ACE Franchises: Invest in Racket Sports Retail in Argentina | Startup News

From Tennis Lessons to a National Franchise: The ACE Story

Andrés Szechenyi, a former tennis instructor, didn’t start out with a business plan. He simply understood the needs of racquet sports players. What began as distributing Penn tennis balls across Patagonia – a journey undertaken with his wife, Cecilia Beramendi, visiting every club and town from Neuquén to Ushuaia – has blossomed into ACE, a rapidly expanding franchise specializing in padel, tennis, and other racquet sports equipment.

The Rise of Racquet Sports and a Niche Opportunity

ACE’s success is inextricably linked to the surging popularity of padel in Argentina. Szechenyi recognized this trend after attending the World Padel Tour in Río Gallegos in 2015, forging latest distribution agreements with leading brands like Head and Wilson. Today, ACE works with 10 to 12 brands, offering franchisees flexibility and a wide product range. This specialization – focusing solely on racquet sports – is what sets ACE apart from larger sporting goods retailers.

From Garage to Franchise: A Family Affair

The company’s origins were humble, starting in the family garage in Cipolletti. Growth necessitated a wholesale space and, eventually, an online store launched just before the pandemic. Responding to customer demand, ACE opened its first retail location in Cipolletti, followed by stores in Neuquén and Chivilcoy. The first franchise opened recently in General Pico, La Pampa, marking a significant step in the company’s national expansion.

The business is deeply rooted in family. Szechenyi’s wife, Cecilia Beramendi, joined the business six years ago, and their sons, Joaquín and Nehuen, contribute their expertise, having grown up immersed in the world of racquet sports. This family dynamic has allowed ACE to maintain its identity while professionalizing its operations.

Franchise Details: Investment and Support

ACE’s franchise model caters to active investors passionate about racquet sports. The initial investment for a full-sized location (80-120 square meters) is approximately $75,000 USD, covering the franchise fee, store adaptation, furniture, and initial inventory. A smaller format, tested in Chivilcoy, requires around $40,000 USD and is designed for smaller towns.

Franchisees receive comprehensive training covering product knowledge, customer service, order fulfillment, accounting, and sales. A key feature of larger locations is an indoor practice court, allowing customers to test equipment before purchasing. The estimated return on investment is approximately 18 months, with a potential monthly revenue of around 35 million pesos.

The ACE Advantage: Specialization and Expertise

ACE distinguishes itself through its focused product selection. Unlike general sporting goods stores, ACE offers only items related to tennis, padel, pickleball, beach tennis, and ping pong – everything from balls and racquets to apparel and accessories. This specialization allows ACE to provide expert advice, a crucial element for customers seeking the right equipment for their skill level. As Szechenyi explains, customers expect knowledgeable guidance when choosing a padel racquet, and that level of expertise isn’t readily available elsewhere.

Future Trends in Racquet Sports Franchising

ACE’s success highlights several key trends in the sports retail market. The increasing popularity of padel, in particular, presents a significant opportunity for specialized retailers. The demand for expert advice and personalized service is also growing, as consumers seek guidance in navigating the wide range of available equipment.

The Growth of Padel and Pickleball

Padel is experiencing explosive growth in Argentina and globally. This trend is expected to continue, driving demand for specialized equipment and facilities. Pickleball, another rapidly growing racquet sport, is also gaining traction, presenting a potential avenue for expansion for retailers like ACE.

The Importance of Community and Experience

Successful retailers are increasingly focusing on building communities around their brands. ACE’s emphasis on expert advice and its indoor practice courts contribute to this sense of community. Creating a welcoming and engaging environment is crucial for attracting and retaining customers.

The Rise of the Active Lifestyle Consumer

Consumers are increasingly prioritizing health and wellness, leading to greater participation in sports and fitness activities. This trend is driving demand for high-quality sporting goods and specialized retail experiences.

Frequently Asked Questions

  • What is the initial investment for an ACE franchise? Approximately $75,000 USD for a full-sized location, and around $40,000 USD for a smaller format.
  • What kind of training does ACE provide to franchisees? Comprehensive training covering product knowledge, customer service, operations, and financial management.
  • What sets ACE apart from other sporting goods stores? Its specialization in racquet sports and its focus on expert advice.
  • How long does it take to recoup the investment in an ACE franchise? Approximately 18 months.

Pro Tip: Location is key! Focus on areas with existing padel and tennis facilities, or where there is a growing interest in these sports.

Do you have questions about the ACE franchise opportunity? Share your thoughts in the comments below!

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