Minigood chain going to Israel
South Korea’s Minigood chain is heading for Israel, where an individual has signed a five-year exclusive franchise agreement.
Daniel Pardilov from the Pardilov & Co law firm, which represents the franchise holder, says the plan is to open at least 10 outlets in the first two years, including three this year.
This news comes on the heels of Japanese “dollar store” chain Daiso planning to enter the Israeli retail market through the Union Group, the franchise holder for Cos and H&M in Israel.
Minigood stores have an average space of 80sqm, but the plan in Israel is for stores covering 120 to 150sqm.
One of the conditions in the agreement with the Israeli franchise holder is for the manufacturing of special products for the Israeli market at the company’s plant in South Korea.
Founded in Seoul by Mike Wu in 2013, Minigood makes and markets bags and clothing, household goods, personal care and cosmetic products, office equipment, digital products and toys. The company’s activity is projected to reach 2000 stores and a sales turnover of more than US$1 billion worldwide by 2020.
Pardilov says the Israeli franchise holder is a businessperson with a real-estate background. He is also negotiating with larger retail groups in order to form a partnership for running the chain.
Outside of South Korea, Minigood has branches in Malaysia and Singapore.