Kekiz, a fast-growing bakery and confectionery brand, has made its mark in the Indian market with its high-quality cakes, pastries, and bakery items. Known for its delicious and affordable products, Kekiz has become a popular destination for desserts and celebrations. For entrepreneurs looking to enter the food and beverage industry, owning a Kekiz franchise is an exciting opportunity, offering a scalable business model with strong brand support.
This article provides an in-depth analysis of the Kekiz franchise cost, requirements, and profitability in India.
Why Invest in a Kekiz Franchise?
India’s bakery and confectionery market is thriving, driven by increasing disposable incomes, urbanization, and the growing demand for baked goods. Kekiz’s innovative product offerings and excellent customer service make it a promising franchise opportunity. Here are the key reasons to invest in a Kekiz franchise:
- Established Brand Reputation: Kekiz is known for its fresh and high-quality cakes, pastries, and desserts, ensuring customer loyalty.
- Affordable Investment: Kekiz offers a relatively low-cost entry into the food and beverage industry compared to other brands.
- Comprehensive Product Range: From cakes and pastries to snacks and beverages, Kekiz caters to diverse customer preferences.
- Growing Market Demand: With more people celebrating occasions like birthdays, anniversaries, and festivals, the demand for baked goods is steadily rising.
- Support from the Brand: Kekiz provides extensive support in store setup, operations, marketing, and training, ensuring a smooth franchise experience.
Kekiz Franchise Cost in India
Starting a Kekiz franchise requires a modest investment, making it accessible for entrepreneurs with limited budgets. Below is a detailed breakdown of the costs involved:
1. Initial Franchise Fee
The initial franchise fee for a Kekiz outlet typically ranges between ₹3 lakh and ₹5 lakh. This fee includes the license to operate under the Kekiz brand, access to its product recipes, and support services.
2. Store Setup Costs
Setting up a Kekiz outlet involves creating a modern and inviting space for customers. The setup costs include:
- Retail Space: A Kekiz outlet requires a minimum area of 200 to 500 square feet. Rental costs vary by city:
- Tier 1 Cities: ₹30,000 to ₹1 lakh per month.
- Tier 2 and Tier 3 Cities: ₹15,000 to ₹50,000 per month.
- Interior Design and Furnishings: ₹4 lakh to ₹7 lakh for furniture, fixtures, branding, and decor that aligns with Kekiz’s aesthetic.
- Kitchen Equipment: ₹3 lakh to ₹5 lakh for ovens, refrigeration units, display counters, and other bakery equipment.
- Signage and Branding: ₹1 lakh to ₹2 lakh for external and internal signage.
3. Inventory and Raw Materials
An initial investment in raw materials is required to stock the outlet with ingredients and ready-to-sell products. This cost typically ranges between ₹1 lakh and ₹2 lakh.
4. Licensing and Permits
Franchisees must obtain necessary licenses and permits, such as an FSSAI license, GST registration, and local municipal approvals. The cost for these licenses is approximately ₹50,000 to ₹1 lakh.
5. Working Capital
A reserve of ₹2 lakh to ₹5 lakh is advisable to cover operational expenses such as staff salaries, utilities, and marketing during the initial phase.
Total Investment
Considering all factors, the total investment required to establish a Kekiz franchise in India typically ranges between ₹10 lakh and ₹15 lakh, depending on the location and store size.
Requirements for Opening a Kekiz Franchise
To qualify for a Kekiz franchise, applicants must meet specific eligibility criteria:
- Financial Stability:
- Franchisees must demonstrate the financial capacity to invest in the business and sustain operations during the initial phase.
- Prime Location:
- The outlet should be located in a high-traffic area such as shopping malls, high streets, residential neighborhoods, or commercial hubs.
- Retail Space:
- A minimum area of 200 to 500 square feet is required for a Kekiz store.
- Passion for the Food Industry:
- While prior experience in the food and beverage industry is not mandatory, a passion for customer service and quality food is highly desirable.
- Commitment to Brand Standards:
- Franchisees must adhere to Kekiz’s operational guidelines, including product quality, store design, and customer service protocols.
Profitability and Return on Investment (ROI)
The profitability of a Kekiz franchise depends on factors such as location, customer footfall, and operational efficiency. Here’s an overview:
- Revenue Potential:
- A well-located Kekiz outlet can generate monthly revenue of ₹2 lakh to ₹5 lakh, depending on the customer base and sales volume.
- Profit Margins:
- The average profit margin for a Kekiz outlet ranges between 20% and 30%, depending on operational efficiency and sales volume.
- Break-Even Period:
- Most Kekiz franchises achieve break-even within 12 to 18 months, provided they are located in high-demand areas and managed efficiently.
- Recurring Revenue:
- With its strong focus on celebrations and regular consumption, Kekiz ensures steady revenue streams through repeat customers.
Advantages of Owning a Kekiz Franchise
- Affordable Investment: Kekiz offers a low-cost franchise model, making it accessible for first-time entrepreneurs.
- Growing Market Opportunity: Tap into India’s booming bakery and confectionery market.
- Comprehensive Support: Benefit from Kekiz’s training programs, marketing assistance, and operational guidance.
- Wide Customer Base: The brand’s diverse product range appeals to all age groups, ensuring consistent footfall.
- Repeat Business: Kekiz’s focus on celebrations ensures frequent and recurring customer visits.
Challenges to Consider
- Location Dependency: The success of the store is heavily reliant on its location and visibility.
- Market Competition: Kekiz competes with other bakery chains and local bakeries in the market.
- Operational Demands: Managing a bakery requires skilled staff, efficient inventory management, and adherence to quality standards.
Conclusion
Investing in a Kekiz franchise in India is an excellent opportunity for entrepreneurs looking to enter the food and beverage industry. With its affordable investment model, strong brand reputation, and growing market demand, Kekiz provides a reliable and scalable business opportunity. However, prospective franchisees should carefully evaluate the costs, location, and market conditions before committing to the investment. By adhering to Kekiz’s operational standards and focusing on customer satisfaction, franchisees can build a successful and profitable business in this competitive yet rewarding industry
Anantha Nageswaran is the chief editor and writer at TheBusinessBlaze.com. He specialises in business, finance, insurance, loan investment topics. With a strong background in business-finance and a passion for demystifying complex concepts, Anantha brings a unique perspective to his writing.
