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A PROJECT REPORT ON

“FRANCHISING WITH REFERENCE TO MONGINIS”

SUBMITTED BY

MUSTAFA CHANGI

T.Y.B.M.S.

Roll. No.06

SEAT NO: 13-8806

FOR THE DEGREE OF

BACHELOR OF MANAGEMENT STUDIES (BMS)

UNIVERSITY OF MUMBAI

UNDER THE GUIDANCE OF

PROF. BHARATI MAKHIJANI

KJ SOMAIYA COLLEGE OF SCIENCE AND COMMERCE

(AUTONOMOUS)

MUMBAI - 400077.

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INTRODUCTION

Franchising is the practice of using another firm's successful business model. The word 'franchise'

is of Anglo-French derivation - from franc - meaning free, and is used both as a noun and as a

(transitive) verb. For the franchisor, the franchise is an alternative to building 'chain stores' to

distribute goods that avoids the investments and liability of a chain. The franchisor's success

depends on the success of the franchisees. The franchisee is said to have a greater incentive than a

direct employee because he or she has a direct stake in the business.

Essentially, and in terms of distribution, the franchisor is a supplier who allows an operator, or a

franchisee, to use the supplier's trademark and distribute the supplier's goods. In return, the operator

pays the supplier a fee.

Thirty three countries, including the United States, and Australia, have laws that explicitly regulate

franchising, with the majority of all other countries having laws which have a direct or indirect

impact on franchising

A franchise usually lasts for a fixed time period (broken down into shorter periods, which each

require renewal), and serves a specific territory or geographical area surrounding its location. One

franchisee may manage several such locations. Agreements typically last from five to thirty years,

with premature cancellations or terminations of most contracts bearing serious consequences for

franchisees. A franchise is merely a temporary business investment involving renting or leasing an

opportunity, not the purchase of a business for the purpose of ownership. It is classified as a wasting

asset due to the finite term of the license.

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Franchise in India

Franchising in India is at a very nascent stage. However, this industry has clocked

the annual growth rate of 30% with a market size of USD 7.2 billion, the second fastest growing

industry. In the US, 45% of the sales come from franchised business; India is still to reach that

stage. India offers lot of potential for the franchising community & expected to reach US$ 20 billion

by 2013. Franchising is still an emerging trend in India. It is still growing and as such, most of

efforts by Indian franchisors are still inclined to franchise recruitment and sales unlike in the West

where franchise management and ensuring franchisee profitability is the matter of greater concern.

The picture is likely to change with the passing of time and after gaining experience and knowledge

in the same domain. Few of the important sectors that are thriving well in this industry are:

Education Sector: India, with the largest youth population, is an attractive

destination for the potential business opportunities in Education Sector. Its unquenchable thirst for

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quality education with world class training systems and its desire to fill the wide gap between the

number of potentially employable people and corresponding training institutes available has led to a

widespread demand for franchised education. This has given rise to the various education operators

and service providers such as play schools, schools, institutes, development & training institutes,

professional coaching operators etc. According to a survey, the growth of the education sector in the

country is pegged at 35% amongst new concepts and it will continue to grow in the years to come.

Keeping in mind the current market trends that need to be capitalized in India, the education sector

further opens the doors for many entrepreneurs. Looking at the risk and profitable returns variation

from business to business, franchising ensures a safe method to own a brand especially in the

Education sector which is least effected territory even in the time of recession. Private institutions

are typically perceived as hallmarks of quality education and given the demand, Indian education

entrepreneur are ready with massive expansion plans, which will provide thrust for the education

sector to grow multifold.

F & B: With the increased number of people preferring to eat out and spend

more on food items, this sector has dominated the franchising industry like no other business sector.

The market is flooded with food franchise opportunities of different categories suiting to different

level of budgets. There are many different options for food and beverage franchising, such as fast

food, health food, pizza, sandwich shops, ice cream parlor, smoothie, juice bars, cookie shop, candy

outlet, and bakery as well as restaurant franchises. The Food & Beverage sector is expected to touch

45% of growth level in the near future. This may not be the least effected territory but is

undoubtedly one of the safest ones to go in for.

Clothing & lifestyle: Changes in economy and lifestyle all over the globe have

led to an increase is sales of clothing, shoes, jewelry and accessories which makes this a great

industry to try to get into, particularly on a franchise level. People buy clothing, shoes and

accessories quite often based on a brand name. When you buy into a franchise, you are getting that

brand name with it so you are already a step ahead. Thus, this sector offers lucrative franchising

opportunities with people willing to spend adequate amount of money on clothes and accessories.

As consumers want the best clothes for themselves they are ready to make investments too. Thus,

clothing industry will never be out of business if one gets to offer quality products as per the

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demand of the market. Industry statistics peg the Indian apparel market currently at Rs 1389 billion,

growing at a Compound Annual Growth Rate (CAGR) of 12 per cent.

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Growth of small business franchise opportunities in India

India has proved out to be one of the largest industrial hubs with its growing perceptive image. In

fact it has proved out to be a shockproof economy despite of the highly unstable state of the

worldwide economy. Its economy is expanding and opening new doors for various opportunities.

There are numerous types of investment opportunities available for every kind of investor. Even

for the small scale investors there are various small business franchise opportunities available.

The quote ‘Be Your Own Boss’ is being interpreted in true sense. In recent years many people

have left their white collar job for starting their own business as Indian market is flooded with an

array of small business franchise opportunities.

Today 95 per cent

country’s industrial units come under Micro, Small and Medium Enterprises (MSME). This

sector has around 128.44 units (provisional 2006-07), registering a growth of 4.1 per cent

annually are producing thousands of products. The value of production at current prices is

estimated to have increased by 17.9 per cent to Rs. 587,196 crores and the employment is

estimated to have increased to 312.52 lakh persons.

Today there is a void of adequate business resources for small business much more so when they

contribute 35 per cent to national income while corporate contributes 15 per cent to national

income, there has been no dedicated matter created to focus on the needs of small business.

Seeing the scope for the growth of small business opportunities, improving the sales and

marketing capabilities is an important factor. It decides the growth of small business. There are

many cost effective small business growth strategies and tactics that you must understand

properly before implementing them. Thereof, small business should not just maneuver after

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growth opportunities. As driving in speed towards growth opportunities entails a risk i.e. speed is

higher than the anticipated gain of reaching the peak before others. Therefore, it becomes even

more important to predetermine his path and speed in the business plan.

Small business franchising opportunities are thus expanding with each passing day. Looking at

the facts and figures regarding the growth of small businesses in franchising, it is to be said that

such franchising opportunities are not just restricted to food and automotive sector. In fact, each

and every sector too is on expanding mode.

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Franchise marketing plan

As more and more entrepreneurs adopt franchising as a business model, franchisors should draw

a franchise marketing plan laying down specific guidelines to achieve one or more marketing

objectives.

