This article provides a comprehensive analysis of Miniso’s franchise business model, exploring how it became a global retail powerhouse through a unique partnership system, supply chain efficiency, and a trend-driven product strategy.
The Miniso Business Empire: A Deep Dive into Its Revolutionary Franchise Model
In the world of retail, few brands have achieved global ubiquity as rapidly as Miniso. Founded in 2013 by Jack Ye (Ye Guofu), the brand has grown from a single store in Guangzhou to a massive network of over 7,700 stores in more than 100 countries. At the heart of this explosive growth is a highly refined and unconventional franchise system often referred to as the "Miniso Retail Partner" model.
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Unlike traditional franchising, Miniso’s approach blends the scalability of a franchise with the operational control of a corporate-owned chain.
1. The Core Philosophy: "Light Asset, Heavy Operation"
Miniso’s business model is built on the principle of "Light Asset, Heavy Operation." * Light Asset: Miniso avoids the heavy capital expenditure of owning real estate or managing every individual store’s staff directly. Instead, they rely on local partners to provide the capital for store setup and local leases.
Heavy Operation: Despite being franchised, Miniso maintains strict control over the "soul" of the store—branding, product selection, inventory management, and IT systems. This ensures that a Miniso store in New York looks and feels exactly like one in Jakarta.
2. The "Miniso Retail Partner" Model vs. Traditional Franchising
Miniso typically offers two main models for its partners, depending on the region:
| Feature | Traditional Franchise | Miniso Retail Partner (Model A) |
| Inventory Risk | Franchisee buys and owns stock. | Miniso owns the stock; Partner pays a deposit. |
| Daily Sales | Franchisee keeps all (minus royalty). | Sales are split daily (e.g., 33–38% to Partner). |
| Management | Franchisee manages operations. | Miniso often manages or heavily supervises. |
| Pricing | Flexible within limits. | Uniform pricing set by Miniso HQ. |
In the Retail Partner model, the partner acts more like an investor. They provide the "shell" (the store location and renovation), while Miniso provides the "blood" (the products and the management system).
3. Revenue Streams and Investment Costs
To become a Miniso partner, the financial commitment is significant but structured for high turnover. Key costs include:
Franchise Fee: A one-time or periodic fee for brand usage.
Merchandise Deposit: A large upfront payment that serves as a guarantee for the inventory provided by Miniso.
Store Renovation: Strict adherence to Miniso’s "aesthetic" design, which the partner must fund.
Daily Commission: Partners usually receive a percentage of the daily gross turnover (typically around 33%–40% for most categories), which covers their rent, utilities, and labor costs.
4. The Secret Sauce: Supply Chain and "IP" Strategy
What makes the franchise attractive to investors is Miniso’s ability to keep stores "fresh."
The 7-11 Rule: Miniso aims to launch roughly 100 new products every seven days, selected from a library of 10,000 designs. This high frequency of new arrivals ensures repeat foot traffic.
IP Collaborations: Miniso has mastered "Interest-Driven Consumption" by partnering with major IPs like Disney, Sanrio, Barbie, and Pokémon. These co-branded products allow franchisees to sell items at a premium while leveraging global fanbases.
Direct Sourcing: By sourcing directly from top-tier manufacturers (often the same ones used by luxury brands) in massive volumes, Miniso keeps the Cost of Goods Sold (COGS) low, allowing for competitive retail pricing.
5. Challenges and Risks
While the model is highly efficient, it is not without risks:
Inventory Pressure: While the partner doesn't "own" the stock in some models, a slow-moving inventory can hurt the daily payout needed to cover high mall rents.
Market Saturation: In certain regions, rapid expansion can lead to "cannibalization," where new stores steal customers from existing ones.
Quality Control: Maintaining a consistent experience across 100+ countries requires a massive investment in digital infrastructure and regional auditing.
Conclusion
Miniso has successfully disrupted the "dollar store" concept by adding a layer of Japanese-inspired aesthetic and high-profile brand collaborations. Their franchise model is a masterclass in shared risk and shared reward—allowing the brand to colonize global shopping malls without the financial burden of traditional expansion.
Key Takeaway: Miniso isn't just selling household goods; they are selling a high-efficiency retail platform where the partner provides the location and the brand provides the "hype" and the logistics.