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About Haldiram Franchise
Are you thinking of owning a Haldiram franchise? As one of India ’s most beloved and successful multinational sweets, snacks and restaurant brands headquartered in Noida, India. Haldiram has a diverse range of products enjoyed by all age groups which can be a great business opportunity.
But before you dive in, it ’s crucial to understand the requirements, costs, and application process for Haldiram franchise. So, let ’s dive in and unlock the secrets to securing your Haldiram franchise in India.
Past of Haldiram franchise
Ganga Bishan Agarwal started the well-known company Haldiram and came from a Marwari family in Bikaner Rajasthan. People also called him Haldiram Ji. Haldiram ’s opened its first shop in Rajasthan. Starting in 1937, they grew their business by setting up another production facility in Kolkata. They decided to expand from a local to a wider market by building bigger factories in Jaipur in 1970.
Haldiram Ji had a dream to establish his empire from the age of 11. He started his career by doing various tasks in his father ’s bhujia shop. To improve the bhujia, he switched to gram flour instead of moth beans, which changed its flavour and made it crunchier. He priced his bhujia at 5 paise per kg higher than the usual 2 paise per kg giving it a premium image to customers. He named his bhujia ‘Dongar Dev ’, after the king of Bikaner. This ‘Dongar Dev ’bhujia by Haldiram became a hit with people, and its sales took off.
Shiv Kishan Agarwal, Haldiram ji ’s grandson, took the brand further. Even with success in Bikaner and Kolkata, their business faced challenges in Nagpur. Shiv looked at the whole Nagpur market. He found that people there didn ’t know about any snacks, and there was room to grow in the sweets business.
Success and Achievements
Shiv brought Kaju Katli to the market, and it became a hit with many people. His sales grew by 400% over the next 3 years. His dedication and desire to give people high-quality items led to Haldiram winning the title of Largest Snack Making Company in 2017.
Bhujia was very popular at that time pushing Haldiram to improve its recipe. Every shop offered bhujia with the same quality and taste. Then Haldiram changed the well-known snack by using moth dal instead of besan flour, which created the fine-grained bhujia we eat today.
After setting up their huge network across a couple of states, they decided to enter New Delhi, India ’s capital, in the early 1990s. Around this time, a fresh idea of eating food emerged in India: consuming ready-made meals. Haldiram also opted to embrace this approach to offer more choices to its customers.
Haldiram ranked 55th on the list of India ’s most trusted brands in 2014. People know it for its quality, taste, and tradition. Haldiram makes a wide range of foods to suit different tastes and needs. Its products include traditional sweets and namkeens as well as meals you can eat right away and frozen snacks.
Current Facts and Figures
Manohar Lal Agarwal, the current chairman of Haldiram, grew the business by opening another shop in Delhi ’s Chandni Chowk.
Haldiram dominates the branded namkeen market in India, controlling more than 60% of it.
You can find Haldiram ’s products in over 45 countries meeting the needs of the expanding Indian community abroad and snack lovers around the world.
Haldiram runs more than 800 restaurants across India giving customers options from fast food to casual and fancy dining.
The brand also did well in global business, and now the Directorate General of Foreign Trade (DGFT) sees Haldiram as a top exporter.
Why to Choose Haldiram Franchise
Haldiram, a brand known for its quality snacks and sweets in India, presents a strong business opportunity for potential franchisees for many reasons:
Brand Recognition: Haldiram is a very well-known brand in India. It has been around for a long time, since 1937, and many people know and trust it. Because of its popularity, new Haldiram franchise owner can expect customers to trust them and visit their stores right away.
Diverse Product Range: By offering a comprehensive selection of products, from classic sweets to modern snacks and refreshing drinks, Haldiram caters to a broad customer demographic. This product diversity is a key advantage for franchisees.
Proven Business Model: Haldiram franchise model has demonstrated consistent profitability across various locations in India. This proven formula provides franchisees with a reliable blueprint for success.
Comprehensive Support: Haldiram offers franchisees robust support across all stages of business, from initial training and setup to ongoing marketing and operational guidance. This assistance is invaluable for business owners new to the industry.
Market Growth: The Indian snack market is experiencing rapid expansion due to increasing disposable incomes and evolving consumer preferences. As a market leader, Haldiram ’s is strategically positioned to capitalize on this growth trajectory, providing substantial benefits to its franchisees.
Quality Control: By maintaining strict quality control and hygiene standards, Haldiram has built a reputation for excellence. This commitment to quality is a key asset for franchisees in building a loyal customer base.