When a company decides to franchise its business, the questions that normally arise are: what

should be its marketing plan, how to get the right franchisee, and what yardsticks be adopted to

recruit a new franchisee. In fact experts believe that the marketing plan is the most important part

of a franchise business plan.

The marketing plan is a written document that lays down the plan of action and specific

guidelines to achieve one or more marketing objectives. The important features

of a marketing plan are:

It is a formal plan and hence has to be in a written form.

Marketing plan is a part of the overall business plan.

Solid marketing strategy is the foundation of a well written marketing plan.

Marketing plan can be for a product or service, or a brand or a product line.

It contains a list of actions.

The plan is for 1 to 5 years' duration

And finally a marketing plan should be clear, quantified, focused, realistic and agreed by all the

parties concerned.

A franchise marketing plan means to conduct a search for an astute franchise, and enter into a

franchise agreement. It's a plan focused on product, audience, awareness and delivery. It enables

you to present on paper a well-thought out model - how you plan to enter the market and what

methodology you would adopt to gain recognition and preference. It also includes why you

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think, it is the good time to start the franchise business. All above devices constitute your

franchise marketing plan.

Subsequently, we should also know the elements of a franchise marketing plan. I would prefer to

elucidate this by using elements of Kotler's Classical Ps of marketing. All the 8 P's are very

much relevant in the Indian context. The 8 Ps can sometimes divert attention from the customer,

but the framework they offer can be very useful in building the action plan. The 8Ps are:

Product: A franchisor needs to discern which of his products can be franchised. Is there a need

for your product/services? One should take a realistic view of the opportunity.

Place and Distribution: A franchisor should be able to select place/places where he could open

outlets and apply distribution strategy. He should be able to decide whether to go for an

individual franchise or for a master franchise at specific places.

Price: Pricing is very important. The franchisor should aptly decide whether to wear a premium

tag or play price game.

Promotion and advertising: This can be divided in two categories - above the line and below the

line. We should devise ways to reach out to the target group effectively, and use appropriate

forms of media, like radio, TV, Internet, brochures etc.

People and organisational structure: People represent the business. The organisational structure

should be designed based on the nature of business. It should essentially constitute a support

structure for the franchisee business.

Physical environment: In many businesses it is called 'look and feel of the outlet. What it

basically means is the ambience created to service the customer. The same would largely depend

on the nature of product or services.

Process: This also means the best practices created to make the business scalable and profitable.

The processes should be created to sell and service the customers and the franchise.

Packaging: The last 'P' applies to franchisors, who are franchising concepts where physical

products are involved. Here, the decision to package the products becomes important.

The 8 Ps constitute a useful framework to decide how the company resources will be

manipulated to achieve the objectives.

Although the detailed plans will cover each of the 8 Ps, the focus will vary, depending upon your

organisation and its specific strategies. A franchise organisation can be categorised into three

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categories, viz., prospective franchisors, emerging franchisors and mature franchisors. We

discuss below the marketing plans for each of these categories:-

Franchise marketing plan for prospective franchisor

A typical prospective franchisor is a small and medium business, foraying into franchising. He

has the profitable, scaleable and duplicable business model which he wants to expand through

franchising. As this franchisor is a first timer, he should implement all the 8 Ps of marketing

plan, with special focuss on 3 Ps, namely:

Promotion and Advertising: As usually, at this stage, an SME company does not have a big

brand name, and finances are tight. It is always a catch-22 situation between how much to spend,

what should be the returns on marketing spend and which medium to use. In the internet age it is

recommended that companies should use internet intelligently. Other efficient media for a

prospective franchisor is direct marketing tools like exhibitions.

Product: A franchisor's decision about launching a product is very significant. All the products

may not be franchisable, even if a product is franchisable, it needs to be modified to suit various

regions and countries, e.g., a vada pav franchise may run in Mumbai but it may not run in Bihar.

Similarly an idli franchise may flop in south.

Price: The decision about pricing is crucial for a first time franchise. Whether to wear premium

tag or allow discount should be decided after an intensive market study of the product.

Franchise marketing plan for emerging franchisor

An emerging franchisor is one who has a good franchise system now, and is desirous to go

national from being a regional player. This franchisor is also looking forward to fast track growth

and is desirous of a sound franchise recruitment plan. For such a franchisor there are four focus

areas:

Place and Distribution: The franchisor should carefully select the areas for expansion. For

example, if a training company wants to expand its presence from north India, it should decide

which next state it should step in. It would make more sense to go to west - adjoining north,

rather than heading to extreme south. It should also decide on expansion model, whether master

franchise, multiple outlets or single outlet franchise.

Price: As the entry is being made into a new region, a survey needs to be done of competition,

price acceptance and product preference in the region. One may have to go for multiple price

points for the same product in different regions.

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People: The entry into the new region demands study of people's tastes, preferences and

customs. Accordingly, the franchisor may have to bring in appropriate changes in his

products/services to make it acceptable to the local people, as also bring in changes in the

organisational structure. I have observed that south based stock market companies have not been

able to penetrate into north India.

Process: As now lot of franchise recruitment and support will happen from a distance. If the

processes of recruitment, on-going support and after sales are not set and implemented, it can

lead to failures or franchise disputes. A case in point was coaching classes franchise 10 years

back they were all regional based and were not able to go national.

Franchise marketing plan for mature franchisor

This franchisor is a leading name in the industry; has 50, 100 or 1,000 franchisees in the country;

is present across the country, and is desirous of going international. It now needs to prepare itself

for international market. Though it is recommended that all the 8 Ps be observed, the following 4

Ps demand extra consideration.

Product: There is some times a lot of difference in the product for Indian market and

international market. In fact the product may have to be adopted for each country separately.

When Indian IT training companies were looking at expanding internationally 12 years back,

they had to translate books in local language like Chinese, Spanish etc.

Place and Distribution: The decision as to which countries and territories to enter, is a crucial

decision again. Lot of factors like competitive edge, support system, local laws of land, etc, have

to be considered. A miss in this decision can lead to failures and it can be a costly affair too.

Promotion, branding and advertising: As the countries of entry are new a decision on all the

three, along with cost consideration has to be taken. In many countries brand name has to be

reconsidered or registered locally before using it.

People: This being the most important area of consideration, support structure, organisational

structure, placement and location of people has to be decided. Also, it should be clear whether

we will export people to new countries or we will employ locals for managing the business.

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Franchising: a kick start business concept

Franchising as a profitable business concept is being employed by more number of

businesses than ever before. Today franchising can be the best available option for the

entrepreneurs aspiring to attain high returns in short span of time. Find out more

Today, whether you are aspiring to expand an existing business or start afresh, or willing to

introduce a new concept, franchising is just the right venture to opt for. The idea of buying the

franchise offers multiple benefits. With minimum risk, less investment, constant support system,

and a popular brand to work with, franchising has become one of the popular business expansion

systems in the world today. This article tries to shed some light on the various reasons for

considering

franchising to start a business.

