CHIPS off the block

YOUTH is not the key to running a successful video games store - but drive and enthusiasm are as CHIPS latest three franchisees, grandparents Peter and Trish Hardy and Susan Lake, have discovered.

First-time browsers Peter and Trish Hardy had only two rules when they visited NFE2000 in Birmingham - 'No shops' and 'No food'.

Now 12 months on the couple are the coolest grandparents in town after opening their own CHIPS video games store.

The shop, which was the second CHIPS franchise to open its doors in July, has gone down a storm in the North Yorkshire market town of Skipton and given Peter and Trish a new lease of life.

Peter, an ex-freelance industrial radiographer, and Trish, who works in Human Resources for a national retail chain, visited the National Franchise Exhibition just to have a look at what was on offer.

The CHIPS Franchise Limited stand - complete with a life-size model of cyber heroine Lara Croft - attracted their attention and after chatting to joint managing director Nik Agar, the couple were hooked.

"Nik was so passionate about this exciting industry and we were very impressed with the whole set-up," explained Peter, 50.

"We came away and really did our homework. We visited three of the company-owned stores and spoke at length to pilot franchisee Keith Scarr in Bishop Auckland. We also took professional advice and looked hard at our finances."

Finding the right site took months and many reconnaissance trips by joint MDs Nik Agar and Don McCabe. But once the right spot was found and the legal details were complete, it took little more than a week to convert the empty shell into a fully-fitted and stocked CHIPS store.

"Trish and I had excellent intensive training at CHIPS company-owned stores in the North-east and great support before and after we opened. There was never any question it would be a case of 'here's your shop, give us the money, goodbye'.

Nik, area manager Steve Morton and CHIPS manager Dave Dauncey were all on site in the early days to hold Peter and Trish's hands.

"We know nearly every one of CHIPS 30-plus staff and they are all just a phone call away to help with any questions that arise. The support has been brilliant," said Peter.

"Since the store opened we have been inundated with customers. Our level of sales far exceeds expectations and we are really enjoying it. I know how much I need to break even and we are exceeding that by far," said Peter.

Trish works part-time in the store which buys, sells and trades new and second-hand consoles, games, accessories and DVDs. Peter also has a Youth Trainee, Jamie and nephew Robert Deery, to help out.

"Our three children were a little bemused a first but our six grandchildren are thrilled," said Trish.

Just a week before Skipton opened its doors, instructor Susan Lake found herself firmly in the driving seat when she launched a CHIPS franchise in Stafford, near Birmingham.

The shop is a real family affair for Susan as son Andrew works as manager and daughter, Angela, helps out part-time.

"I always thought of games stores as dark and dingy places full of rather suspect characters," said the 43-year-old. " I wouldn't want to shop in them and I wouldn't want my children to either.

"However, the CHIPS franchise really caught my eye because the shops are so light, welcoming and very family-orientated. I am a people person and love children so CHIPS seemed to fit my needs."

"Our younger customers tell us we have a 'cool shop' which is great. We have an excellent site and it is very exciting running such a fast-moving fun store. I haven't regretted doing it at all."

"Angela and I have to rely on Andrew for the technical knowledge and it is a steep learning curve but I am gathering information all the time and all our customers are very impressed with our range and high level of service," said Susan.

CHIPS state-of-the-art electronic point of sale system is installed in all its store and franchisees can see at a glance the cost, retail price, second-hand trade-in and second-hand price of any item. In such a fast-moving industry prices fluctuate and the files are updated each day from CHIPS head office.

"The EPOS system did take a bit of getting used to," said Susan. "But it is wonderful to be able to see all the information at once. We can check stock levels across the company and it also allows head office to keep an eye on our stock and keep us well supplied."

All CHIPS franchisees have access to more than 3,500 different ranges from exclusive suppliers. However, franchisees are not tied to buying company stock and can source their own from recommended suppliers. New and second-hand stock is rotated throughout all the stores which can be returned to head office at any time.

"Don and Nik have worked very hard and given us a lot of attention and all the CHIPS staff are just a call away - we can speak to anyone in the company, we have full access," said Susan.

For CHIPS owners and co-founders Nik and Don the opening of the Stafford and Skipton franchises have been the culmination of years of hard-work.

"We set up the franchise side in 1999 after running our own company stores for the last 15 years. We took the best advice available and opened our first franchise store in Bishop Auckland two years ago. NFE2000 was our first exhibition and since then we have opened Stafford and Skipton, have another franchisee ready to open in Norwich and others in the pipeline," said Don.

"Peter, Trish and Susan are all grandparents, perhaps not the usual type of franchisee some would expect to find behind the counter of a pre-dominantly youth-orientated industry. However, their success just shows that our stores appeal to all ages and their drive and enthusiasm is their strength."

So, what advice do Susan, Trish and Peter have for would-be franchisees? "I was willing to look at everything and anything," said Susan. "Then only you can decide what you want and whether it is right for you."

And homework is the key, according to Peter. "Visit as many outlets as you can before you make a decision and above all make sure it's for you. Not everyone is suited to retail. We were determined not to have a shop but it is important to keep an open-mind. Just look at us now. "If you are thinking about opening a CHIPS store believe everything Don and Nik tell you. They have years of experience in the video games industry and running a CHIPS store is even better than they say."

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