Sonia, Tracy

8/9/2019 Sonia, Tracy

1/185

Food and Beverage Enterprising Planning

Institute of Hotel Management,

Aurangabad, India

Food and Beverage Enterprise Planning

Sonia Wadhwa (H-15102)

Tracy Simon (H-15108)

Submitted in fulfillment of the requirement for BA (Hons)

Hotel Management

University of Huddersfield,

1Wadhwa S (H-15102); Simon T (H-15108)


2/185


United Kingdom.

2007-2011

DISCLAIMER

The information contained herein is no way to be constructed as a recommendation of The Institute of

Hotel Management , Aurangabad, India, of any industry standards, or as a recommendation of any kind

to be adopted by or binding upon any member of the hospitality industry.



3/185


DECLARATION

We declare that this project is the result of our own collective efforts and that it conforms to the

university, departmental and course regulations regarding cheating and plagiarism. No material

contained within this project has been used in any other submission for an academic award.

SONIA WADHWA (H-15102)



4/185


TRACY SIMON (H-15107)

ACKNOWLEDGEMENT

We would like to acknowledge the help and support of all the people without whose help BEER ME!

would not have been possible. We are grateful to the following people:

Mr. Vimal Shukla, [Module Leader Food & Beverage] for his guidance and suggestions through the

project compilation phase.

Mr. Rushad Kavina, [Faculty-Food & Beverage] for his continued support, guidance and enthusiasm

throughout the project especially during the Operational Phase.

Mr. Rath [Faculty-Sales & Marketing] for guiding us through the Marketing Phase.

Chef Hemant Gokhale, [Faculty-Food Production] for enlightening us on innovative kitchen designing

techniques.

Mr. Anand Iyengar [Faculty-Business Finance] for helping us to formulate Financial Phase for ourrestaurant and giving key guidelines throughout the project.

Ms. Abba Joshi, [Program Manager-Year 3] for her motivation throughout the project.

Mr. Frederick Roderick, Area manager for Mochas, Delhi for his guidance and provision of various

facts and figures.



5/185


We are also thankful to Mr. Sanjeev Bhatnagar of Ambicons Pvt Ltd, for his knowledgeable inputs on

architecture and designing of the Brewery.

TABLE OF CONTENTSDISCLAIMER............................................................................................................................02

DECLARATION03

ACKNOWLEDGEMENT..04

CHAPTER 1: MARKETING PHASE...08

1.1 Statement of Aims and Objectives...08

1.2 Introduction to Delhi....09

1.3 Situational Analysis.111.3.1Political Factors...12

1.3.2Economic Factors12

1.3.3Social Factors..12

1.3.4Geography and Climate. 13



6/185


1.3.5Feeder Factor...14

1.4 Competition Analysis...16

1.4.1Factsheet of Mocha Bar...17

1.4.2Factsheet of Caf Morrisson...19

1.4.3Factsheet of Rockmans Beer Island...21

1.4.4Factsheet of Howzzatt..23

1.5 Questionnaire Analysis.25

1.6 Market Analysis37

CHAPTER 1: OPERATIONAL PHASE44

2.1 Introduction44

2.1.1 Aims.45

2.1.2 Objectives.45

2.2 The Concept- Beer Me! .45

2.3 Space Requirement.48

2.3.1 Space Allocation...48

2.3.2 Estimated Restaurant and Production space for Functional Areas. .49

2.4 Facilities Planning..502.4.1 External Faade.50

2.4.2 Furniture and Fixtures..52

2.4.3 Wall Covering.56

2.4.4 Flooring...59

2.4.5 Lighting62

2.4.6 Entertainment and Acoustics...64

2.4.7 Restroom Facilities...65

2.4.8 Engineering and Heating Consideration...67

2.4.9 Fire Protection...68

2.5 Legal Formalities70

2.6 Staffing and Scheduling.78

2.6.1 Hierarchy of Staff.796

Wadhwa S (H-15102); Simon T (H-15108)


7/185


8/185


BIBLIOGRAPHY167

CHAPTER-1 MARKETING PHASE

1.1 STATEMENT OF AIMS AND OBJECTIVES

AIM8



9/185


The aim is to conduct a market research and to determine the feasibility of setting up a restaurant

concept such as BeerMe ! in South Delhi .

OBJECTIVES

To gather information on Delhis demographics and its restaurant scenario.

To identify and evaluate the competition through SWOT analysis of various food and beverage

outlets in the competitive set.

To conduct a market survey through questionnaires, observation and interviews.

To analyze the responses collected through the survey.

To carry out a SWOT analysis of the restaurant to comprehend its position in the marketplace.

To determine the fair share and market share to ascertain the feasibility of the proposed

restaurant.

To prepare a revenue grid analysis and identifying the appropriate target market.

To plan the operations and financial phase for the restaurant based on the study of the market.

1.2 INTRODUCTION TO DELHI

Delhi The capital of the world's largest democracy has a fascinating and a glorious tumultuous 5,000

year old history, but with a population of 14 million sprawling over some 1,500 sq. km (585 sq. miles),9



10/185


a true cosmopolitan city with diversified culture is the capital of the worlds largest democracy, India.

Known as Indraprastha in ancient times, Delhi has been wooed by rulers, attracted invaders and has

been build and destroyed several times. Historians say that is has been rebuilt seven times during

different ages. Delhi or National Capital Territory of Delhi is India's capital and includes New Delhi,

Old Delhi, and Delhi Cantt. Also referred to as NCR, it incorporates satellite cities of Faridabad,

Gurgaon, Ghaziabad and Noida. Delhi has always been an attraction for travelers and tourists. It caters

to various needs of tourists. From shopping to sightseeing, forts and monuments to beautiful gardens,

Delhi has it all. It also has many state of the art hotels to offer to its tourists. The economy of the state

benefits from its service sector, which comprises of insurance, travel and tourism, mortgage, real estate,

consultancy and educational institutes. Delhi is popularly known as 'Heart of India.' A direct

consequence of Delhi's rich history is its magnificent monuments. Delhi also offers a glimpse of India's

religious diversity. It has many temples, mosques, gurudawaras and churches. . The two worlds of the

city, the Old and the New form a great synthesis and co-exist of modernity and traditions in a

remarkable manner. The line of distinction between Old and New Delhi has begun to blur north, south,

east and west Delhi are more prevalent terms of demarcation. The facilities and opportunities available

in Delhi have attracted Indians from far-flung corners of the country, making it a melting pot of sorts.

On the other hand, the presence of diplomatic and trade missions, the growing number of multi-nationalcompanies and foreign investors, and the influx of tourists and visiting professionals have given the city,

especially its southern and central parts, a cosmopolitan air.

Delhi is one of the most historic capitals in the world and two of its monuments-the Qutb Minar and

Humayun's Tomb-have been declared World Heritage Sites. It is also one of the greenest capitals. For

the visitor, it serves as a perfect introduction to the cultural wealth, the complexities and the dynamism

of India which Jawaharlal Nehru likened to "an ancient palimpsest' on which layer upon layer of thought

and reverie has been inscribed". Delhi has some of the finest museums in the country. Its boutiques and

shopping arcades offer access to a wealth of traditional and contemporary crafts from all over the

country. It has specialty restaurants to please the gourmet, the open parks and gardens ablaze with

flowers and in the winter months particularly, a variety of cultural events. Its many-layered existence is

tantalizing and can entice the curious traveler into a fascinating journey of discovery.



11/185


Delhi is on the move, and some believe the mobilization of capital and resources is responsible for quite

positive transformation. Pollution levels are supposedly dropping, and government officials seem to

introduce new modernization schemes every week. You're unlikely to see cows roaming the streets of

the capital anymore; those that dare are rounded up and taken to stray cow facilities, and in May 2007,

the traffic department vowed to crack down on all forms of dangerous driving. But there are ill-

considered political choices, too. In 2007, street food was officially banned in the capital, and there was

fervent talk of outlawing cycle-rickshaws in Old Delhi. Sadly, such decisions often come from wealthy

politicos who have never even been into the heart of the old city and have little idea how much a part of

daily Delhi life the roadside food stalls really are. So, not only is Delhi hurtling into the future, but it

remains a symbol of many of the challenges faced by India in its bid to catch up with the West. Delhi is

in many ways the essence of modern India, with its vivid paradox of old and new, rich and poor, foreign

and familiar. Delhi is Indias Maximum City, bold, brash, fast and frenetic, always faddish, fashion-

obsessed and undeniably animated in all aspects of its life.