With its popular brand and established marketplace, a franchisee offers the entrepreneur

significant advantages over any independent business undertaking. Qualification is not a pre

requisite to own a franchise. For example, you need not to be a graduate in business

administration to succeed in a franchise business, as because the franchisor is there to assist you

to establish your franchise business. Moreover, as a franchisee, you need not care about the

sourcing of the products or developing innovative strategies from time to time. Further, taking up

the franchises rather than starting a business from scratch comes with minimum risk factor

maximum returns. Thus, franchising is considered as a profitable concept that continuously

plows through challenges and persistently produces wealth and success.

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In order to be more precise on the various reasons regarding why an aspirant should opt for

franchising, here is a comparative analysis of a franchising business and an independent start up.

These include:

An idea: ‘An idea can change your life’. Starting a business requires an idea about the kind of

business one would like to do. In other words, an aspirant looking to start his own business must

possess great business acumen and needs to do rigorous market research. Starting from his

business lay out, selection of location, investment plans, recruiting and training staffs, marketing

and promotional plans, an individual has to take care of every aspects of business establishment.

On the other hand, if you opt for franchising, you need not to care about all these things. All you

need to do is to choose the right opportunity that suits your pocket and has immense growth

potentials.

Finance: Establishing an independent business entity requires huge investment as you need to

do everything on your own. No doubt, you have to spend money on various other things

(mentioned above) also. But then you require less start-up capital as the franchisor has

eliminated unnecessary costs in the business system. Moreover, access to economies of scale and

making use of the shared resources is another advantage.

Location and layout: Being an independent aspirant, you have to select the location and the

layout of the store on your own. In addition, this could be a difficult task for those who do not

have prior experience in running the business. However, as a franchisee you have the franchisor

to help you select the right location as selecting the best layout for your franchise outlet holds

great importance in the success of the business.

Innovative products and their sourcing: As already discussed, that taking up a franchise

business eases off the burden of creating innovative products and sourcing the material from the

franchisee’s shoulders. While for an independent entrepreneur, this could be a tough exercise.

For instance, in a fast foods business, the owner is involved in making and selling a tangible

product and at the same time, he needs to safeguard the uniqueness of the recipe. Although, the

franchisee need not worry about these things at all.

Staff recruitment and training: For any independent business, recruitment and the training the

staff require lot of expertise and any small mistake can lead to dire consequences. Whilst the

franchisee is often helped by the franchisor in recruiting and training the staff.

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Branding and promoting the business: Unlike independent business, taking up a franchise gives

you the ability to leverage off an already established brand name. Whereas, for an independent

business owner, getting accepted in a competitive market can be expensive, time consuming and

very difficult. The brand equity you get after buying the franchise eradicates this intricacy.

Today, popular brand and superior quality is the paramount elements customers look for while

spending their hard earned money. Franchising is a more convenient option to get started with a

business. In short, buying a franchise over starting an independent business is an intelligent move

to gain good benefits in this fierce competition

Structuring a flawless franchise system

If you are considering the franchise route to expand the reach of your brand presence beyond

certain geographical area, then this article is a must read for you.

Franchising is often considered as an excellent growth strategy for a business but it does not suit

everyone, as it requires great amount of foresight, determination, and hard work. Besides this, a

prospective franchisor is also suggested to do extensive research to ensure his clarity regarding

financial inputs, commitment, and systems that are required to build a strong and sustainable

franchise.

Here are enlisted few points that must be taken into account while developing a

franchise system:

Differentiate yourself in the market: In the brand cluttered market, franchising is one of the

profitable ventures, if you need to make your brand stand out in the market. Apart from the brand

name, you also have to differentiate your franchise system by clearly establishing the reasons

that can convince an aspirant to buy your franchise. A huge amount of hard work is required to

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establish a strong foundation for your franchise business that can attract like minded

entrepreneurs to raise its potentials for growth.

Groundwork for franchising: A great deal of underpinning is required before selling your

franchise. For this, you need to invest a lot of time and money in building a strong business

model that can be replicated successfully anywhere. Being a prospective franchisor, you need to

do a lot of paper work, develop documents (franchise agreement, operating manuals and so on),

marketing collaterals to support and sell the franchise, facilitating training, and support for new

franchisees. Once, you are done with these pre requisites, you need to advertise the requirement

of franchisees to expand your business. For this promotional activity, you can use various media

such as:

Print media: It is the oldest and most authentic mode of promoting a business and seeking

franchise partners. However, this medium takes longer time to reach out to the target readers, but

still it is one of the reliable mediums to communicate to the readers.

Electronic media: This is the fastest mode of communication and now has enough options under

the tag ‘electronic media’ such as TVand radio.

Internet and social networking: The best and cheapest way to seek franchisees and promoting

a brand name is to make use of the social networking websites.

Create a win-win relationship: As a new franchisor, your main focus should always be on

creating a win-win situation rather than minting money in the name of franchise fee and royalty.

You have to keep yourself in the place of a franchisee and then design the franchise system for

your business. You have to reasonably structure your franchise fee and royalty thereby giving

them enough room to yield a good return over investment. Being a franchisor, you should always

keep in mind that franchisees are the route to revenue for your business.

Carefully select your franchisees: Never select your franchisees solely on the basis of their

ability to invest money. Always have an eagle’s eye while selecting your franchisees as everyone

cannot fit with your brand and business culture. You must carefully analyse the interest of the

franchisee and his business acumen that can drive the business towards new heights. Being a

franchisor, you must design some eligibility criteria and stick to it while selecting your

franchisees as the fate of your franchise expansion depends directly on the success of your

franchisees.

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Building a strong support and training system: During the initial phase of the franchise

business establishment, the franchisees need some hand holding. Being a franchisor, it is your

duty to ensure efficient training and strong support system for your franchisees. However, the

success of the franchisees depends on the ongoing support system.

These are few tips that a prospective franchisor must keep in mind before taking up the

franchisor’s seat. Being new in the business, you are surely going to face some problems.

However, building a strong foundation is the way towards developing a sustainable franchise

business.

Building a winning franchise

Till date, inestimable content has been written on franchising and its benefits. No doubt, people

have acknowledged franchising as a successful business model, but still there are numerous big

business brands that have kept them detached from franchising. Let us investigate into it.

Franchising, as we all know has proved to be a successful business model for expansion and

growth. It is also a proven method for aspiring entrepreneurs to fulfill their long cherished dream

of becoming a business owner. Despite the fact, there are various well known brands that are still

not in favour of taking up the franchise route, and prefer to suffer losses than considering

franchising.

