention to detail not only makes our kitchens a dream for your fitting teams but ensures the same level of German manufacturing quality is apparent in every part of the kitchen.

Each cabinet is made using 16mm coated HDC and tested to Germany’s “Golden M” standard of manufacturing and quality excellence, making them incomparable to the UK 18mm MFC carcass standard. The nobilia factory has its own laboratory grade testing facility where every door, carcass, hinge and door runner is rigorously put to work, ensuring it can withstand 25+ years of daily life and earning a fantastic reputation for quality.

Award Winners

The nobilia manufacturing process has earned numerous awards in recognition of its efforts to minimise emissions and limiting its environmental impact. From responsibly sourcing all raw wood materials, to minimising waste materials, the manufacturing process has been PEFC certified and is recognised by the German DGM “climate agreement for the furniture industry”.

Our Eco Footprint

To date, nobilia is the only kitchen manufacturer to be awarded the ‘Blue Angel’ seal in recognition of exceptional management of environmental and health protection.

EXTRA REVENUES

Bedroom, Living and Bathrooms

Tap into additional revenue streams by extending your expertise beyond the kitchen. With our exquisite furniture collections you can effortlessly expand your offerings to bedrooms, living rooms and bathrooms, enhancing your customers’ entire home experience.

CASE STUDY - RUISLIP SHOWROOM

A little introduction about yourself studied design for advertising and marketing, which provided me with the basics of commercial and marketing perspectives. After University, went into a sales position at Phones4U. My last position there was as Regional Manager.

time. investigated the franchise option, researched companies offering a kitchen franchise and then received a text message from Toma about her opening event. wasn’t able to attend that day so arranged a visit to see Toma with my brother Mahdi and my wife Reem, which is where we then got properly introduced to the Kutchenhaus franchise.

Director

When Phones4U collapsed, was approached by a headhunter recruiting for Wren kitchens. started as a Regional Manager with 6 showrooms and built this number up to 24 over 6 years. then moved on and took the role of National Head of Showrooms for an independent company (Optiplan / Homedecor). After 3 years decided to start my own business with my brother Mahdi as a designer and my wife Reem as an interior designer.

What made you investigate franchising opportunities?

The more understood kitchens and the operational side of things the more was interested in this area. Plus, the importance of building both consumer trust and a brand presence also appealed to me. If started my business as an independent showroom, it would have taken me longer to develop a brand. Franchise offered me the opportunity to develop a business within an existing brand so could focus on developing the business. With a Kutchenhaus franchise, much of the work is done by Kutchenhaus in terms of branding, and building national trust and awareness, so as a franchise partner you can focus 100% on the sales execution and your business operations. Kutchenhaus covers national marketing and support and invests in growing brand awareness.

How did you find out about the Kutchenhaus franchise?

knew about Kutchenhaus already due to my line of work, being in the industry. Customers mentioned it in my workplace. also knew Toma, owner of Kutchenhaus Potters Bar from when we both worked at Wren. Toma invited me to her showroom opening event. was also aware of nobilia and guess, it all happened at the right

Which factors were most important when you chose to proceed with Kutchenhaus?

For me, the biggest element was Trustpilot. felt it is important to understand the customer experience. In my previous role, had to deal a lot with customer service and understand how important it is. You need to know how situations are dealt with.

quickly worked out that by being part of a franchise have a better chance to continue delivering excellent service compared to regular retailers. The Kutchenhaus rating struck a chord with an excellent 5* rating For me, this solves the problem of trust when opening my own business.

*

also looked at the number of showrooms and knew the product and how versatile it is, to make it a premium product.

What would you say are the benefits of joining Kutchenhaus?

The main benefit would say is that you join in with a partner that covers national marketing, brand awareness and consumer trust which has been formed over the years and you can just join into it. It is a very cost-effective way to sign up with an established business which saves time and money so you can focus on dealing with enquiries whilst you have help to increase your enquiries. We have also enjoyed fantastic showroom support from the entire Kutchenhaus Head Office and Field-based teams.

Musty Ghaddar; Managing

CASE STUDY - RUISLIP SHOWROOM CONTINUED...

Musty Ghaddar; Managing Director

How would you describe your franchise onboarding experiences?

We had a meeting with our Regional Sales & Operations Manager, and we looked at projections and business examples. As already had a connection with an existing franchisee, we had time to sit down with them to hear about their journey to becoming a Kutchenhaus franchise, which was great. Also, the SOM painted an honest picture of the business and help us set realistic goals with him.

Everyone was transparent in terms of location, which was another reason we went ahead. The SOM was honest with us in terms of location and about other franchise partners, protecting the catchment areas for individual businesses. Everyone was very helpful and accommodating, there were no secrets, and everyone was very open and supportive. What was key in your decision process when you chose the Ruislip location?

I’d say the knowledge of the area and understanding your local competition.

We assessed our competitors, did some mystery shopping and also looked at house values, which is also very important. We know that 3-5% of the house value goes into a new kitchen and from knowing the values for our area we could work out our potential customer clientele.

