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Franchise Network - Food industryFranchise of Ice Cream chain – Why? , How? , T&C
By
Prakash .N 250
Vivek Kumar 187
Yarroju Srimannarayana 278
Vishak John Thomas 168
Athul K Baby 333
Chirantan Ghosh 190
3/31/2015 Franchise - Food Industry 1
Baskin Robbins
• World’s Largest Chain of Ice Cream Specialty Stores
• More than 7300 Retail Stores around the globe
• In more than 50 countries
• Headquartered in Canton, Massachusetts
• Baskin-Robbins is part of the Dunkin' Brands
• On 12th December 2005 Dunkin' Brands was acquired by a U.S.
investment group of Bain Capital, Thomas Lee Partners and the
Carlyle Group
Introduction
3/31/2015 Franchise - Food Industry 2
Sales & Distribution Management
Baskin Robbins India Operations
• Entered India in 1993 through a JV with the Graviss Group
• Now present in 150 Cities / Towns with 550+ stores
• The brand is available across India, even in far off cities like
Guwahati, Shillong & Dimapur
• 1st Manufacturing plant outside North America opened in Pune
• The company has a dedicated team of people ,well trained in the
hospitality industry
3/31/2015 Franchise - Food Industry 3
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Sales Management
Kwality Wall's
• Kwality Wall’s is present in India since 1993
• Hindustan Unilever limited is parent company of Kwality Wall’s
• India's largest FMCG Company that touches life of every 2 out of 3
Indians
• “Unilever” is the world's biggest ice cream manufacturer, with an
annual turnover of €5 billion
• The red and white heart brand is a major producer and distributor of
frozen dessert products in more than 40 countries
• Kwality Wall’s has around 7000 vendors
Introduction
3/31/2015 Franchise - Food Industry 4
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Ice Cream Parlour Concepts
European concept launched in 1994 in Netherlands
• Has over 500 parlours across the globe
• Launched in India in 2004, and there are now 51 Swirl's parlours
• Core concept - 'Create your Own' ice cream
• Attempt to capture the 'on the move' consumer trends
• Located at high footfall areas such as malls and shopping centers
• Classified under the impulse range of products
Area required
For Kiosk - 8ft X 8ft
For Exclusive shop - min of 12 ft frontage and size of 100sft carpet area
Investment
Kiosk - Rs.6 Lacs onwards
Exclusive shop - Rs.7 Lacs onwards
Swirl's
3/31/2015 Franchise - Food Industry 5
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Kwality Wall's Parlours• Over 300 Kwality Wall's Parlours in India
• Delightful range of ice cream flavours and sundae
• Attempt to capture 'on the move' and 'out and about' consumer
trends and hence are either exclusive Parlours in colony/
residential markets or kiosks at multiplexes, mass malls, etc.
Area RequiredFor Kiosk/ SIS - at least 8ft by 6ftFor Exclusive shop - 150sft carpet with at least 10ft frontage
InvestmentFor Kiosk/ SIS - Rs.2 to 2.5 LacsFor Exclusive Shop - Rs.2.5 to 3.5 Lacs
3/31/2015 Franchise - Food Industry 6
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Support To Franchisee
Baskin Robbins Kwality Wall’s
Parlor Design Branch design & development support
Project Implementation Marketing & advertising support
Pre-Opening Extensive business support
Operations Promotional support
MIS & Software Support Benefit from renewable franchise term for 3
years
National Marketing Leverage a well established & reputed brand
name
3/31/2015 Franchise - Food Industry 7
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Franchisee Support
YOU
Equipment
Manufacturing
Training
Finance Marketing
Culinary
Supply
Chain
Operations
Design &
Construction
Development
3/31/2015 Franchise - Food Industry 8
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B.R K.W
1993 1995
2014 2003
International
Nationwide
Nationwide
No Yes
No No
1.5 to 3 years 2 to 3 years
Investment Details
Date Commenced Operations
Date Commenced Frachising/ Distribution
What areas are available for Unit franchise?
Is there exclusive territorial rights given to a
unit franchise?
Are any performance guarantees given to unit
franchisee?
What is the likely pay back period of capital
for a unit franchise?
3/31/2015 Franchise - Food Industry 9
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B.R K.W
Expected Investment for
Franchise
Rs. 10,00,000 - 15,00,000 Rs. 2,00,001 - 5,00,000
Investments Includes:B.R K.W
Franchise Fee Rs. 1,00,000/- No Franchise Fee
Equipments Rs. 3,00,000/- N/A
Furniture and Fixtures Rs. 1,00,000/- Rs. 2,50,000 - 4,00,000
Advertising / Marketing Rs. 1,00,000/- N/A
Expected ROI 30 - 40 % 35 - 50%
3/31/2015 Franchise - Food Industry 10
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Property Details
B.R K.W
Highstreet/
Malls
High street,
Atrium and
Malls
300 sq ft approx 80 sq ft
Pan India Pan India
Property Details
What type of property is
required for this franchise
opportunity?
Floor area requirement
Preferred location of unit
franchised outlet
3/31/2015 Franchise - Food Industry 11
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Training Details B.W K.W
Do you currently have detailed
operating manuals for
franchisees?
Yes Yes
Where is franchisee training
provided?
At Franchisee premises - - -
Is field assistance available for
franchisee?
Yes No
Will someone from Head Office
provides assistance to franchisee in
opening the franchise?
Yes Yes
What IT systems do you presently
have that will be included in the
franchise?
Yes No
3/31/2015 Franchise - Food Industry 12
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Other Details
B.R K.W
Do you have a
standard franchise
agreement?
Yes Yes
How long is the
franchise term for?
5 Years Lifetime
Is the term
renewable?
Yes Yes
3/31/2015 Franchise - Food Industry 13
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Steps in the Franchising Process
• Complete
application
• Application reviewed & contacted
• Once pre-screened, receive access to Franchise Disclosure & Qualification Package
• Review Franchise Disclosure & complete Qualification Package
Provide proof of assets
• Credit check and initial financial review completed
Step 1
• Once pre-qualified,
meet with Franchise
Manager
• Conduct due diligence; talk with existing franchisees
• Select territory and develop business plan
Step 2
• Criminal and
enhanced
background
checks completed
• Present business plan to cross functional market team
• Submit legal entity documentation
• Treasury Department review completed, based on business plan
• Receive franchise approval
Step 3
• Sign agreement
• Begin training
• Select & submit site for approval
• Secure financing
Step 4
• Finalize lease or
purchase
• Begin construction
• Begin crew training
• Store opening
Step 5
Pre-QualificationDue Diligence
& Territory SelectionBusiness Plan & Final Approval
Contract Execution, Training & Site
SelectionStore Opening Process
3/31/2015 Franchise - Food Industry 14
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Pre-cooling facilities
Cold storagesRefrigerated
carriersPackaging IMS
Requirements In Supply Chain
Cold room within
100 metres of
factory
Minimum -18⁰C
Reefer trucks,
containers, ships
etc.
To ensure shelf life
& increase the
longeitivity of
frozen products
Tracking and
traceability
3/31/2015 Franchise - Food Industry 15
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Kwality Wall’s Supply Chain
3/31/2015 Franchise - Food Industry 16
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Kwality Wall’s Supply Chain
3/31/2015 Franchise - Food Industry 17
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3/31/2015 Franchise - Food Industry 18
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