Reasons for not taking franchise route

Let us find out the

various justifications these brands are giving for not opting franchising:

Franchising not apt for large format stores: Brands running large format stores believe there

is hardly any large-format retail model that runs on a franchisee network across the globe.

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Expansions on larger scale require fast decision-making, stable adjustment to changing

requirements.

Franchising weakens the business model: Another reason the non-franchise companies give

for not preferring franchising is that following a franchise route for expansion will dilute the

business strategy, developed over the years.

Huge investments: These non-franchise brand owners also consider franchise model expensive.

It requires lot of investments in terms of technologies, mechanism, and strategies. The training

involved with the usage of these, requires huge investments, which is a costly affair from a

franchising perspective.

Time constraints: Franchising is a time consuming business model and needs lot of patience.

These days when businesses are growing at a tremendous pace, the profit outputs generated on

franchise investments takes lot of time which is not acceptable. All these factors are best

addressed through a business model based on company-owned stores then franchising.

Franchising preferred for small formats: All big companies believe that franchising is an

excellent business mode for small format stores, as it is easy to manage and organise them via

franchise route, However in case of large format stores company owned and company operated

model are suitable.

Despite the above mentioned reasons for not taking up franchise route for expansion by big

brands, there are companies that are attributing their success to franchising. These companies

believe that there are other best business models than franchising if a strategy is planned in

advance before taking up the franchise route. However, the most preferred way forward would

be to initially test the company owned model in order to understand the basics of the business

model itself before considering franchising. Besides, if these steps are followed before taking up

the franchise route, then success will follow soon.

Plan your franchise right for success

Franchising is a rewarding business model, provided you plan your franchise strategy right and

after through research.

Market research: Try to learn what your competitors have done that worked or that did not

work, either by personally visiting different companies as a customer, or by watching their profit

graphs during various promotions or sales operation.

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Create a business model: It is always advisable to develop a business strategy which makes you

stand out in the industry. Use the data collected during market research to do this. A franchise is

successful for the reason that though it is similar to other businesses, but it offers multiple

benefits, which sets it apart from others.

Funding advantage: Unlike funding an independent business, franchise can be easily financed

through a bank loan, or grants from the Government or from individuals/entrepreneurs that

support your industry because of its brand identity.

Plan the business right: The business plan should mention everything that separates you from

competition, providing estimate of revenue potential and how the franchise is expected to

operate. Send the copies of the plan to the funding sources.

Disclosure Document: Prepare a standard disclosure document (required by the Federal Trade

Commission) and register (if necessary) with the state.

Documentation: Prepare documents for all the systems required to run the franchise and

develop a training system complete with a written manual.

Promotional strategy: Develop a strong promotional strategy to market and develop the brand.

Search for efficient franchise partners: The franchisees are the life line of any franchise

business. So the franchisor needs to pay special attention while looking for franchisees.

After reading the above pointers, I am sure that all those big names of the business world who

are not favouring franchising will definitely reconsider their business strategies. You never

know, tomorrow we may see some popular business houses foraying in to the franchising

world.

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INTRODUCTION

Monginis traces its roots back to its humble beginning, to a time when it was a favorite with the

Europeans in Mumbai. Little excuse was needed for the Englishman to pick up a Monginis cake

whenever there was an occasion in his family. A birthday, an anniversary, a wedding or even tea-

time would not be complete without Monginis.

The shop, located in Mumbai's Fort area, was a favourite with Europeans. Run as it was by two

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Italian brothers, Monginis was a must at every celebration. Even then Monginis cakes, pastries

and savouries were baked to perfection and were in great demand.

In the 1960s, Monginis was bought over by the Khorakiwala family and after that history was

made. By 1971, the idea of having a nationwide franchise network and reaching out to customers

in their neighborhoods was born.

Today: The 42,000-sq-ft HACCP certified headquarters of Monginis is the place from where all

the yummy stuff emerges from. It is the nationwide headquarters, to which all manufacturing and

cake shop franchisees report. It is the fountainhead of ideas that are goodenoughtoeat.

The Monginis headquarters is also a model bakery with state-of-the-art manufacturing facilities

designed to produce a wide range of cakes, gateaux and pastries, tongue-tickling savouries and a

variety of any-time snacks. Here quality assurance steps at each and every stage of the

manufacturing process ensure world-class soft n fresh cakes, snacks and baker's ware.

Monginis headquarters has a well-equipped lab and has gained the HAACP certification since

past 2 years for maintaining and assuring best of the Hygiene and quality standardsof our

products and for our customers.

Recently, Monginis commissioned a factory at Bhiwandi near Mumbai admeasuring 6 lakhssq.ft.

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Ideas and Innovations

Ideas and innovations make it possible for the high-level excitement to be sustainedinthe brand.

• Pioneers of a fantastic Cross delivery System which connects 11 manufacturing Franchisees

through an intricate network to simplify the means so that your beloveds can get a cake delivered

in any part of India ordered from anywhere in the world.

• A helpline 022-40786702 attending to customers to assist to make any Celebration possible

even at a short notice.

• An Interactive website which allows online bookings of our products from all across the world

to be delivered in parts of India, where we have a presence.

• Pioneers in the introducing corporate cakes with Company Structures, logos and Products too.

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Birthday Cake story

History of Birthday Cakes

Cakes date back to ancient times; however, they were very different then. According to food

historians, ancient Egyptians were the first to show evidence of advanced baking skills. The

ancient Greeks made round or moon-shaped honey cakes or bread and offered it at the temple of

Artemis:The Moon Goddess.

A later tradition of birthday cakes started in Germany in the middle ages. Sweetened bread

dough made in the shape of baby Jesus, in swaddling cloth, was used to commemorate his

birthday. This special birthday cake later re-emerged in Germany during children's birthday

celebrations a.k.a. Kinder Fest. Germans also baked another special kind of layered cake called

Geburtstagorten. This was sweeter than the ubiquitous coarse, bread-like cake.

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Progress, a Sweet Progress

The first icing was made from a boiled composition of the finest available sugar, egg whites and

various flavors. It was then poured on the cake, which was put back into the oven for a while.

The cake was soon crowned with a hard, glossy, ice-like covering. Molded cakes and fancy icing

was hugely popular in Victorian times. The art of baking cakes progressed through the ages, and

it was not until the middle of the 19th century that the modern cakes as we now know it was

born. The taste and appearance was enhanced with extra-refined white flour and baking powder

(insteadof yeast).

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About Monginis: The Story of the Rising Cake

Monginisis a major Indian pastry, cake and general bakery chain, based in 11

Indian cities like Mumbai, Kolkata, Hyderabad and Cairo, the Capital of Egypt. The Monginis

brand name originated over 100 years ago, when 2 Italian brothers set up a catering firm in south

Mumbai.