Transportation: Public transport in the metropolis includes the Delhi Metro, the Delhi Transport

Corporation bus system, auto-rickshaws, cycle-rickshaws and taxis. With the introduction of Delhi

Metro, a rail-based mass rapid transit system, rail-based transit systems have gained ground. Other

means of transit include suburban railways, inter-state bus services and private taxis which can be rentedfor various purposes. However, buses continue to be the most popular means of transportation for intra-

city travel, they cater to about 60% of the total commuting requirements.

Private vehicles account for 30 percent of the total demand for transportation, while the rest of the

demand is met largely by auto-rickshaws, taxis, rapid transit system and railways. Rapid increase of

population coupled with large-scale immigration due to high economic growth has resulted in ever

increasing demand for better transport, putting excessive pressure on the city's existent transport

infrastructure. Like many other cities in the developing world, the city faces acute transport managementproblems leading to air pollution, congestion and resultant loss of productivity. In order to meet the

transportation demand in Delhi, the State and Union government started the construction of an

ambitious Mass Rapid Transit system, known as Delhi Metro in 1998. The project started commercial

operations



12/185


on December 24, 2002. It has set many performance and efficiency standards ever since and is

continuously expanding at a very rapid pace. As of 2010, the metro operates 5 lines with a total length

of 111 km and 98 stations while several other lines are under construction, though half of it is still under

construction. Delhi City, being one of the most populous cities in India demands a transportation system

that is effective, fast and reliable. With the advent ofDelhi Metro Rail Service, the transport system

has become very smooth and efficient.

BUSES: Delhi Transport Corporation or the DTC is the main transportation medium in Delhi. DTC

buses run all through the city including the national Capital Region (NCR). DTC is the world's largest

compressed natural gas bus service. The service has come a long way since its inception in the year1984. Now all buses have been converted into CNG in order to control the pollution level of the city.

Apart from the bus service of the DTC, there are private Blue Line services controlled by private

operators.

Delhi Airports: Indira Gandhi International Airport is the only and most important international airport

in Delhi. It is divided into two wings, International Terminal (20 km from downtown Cannaught Place)

and Domestic Terminal (Known as Palam Airport, which is at a distance of 15 km from City Center).

Private and Public taxis are easily available outside the airport to facilitate quick and easy journey to the

city area. Many international carriers fly from Delhi to other cities in the world. This makes the city a

vital link between India and rest of the globe.

1.3 SITUATIONAL ANALYSIS

Delhi enjoys the status of the major metropolitan city of India. The city is considered to be the center for

various economic, social and political activities that take place in the entire country. Various political

decisions that shape numerous business activities are formulated in New Delhi the capital of India.

New Delhi is not only the heart of the politics but also a major tourist destination. Tourists traveling to

Jaipur and Agra consider New Delhi as a base, which adds to the tourist inflow of the city. Due to major

influx of international travelers, night life in New Delhi is the best as compared to other metropolitan

cities. Numbers of multi national companies and organizations have their offices in New Delhi, which



13/185


provides an opportunity to the city to develop its infrastructure. Its the largest metropolitan city of

North India.

1.3.1 Political Factors

It is the city where all major political decisions are formulated and implemented, as the city happens to

be the capital of India and home to the Prime Minister and President of India. All laws and regulations

for the country are prepared in the city. Any ups and downs in any political party in India are felt here,

in the nerve centre of India.

1.3.2 Economic Factors

India has the second largest GDP amongst the developing countries, in purchasing power parity terms.

Far reaching economic reforms initiated in July, 1991 generated numerous business opportunities during

the period of 1981 82 to 1989 90.Delhi is the central hub for all travelers traveling all over the

country and has a well structured air transport system. Most important goods manufactured in New

Delhi are readymade garments and imported things are electronic components. Foreign direct

investment (FDI) in the city has increased considerably in the last few years with investments in major

sectors such as real estate India, Business Process Outsourcing, Information Technology, IT enabledservices, Telecom, etc. This is not the end of the road; government is luring foreign investors to invest in

other sectors as well. The governments of India and Delhi have made flexible policies to ensure

optimum FDI in Indian industries. The effect of such policies can be seen in the investment graphs.

With the increase in industrial development over the last five years, Delhi has indeed become a major

economical force of India along with the designation of being called the metropolitan city of India.

The important training centers are fruit and vegetable markets, food grain markets, plot markets, hosiery

and general markets. However, stand alone restaurants are the recent trend that is developing in NewDelhi. The researchers chose New Delhi as our city of establishment because of the growth factor and

the large population and their spending power which makes the city viable for our product.

1.3.3 Social Factors



14/185


New Delhi has always occupied a strategic position in the countrys history, as various religious

dynasties have ruled from here. This has left an impact on various structures and culture that is prevalent

today in the city. Various residential colonies, commercial complexes today are emerging which

provides an opportunity for our product to survive and develop. New Delhi also has boutiques, shopping

arcades and malls that are emerging at a rapid pace. The existence of various segments in regards to

income makes this city a profitable aspect. It has specialty restaurants to please the population. As being

an urban city, young generation and top management executives are actively involved in providing the

city with an excellent nightlife. Delhi is multi-cultured and multi-linguistic city with people from almost

every parts of India. Delhi shares its borders with Haryana and Uttar Pradesh. The influence of thesestates can be found in the language and lifestyle of Delhi. People of Delhi are called "Delhi-ites". Delhi-

ites are very advanced and open to embracing new customs and changes but at the same time they are

very conscious of their culture. People of various caste, creed and culture live here with peace and

harmony. This shows the "Unity in Diversity" among the people of Delhi

1.3.4 Geography and Climate

The national capital territory ofDelhi with an area of 1483sq.km is situated between the Himalayas and

Aravalis range in the heart of the Indian sub-continent. It is surrounded on 3 sides by Haryana and to the

east, across the river Yamuna by Uttar Pradesh. The major part of the territory lies on the western side

of the river Yamuna, only some villages and the urban area of Shahdara lie on the eastern side of the

river. Its greatest length is around 33 miles and the greatest breadth is 30 miles. Delhi's altitude ranges

between 213 to 305 meters above the sea level.

Delhi, has a hot and humid climate for most of the season. The city climate becomes very hot during the

month of June which is followed by monsoon happening somewhere after September. Monsoon in Delhi

is quite unpredictable where you can't predict which way they will turn. Delhi monsoon has never been

like the one we witness in other parts of India, say for example Mumbai. Winter in Delhi is very chilly

which peaks in at the start of November and continues till the month of February. The foggy and chilly

weather during winters makes Delhi's climate a tough one to confront with. Delhi is situated on the

http://www.webindia123.com/Territories/DELHI/land/land.htmhttp://www.webindia123.com/Territories/DELHI/land/land.htmhttp://www.webindia123.com/Territories/DELHI/land/land.htmhttp://www.webindia123.com/Territories/DELHI/land/land.htm


15/185


banks of river Yamuna with Himalayas being in the north of Delhi. This is the main reason behind

Delhi's climate being called as the "Continental Climate".

1.3.5 Feeder Factor

SAKET is one of the many middle-class-dominated areas located in the south of Delhi, the capital of

India. The neighborhood is named after the city of Ayodhya, an ancient, religiously significant city in

Uttar Pradesh. The Great Kabab Factory is premium dinning place in DLF Place mall in Saket The PVR

Complex has a variety of coffee shops, restaurants and fast-food joints. These include McDonalds, Ruby

Tuesday, Barista Coffee, Subway (restaurant), Pizza Hut, Sbarro, Azzuro and many others. The complex

also has several trendy pubs/bars, like T'zers, Voda, Bennigan's and Buzz. The addition of some more

upscale eateries has led it to become more of a hotspot for citizens of Delhi seeking finer fare. Saket is

home to the PVR Cinemas Anupam-4 Multiplex Theatre, which was the first multiplex in India. Theplace was originally called Anupam and was owned by the Ansals Group, a group that also ran the Gyan

Bharti School and shared a common boundary with the Anupam complex. The Ansals Group eventually

leased the cinema hall to the PVR Venture Group (Joint venture between Mr. Ajay Bijli and PVR of

Australia). The nearby Select Citywalk mall also houses the PVR Premier, a newer 6-screen multiplex.

