Jatuh Bangun Bisnis Makanan Ratusan Miliar: Chef Arnold

Summary

In this conversation, the founder of MangKoku shares the story behind the brand, its evolution, and challenges in the F&B industry. He reveals his background in the culinary world, from growing up in a family-owned restaurant to his career shift into the TV industry. The discussion covers the rise of MangKoku, its initial expansion, and the impact of platforms like online food delivery. The founder talks candidly about the struggles of scaling, pivoting during the pandemic, and the eventual acquisition by Holy Wings. The narrative emphasizes the complexities of managing a restaurant business and the lessons learned along the way.

Takeaways

• 😀 Arnold shares his background as a chef, with roots in his family's restaurant business before transitioning into TV and entrepreneurship.
• 😀 MangKoku was established to offer affordable comfort food, focusing on rice balls, which were trending at the time.
• 😀 Arnold explains how he partnered with experienced F&B business people like Mas Gibra and Rendy to launch MangKoku in 2019.
• 😀 MangKoku's first outlet quickly performed well, reaching impressive sales figures but initially kept the business offline without utilizing online food platforms.
• 😀 The decision to scale MangKoku's operations was made after the first outlet’s success, leading to the creation of a cloud kitchen and online delivery services.
• 😀 Arnold discusses the challenges of relying on delivery platforms (ojol), especially during the COVID-19 pandemic, and the impact of hyper-inflated business valuations during that period.
• 😀 The company’s performance was impacted by a heavy reliance on delivery and cloud kitchen models, which were difficult to control during the pandemic.
• 😀 MangKoku's expansion was funded through a combination of self-funding and venture capital, which helped the brand grow rapidly despite thin margins and high operational costs.
• 😀 The company faced a tough reality when some of its investors pulled out, leading to significant restructuring and downsizing of outlets from 100 to just 13 locations.
• 😀 Holy Wings' acquisition of MangKoku is seen as a positive step to help stabilize and further grow the brand, with both companies aligned on expanding their food & beverage offerings.
• 😀 Arnold expresses his gratitude to the staff who contributed to MangKoku’s journey, acknowledging the difficult but necessary steps taken to restructure and continue growing the business.

Q & A

What was the initial reason for opening MangKoku?

MangKoku was opened as a way to provide affordable and accessible comfort food, focusing on rice balls, which were trending at the time. The goal was to create a brand with mass appeal and a price point that everyone could enjoy, without relying heavily on the celebrity aspect of the business.

Why did Arnold decide to partner with others for MangKoku?

Arnold partnered with long-time friends who were experienced in the F&B industry. He worked with Mas Gibra, Mas K, and Rendy, the latter managing operations. Arnold believed that having a solid team with operational expertise would help the brand succeed.

How did MangKoku perform after its first outlet opened?

After the first outlet opened, MangKoku performed well, with consistent monthly revenues ranging from IDR 800 million to 1.2 billion. However, they didn't immediately scale, opting to stay focused on their initial outlet before expanding.

What factors influenced Arnold's decision to expand MangKoku after a few months?

The decision to expand came after the brand reached consistent sales and recognized the growing demand. The brand started by focusing on traditional outlets before opening a cloud kitchen and expanding to more cities, which increased visibility.

What challenges did MangKoku face in 2020 due to the pandemic?

In 2020, MangKoku faced significant challenges due to the pandemic. The business model became heavily dependent on online delivery platforms (ojol), and the market was flooded with promotions, which put pressure on margins. It was a struggle to pivot quickly, and they couldn't rely on offline sales during the lockdown.

Why did Arnold eventually seek funding from venture capitalists?

Arnold decided to seek funding from venture capitalists because many food startups were rapidly expanding, and the competition in the food delivery space was increasing. The funding helped MangKoku scale faster and establish a stronger market presence.

What was the impact of venture capital on MangKoku's business model?

The venture capital funding allowed MangKoku to expand rapidly, opening more outlets and adopting a cloud kitchen model. However, this came with the challenge of balancing growth with profitability, especially when operating on delivery platforms with high commissions.

How did the market dynamics change during the peak of food startup valuations, and what impact did it have on MangKoku?

During the peak of food startup valuations, there was an inflated sense of profitability, with companies in the sector being valued highly. MangKoku benefited from this surge but also faced difficulties when the market corrected itself, especially with reduced support from delivery platforms.

What were the key lessons learned from MangKoku's journey according to Arnold?

Arnold mentioned several key lessons: the importance of pivoting quickly, managing costs more effectively, and not becoming overly reliant on delivery platforms. He also acknowledged that there were moments when the company was too comfortable and failed to innovate or cut costs fast enough.

What are the future plans for MangKoku under Holy Wings' management?

Under Holy Wings' management, MangKoku plans to focus on restructuring and revitalizing the brand. Future plans include opening flagship stores, expanding further into the online space, and improving operational efficiency. Arnold is confident that the brand can thrive with the right focus on quality and consistency.