Monginis catering service including cakes, pastries and savories were in great demand. To the

last detail, complete with a wedding cake it was Monginis that breathed life and fun into the

European wedding in Mumbai. After it was bought over by the Khorakiwala‘s in 1960‘s, the

brand has remarkably grown to become thenational leader in cakes.

In 1971, for the first time in India, a plan of having an exclusive franchise cake shop was

conceptualized. Mr. H.T. Khorakiwala, the founder president of national association if bakery

industry, who spear headed the operations, realized that to grow it was necessary to focus on

production standards and distribution. The retail management was best left to the shop owners

who were in a better position to offer personalized services to the customer.

The success of the first franchise cake shop sparked off a getting up of a chain of franchise cake

shops all across India, which is nearing the 500 mark. Monginis has emerged as one of the

largest food store in India. At the sprawling 150,000 sq. feet combined manufacturing facilities

in Mumbai and its twin city Thane. The organization today owns the state of art manufacturing

facilities to produce a whole range of cakes and bakery products both Owen fresh and supplied

daily to all cakeshops.

25

COMPANY PROFILE:

BasicInformation

CompanyName: M/s.MonginisFoodsPvt. Ltd.

BusinessType: Manufacturer

Product/Service Cakes, Gateaux,Breads,Burgers,Savouries

(We Buy):

Cookies

Address: Shop No. 9, Pritam Estate

Opposite Babubhai Jagjivandas

Dadar East, Mumbai-400014 Brands: Monginis,Pita Wich

CompanyWebsite URL: http://www.monginis.net

Ownership & Capital

Year Established: 1971

OwnershipType: Partnership

Legal

BusinessOwner

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FACTORY INFORMATION

FactorySize: 30,000-50,000square meters

FactoryLocation: Off. LinkRoad,

Opp.CityMall,Andheri(West),

Mumbai- 400053

QA/QC: InHouse

No.of ProductionLines: 8

No.of R&DStaff: 5- 10People

No.of QC Staff: 5- 10People

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OTHER DETAILS

Core Vision

Values

Quality

Privacy Policy

Terms and Conditions

28

Core Vision

Every organization operates itself with a vision in their mind so that the activities of each

and every person involved with the organization leads to same direction. The core vision of

Monginis is as follows:

1. To help people celebrate their happiness and make those moments memorable in their lives.

2.All Monginis products and services shall be offered with the same love, care and

affection as if; they were meant for the most beloved person (or a family member).Creating

value-for-money products without compromising on quality in terms of taste or appearance.

3.Good intentions in dealing with one another amongst the stakeholders (shareholders, suppliers,

employees, franchisees, dealers and consumers) breed (or yield) good products and services.

4. Our vision is to become a national cake company with one thousand Monginis cake shops

through forty manufacturing franchisee units spread over the metrocities of India.

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Values

Monginis follows a simple "doughnut principle" whereby the customer remains that valued

creamy centre around whose satisfaction all activity revolves.

1. We shall make products, keeping in mind the feelings of the end consumer in mind, be it son,

daughter, father, mother and make the products with the same love and affection as it were made

for a family member. We strongly believe thatgood intentions breed good products.

2. Value for money: We shall offer consistently value for money products.

3. Fairness: We shall be fair in all dealings with the stake holders (shareholders, suppliers,

employees, franchisees, dealers, consumers).

4. Monginis shall constantly strive to build strong relationships based on

understanding each other and mutual cooperation;

5. We shall value and respect the contribution of all Monginites from workers to senior level

managers, suppliers, service providers, franchisees and dealers.

6. Excellence: We shall constantly innovate and maintain excellence in our day-to- day work and

in the quality of the goods and services we provide.

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Privacy Policy

Monginis Foods Pvt. Ltd. does not sell, trade, or rent our personal information.

1. When Monginis Foods Pvt. Ltd. uses other agents, contractors, corporations or business

partners to perform services on its behalf or as part of a joint promotion, Monginis Foods Pvt.

Ltd. will ensure that this entity protects the user's personal information in a manner,

which is consistent with the aforementioned statement.

2. Monginis Foods Pvt. Ltd. may provide aggregate statistics about their customers, sales,

traffic patterns and elated site information to reputableagents.

3. Contractors, corporations or business partners, but these statistics willinclude no personally

identifying information.

4. An industry standard for encryption over the Internet, to protect the Data. When we type in

sensitive information such as credit card details, it will be automatically converted into codes

before being securely dispatched over theInternet.

5. If we make an online booking with Monginis Foods Pvt. Ltd., they will record our personal

details. Our data may be used for the following purposes: accounting, billingandaudit,

credit orotherpaymentcard verification, security, administrative and legal purposes,

systems testing,maintenance and development, customer relations and to help them in

anyfuturedealingswithus, for example by identifying our requirements andpreferences.

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QUALITY

ISO 22000: 2005 Food safety management system certified organization.

Monginis Foods Pvt. Ltd is now an ISO 22000: 2005 food safety management system

certified organization. We were certified by SAI GLOBAL, and the registration covers

production and supply of cakes, pastries, cookies, chocolates and savories. Monginis Foods

Pvt. Ltd has a well devised food safety policy which penetrates to the root level and ensures

food safety and security to the customers.

Monginis was awarded HACCP certification in 2005.

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Terms and Conditions

1. Product price mentioned is inclusive of delivery charges, local taxes and

transaction fees. Hence, no additional charges are applicable to the product.

2. Orders are accepted from around the world, for deliveries only in select cities of India.

3. Lead time for deliveries is 3 working days.

4. All deliveries will be executed between 12 noon - 6 pm.

5. Unavailability of the recipient, for any reason will be treated as cake delivered.

6. There will not be any refund of money in case of incorrect recipient's shipping address /

telephone number.

7. On account of unforeseen circumstances like floods / natural calamity / etc. The delivery

service may be withdrawn.

8. We deliver cakes only in our defined cities shown in the store locator.

9. All cakes are delivered in boxes, along with a gift card for personalized messages.

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FESTIVE OCCASION AND IMPORTANT DAYS

Birthdays and Anniversaries

Festivals

Friendship Day

Monginis has something to offer for every important day in a person‘s life. People trust

Monginis whenever they think of gifting cakes to their near and dear ones for their birthdays,

anniversaries, house warming ceremony or for any other occasion like Rakshabandhan,

Bhaidooj, Christmas, Sankranti, Easter, Holi, Fathers

Day, Mother’s Day, Friendship Day, Teachers Day, Children‘s Day, Valentine‘s Day, New Year

Day, etc. You just name the occasion and Monginis will give you the signal “Go Ahead

Celebrate”.

Every state in India is famous for its festivals it celebrates.