Around the area is also a video game parlor, an Archies gallery, and several other novelty shops. The

ITC Welcome Group owns a 5-Star Deluxe Hotel in this part of Delhi. As India's economy continues to

grow and major Indian cities continue to expand, neighborhoods are quickly changing and upgrading

throughout the country and Saket is no exception. It is on the verge of becoming the "Mall Hub" ofSouth Delhi since four major malls have opened on the Press Enclave Marg at the Saket District Centre.

The road is named after the most recognizable enclave in Saket, "Press Enclave" where many journalists

from media organizations around the country and the world live. The presence of many good schools in



16/185


the area also makes it an education hub of south Delhi. Another route to reach Saket will also open up

by 2010 when the Metro will pass through on its way from Central Delhi towards Gurgaon.

Electricity: After the Delhi Vidyut Board ceased to exist on July 1, people hoped for a better power

supply. Privatized distribution network then came into existence, the link which carries power to our

homes and is now handled by Reliance-backed BSES and the Tatas

Portable water: Delhi Jal Board (DJB) is the sole government agency responsible for meeting water

demands of the city. It has the capacity of supplying 650 million gallons water per day (MGD). Delhi

receives raw water from the following main sources: River Yamuna, groundwater and rainwater which

is later processed and supplied as drinking water. Municipal Corporation (NDMC) and Delhi

Cantonment Board (DCB) for further distribution in their respective areas.

The largest Telephone Service provider is the state-owned MTNL, which held a monopoly over fixed

line and cellular services up until 2000, and provides fixed line as well as mobile WLL services. Cell

phone coverage is extensive, and the main service providers are Vodafone Essar, Airtel, MTNL, and

BPL group, Reliance Communications, Idea Cellular and Tata Indicom. Both GSM and CDMA servicesare available in the city. Broadband internet penetration is increasing in the city, with MTNL and Tata

being the leading service providers.

Media: The media of Delhi offers a galore of exciting choices to its consumers. Delhi has presence of

several newspaper conglomerates, and nearly all important magazine groups in Hindi and English

languages have their distribution networks in Delhi. Hindustan Times, The Times of India, Indian

Express, The Hindu, The Statesman, India Outlook, Dainik Jagran, Navbharat Times and Anandbazar

Patrika are some of the important newspapers and magazines of India, whicj have their presence inDelhi. The print media of Delhi is thriving. In the year 2004-2005, around 1029 newspapers were

published in about 13 languages from Delhi. Out of these, 492 were the newspapers that were published

in the Hindi language. Among the newspapers, Hindustan Times and The Times of India are the leaders

in terms of circulation and readership. They virtually rule the print media of Delhi.



17/185


1.4 COMPETITIVE ANALYSIS

The main purpose of the competition analysis is an assessment of the strengths and weaknesses of

current and potential competitors. This will assess the threat levels presented by the competitors in the

market. This will also help in determining what factors drive success in the market space. Moreover, this

will identify what specific actions need to be taken in order to improve the restaurants competitive

position.

Studying the competitors will also offer a perfect opportunity to find out how we can better serve our

customers, will help to know the prevailing liking and disliking of future customers, it will also give

information about what more or new is the market of customers looking for. This will help in deciding

where will the entrepreneurs place their concept and what will be the market available for their product.

Based on the information gathered through questionnaires filled, the researchers have listed the four

most preferred restaurants of the respondents. The analysis is an in-depth exploration of the top four

competitors, their qualities, where they lack and what can be their future opportunities or available

threats. This is done with the help of SWOT analysis further in the research work, the competitors are as

follows:

Rockmans Beer Island



18/185


Caf Morrisson

Mocha Bar

Howzzatt

1.4.1 FACTSHEET FOR MOCHA BAR

Location / Address: 8/9 Ground Floor, Satyam Complex, Nehru PlaceNew Delhi

Contact: 011 26466733, 9818767043/9873001136

Property Status: Leased

Time of Operations: 11:00 am- 01:00 am

Cuisine: Multi cuisine

Service: Casual, table service

Theme: Rock

Target Market: Mostly youngsters [school and college going] and working class

Staffing: 18 F & B Service: 10F & B Production: 08

Total No. Of Covers: 90

Daily Revenue: Rs.72500

APC: Rs.500+ taxes18



19/185


Average CoversDone Per Day: 145

USP: Micro brewery, ambience.

Fastest Selling Dish: Steaks, Liverpate

Fastest Selling Beverage: Beer, Smoked Melon Mojito

Catchment Area: South Delhi

Additional Facilities: The 1500 sq feet space also has giant screens and projectors which screenssporting action from across the world be it football, cricket, tennis or Formula One.

SWOT ANALYSIS

STRENGTHS

The place is a friendly hotspot as being nestled close to the commercial district of Nehru Place

is within walking distance of residential areas like Greater Kailash and CR Park in South Delhi

Not only serves fresh beer from the tap but also introduces a range of signature cocktails served

over fruit and ice

The place is also famous for its coffee and shakes, that makes it a hangout even for the

teetotalers.

The place has a fairly priced menu with a lot of options.

Mocha blends beer, sports and rock into one seamless entity.

WEAKNESS

The seating arrangement makes the place very cramped and stuffy for the guests.

Maintenance of the dcor involves high costs.

Delayed service during peak hours.



20/185


OPPORTUNITIES

The number of staff should be increased.

The fancy furniture and the seating can be improvised on to make the place look more spacious.

THREATS

CDB CAF, Nehru Place - European Beer cafe

1.4.2 FACTSHEET OF CAF MORRISSON

Location / Address: E-12, 1st Floor, Main Market, South Extension Part-2, Delhi-110049

Contact: 011 26255652, 9810262468, 9810261442

Property Status: Leased

Time of Operations: 12:00 PM- 01:00 AM

Cuisine: Multi cuisine

Service: Casual

Theme: Rock inspired by the great Rock Icon Jim Morrison

Target Market: Mostly youngsters [school and college going] and working class

Staffing: 22 F & B Service: 1220



21/185


F & B Production: 10


Daily Revenue: Rs.68000

APC: Rs. 800+ taxes


USP: The Music.

Fastest Selling Dish: Sizzlers, Nachos

Fastest Selling Beverage: Beer

Catchment Area: South Delhi

SWOT ANALYSIS

STRENGTHS

The place is known for its rock music collection.

The place is located in one of the main commercial markets of south Delhi which attracts a lot

of young clientele. As the name signifies the place acknowledges the great singer Jim Morrison as a symbol which

attracts a lot of young clientele.

The place features live entertainment like gigs.

WEAKNESS



22/185


The seating arrangement appears ordinary.

The dcor and ambience do not compliment the rock theme.

The food items listed on the menu are expensive

Lack of parking space.

OPPORTUNITIES

The seating could be more loungish with more couches and lower tables

The dcor can be improvised on for a better depiction of the rock culture

As the place attracts a lot of young clientele the menu price should be revised and made a little

more affordable.THREATS

Shooters Bar and Grill, South Extension Part-2, Delhi

1.4.3 FACTSHEET FOR ROCKMAN BEER ISLAND

Location / Address: 4th Floor Ambience Mall, Nathupura VillageNational Highway 8, Gurgaon

Contact: 01242700000

Property Status: LeasedTime of Operations: 12:00 PM-2:00 AM

Cuisine Bavarian: Authentic German cuisineKeg and Barrels: World cuisine



23/185


Service: Casual, Table service

Theme: German Pub Brewery

Target Market: Youngsters, Corporate



Daily Revenue: Rs. 200000

APC: RS. 1000+ taxes


USP: Pub Brewery

Fastest Selling Dish: Nrnberger sausages served with sauerkraut, Munchnerteller (cold cuts servedwith sausages, cheese and pretzels).


Catchment Area: South Delhi, Gurgaon

Additional Facilities: Rockdome, Indias first drink and dine theater

SWOT ANALYSIS

STRENGTHS

The only microbrewery located in its area which gives it an edge over the others.



24/185


It is located in one of the most upcoming and established mall which is also a shopping

destination for many.