We also wanted to make sure that our showroom is accessible with available parking. We looked at the region, the surroundings and catchment areas, and we wanted to make sure we have a good level of passing traffic, public transport, a good showroom frontage, good visibility and an easy commute into London.

What would you say are the most important elements for a successful franchise business?

I’d say, people. You have to have a nice balance of people that are good in design, good at sales and are also personal. A customer comes into your showroom to get a consultative service where we are in control, so you need to able to assess your customer’s needs. The right people are crucial

for success, even in the most ideal location. Alternatively, you could be in the worst location, yet people still come because of you. know within the first minute when interview people if they are right for my business. ask myself; would buy from them or would work with them?

You have already had a fantastic start since you opened. What would you say makes Kutchenhaus Ruislip a success?

Our key success factor is family integration in the business. My brother is the main designer, and my wife is involved as an interior designer. Customers feel more trusting when they hear that the family is involved. Our showroom is very inspiring, customers compliment us on the showroom. We are presenting it as one of our first kitchen design case studies and our customers like that. Also, we have a good level of competition, and we don’t discredit them. While we have a point of difference, we also keep elements we have seen that customers like from other places.

What advice would you give to someone interested in franchising with Kutchenhaus?

would say, have good people in your team, base the business on good people, and select your location carefully, to get more value for money. Make good decisions from the start.

Be clear on what your goal is. Look at the business with a long-term view. Define your business from the start and have a SMART plan in place.

If you are a designer, don’t base your model on yourself. Even if you are a great designer there’s the operational business side and the day-to-day running of the business you also need to consider. When you sell a lot, it can get “sticky”. You need to be able to look at yourself and ask: “can coach someone else to be under the same ethos as me?”

What’s your vision? Is it just one showroom, that’s ok however you still need to be able to manage the people in your business. Although am not a designer, had access to the right people and a good concept of what good customer service means and have values. If you have those, you have a chance to succeed. If you just think you can do this alone, it’s more difficult.

Where do you see yourself / your business in 3 years’ time?

In three years’ time, see us with three showrooms, protecting my showroom catchment area in a section of West London.

They will still all run as a family business which am planning to manage. am used to managing multiple sites and three is the right level to maintain the family story and the background. Mahdi could spend days in each showroom to train and introduce people to the family ethos and make them part of the family. Each new member would start in Ruislip to understand the business and people’s motivation. It’s an exciting challenge with a good mix of emotions that keeps you alive.

CASE STUDY - GLASGOW SHOWROOM

Why did you choose this location for your new showroom?

The location is situated close to Glasgow’s Westend and city centre, in an area that is fast becoming the go-to place if you’re looking for a higher quality of kitchen. Our showroom occupies a beautiful corner unit with floor to ceiling windows showcasing our bespoke, German-engineered kitchens.

How long did the build process take and did you encounter any obstacles along the way?

The store opened less than a year after we took possession of the premises. We found multiple suspended ceilings from previous businesses covering amazing period cornice on the original ceilings. Occupying a traditional tenement building in Glasgow’s Westend, we decided to restore its original features as best we could, which beautifully contrasts with the sleek, contemporary German-designed kitchens we are showcasing.

How many displays are there?

We are housing four large displays, two workstations and a large sample area.

How did you decide on the styles of the displays and which products to showcase?

Kutchenhaus have an expert showroom designer who we took the lead from. They provided guidance on the showroom and recommended some of the brand’s bestselling and most sought-after kitchens, which you can now see on display. Once the displays were installed, we picked out a wide variety of striking solid surface worktops which we think our customers will love.

Are there any working displays?

While we have power to all our displays, we have one fully functioning display. This showcases a downward draft induction

hob and a boiling water tap, to give visitors an idea of how these forward-thinking appliances work as well as look.

How are you planning to engage with potential customers in your area? (cookery demos, etc)

We are producing a lot of social media content to demonstrate our kitchens’ capabilities. Alongside this, we are also planning cooking demonstrations along with our appliance partners in the near future. These events will allow interested customers to come along, chat to the team and learn a new skill or two.

In your view, is there anything different about this showroom compared to other kitchen showrooms?

With our showroom being the newest in the area, we are able to showcase the most modern trends and kitchens to our customers. We offer a personal service in which we like to get to know our

customer and take them on the journey. Additionally, the lead time is approximately six weeks from showrooms ordering kitchen furniture through to delivery to our customers.

Tell us what it’s like to be a Kutchenhaus franchise partner. What training and support do they give you?

Being part of Kutchenhaus, which is owned by the largest kitchen manufacturer in Europe, nobilia, is a huge plus point. The kitchens and appliances themselves are high-quality and the training and support is on another level. Having had all our office staff in Germany receiving product training, all our installers will also be taking part in installation training to become approved installers.

In your view, what sets Kutchenhaus apart?

The nobilia-manufactured kitchens which Kutchenhaus offers are market-leading in Europe for a reason. Not only are they of exceptional quality, but they’re also affordable, and that sets us apart.

Philip Archer; Managing Director