Ahmedabad is also called Karnavati and Amdavad. Ahmedabad is famous for its diversified

culture and various festivals such as Uttrayan (Festival of Kites), Navaratri (Festival of

RasGarba), and Rathyatra (Festival of Lord Jagannath). Looking at the speed at which the city

was progressing, Monginis felt a need to be present there and began its operations in the year

2003. Today Monginis has 17 exclusive cake shops in Ahmedabad. In the city of Ahmedabad

cake shop of Monginis means a treasure of cakes made with exotic flavours, variety of shapeand

in different sizes.

Fifteen million people live in Mumbai - industrialists, film-stars, artists, workers, teachers and

clerks - all living cheek-by-jowl in soaring skyscrapers and sprawling slums. They come from

diverse ethnic backgrounds and speak over a dozen tongues, adding colour, flavour and

texture to the Great Mumbai Melting Pot. Mumbai a commercial capital of India is also home

to Monginis. Monginis has 180 exclusive cake shops in Mumbai alone spread across the length

and breadth and covering virtually every part of the city.

Birthdays and Anniversaries

34

These important days are celebrated by each and every one with great excitement and

enthusiasm. People never stop celebrating, especially birthdays. It‘s once in a year occasion,

which no one wants to skip. The joy of sharing happiness issimply irresistible. Monginis have

come up with the widest variety of birthday cakes.

Wedding is one of the most important days of one's life and cakes have become an integral part

of this joyous celebration. Special wedding cakes, like the ones in the wedding cake special

range by Monginis, make the occasion even more special. Monginis, a leader in Cakes offers

wedding cakes like bashful blush; Indian wedding theme; Lilac cascade and ecstasy in ivory.

These are the most popular wedding cake variants which can be customized as per the

customer‘s requirement.

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Festivals

Festivals like Christmas, Easter, and RakshaBandhan are incomplete without sweetness. To

make such festivals more delightful and add sweetness to such days Monginis is always the right

choice. Cakes in various shapes and designs forexample Santa Claus cake, X‘mas Tree cake for

Christmas; Easter egg shape forEaster celebrations, Rakhi shaped cake showing a feeling of

warmth between a brother-sister relationship.

Friendship Day

Human beings flock together and have always valued the importance of friends in their lives. To

celebrate this noble feeling it was deemed fit to have a day dedicated to friends and friendship.

This beautiful idea of celebrating Friendship Day was joyfully accepted by Monginis.

This Friendship Day, share the sweetness of your friendship with the latest range of Cakes

especially designed for this memorable occasion. Monginis has introduced Rose for a Friend

Cake‘. Throughout the year, you & your friends haveshared a lot of special moments; you‘ve

laughed together, cried together, had bothgood times & bad; so go ahead & celebrate this day.

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Marketing Mix of Monginis

1. Product:

Monginis has wide range of products; their main product being fresh cakes for all occasions.

Monginis also has chocolates, pastry and cake and chocolates combo in their product line. It also

sells packaged cakes which are available at their stores and also at other retail stores. Monginis

also has different kind of breads and a variety of snacks for dine-in customers in veg and non-

veg variety. It has also started home deliveries and online bookingand gifting system.

PRODUCTS

Personalised Birthday Cakes/Pastries and more:

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Every area has a new hangout, a cake shop! The cake shops differ in variety, quality, price and

more. The oldest known brand of cakes is Monginis. Thisis brand which owns the maximum

number of outlets in the city. Some of the flavours of Monginis include: Black Forest, Dutch

truffle, Butterscotch and Pineapple are some of the popular choices. The range starts from

Rs.150 for half kilo cakes and so on. There are a variety of cakes one could choose from for their

kid’s special day. To mention a few cakes, of fancy shapes like alphabets, numerals and

cartoons.

The other famous cake shops are Ribbons &Ballons,Merwans, Birdys, Cakes & More, Croissants

and more. The cakes can range from a minimum of Rs.150/ and go up till an approximate of

Rs.1500 too. A kilo of blueberrycheesecake is a total hit the season. For kids, cartoon characters

like Mr.Bean, Doremon, Ben10 etc are charged somewhere in the same figures. They have the

most delicious array of cream cakes, fresh fruit cakes and a variety of fancy cartoon-shaped

cakes. At Rs.400 a kilo for the fancy cakes, it definitely is value for money. The new fantasies of

personalised cakes are 'Photo Cakes'. An imprint of the image of your loved ones or your child

on the cake is a hit amongst children. These could range of an approximate Rs.500 a kilo. Check

out the list of cake shops below to know more and block it for your love, your child!

38

Party Preparations/Kid's Birthday Party Requirements/Event Organisers:

So for the perfect look now! Most of the gift shops or even kirana stores sell the stack of

streamers, balloons etc. It is a big NO-NO to buy from them. Reason being there are various

stores now who would sell you cost qualitative products. It would be wiser to choose from thier

lot and plan a wholesome birthday for your little one. Party Hunterzz, a store in Mumbai is

famous for the entire elegant as well as wicked shopping decor you would need for a birthday.

For a teenager's neon theme party you would find ample variety of neon glasses, light tiaras,

badges with beam lights etc. The Party Shop at Crawford Market is a good deal to buy the stuff

too. It is like a one stop shop for your party needs.

The place a variety of balloons, streamers, face masks , party caps and birthday banners,

disposable plates and glasses, birthday candles and paper napkins. Party decor is one the most

required item in a birthday, unless people like us suggest you to go for personlised theme event

birthday organisers. Mentioned below are some of the best ones who organise birthdays from the

range of Rs.3000 to a whooping of Rs. 2.5 lakhs! So bacha parties look out for them and suggest

your mummas and papas to hire them. For parents, get rid of the event planning tension and be at

ease at your little naughty one's birthday!

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Return Gifts/Memorable:

Some of the most replicated gifts like tiffin boxes, piggy banks, stationery kits, puzzles, pencil

pouches and much more! There are so many other articles like play art, shopping

vouchers,funskool gifts, monopoly, chart area and other board games which With the mind

boggling range available in the market, it is indeed very difficult to choose the perfect return gift

for your little one’s special guests. The best thing is to buy in bulk! The Party Shop in Crawford

Market, offers many return gift options like fancy pencil sets (Rs.10-20), crayons / paint sets

(Rs.35-80), water bottles (Rs.90 onwards) and wrist watches (Rs.95 onwards) and so on.

Premsons Bazaar also offers a variety at competitive rates. Pick up fancy straws, funny glasses,

puzzles, pouches, slings bags between price ranges of Rs. 35-200.

For teenagers, personalised mugs, photo-frames, T-shirts etc are an added delight for the youth

gifting. Though, these are well recieved here than given by teenagers as return gifts. It would be

too kiddish right chicas? So either way considers the options for gifting. These gifts range

between Rs.100 and Rs.200.