Serves great authentic German cuisine

Serves natural and fresh beer without any chemicals, preservatives and pasteurization

Rockmans Beer Island includes the Rockdome which is Indias first drink and dine theater.

WEAKNESS

The dark beer listed on the menu is hardly available thats unacceptable when you only have four

options to pick from because the place only serves house brews.

Lacks sources of entertainment and the music is not that impressive considering the lively andfresh concept of a pub brewery.

The cocktails are small portioned and over charged

At Bavarian, the German restaurant within the beer island there are no munchies such as chips or

peanuts to go with the beer.

Very expensive.

OPPORTUNITIES

Entertainment needs more options to be lively. The quantity of food and cocktails served should be revised in order to make up for the high

prices.

A snack menu should be introduced to compliment the beers as an alternative to the overpriced

one.

THREATS

BLU-O, Ambience Mall and Finrangi Paani , Ambience Mall

1.4.4 FACTSHEET FOR HOWZZAT

Location / Address: Galaxy Hotel, NH-8, Sector 15, Part II, Gurgaon 122001



25/185


Contact: 0124 4565000, 9811574548

Property Status:

Time of Operations: 12:00 PM to Midnight

Cuisine: Multi-cuisine

Service: Casual.

Theme:Serves fresh gourmet beer & piping hot cricket.

Target Market: Youngsters, The in house guests



Daily Revenue: Rs. 68000

APC: Rs. 400


USP: Microbrewery and Cricket Theme.

Fastest Selling Dish: Pot rice and Crispy chicken.


Catchment Area: Gurgaon, South Delhi

SWOT ANALYSIS

STRENGTH



26/185


Indias first microbrewery pub which gives it the first mover advantage, the first product or service in a

new area has a unique window of opportunity to capitalize upon its uniqueness.

The ambience and dcor perfectly match up to the cricket theme

The place is fairly priced which gives it an edge over the competitors

A large screen in front of the bar and lots of LCD screens all around, to ensure you're never far

away from sporting live sports

Since its located within The Galaxy Hotel which comprises of shopping arcades, restaurants and

spa so it attracts a variety of clientele and is not restricted to a specific target group.

WEAKNESS

The place only talks about sports which makes it not so exciting for people looking for

something beyond that.

The beer pub Lacks good music.

The beer is quite flat and lacks the rich flavor.

OPPORTUNITIES

The place should include other sources of entertainment besides the live sports like good music

Howzzat should start experimenting with brews and offering up at least one unique style each

time and getting consumers hooked on experimenting with beer.

The quality of beer needs to checked and improvised to match up to the competitors.

THREATS

Rockman Beer Island, Ambience Mall, Gurgaon

1.5 Questionnaire Analysis



27/185


AGE

Objective: The researchers have asked this question to segregate their sample in terms of age which

will help them in finding their target market as age.

Inference:

The analysis shows that there are very few respondents for the age group 60 and above, 12 respondents

for age group 40-50, 27 from 30-40 age group and highest being 58 from 20-30 age groups. Most of

these respondents in the age group 20-30 are students or self employed people and since Saket being an

area attracting a lot of college crowd, they will be a major target market along with industrialists and

businessmen falling in the next highest group as they prefer dining out for dinner with family or for

business meets and have good money to spend for snob value.

PROFESSION

Objective: The researchers have asked this question in order to identify the market and the type of

clientele. This will help in deciding which clientele is to be targeted more.



28/185


Inference:

The analysis shows that a major chunk of the respondents are students [46] and they are followed by

service people [24] and businessmen [18] respectively. It can be inferred from this information that

students and people in service are the target market here as they need a nice hang-outplace in this area,

they dont have a typical or standard spending power, so nothing much can be said about that.

Businessmen on the other hand following next have a great spending capacity and form a more

profitable target market.

1. Disposable Income

2000-5000 5000-10000 10000-15000 15000-20000

Objective: This is just to have an idea with regards to what is the level of expenditure per cover of

expected customers. This can help the researcher in deciding the level of service and food menu andvalue for money from an entrepreneurs point of view and also a clear indication at what customers are

ready to pay for the service or food they get.

Inference:

It was inferred with the collected data that 35 of the respondents generally have Rs.2000-5000 as

disposable income followed by 27 having Rs.5000-10000 and 21 people having Rs. 10000-15000 and a

close 17 people have almost 15000-20000 or more as their disposable income. So this is very clear that



29/185


people are ready to spend money if they get a good deal out of the place (read restaurant) and the food

offered.

2. Preferred type of dining:

Fast food Semi-formal Formal Casual

Objective: The researchers have asked this question to gather information regarding preference of the

respondents in terms of type of dining which will assist in determining if the thought concept will be

welcomed and liked by the prospective customers.

Inference:

From the above pie chart, it can be clearly seen that 18 people that is being the lowest of the population

prefer a formal dining experience. A fast food and a Semi formal restaurant are close in competition

with the figures being 25 and 20 respectively in terms of preference of dining. However, a casual dining

experience has been given the highest ratings, which evidently shows that today people choose a more

laid-out, casual experience.

3. Preferred Day of Dining

Monday Tuesday Wednesday Thursday

Friday Saturday Sunday



30/185


Objective: The Researchers have asked this question in order to find out the demanding and slack

days of the week for business.

Inference:

The purpose of the following question was to know the good business days of the week, nevertheless it

also gives a picture of the days when outlet promotions would be most appropriate. This chart shows

that people generally prefer going out on weekends with 30 people choosing Saturday as the ideal day of

dining out. It also shows that as Mondays and Thursdays are more of the relaxed days with 6 and 8 votes

respectively, it would be most fitting to introduce an outlet promotion on this day to increase revenue.

4. Time spent in a PubLess than 1 hr 1hr-2hrs 3hrs-4hrs 4hrs-5hrs

Objective: This will help in knowing the turnover of covers that can happen in the restaurant and the

researchers will get an idea of how many covers should be set up in the restaurant and on an average

how many covers can be rotated.

Inference:

Maximum respondents (37) believed that they spend 3hrs-4hrs in a pub over drinks, a close (29) spend

1-2 hrs, and very few (15) spend less than 1hr and remaining (19) spend 5-6hrs and above. So maximum

being from 3hrs-4hrs time customers spend in a pub. Since the average time spent in the restaurant over



31/185


drinks as per the results is approximately 3-4hrs, we can say that the outlet should operate only in the

evenings from 3-12 and Happy Hours from 3- 9.

5. Time of the day of Dining

Breakfast time Lunch Evening Dinner

Objective: The purpose of this question is to help the researchers decide their busy meal period so

that they could focus on service during that meal period.

Inference:As it was mentioned earlier the purpose of this question was to help the researcher find the busy meal

periods of the day, it also helps to determine the suitable meal period for promotion. The above graph

depicts that people normally prefer dining out for dinner (40) with evening being the second highest

option (29), therefore happy hours from 3 to 9 is most appropriate time. Lunch would be average with

just 29 people choosing Lunch and Breakfast was the least with just 6 votes.

6. Purpose of visiting a Pub



32/185


Celebrations Friends get together Business Entertainment

Objective: In order to be able to operate a restaurant efficiently, it is imperative for the researchers

to know what kind of market they are targeting. The purpose of going to a pub decides a persons

company; hence this question has been designed to find out the same.

Inference:43 people, according to the survey chose Friends get together as the reason for going to a pub and 23

people chose entertainment. This shows that a major share of the target market would be the young

population who just come for a couple of drinks. 18 people said they would go to a pub for business

which is the second lowest after Celebrations being the main purpose.

7. Choice of Flavored Beer

Chocolate Fruity Flavors Herbs/spices Other

Objective: As it is proposed to be a Beer Brewery Restaurant, it becomes vital for the researchers

to know, if their customers would welcome the idea of flavored beers, and if so, then what kind of

flavors would they by and large expect.



33/185


Inference:

The above graph shows that 59 people would want a herb/spice infused Beer, like ginger, and 21

people said they would prefer a fruity Beer like raspberry. Few people chose Chocolate (17) as their

choice of flavored beer and only 3 people said they were ready to try something new.

