Discover how Goldex Group grew from a Costa franchise to a diverse business empire
Established in 2005, Goldex Group (Goldex) encompasses brands like Kaspa’s Desserts, Döner & Gyros, Goldex Gyms, Goldex Coastal Breaks, Goldex Marrakech, and Goldex Workspace. Most notably, the company is one of the largest Costa Coffee (Costa) franchises in the UK, currently operating 50 stores across Kent and Sussex. Thanks to the efforts of its team in setting the foundations for the business’ success and values, Goldex has grown to become the biggest brand in the UK for coffee and desserts. With various property companies established in the UK, Goldex is now trailblazing through the rest of the world. Having just returned from an important business trip to Morocco, where the company is set to open new locations, Diljit Brar, CEO, introduces us to Goldex’s journey.
“When we founded Goldex, our primary aim was to become a Costa franchise. At the time, we had agreed to open 15 stores over a three-year period, starting in 2006 with the opening of the first three stores in January, February, and March. Initially, we intended to open, grow, and sell these 15 stores before retiring. However, we fell in love with the business and chose to carry on our operations instead. Over time, we expanded significantly to 75 stores, and by selling some of them, we were able to clear all of our debts and eventually pursue other businesses ventures. Today, the company has transformed, as we now have gyms, workspaces, Kaspa’s Desserts, Döner & Gyros, and a large residential and commercial property portfolio. We have grown in many ways and expanded internationally, employing approximately 1000 staff across our businesses. We’ve been in the finals for the ‘Business of the Year’ award at the British Franchise Awards (BFA) four times, two of which we’ve won. We’re also the only UK based company to win the ‘European Franchise of the Year’ award,” he begins.
Diverse portfolio
Diljit tells us more about the franchises that form Goldex and the products they offer. “Within Kaspa’s Desserts, we offer a wide variety of sweet treats and desserts. In fact, we were voted the UK’s number one sweet restaurant and dessert parlor for the third consecutive year. This achievement propelled us into the top ten most loved places to eat out in the UK, ranking at number nine. On the communal workspace side, we are partnering with REGUS Group, one of the largest workspace providers in the world, to create a franchise and have recently opened our first site in Margate. Moving onto gyms, where we are fairly new to the business, we are focused on expansion and have just agreed on a deal to open our third one. With our Döner & Gyros business, we specialize in fast food takeaways, with a menu that includes shawarmas, kebabs, and other popular options,” he describes.
With such a diverse portfolio of brands, Goldex is indeed very active on multiple fronts. Nonetheless, Diljit assures that the company understands the need to prioritize and take things step by step. “When you start to juggle too many activities, it can become hard to do them well and can lead to confusion and stress. Hence, we are currently focusing on expanding our gym business, particularly in the ladies-only segment, where we have identified a niche. Our first gym was unisex, but our most recent one in Sidcup has experienced tremendous success as a ladies-only gym, so we are planning to focus more on that. To stand out in the gym market, we are getting involved with one of the largest private health companies in the UK. As a result of this collaboration, we are able to offer the classic fitness side of the gym experience, as well as nourishment, well-being, health checks, and everything that customers could possibly want. While there are some big players in the market that offer similar services, their price point is typically higher than ours, making this segment of the business an exciting opportunity for us.”
Community commitment
As mentioned earlier, Goldex is growing its presence not only in the UK, but also in Morocco, where it is opening new stores. Diljit provides insights into the
company’s expansion efforts. “Our expansion in Morocco is going well, with eight Costa stores currently open in the country, all in just under two years. Additionally, we have opened a Kaspa’s Desserts store in Marrakech, with a view of introducing a further three, one in Rabat and two in Casablanca. There are also plans to potentially open another store in Marrakech, and we have nearly agreed a deal with Shell Fuel to establish a presence in some of their stations. The next 12-to-18 months are poised to offer significant growth, but also significant caution in the UK market, where the economy is a challenge. Nonetheless, we are still launching more Kaspa’s Desserts stores and trying to grow where we can.”
Turning to the company’s community work, Diljit adds: “In Morrocco, we have founded the first and currently the only English written book awards, Goldex Costa Book Awards, where we award the best young writer, best adult writer, and the best new book. In the UK, we work with several charities via the Goldex Foundation, helping children’s hospice Demalza House and homeless charity, Porchlight. We also sponsor Gillingham Town football team, as well as sponsoring the kits of many school football, netball, and hockey teams.”
Besides geographical expansion, Goldex is also working on expanding its portfolio with the addition of a new brand that remains unnamed at this time but is poised to strengthen its position in the food and beverage industry. “In even more exciting news, we have just acquired the UK master rights for the largest bubble tea brand in the world, which will be our next big investment. We plan to open a minimum of eight stores in 2025, with a focus on offering authentic bubble tea, not just syrup. As part of our ten-year agreement, we expect to have more than 200 stores within the next few years. Bubble tea is set to become a key part of our food and beverage business, given its growing popularity and the increasing number of brands entering the market. As we have access to really good sites, we have an opportunity to grow this segment of our business very quickly,” Diljit ends. Through strategic acquisitions and diversification, Goldex is uniquely equipped to scale new heights across gyms and desserts alike, both at home and abroad.