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Monginis Products At A Glance

Monginis sells itself as "The Cake Shop ", producing ready-made as well as order-made cakes

for catering and carry-out. Individual cake slices are also kept in Monginis stores for dine-in

customers. Be it chocolate cakes or cakes in general, Monginis has mastered the art of making

cakes over a period of time. A specialist in making cakes begins right from selecting right quality

ingredients in precise quantities, blending them together to the best of knowledge and baking to

the level of perfection. The soft and moist sponge so made is then sumptuously layered and

coated with cream flavored with dark chocolate or milk chocolate or with various fruit flavours.

The chain sells both Indian and Western savouriesincluding samosas, cutlets, puffs and

doughnuts. Apart from these, snack foods and breads are also sold at Monginis shops.

Monginis has a product line for diabetics, and offers themed products duringDiwali, Christmas,

Easter, EID and other festivals.

Fast food Snacks include more than 50 items like Burgers, Pizzas, Patties, Cornato (bread

cone with garlic chicken), Cornizza (veg version), Hotdog & so on.

Monginis produce more than 30 different gateaux primarily in round, square and heart shape

both in egg and eggless category. Monginis has cakes in regular, premium and super premium

segments in which Black forest, truffle Dutch premium Shimmer and premium Zanzibar are

most popular cake family among customers.

2. Price

Price of Monginis cakes is reasonable as compared to its competitors. The prices of cakes vary

on their size. On an average a half kg cake would cost something around 200 and it goes up to a

1000 depending on the size and the flavor.

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3.Place

Monginis cake shop is present in 12 major cities in India. It has around500 retail outlets or

franchise all over India. All the cities have a production unit from which the goods are supplied

daily. Goods which are unsold are taken back by the company and are given away in charity if in

consumable condition or else destroyed.

Manufacturing Franchisee Network

CITY YearofEstablishment No. ofCake Shops

Mumbai 1972 165

Kolkata 1991 115

Pune 1995 48

Hyderabad 1996 7

Rajkot 1998 10

Nasik 1999 10

Goa 2000 29

Baroda 2000 24

Ahmadabad 2003 19

Surat 2004 14

Orissa 2005 5

Now Monginis, after launching its 4th successful Bake Shop in Hyderabad is all set to open the

same in other cities. In the Bake Shop, customers will be able to view freshly baked products

coming out of the oven and cakes decorated in their presence.

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4. Promotion:

Monginis has used media such as TV, print, web, hoardings, etc. to advertise its products. It

regularly comes out with offers on festive occasions.

Recently to promote its cakes and chocolates it came out with a range of a special cakes and

chocolates for all those SSC (Xth Standard) students who passed out this year. It has also

planned for chocolate baskets for the boys and girls. The successful boys can be gifted with a

blue coloured basket filled with assorted chocolates and decorated with a Doll (Boy). And,

similarly the girls can be gifted with a pink coloured basket filled with assorted chocolates

anddecorated with a Doll (Girl).

BRAND MONGINIS

Monginis is a leading brand of cakes in India. Generations have grown celebrating their

birthdays with Monginis cakes and thus it has become synonymous with the Cakes. Making

cakes is an art which Monginis has acquired over a long period of time but converting it into a

viable business model was an icing on thecake. Today, brand Monginis stands tall on certain

basic values like – consistentquality, continuous innovation, value-for-money offerings and

availability closest to the consumers.

43

At Monginis follows a principleofcreatingbrand ambassadors. Brandambassadors are not the

celebrities who advertise the brand for money but common people who after experiencing its

products get satisfied and share their experiences with their near and dear ones. Product

innovation is a hallmark of Monginis. In this ever-changing world, the Cake designs, flavours

and recipes keep changing. Monginis has a strong product development team which keeps a tab

on the current trends and keeps making necessary alterations or develops new products

altogether.

A tight control over the costs without letting the quality deteriorate is a skill acquired by the

management team of Monginis through its experience of over 25+ years. The cost advantage

gained is then translated in the form of valuefor moneyproducts for the end consumers.

Both physical and psychological accessibility for the consumers comes to a brand after years of

hard work and personal attention. And Monginis strongly believes that the consumer should

reach to its products without much effort and he /she should feel comfortable while entering and

dealing in its shops. Monginissales staff is adequately trained in such a way that they not only

44

sell the products but also make the consumers comfortable. They also do a considerable

missionary work of educating the consumers on cakes.

"Most Admired Retail Food Chain - Metros" Awards 2009-2010

Monginis wins Award "Most Admired Retail Food Chain - Metros" By Shoppers

Consumer Insights Retail Asia Congress 2009-2010. Award Received by Mr.

KumailKhorakiwala - Joint MD Monginis Foods Pvt. Ltd.

45

Monginis Clients

Few of Our valuable and prestigious clients:

1. Indian Railways

2. Titan industries

3. Wipro

4. Tata Group

5. GTL

6. Pantaloon Retail India Ltd.

7. TCS

8. Alkem Laboratories

9. Tata Teleservices

10. Aditya Birla Group

11. Patni Computers

12. WNS

13. Glenmark Pharmaceuticals

14. Kores India Ltd.

15. MGL

16. CGSL – Citi Group Services Ltd.

17. Big 92.5 FM

18. Erica Pharmaceuticals

19. Saifee Hospital

20. Mahindra inter trade

21. SAMSUNG electronics

22. LG ELECTRONICS

23. ICICI prudential life insurance

24. Life style international

46

47

LOGISTICS MANAGEMENT

Logistics is the management of the flow of goods, information and other resources between the

point of origin and the point of consumption in order to meet the requirements of consumers

(frequently, and originally, military organizations). Logistics involvesthe integrationof

information, transportation, inventory, warehousing, material handling, and

packaging, and occasionally security. Logistics is a channel of the supply chain which adds the

value of time and place utility.

Logistics management is that part of the supply chain which plans, implements and controls the

efficient, effective forward and reverse flow and storage of goods, services and related

information between the point of origin and the point of consumption in order to meet customer

and legal requirements.

The backbone of any business is logistics. Monginis receives orders from the retail shops in the

night a day before and all the products are manufactured throughout the night and the shops

are supplied through company vans by early morning. All the products need to be delivered

within a span of 1 – 3 hours’ time andthey follow the rule ferociously. All their vans are

insulated and even carry insulatedshippers.

Some of the vans are refrigerated, which ply on the long routes. A single van generally covers 3

to 4 Monginis shops‘orders so that they can deliver the orders on time without any delays.

They have a set of guidelines for logistics and their staff in the shops. They are well trained on

these aspects and these guidelines are strictly followed. They also conductsurprise audits, just to

ensure that the quality of the supply chain is maintained.