8. Form of Advertising

Word of mouth Television/Media Newsprint

Hoardings Radio Other

Objective: The objective behind this question is to know how people get to know about a new

restaurant opening and what factors influence them in deciding to visit the new restaurants. This will

help to decide on the market strategy to be used while marketing the enterprise.

Inference:

The analysis proves that Internet and Newsprint reaches to the customer the fastest, also showing that

word of mouth is second highest with 19 people sticking to it. Basically, the researchers would have tofocus on advertising through the internet and the newsprint; on the other hand it also shows that when

the restaurant is operational, they would have to focus on their service to get good feedback. Not many

people chose television, hoardings or radio as their selected form of advertising.



34/185


35/185


Objective: The main objective of this survey was to help the researchers find the feasibility of

opening a Beer Brewery restaurant in Delhi. Delhi being the hub for two newly opened Micro brewery

restaurants, the researchers thought it pertinent to ask the market, how much does the concept of a Beer

brewery appeal to them.1 being the lowest rate and 5 the highest.

Inference:

This graph clearly explains that more than half of the sample size (51) agrees that they are ready for

innovation and that the new concept of a Beer Brewery restaurant appeals to them with a rating of 4. 17

people gave it a rating of 5, which in turn means that 69 people have supported the idea of a new

Brewery pub in that area, thus it proves that the researchers should go ahead with their project.

1.6 MARKET ANALYSIS

1.6.1 Fair Share:

The amount of Covers an outlet would sell if demand were distributed based on the number of covers in

each outlet.

Fair Share%

Fair share of an outlet is defined as the number of covers outlets has divided by the total number of

covers in the market.

Fair share = Number of Covers in the Outlet x 100

Total number of covers in the market

Outlet name No. of Covers Fairshare %

Rockman's 140 35.89



36/185


Caf Morrisson 50 12.82

Mocha 90 23.07Howzzatt 110 28.2

Total 390 99.98

Graph 1.1 (No. of cover in the restaurant and fairshare of the restaurant.)

1.6.2 Market Share:

The amount of Covers an outlet sells compared with the total number of covers in each outlet.

Market Share%It is the percentage share one has of the market depending upon the number of covers one sells.

Market share = Number of Covers done by the outlet x 100

Total number of covers done in the Market

Outlet name No. of Covers Marketshare%

Rockman's 115 22.54

Caf Morrisson 80 15.68

Mocha 145 28.43

Howzzatt 170 33.33

Total 510 99.98

Graph 1.2 (No. of cover in the restaurant and Marketshare of the restaurant.)

1.6.3 Performance Ratio



37/185


It is the ratio of number of covers an outlet sells with the number of covers that particular outlet offers to

market.

Performance ratio = Market Share

Fair Share

Hence using the above formulae, the fair share and market share of the competitors has been analyzed as

following:

Outletname

No. ofcovers

daily

Marketshare %

No. ofcovers

Fairshare%

Performance Ratio

Rockman's 115 22.54 140 35.89 0.62

Caf

Morrisson

80 15.68 50 12.82 1.22

Mocha 145 28.43 90 23.07 1.23

Howzzatt 170 33.33 110 28.2 1.18

Total 510 99.98 390 99.98 4.25

Table 1.1 (Fairshare % VS Marketshare %)

Graph 1.3 (Competetitors Fairshare% VS Marketshare%.)

1.6.4 Cover calculation

Outlet name No. of covers

Rockman's 140

Caf Morrisson 50

Mocha 90Howzzatt 110

Total 390



38/185


The number of covers of a restaurant is calculated by taking the average of covers available or existing

in the market. The rest may then be calculated using the unitary method.

Thus the average covers per outlet = 390 = 97.5

4

The researchers wish to round off this figure considering the space available and the capital expenses

and have decided maintaining a 100 covers for the proposed restaurant.

1.6.5 Performance Ratio, Marketshare and Fairshare for Beer Me!

By using unitary method

The Performance Ratio for Beer Me! is 1.08

i.e when there are 390 covers, the Performance ratio is 4.25

Thus, for 100 covers, the Performance ratio should be 1.08.

Therefore, Fair share % = No. of Covers in the outlet x 100Total no. of covers in the market

100 x 100

490



39/185


20.41 %

Also, Marketshare % = Fairshare % x Performance Ratio

= 20.41 x 1.08 = 22.04

1.6.6 Number of Covers per day by Beer Me!

Total number of covers done per day by the competetitors multiplied by the market share % of Beer Me!

:

= 510 x 2 2.04 = 112.40

100

Therefore the researchers have considered 120 as no. of covers sold per day.

Since Beer Me! comprises 22.04 of the total market share, the rest of the competetitors share reduces to

77.96 %. Thus to calculate the new market share % of the competetion, the researchers multiplied 72.31

% to the old market share.

For example:

The new market share for Rockmans = 77.96 /100 x 22.54

= 17.57%

After finding the new market shareof all the competetitors, in order to calculate the actual covers done

by them, the researchers have multiplied the market share % to the total no. of covers done in the

market.

For example:

The daily covers for Rockmans = 17.57/100 x 51039



40/185


= 89 covers

This shows that earlier, Rockmans used to make 115 cover per day on an average but now there is a

drop of 26 covers that is 5.09% of the total covers which Beer Me! gets from Rockmans.

The performance ratio was calculated using the same formula

i.e Market share % / Fair share %

Therefore the new Performance ratio of Rockmans would be

= 17.57 / 35.89

= 0.48

Similarly, for the other competetitors, the new performance ratio was calculated to be:

Outlet

name

No. of

covers

daily

Marketsha

re %

No. of

covers

Fairshare

%

Performan

ce Ratio

Rockman's 89 17.57 140 35.89 0.48

CafMorrisson

62 12.22 50 12.82 0.97

Mocha 113 22.16 90 23.07 0.96

Howzzatt 132 25.98 110 28.2 0.91

Beer Me! 120 22.04 100 20.41 1.08

Total 510 99.98 340 99.98 4.15

Table 1.2 (New Fairshare % VS New Marketshare %)

The total no. of covers done by Beer Me! is 120, thus there would be a fall in its competetitors covers.

With Beer Me!s entry in the market, Howzzatt is estimated to witness the highest fall in covers. Hence,it can be interpreted that Beer Me has taken covers from the total available i.e 5.09% from Rockmans,

3.5% from Caf Morrisson, 6.2% from Mocha Bar and 7.4% from Howzzatt.



41/185


Graph 1.4 (Competitors New Market share% VS New Fair share%)

From the above graph it can be evidently seen that Beer Me! would have a market share of 22.04% with

an average of 140 covers per day and a performance ratio of 1.08 which is a very good and confident

start. Therefore it can be concluded that Beer Me! would be successful in capturing a good market share.

CHAPTER 2 : OPERATIONAL PHASE

2.1 INTRODUCTION

The marketing phase of the project assessed the feasibility of setting up of a Beer Brewery pub in New

Delhi. It helped provide a clear understanding of and approach to customer preferences, important

variables such as the number of covers that should be accommodated, etc. Thus it will facilitate the nextphase of the project wherein the concept will be implemented. Through the information gathered the

researchers were able to develop an appropriate menu, designing the dcor, establishing an ambience

according to the needs and preferences of the potential customers. This phase concentrates on the

implementation of the concept, and the viability of the project in terms of operations along with the cost

it would embrace.

2.1.1 AIMS

The operational phase will provide a complete picture of the outlet taking into consideration the various

operational requirements. It will deal with the following factors which will ensure efficiency of the

various operations in the restaurant:



42/185


The concept

Legal Formalities

Capital and Operating Costs

Menu engineering and pricing

Staffing and Scheduling

Space Allocation, Restaurant Design and Layout

Costing and suppliers of raw materials and packaged products

Pre-opening Activities.

2.1.2 OBJECTIVES

The objectives of the Operational Phase may be underlined as below:

To highlight the rationale of the proposed concept.

To underline the basic legal formalities that are required in enterprise of this nature.

To provide insights to the dcor and interiors of the outlet, as well as their relative cost.

To elaborate various vital aspects that will contribute to the smooth running of operations such

as staffing and scheduling, job descriptions, uniform, salaries, operating procedures and working

hours.

To provide a suitable menu for the proposed outlet.

To identify the suppliers and distributors of operational supplies along with quotations.