Strong Supply Chain and Logistics: Haldiram has established a strong and effective network of supply chain. This guarantees franchise outlets a steady supply of high-quality raw materials and finished products. In addition to lowering operational difficulties and preserving product freshness, franchisees profit from optimized logistics.
Adaptability: The brand has been able to change its products and services to meet the needs of the market. For example, they have started selling packaged products and added more vegetarian options to their menu. This ability to change has helped the brand ’s franchisees stay competitive in a market that is always changing.
Potential for Expansion and Multiple Outlets: Expanding their business by opening new locations is a common opportunity for profitable Haldiram franchises. Attracting clients and securing new locations is made easier by the brand ’s solid reputation and tested business plan. This expansion potential can lead to higher revenue and profitability for franchisees.
Investing in a Haldiram franchise could be a potentially lucrative opportunity for entrepreneurs seeking to venture into the food and beverage sector within India. However, potential franchise owners are strongly advised to undertake a comprehensive due diligence process, considering the initial investment, ongoing fees, location, competition, and an assessment of their business acumen before proceeding further.
Haldiram Franchise Cost and Profit Margin for Different Models
Haldiram franchise offers aspiring entrepreneurs 3 different franchise models- QSR, Kiosk and casual dining for different budgets and preferences. Each model gives access to the established brand and its loyal customer base with the requirement of different investment plan and space commitment.
Kiosk:
The Kiosk Model is known for being simple to set up and easy to use. You just need a legal license from the company and a vending stall in a crowded area. It is Ideal for busy locations like malls, airports, and railway stations. This model requires a compact size of 150-200 square feet area for convenient and quick snacking.
Menu: Mainly focuses on grab-and-go items like snacks, sweets, and beverages.
Investment: Relatively lower cost, estimated around Rs. 50 lakhs.
Profit Margin: Potential to earn 10-15% profit from Quick Bites and convenience stores, suitable for high-traffic areas. This requires a smaller investment but offers a limited menu selection.
Quick Service Restaurant (QSR):
Quick Service Restaurants(QSR) serve meals that are made quickly and can be taken home or eaten in a small dining area. These restaurants require a lively space of about 1000-1500 square feet. A wider menu is offered to the customer for dine-in and takeaway.
Menu: The menu goes beyond snacks, including meals, chaat items, and beverages.
Investment: Moderate investment estimated between Rs. 2-4 crores.
Profit Margin: Inspired by Haldiram ’s Express, this dine-in and takeaway model extends your chaat and meal options, potentially elevating your profit margin to a significant 15-20%. However, it ’s crucial to note that the investment is higher compared to a kiosk model.
Casual Dining:
Casual Dining is the most loved model by the people which lets them enjoy their meals in a relaxed and comfortable restaurant setting. The company requires a family-friendly atmosphere with a space of around 4000 to 5000 square feet to accommodate relaxed dining and celebrate occasions.
Menu: The most extensive menu features appetizers, main courses, desserts, and beverages.
Investment: The initial investment is estimated at Rs. 3-6 crores, with the potential to increase gradually to Rs. 15-18 crores.
Profit Margin: Want to maximize your profit margin of 20-25%? This family-friendly model offers the most comprehensive menu and luxurious experience but requires the largest investment and operational complexity.
Remember, these estimates are approximate. To get a more realistic perspective of your potential profit, conduct thorough research on your desired location, operational expenses, and target customer base.
Eligibility to Start a Haldiram Franchise Business
Age and Qualification: The applicant must be at least 21 years old and a minimum qualification of 12th grade is essential for Haldiram franchise.
Knowledge and Experience: The applicant should have knowledge about the food industry and familiarity with the FMCG (fast-moving consumer goods) distributorship business is beneficial.
Financial Resources: You should have sufficient financial capability to invest a minimum of Rs. 30 lakh in the Haldiram franchise and operate the business effectively.
Location Approval: Reserve a prime location for your Haldiram franchise outlet. And the area should be approved by Haldiram.
Training: Haldiram franchise owners or staff need to undergo training provided by Haldiram to understand the operating procedure, products, and brand standards to maintain its quality.
Commitment: Be committed to following the franchise guidelines, maintaining quality standards and Keeping customer satisfaction a top priority.
How to Apply for Haldiram Franchise: Step By Step
To open a Haldiram franchise in India, you ’ll need to follow several detailed steps outlined below:
STEP 1: Research and Preparation:
Familiarize yourself: Learn everything about Haldiram ’s brand, products, and business model. Understand their different franchise models including Kiosk, QSR (Quick Service Restaurant), and Casual Dining, and their requirements.