48

ORDERING SYSTEM

As mentioned in the earlier topic of logistics about when the retail shops place their orders for

the next day it is equally important to know how their ordering system functions.

Initially Monginis retail shops had to follow the telephonic ordering system.

In this method they were provided a telephone help line number. The head of the retail shop have

a checklist of items which contained all the items which Monginis prepares. The person has to

place orders in different categories of cakes, pastries, savories, and namkeens etc. as per their

requirements for the next day.

This required manual efforts and was very time consuming method of order placing as the person

has to name each and every item he requires. Also there were chances of mistakes being

committed because of certain communication barriers which could lead to losses both to the

bakery and the retail shop. To replace this method they came up with the fax system for placing

orders. The fax system of placing order was practiced for a long period when the need for more

innovation wasrequired now with increasing use of technology and innovation in every

sector, Monginis has also come with a modern method for placing orders called as

E-orderin, this method involves placing orders through net. It involves use of the most popular

and appreciated way of communication that is internet. This method can be much relied upon for

quick placements of orders and does not involve any tedious task.

Under this method, every Monginis retail shop has to load a Dealer Software provided by

Monginis in their computers. This software provides all the necessary facilities for placing order

like for example the time of order, any particular shape for a cake, proper weights available in

each category etc.

A proper diagrammatic representation of how E-ordering functions is shown inthe file

presented separately.

49

TRAINING SESSIONS AND MONGINIS ANNUAL MEET

Training sessions

Annual get-to-gather

Training Sessions

Monginis known for its excellent services with which it treats all its customers is the result of the

excellent training sessions that are regularly conducted by Monginis for both the owners as well

as the staff that is appointed by them. These sessions take place in the form of presentations by

head of departments or senior manager or by any important person holding an authority at a

higher position. The person owing a Monginis franchisee is expected to attend the meetings and

seminars regularly as and when scheduled by Monginis so as to improvise their service quality

and attract more and more customers and satisfy them in order to turn customerretention into

customer loyalty towards their products.

The training needs more of onthejob training which is provided in their model shops, where most

of their successful franchisees train the new franchisees. Monginis sales team provides directions

throughout the training programme and keeps providing additional inputs wherever required.

Apart from extensive training to franchisees before the shop opens, they also provide a lot of

support after the shop opens till it stabilizes, in terms of operations. They are also made aware

50

about the rising competition in Bakery line and how they can come up with innovative ways and

ideas of displaying their products.

The owner of the shop wishes to see his staff working the same way and with same dedication as

he works to earn profit. Sales staffs are given training through regular sales programmes about

how to display the products well, how to sell the product and also simultaneously make

advertisement for their other products. For eg: when a staff member is selling a cake to a

customer he should also ask or advertise or convince the customer to buy candles or a knife with

it. The basic aim of these trainingis to develop communication skills of the staff in order to sell

the products to thecustomers with respect and politeness.

Monginis Annual Meet/Celebration

Monginis holds an Annual Meet or Celebration Party every year during the period of March or

April in which it invites all the dealers of Monginis of that particular city where the party is held.

The main objective of this get-to-gather is to bring all the dealers close to each other, know each

other well, so that Monginis can function as one big united family.

The party usually starts in the evening. Different varieties, shapes, weights of cakes of various

designs or characters are displayed for the dealers to take a look at those as they arrive at the

party. New variations, introductions in savouries and cakes are informed to the dealers,

introduced by the Monginis bakery. Dealers are also given samples to taste and suggestions are

expected from them. This is followed by a small conference meeting by the dealers, head of

departments and the top management of Monginis in which important discussions are made. It

also consistsof the growth report about Monginis as a whole.

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Why should one select a Monginis Franchise?

On selecting a Monginis franchisee one becomes the immediate beneficiary of trademark

and goodwill associated with them and acquired over more than 35 years.

Guidelines on various aspects for starting a Franchisee manufacturing unit

including site selection, estimation of project cost, infrastructural requirements, related

government formalities, parameters for assessing the potential of business in the area etc.

Minimum risk in the selection of right machinery and equipments with proper installation

and start up.

Assistance and time to time guidance in the stage wise completion of franchise unit.

Popularity of brand ensures short lead time and good sales response from day one.

Complete guidance regardingopening of franchise shops, like selection of location,

shop infrastructure, internal decor, training of dealer salespersons etc.

Access to new formulations, product recipe, specifications, expansion programs,

operational manuals etc.

Initial training provided at the Monginis Headquarters in the areas of – Finance,

Taxation, Systems Sales skills of your Field Staff Shop sales skills and shop management

Training in Production Processes on the shop floor.

Training on the job extends even after unit starts operations, with key company persons

remaining there to weed out the teething problems and assist you inensuring quality

standard.

52

MONGINIS SEEKS FRANCHISE

A Monginis franchise in Galleria Mall of Hiranandani Gardens, Powai.

Monginis, a Mumbai based leading bakery chain, is all set to open 50 new outlets via the

franchise route by the end of 2010. The company also plans to double its retail distribution from

the current retail network of 15,000 stores across the country.As told to Abha Garyali of

Franchise India Holdings Limited (FIHL) by

Virendra Ghole, Marketing Head, Monginis, We have set a target of adding 50more shops by the

end of this year, to our current number of 558 shops in 38 cities.

53

Analysis Report

There was a mixed reaction of the people as per their variant choices but as per my

analysis I found that majority of the people were eager about Monginis coming up with

some kind of Health Drink may be fruit juices etc.

Other category that was focused upon was Sugar-free products for diabetic people.

Some other choices mentioned by people surveyed were more varieties in Savories,

Macaroni products, French Fries and White and Brown Breads.

CUSTOMER RELATIONSHIP MANAGEMENT

54

What kind of “Gifting Programmes” Monginis can handle?

1. Monginis can create a special bonding between you and your Customers /

Clients.

2. Monginis can cater to your “Shareholders” and win them over.

55

3. Monginis can also help you in keeping your Employees happy.

4. Monginis can also handle the prestigious Corporate Special occasions.

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CHAPTER 5

CONCLUSION AND SUGGESTIONS

Finally from the project I have got a complete idea about Monginis and how well it has

been successful in maintaining its hold on this tough market competition. Every

business in today‘s market situation is surrounded by number of challenges and

competitors but how a company deals with them is very important. Even while facing

tough competition Monginis is able to maintain its product‘s prices to affordable level is

a major achievement.

Thus Monginis punch-line rightly says, “Go Ahead Celebrate…”

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WEBILOGRAPHY

www.monginis.net

www.marketing91.com

news.franchiseindia.com

www.franchisebusiness.in

bakerybazar.blogspot.com

http://www.monginis.net

http://yummycakes.blogspot.com

BILIOGRAPHY

1.Mary Berry's Ultimate CakeBook by merry berry,2006

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