To design a pre-opening campaign that will act as a marketing tool to advertise the restaurant.



43/185


44/185


Beer Me! is a 120 cover restaurant which is operational for lunch and dinner. The outlet has an in house

brewery and fresh made Draft Beer to compliment the conceptual design and ambience of the restaurant

which will enhance the guest experience and thus play an important part in the overall dining

experience. The style of table service will be semi formal, more on the lines of casual dining and pre

plated with an element of style, quality and professionalism. The service staff would be well trained and

skilled to exceed guest expectations and be able to up sell thus helping in generating revenue as well as

providing a memorable experience.

2.2.4 ATMOSPHERE AND AMBIENCE

The atmosphere and the ambience of the restaurant will play a crucial role in the development of a

design process. The ambience of the restaurant is something which makes the guest feel relaxed and

comfortable even before he/she experiences the food. Different kinds of outlets induce different kinds of

feelings. The ambience could be determined by keeping in mind the entire concept and also the

clientele. Since the proposed restaurant focuses on casual experience, the ambience is decided to be laid

back as well. Keeping live bands and music as entertainment tools, in consideration the walls could be

red brick walls with posters of classic rock titles and singers. The floor is wooden and the restaurant

would have huge steel vats where the beer is made.

2.2.5 LIQUOR AND CUISINE

As the proposed restaurant is based on the concept of a micro brewery, it is but obvious that it wouldrequire to serve alcohol. Beer would be the USP of the restaurant with wheat beer, flavored beers

coming into the picture, although the restaurant would also serve cocktails and other liquor with a fully

fledged bar. In order to accompany the beer, the cuisine and the menu has been meticulously designed

which is mainly continental and some signature Bavarian dishes.



45/185


2.2.6 LOCATION

Beer Me! Is proposed to be located in the Saket area of South Delhi which is one of the many middle-

class-dominated areas located in the south of Delhi, the capital of India. The neighborhood is named

after the city of Ayodhya, an ancient, religiously significant city in Uttar Pradesh. The Great Kabab

Factory is premium dinning place in DLF Place mall in Saket as India's economy continues to grow and

major Indian cities continue to expand, neighborhoods are quickly changing and upgrading throughout

the country and Saket is no exception. The area has come to be known as one of the mall-hubs in Delhi

and hence this raises the target market potential i.e people who come out shopping would like to go for a

beer or two in the afternoon after they are done with shopping.

2.2.7 HOURS OF OPERATION

Considering the laws in Delhi, the restaurant will be open from 15:00 hrs to 02:00 with happy hours

from 15:00 hrs to 21:00 hrs. The restaurant operational timings remain the same throughout the week.

2.2.8 PROPERTY DETAILS

Total area of Beer Me! = 4480 sq. ft

Rent per sq. ft. = 110

Therefore, total rent payable per month = 4480 x 200 = 896000

Hence, total rent payable per year =1,07,52,000

2.3 SPACE REQUIREMENT

2.3.1 SPACE ALLOCATION



46/185


The calculation of the required space in the restaurant in both the front area and back area needs to be

calculated keeping in mind different attributes and facilities of the restaurant. It is not as simple as

deciding how many guests one is going to serve and making sure there is enough room for them. Space

planning begins by examining all the parts of the foodservice facility even beyond the front and back of

the house. The following represents the international standards of space requirements for any

establishment :

Type of Operation Area per seat (sq.ft.)

Table service 24-32

Counter service 18-24

Booth service 20-28

Cafeteria service 22-30

As per the international standards, the entrepreneurs have allocated 3o square feet as the total facility

space, this is justified as the total land and space available to the entrepreneurs is large enough for the

same. Thus the total space requirements for the establishment are as under :

Total area = Number of covers x Space allotted per cover

Number of covers = 100

Space allotted per cover = 32 sq. ft

Therefore the total cover space = 100 x 30 = 3200 sq. ft



47/185


As the total area of the restaurant with the entrepreneurs is 3600 square feet, and the total cover area

comes out to be 3000 square feet, the extra space is divided for the back area, bar area, live band stage

etc.

2.3.2 ESTIMATED RESTAURANT AND PRODUCTION SPACE FOR FUNTIONAL AREAS

Area Area percentage of 3600 Area (sq. Ft)

Inside dining area 54.91 % 2460

Brewery set up 17.18 % 770

Guest wash room 2.67 % 120

Live band stage 5.02 % 225

Bar area 5.35 % 240

Kitchen area 5.58 % 250

Employee wash room 1.32 % 72

Back area 9.26 % 415



48/185


2.4 FACILITIES PLANNING AND DESIGN

2.4.1 EXTERNAL FACADE

The word Faade comes from the French language, literally meaning face . A faade pattern is an

object oriented design pattern. A faade is an object that provides a simplified interface to a larger body

of code. A faade is generally one side of the exterior of a building especially the front, but also

sometimes side and rear. In architecture the faade of a building is often the most important from a

design perspective, as it sets the tone for rest of the restaurant. The exterior of Beer Me would be a glass

door with the Beer Me! Logo, a chalk board at the patio, listing the band playing for the night. The wallsinside and outside the restaurant are red brick walls. Therefore the external faade of Beer Me! looks as

follows:

ITEM PURPOSE PRICE PICTURE

Wall lantern

Jainsonselectronics

Address: 1832,

Bhagirath Palace,

New Delhi, Delhi -

110 006, India

Lighting

outside the

restaurant

Rs. 2050,

including

installation

and bulb.



49/185


Wooden rimmed

chalkboard

Shehla dcor

Address: G-124,

Chhattarpur Ram

Colony, New Delhi,

Delhi - 110 074,India

Chalkboard

listing the

band playing

for the night

Rs. 1475

Wooden door with

glass panels andBeer Me! Logo.

Restaurant

entrance door

Rs. 6225

along withthe logo.

Total cost Rs. 9750



50/185


2.4.2 FURNITURE AND FIXTURES

One of the first objects that the guest comes into physical contact in a food service facility is the

furniture and fixtures which give rise to various perceptions. Seating affects how customers perceive

BEER ME! and how long they spend in the outlet. The surface and shape of the seat, its position at the

table and its visual correlation to the general design of the room, all affect the customers experience at

BEER ME. In order to give the best experience to your customers, it is important to select the most

appropriate furniture for the outlet. Furniture plays an important role in a restaurant designs it reflects

the comfort level that the customer will experience while dining in the restaurant. In order to contribute

to the overall atmosphere and ambience of the restaurant, the entrepreneurs have taken into

consideration various factors while deciding the furniture for the outlet.

The concept of BEER ME! is inspired by the traditional Bavarian Brewery and the furniture justifies

the concept fairly. Basic wooden furniture in darker tones- dark browns and cappuccino shades

perfectly blending with the restored tin ceilings and wood floors, and exposed brick walls.

Considering the fact that BEER ME! is a concept oriented outlet the furniture is very basic includingwooden bar stools complimenting the U shaped wooden bar, cappuccino shaded wooden table and

chairs and dark brown leather couches.

ITEM PURPOSE PRICE PICTURE



51/185


wooden Bar

U shaped instead

Bar

dispensing-

counter for

serving fresh

brewed beer.

30, 000

Wooden Bar stools Bar single

seater

2000

Round wooden

tables

Couple

seating

3600



52/185


Rectangular

wooden tables

Seating for

four and six

pacs

4000

All Table tops have a planked top.

Leather couches

Dark brown instead

Comfortable

couch seating

for 3 pacs

8000



53/185


Wooden chairs

(with Armrest)

Dining area

seating

3000

Side stations To place and

store cutlery,

crockery and

water jugs

4000

Oak barrel shaped

center piece

Sauce

dispenser

350

Costing

Sr. No Item Quantity Rate Total cost Supplier



54/185


1. Chairs 1.5 ft x 1.5 ft x

3 ft (LBH)

80 2000 160000

Delhi FurnitureCompany (P) Ltd.