Market research: Study the food and beverage market in your desired location. Look at the competition, what consumers want, and how much demand there might be for Haldiram ’s products.
Financial Evaluation: Check your financial capability to start a franchise. Understand how much it will cost to start your preferred franchise model and make sure you have enough money.
STEP 2: Initial Inquiry:
Official website: Visit the Haldiram franchise website (https://haldiramdistributor.in ) or their official website ’s “Contact Us ”section.
Contact Details: Reach out to the Haldiram franchise division directly using their email address (support@haldiramfranchisee.co.in ) or phone number(+91 7122779451 ).
Inquiry Form: Fill out an inquiry form expressing your interest in a Haldiram franchise and ask for detailed information and procedures.
STEP 3: Application &Review:
Application Form: After your initial inquiry is approved, you ’ll get a detailed application form.
Form Completion: Fill out the form carefully with accurate information, including personal details, business background, investment capacity, proposed location details, business plan, and references.
Document Submission: Attach necessary documents required in the application, such as financial statements, identity proofs, and business registration certificates.
Review: Haldiram ’s will review your application based on factors like financial strength, business experience, location suitability, alignment with their values, and overall fit.
STEP 4: Selection &Agreement:
Interviews &Discussions: If your application fits what they ’re looking for, you ’ll be invited to talk more about it. This can happen in person or online. Be ready to answer questions and give more details about your business plan, where you want to open your franchise, and how you plan to run it.
Franchise Agreement: If both you and Haldiram agree and you pay the fee, you ’ll get a franchise agreement. Read the agreement carefully and make sure you understand all the terms and conditions before you sign.
Remember, this is just a general guide, and the specific steps might be different. To get the most up-to-date information and personalized help throughout your application process, always contact Haldiram ’s directly.
Support &Training Provided By Haldiram
The company provides assistance and training to the staff for the smooth running of the Haldiram franchise outlet. Aspiring Haldiram franchise owner are required to attend and complete the training programs offered by the company. All the required training programs will be held at Haldiram’s designated regional, divisional or national offices before the inauguration of Haldiram’s franchise outlet.
Training and guidance:
Initial Training: The initial training program includes 3 days of intensive training on operational procedures, hygiene standards, and customer service. In this program, you will also learn inventory management, margin calculation, and effective selling techniques.
Learning Program: The learning zone program includes technical and computer-based training. In addition to written materials, on-the-job training at different outlets is also provided to improve practical skills.
Additional Training: The franchisor may ask the franchisee and their staff to attend and complete additional training courses or ongoing refresher training sessions, seminars, and programs assigned by Haldiram ’s representatives.
Ongoing Support: The brand will provide you with ongoing assistance and direction. They will also keep you informed about market trends and assist you in overcoming challenges.
Site Selection and Setup:
Site Selection Assistance: The brand will help you choose a location for your Haldiram franchise outlet that has a lot of foot traffic and visibility.
Store Layout and Design: You ’ll get help from the brand designing your store ’s layout, interior decor, and branding.
Marketing and advertising:
Brand Promotion: Haldiram will help you promote the franchise outlet through regional marketing and campaigns.
Local Marketing: The brand assists franchisees with local marketing and advertising campaigns.
Documents Required to Open a Haldiram Franchise
Franchise Application Form &Agreement: Fill out and submit the official application form provided by Haldiram. Subsequently, the franchisee must sign the agreement form between the franchisee and the brand. This document has the terms and conditions of the franchise agreement and a validity period of 9 years.
- Business Plan: A comprehensive business plan outlining your proposed approach or strategy for successfully operating the franchise. This includes details such as your marketing and sales strategies, financial projections, management team, and any other relevant information.
- Proof of Identity: Provision of valid government-issued documents, such as a passport, driver ’s license, or Aadhar card, to verify your identity.
- Proof of Address: Submission of address proof documents, such as utility bills or rental agreements, to verify your residential or business address.
- Financial Documents: Provide documents such as bank statements, income tax returns, or other relevant financial documents to demonstrate your financial capability to invest in the franchise.
- Experience Certificates: Provision of relevant experience certificates or references if you have prior experience in the food industry or franchising.
- NOC from the Landlord: Acquisition of a No Objection Certificate (NOC) from the owner if you are leasing land or property.
- Photographs: Recent passport-size photographs of the franchise owner(s) and key personnel involved in the operation.