A-24-A, NebVelly Neb Sarai

New Delhi - 110068, Delhi

2. Round tables 3.5

diameter

08 3600 28800

3. Rectangular tables 4 ft

x 2 ft x 3 ft

16 4000 6400

4. Bar stool 1 ft x 1 ft x

3ft

08 3000 24000

5. Side Board 3 ft x2 ft x

3ft

04 5000 20000

6. Dispense Bar counter

20 ft x 2.5 ft x 4 ft

01 30000 30000

7. Leather Couches 12 8000 96000

8. Oak barrel shaped

sauce dispenser

25 350 8750

Total cost 431550

2.4.3 WALL COVERING

Walls create the desired ambience for the restaurant by providing surfaces for points of interest such as

posters on the walls of the Beer Me! Hence wall paintings, wall coverings, the shape of the walls, the

materials utilized and the finishes all play a very important role in dictating the overall design andcontribute to the right ambience for the restaurant. On the contrary, the design and the quality of the wall

coverings drastically affect the cost of the wall as well as its durability. While selecting wall coverings,

one should keep in mind the operational perspective, the walls and their coverings should be easily

cleanable and resistant to wear and tear. The walls of Beer Me! would have an unfinished brick wall



55/185


look with posters of classic rock singers, titles and albums. The paint used in the back area and the

kitchen will be standard Magic Cream from Asian Paints which will provide enough light to createthe

right atmosphere for work. In high impact areas, special attention should be given to wall finishes.

The ceilings of Beer Me! would be white so that they would reflect the light and not let the restaurant

look dingy and would have the steel pipes running till the bar for easy tap Beer service.

Some of the posters selected for wall hangings are as follows:



56/185




57/185


The walls with the unfinished brick look and posters would look as follows :



58/185


Costing

Walls Area sq. ft/ No.s Supplier Rate (Rs.) Cost

Brick finish

(restaurant)

2460 86 211560

Posters (printing +

framing)

30 Gee Offset and

Screen Printers.

Lakshmi Nagar,

Delhi, Laxmi

Nagar, Delhi

110092

25/ poster + 500 15750



59/185


60/185


Vinyl wooden

flooring

2460 + 240 + 770

sq. ft

Restaurant

flooring +brewery + bar

Anti skid tiles 120 sq. ft Guestwashroom

Kota stone 770 sq. ft Kitchen andback area



61/185


Rubber mats 100 sq. ft Bar

Anti skid tiles 75 sq. ft Employeerestroom

Stage floor 225 sq. ft Live band stage

Costing

Area Type of flooring

Price per sq.Ft

Area (sq.Ft)

Total cost Supplier

Dining areas Vinyl wooden 72 2460 177120 Hayattinteriors(engineers andcontractors)

D/228, DurgaVihar, Phase-2,DinpurNajafgarh, NewDelhi, Delhi -

Brewery Vinyl wooden 72 770 55440

Kitchen Kota stone 28 250 7000

Guestwashroom

Anti skid tiles 45 120 5400

Emp.Washroom

Anti skid tiles 22 75 1650

Back area Marble floor 30 340 10200



62/185


110 043, IndiaStage Vinyl wooden

floatingstage

72 225 16200

Bar area Vinyl woodenflooring

Rubber mats

72 240

100

17280

4500Elite traders

Address: 756/6,Gori ShankarMarket, 1stFloor, GaliKunde WalanAjmeri Gate,

Delhi, Delhi -110 006, India

Total cost Rs. 2, 94, 790

2.4.5 LIGHTING

Lighting plays a very important role in bringing life to a restaurant; it makes it easier for the people to

enjoy the ambience and the food as well as in the back area to help employees work accordingly. It can

either make or break the whole feel and ambience to the restaurant. While deciding the lighting required,the amount of daylight entering the outlet should be kept in mind as the same affects the type of lighting

that is to be chosen and its fittings positioning.

Keeping in the mind the concept of a Bavarian Pub Brewery the restaurant will have a dim yellow

lighting complimenting the aesthetics and the young market that the entrepreneurs are trying to attract.

Lighting will include pendant lights, a chandelier lighting the minimalistic traditional wooden bar. The

entrance is lit by lamps adding to the appeal of the elegant door and exteriors.

LIGHTING = 2.32 Watts *AREA (Sq. feet)

AREA OF BEER ME! =4480 Sq. feet

LIGHTING REQUIRED=10394 Watts (2.32 Watts* 4480 Sq. Feet)



63/185


Item Purpose Rate Picture

Dining areaJute Pendantlights

Dim yellowcomplimentingthe Dcor andAesthetics

1000

Spot lights Ceiling recessedlights

600

Chandelierlights

Bar lighting 12000

Floor recessedLED Lights-

yellow colored

Band areaillumination

06



64/185


Ceiling

hanging whitelights

Kitchen Lights 400

Tube lights Brewery/ Back area lighting

200

Costing

Sr. No Item Quantity Rate Total cost Supplier

1. Spot lights 16 600 9600 COLOR DESIGNINDIA,NEWDELHI

A-15A, MayaPuri

IndustrialArea Phase-ll,2nd floor,New Delhi

2. Pendant lights 13 700 9100

3. Chandelier 01 12000 12000

4. Floor mounted LEDlights

06 750 4500

5. Recessed lights-

guest washroom

04 300 1200

6. Wall hanging whitelights

10 400 4000

7. Tube lights 15 200 3000



65/185


66/185


Creative MP3

player (2 GB)

2 4900 9800

6.1 Creative soundtheatre system

2 28600 57200

Total cost 67, 000

2.4.7 RESTROOM FACILITIES

For Guests:

Equipment Rate/unit Unitsneeded

Total cost Supplier Item

Water closet 2100 3 6300

HSIL LTD

(formerly)

HINDUSTAN

SANITARYWARE66



67/185


68/185


Water closet 1750 1 1750

HSIL LTD

(formerly)

HINDUSTAN

SANITARYWARE

& INDUSTRIES

LTD

Address : 301-302,

3rd Floor, ParkCentral, Sector -30

Nh-8, Gurgaon -

122001, Haryana,

India

Wash basin 1800 1 1800

Soapdispenser

200 2 400

Taps 1200 2 2400

Mirror 1000 1 1000

Total cost Rs. 7, 350



69/185


2.4.8 ENGINEERING CONSIDERATION

2.4.8.1 Heating and Ventilation: HVAC

Heating, ventilation and air conditioning commonly known as HVAC are used to maintain a level of

comfort for both guests and the employees. The HVAC system must be carefully selected, properly

operated and continuously maintained for it to perform its job effectively. The key environmental

comfort factors at work are indoor temperature, humidity, air movement, room surface temperature and

air quality. Commercial kitchens no matter how large or small require properly designed ventilation

systems to provide a comfortable environment. This should adequately capture grease, vapors and

effluents from the cooking processes. The heat from the gas ranges, steamers, hot air from refrigerator

and chiller compressors contribute to a rise in the overall temperature of the kitchen and hence it is

important to ensure proper airflow. Without proper ventilation, heat and humidity become unbearable,

grease slowly builds up on walls and other surfaces, and odors waft into the dining area nearby.

For the kitchen, ducts will be mounted directly over the cooking equipment and will be made of

galvanized steel with a liquid-tight, continuous external weld. In order to make sure that smell from thekitchen does not travel to the restaurant, the kitchen must be kept under negative pressure so that the air

forms the public areas always moves into the kitchen and not vice versa. The fumes collected by the

overhead hood systems are taken out through these ducts with the help of an exhaust fan. The exhaust

fans that will be installed will be of 2 horsepower each to extract the fumes and hot air out, and will be

replaced by fresh air with the help of 2 horsepower fans. The standards for conditioning the restaurant

are:

Temperature range 21oc to 25o c

Relative humidity range 40 %

Item Power Quantityrequired

Rate/unit(Rs.)

Total cost(Rs.)

Supplier



70/185


Split Air

conditioners

2 Ton 6 23480 146280

Exhaust fans 2 BHP 2 11000 22000

Total cost Rs. 1,68,280

2.4.9 FIRE PROTECTION

All food and beverage outlets have a certain ethical responsibility towards their customers as well as

their employees. Nowadays, consumers are getting more concerned about such issues as they now

consider security and safety as an important factor in choosing an outlet. Good fire protection dictates

that the outlet must be able to handle various fire hazards that they may be expected to deal with.

Suitable fire protection training must be given to every employee with adequate fire drills. All fire

extinguishers must be placed in easily accessible areas, and while deciding the number of extinguishers,

one must follow the requirements indicated by NFPA. The fire extinguishers to be used are:

Name Type Quantity

required

Rate (Rs.) Total cost

(Rs.)

Supplier

Fire

extinguishers

A 2 4300 8600

BC 2 4300 8600

Total cost Rs. 17,200



71/185


Type BC fire extinguisher

(http://www.northerntool.com/images/product/images/8888_lg.jpg)

2.5 LEGAL FORMALITIES

Laws and Licenses

Licenses form an important part of all documentation that needs to be authorized by the government.

Laws and licenses differ from one city to another. Even in a city like Delhi, licensing authorities are

different for different nodes. Moreover, it also depends on the entrepreneur whether he is constructing

http://www.northerntool.com/images/product/images/8888_lg.jpghttp://www.northerntool.com/images/product/images/8888_lg.jpg


72/185


his own building, taking it on lease or buying a premise that has already been constructed. Multiple

governmental departments and sub- departments need to be contacted for approvals. This can be the

most exasperating of all entrepreneurial tasks. Preparing for the bureaucracy there in includes a long

wait and often under the table payments. A one- window system that addresses all the requisite

permissions is still only a dream. Licenses, which need to be obtained for the Beer Me! are:

1. Pre- requisites- Approval of the project

Registration Authority Government of India

Issuing authority Tourism department (Govt of India)

Requirements

Pre- requisite before starting the outlet. Enterprise

should be 75 meters away from all religious

institutions and hospitals. It is also essential to

have four copies of the blue print of the floor plans

2. Registration under Shops and Establishment act

Issuing Authority Delhi urban development authority

Duration Lifetime

FeesDepending on the number of employees (16-21)

Rs. 1500

Requirement First license needed for opening the restaurant.

3. Company Registration

Issuing Authority Registrar of companies

Duration Till termination of operations

Fees Rs. 5000

Requirement For creation of legal entity



73/185


4. No Objection Certificate from Health Department

Issuing Authority Chief Medical Officer, Delhi Govt.

Duration 1 year

Requirement

It is required in order to ensure healthy and

hygienic practices in the premises. The chief

medicinal officer would assess the location and

availability of potable water and the conformance

to the unitary standards set by the MCD.

5. No Objection Certificate from Police Department

Issuing Authority Delhi Police, Commissioners Office

Duration 1 year

Requirement

The No Objection Certificates issuing involves the

committee sending a Munadi around the site, if

there is no objection within seven days; the No

Objection Certificate is issued.

6. No Objection Certificate from Fire Department

Issuing Authority Chief Fire Officer/ Municipal Corporation

Duration 5 years



74/185


Requirement

It is required for any building, which is intended to

be used for commercial activities. The

entrepreneurs would need to provide a copy of the

building design to the authorities. Only if the

building fulfils all the requirements of the

authorities based on evacuation, number of floors

and fire protection provisions will the No

Objection Certificate be granted. Without this

certificate, the eating house license cannot be

granted.

7. Eating House License

Issuing Authority Delhi Police, Commissioners Office

Duration 1year

Fees Rs. 2000

Requirement Operational of eatery

8. Food Adulteration Act

Issuing Authority Municipal Corporation

Duration1 year (but can be suspended if found guilty of

violating the act)

Requirement Production and sale of Food & Beverage

9. L-4 License

Issuing AuthorityDeputy Commissioner of Police/ Licensing,

Excise Commissioner, Delhi



75/185


76/185


Condition

Sale of liquor including imported foreign liquor

made through L-4 outlets shall attract VAT at 20%

and 12.5% for food

14. Sales Tax Certificate

Regulation Authority Sales Tax Department, Delhi

Condition

The ministry issues a Sales Tax Certificate to the

entrepreneur, which can be applied for by filling

up Form A; Application for Registration underSection 7(1)/7(2) of the Central Sales Tax Act,

1956

RequirementDocuments supporting nature of business,

ownership and business volume.

15. Sanction of LPG

Issuing Authority Ministry of Petroleum

Requirement

The ministry of petroleum has defined a gas bank

as a pre requisite for restaurant operations. The gas

bank cannot be situated in a basement under any

circumstances.

16. Clearance from Pollution Control Board

Regulatory Authority Municipal Corporations

RequirementTo ensure proper disposal of water and use of air

conditioning.

17. Obtaining Import License



77/185


Regulatory Authority Imports and Exports, New Delhi

Issuing authority Customs Commissioner

Requirement Import of equipments, goods for outlet

18. Property, water and Sewage Tax

Issuing Authority Municipal Corporation, New Delhi

RequirementFor collection of taxes for the purpose of

maintaining public utilities

19. Public Performance License

Regulatory AuthoritySuperintendent Officer, Phonographic

performance Limited

Fees Rs. 10000 per year

Requirement Authorization to play sound recorded music

20. Copyright for playing Music

Issuing AuthorityINDIAN PERFORMING RIGHTS SOCIETY

LIMITED

Duration 1 year

Fees Rs. 3650

Requirement Playing Live music

21. Weights and Measurements Certificate



78/185


Issuing Authority Deputy commissioner in the form of NOC

RequirementRequired for the verification of weights and

measurement scales used on premise.

22. Contract Labor License

Issuing Authority HUDA

Duration 1 year

Fees Rs. 5000

Requirement

The contract labor (Regulation and Abolition act,

1970). Every employee can work a maximum of 6

days a week, with 10 hours of work each day,

within which 2 hours of break is scheduled. The

workplace needs to be equipped with a cafeteria,

common room and hygiene facilities.

23. Availing Fiscal Incentives

Issuing Authority Department of Tourism

Applied to Commissioner of Income tax

Requirement Approval under 32, 33 and 80 of the I.T Act

24. Employee Policies

Provident Fund Act

If there are more than 20 employees, 12% of

employees salary is paid by the employer in a

fixed deposit.



79/185


ESI

If there are more than 20 employees, the firm is

liable for ESI. This insurance for employees is

calculated as 3% of the monthly salary.

Profession Act

If employees wages are more than Rs.2000/- they

are liable to pay tax as follows:

Rs. 2001- Rs. 2500: Rs. 30

Rs. 2501- Rs. 3000: Rs. 60

Rs. 3001- Rs. 3500: Rs. 120

The total cost of all the legal formalities adds up to Rs. 8,80,150

2.6 STAFFING AND SCHEDULING



80/185


Staffing is the practice of finding, evaluating and establishing a working relationship with future

employees. The staff needs to be recruited and trained in accordance with the requirements of the

restaurant. One of the most crucial resources for any service-oriented business is its staff or labor force.

Staffing involves finding the right people, with the right skills, abilities, and fit, who may be hired or

already working for the organization or may be working for competing companies. It is very essential to

choose the right kind of and the correct number of staff members to do the work they best fit into in

order to ensure the success of the organization. The staff needs to be recruited and trained in accordance

with the requirements of the restaurant since the general payroll and labor costs constitute a large share

of the operational costs and generally lays in-between 12% to 20% of the total costs; it is always viable

not to overcrowd the restaurant when the staff is not required over there.

It is mandatory for the management of an enterprise to ensure that staff is adequate and competent so

that they may be able to ensure the success of the restaurant. Staffing aims at establishing the right

number of people required in a restaurant, highlighting their job responsibilities and job specifications,

preparing job schedules and assigning their payrolls. Another important aspect of service is uniforms

which adds quality to the service, especially among food and beverage staff, it is necessary to make

certain that they are at all times well dressed and groomed as they will dealing with food items. Lastly,

appropriate salaries should be assigned in order to reduce job dissatisfaction.

It is imperative that Beer Me! should not be overstaffed or understaffed. The attributes required to

have in order to be a part of the staff are: honesty, reliability, courtesy, smart appearance, good

communication skills, knowledge, a positive attitude and punctuality. Staffing has been decided on the

basis of the kind of service in Beer Me!, the productivity standards, number of the tasks and jobs to be

performed, menu and Beer Me ! Operation timings and labor laws.

This chapter will elaborate on all these aspects and will also present the various costs and expenses

involved in the process of staffing.



81/185


2.6.1 HIERARCHY- RESTAURANT AND KITCHEN STAFF

The entrepreneurs of Beer Me ! would be overlooking the start up and operation of the establishment,

so they would take the role of Managers, whereas the Executive chef is proposed to be one of the