- GST Registration: A valid GST (Goods and Services Tax) registration number for tax compliance purposes.
- FSSAI License: Provision of a Food Safety and Standards Authority of India (FSSAI) license or registration to ensure compliance with food safety regulations.
Required Location and Area for Haldiram Franchise
The geographical location and area are essential factors that can significantly impact the selection of a franchise setup. Typically, companies or brands that want to open franchises have a strategic plan for future locations. Moreover, you can also send an enquiry from the official website of the Haldiram franchise and find out where they are looking to expand.
Location Selection Criteria:
- Population Density: Select a location with a minimum population of 100,000 to ensure a substantial customer base.
- Purchasing Capacity: Consider locations with a high purchasing capacity to target customers with disposable income.
- Proximity to Existing Outlets: Ensure that the chosen location is at least 2.5 km away from existing Haldiram franchise outlets to avoid direct competition.
Suitable Locations:
- Shopping Malls: Shopping malls offer excellent visibility and accessibility to a diverse range of foot traffic, providing ample opportunities for customer engagement.
- Commercial Centers: Areas with office buildings, corporate parks, and business districts attract professionals and employees seeking quick and convenient dining options.
- Busy Streets: Locations on busy streets with high traffic volume can generate a steady flow of customers throughout the day.
Tourist Destinations: Popular tourist spots, landmarks, and attractions draw both local and international visitors, presenting a significant customer base.
| Franchise Models | Required Area |
|---|---|
| Kiosk Model | 150-200 sq ft |
| Quick Service Restaurant (QSR) Model | 1500 sq ft |
| Casual Dining Model | 4000-5000 sq ft |
Is the Haldiram Franchise Profitable in India?
Haldiram ’s stands out as a prominent brand in India within the sweets and namkeen category. Customers trust their products, and the company takes care to uphold the highest standards of quality, hygiene, and packaging across its product range. Additionally, their manufacturing facilities follow international best practices and hold the necessary certifications .
Haldiram provides comprehensive support for promotional activities and incorporates all outlets within its strategic plan for each city. However, area-specific marketing is the responsibility of the individual outlets.
Every business has some level of risk. It is your decision, strategy, and effort which make your business successful. It is good to conduct a market survey to understand the prospects of the products within the proposed franchise location.
It is also advisable to undertake a fundamental evaluation of the franchise arrangement. This assessment should encompass the following considerations:
- Who is responsible for selecting the location, and what factors influence the choice of a specific area?
- What are the profit margins for each product? Which products are the bestsellers, and how is the supply chain managed for these popular items?
- Are there other outlets of the same company in your vicinity? What is the company ’s policy regarding the number of franchises permitted in a particular area or city?
- What level of support can you expect from the franchise? Is it feasible to communicate with other franchisees? Do the standard operating procedures align with your preferred style of operation?
- Finally, consider the exit clause—will the termination of the franchise agreement be managed smoothly in the event of unforeseen circumstances?
Your carefully considered decision will pave the way for one more successful Haldiram outlet.
FAQs
Q. Do all Haldiram ’s products are profitable?
Your business ’s profitability depends on your stock management skills, customer attraction methods, and ability to satisfy clients. Manufacturers set prices to make money. In a company like Halidram ’s, which offers many products, some items will yield higher profits, while others will lower.
Q. Can you sell other brands alongside Haldiram ’s in the same store?
No, offering extra products from the same store goes against ethical business practices. A company franchise acts as an extension of the brand. Customers don ’t see a difference between company-owned and franchised outlets. Stocking other items even non-food products, breaks the trust Halidram ’s customers have in you.
Q. Is Haldiram ’s casual dining a smarter choice than the QSR format?
Casual dining offers a higher average ticket size and the potential for greater profit margins through a more extensive menu which demands a larger initial investment. Conversely, a QSR model requires a lower upfront investment, boasts faster customer turnover, and can cater to a broader audience. But it has average ticket sizes and profit margins. Ultimately, the ideal format depends on the location, target demographic, and competitive landscape.
Q. What ’s behind Haldiram ’s popularity?
The huge variety of products and their flavour are the main factors behind Haldiram ’s success.
Q. How many years does a Haldiram franchise agreement run?
The Haldiram franchise deal runs for 9 years.
Q. Does the Haldiram franchise owner have to pay royalty fees to the company?
Yes, every Haldiram franchise has to pay the company a yearly royalty fee of 2.5%.
Q. How many unique items are in the Haldiram product line?
In India, Haldiram creates and sells about 400 different kinds of products.