How To Start A Froozo Franchise In India 2024?

on Jan 20, 2024 | 6789 views

Written By: Shruti Agrawal

The prospect of starting a Froozo franchise beckons as an exciting and delectable opportunity. Froozo franchise is a renowned player in the world of super delectable fast food where you get all the delicious pizzas, burgers, kinds of pasta, mouth-watering beverages and more lip-smacking delicacies – creating an experience that resonates with experimental consumers and food enthusiasts alike.

Whether you're an entrepreneur who is seeking to diversify your portfolio or a newcomer who is eager to make a mark in the dynamic world of food and beverage. The distinctive taste of the Froozo franchise is the perfect way to the hearts and palates of Indian consumers.

Introduction To Froozo Franchise Brand

Froozo is a cafe brand that offers a variety of products, including desserts, ice creams, fast food, shakes, mocktails, lemonades, and hot beverages. It is the first to introduce the Tawa Ice Cream in India. The brand promises to give the best food experience to savour.

Some key aspects of the Froozo franchise brand include:

  • Inception: Froozo started in late 2016.
  • Supply Chain: The manufacturing unit supplies 80% of raw materials to franchises, ensuring quality and consistency across all locations.
  • Expansion: Froozo has over 82 locations across Mumbai and is expanding its franchise business across India.
  • Product Range: The brand offers a wide variety of desserts, ice creams, fast food, shakes, mocktails, lemonades, and hot beverages.
  • Live Preparation: Froozo focuses on live preparation, allowing customers to witness the preparation process.
  • Customisation: The chef can customize the orders according to the taste preferences of individual customers.

Froozo Franchise India

The Froozo franchise model offers a unique business opportunity in the cafe industry. The brand operates on the Franchise Owned and Franchise Operated (FOFO) model.

Here are the key points about the Froozo franchise model:

  • Franchise Type: The brand avails two types of Franchise- a) Froozo Express. b) Casual and Fine Dine
  • Franchise Agreement: The franchise agreement is for a term of 5 years and is renewable.
  • Training: Froozo provides franchise training to help you manage the cafe effectively.
  • Franchise Availability: Froozo offers franchise opportunities across India.
  • Preferred Location: Froozo prefers easy-to-approach, high-footfall areas.

Investment Required For Froozo Franchise

a. Froozo Express:

  • Interiors & Exteriors: INR 3 Lakh (approx)
  • Machinery & Equipment: INR 1 lakhs
  • Electronics & Software: INR 1 Lakhs 
  • Kitchen Utilities: INR 50,000     
  • Other Utilities: INR 1.5 lakhs     
  • Franchise Fee: INR 2.5 Lakhs
  • Agreement Renewal Fee: INR 60,000
  • Total investment: > INR 10 Lakhs(approx)
  • ROI: 18-24 Months           
  • Royalty: NIL

b. Casual and Fine Dine:

  • Interiors & Exteriors: INR 4.5 Lakh (approx)
  • Machinery & Equipment: INR 3 lakhs
  • Electronics & Software: INR 1.5 Lakhs          
  • Kitchen Utilities: INR 70,000     
  • Other Utilities: INR 2 lakhs        
  • Franchise Fee: INR 3.5 Lakhs   
  • Agreement Renewal Fee: INR 60,000
  • Total investment: >INR 15 Lakhs (approx)
  • ROI: 18-24 Months           
  • Royalty: NIL

Space and Location To Set the Froozo Franchise

a. Froozo Express:      

  • Space: A minimum of 200 Sq.ft. is required

b. Casual and Fine Dine:      

  • Space: 350 sq.ft.- 400 sq. ft.

The preferred location for a Froozo franchise is in easy-to-approach, high footfall areas. Some examples of ideal locations include:

  • Commercial malls
  • High streets
  • Shopping malls
  • High footfall areas in residential neighbourhoods.

These locations ensure maximum visibility and customer engagement, which is crucial for the success of a Froozo franchise.

How To Start A Froozo Franchise In India

To start a Froozo franchise in India, you can follow these steps:

  1. Research and Contact: Research the Froozo franchise opportunity and contact the company through their official website or franchise portals like FranchiseBAZAR to express your interest.
  2. Initial Discussion: Upon expressing interest, you will engage in initial discussions with the franchisor to understand the opportunity and its requirements.
  3. Meeting and Approval: If the initial discussions are favourable, you may be required to attend a meeting with the franchisor. If they consider you suitable enough and you meet all of their requirements, they will approve your application.
  4. Legal and Financial Requirements: Understand the legal and financial requirements, including the initial investment and area size. The investment for a Froozo franchise is a minimum of INR 9 Lakhs, and the required area is around 200 sq. ft. and it goes above the mentioned value depending on the type of the franchise.
  5. Franchise Agreement: Upon meeting the criteria and approval, you can proceed to sign the franchise agreement and pay the required amount.
  6. Training and Support: The franchisor will provide training and support in various aspects, including product knowledge, operations, and marketing.
  7. Site Selection and Setup: Work with the franchisor to select a suitable location for your Froozo outlet and set up the premises according to the company's guidelines.
  8. Procurement of Equipment and Supplies: Purchase the necessary equipment, furniture, and initial inventory as per the franchisor's specifications.
  9. Staff Recruitment and Training: Recruit and train staff members to ensure smooth operations and excellent customer service.
  10. Marketing and Promotion: Develop a marketing plan in line with the Froozo brand and its guidelines to promote your outlet in the local market.
  11. Grand Opening: After completing the setup, training, and marketing activities, you can have the grand opening of your Froozo franchise and start serving customers.

Why Invest In Froozo Franchise

The Froozo franchise stands out due to its unique features. These unique features include:

  • Diverse Product Offering: Froozo offers a wide range of products, including desserts, ice creams, fast food, shakes, mocktails, lemonades, and hot beverages. This diverse menu allows the franchise to cater to a broad customer base.
  • Focus on Quality and Service: Froozo emphasizes guest satisfaction and net promoter scores, demonstrating a commitment to providing high-quality products and services.
  • Authenticity, Hygiene, and Consistency: The brand is known for its pure form of authenticity, hygiene, and consistency, ensuring a cosy and pleasant dining experience for customers.
  • Coziness and Entertainment: Froozo cafes are designed to provide a cosy ambience, with music games and hassle-free service, making them an enjoyable destination for families and friends.
  • Strong Organizational Structure: Froozo has a developed organizational structure, which can provide support and guidance to franchise owners.
  • Growth Opportunities: Froozo aims to expand its franchise business with 150+ cafes in the near future, indicating the potential for growth and investment in the brand.

Future Prospects Of Cafe Franchises In India

The growth potential of cafe franchises in India can be summarized as follows:

  • Rapid growth - The cafe market in India is expanding quickly, with an average annual growth rate of 13-14%.
  • Market size - By 2024, The India Cafes & Bars Market is expected to reach USD 17.54 billion and by 2029 it will reach USD 26.17 billion i.e. it will grow at a CAGR of 8.33%.
  • Cafe culture - The rise in disposable income and a change in lifestyle have driven the demand for coffee, leading to the growth of the coffee market in India. The cafe culture is further strengthened by the co-working office culture in Tier 1 cities like Hyderabad, Mumbai, and Delhi and it is dripping down to Tier 2 and Tier 3 cities.
  • Emerging trends - The demand for comfortable and functional workspaces that also offer food has led to the emergence of coworking cafes in India. This presents opportunities for cafe franchises to cater to this growing trend.
  • Social interaction - With the emergence of youth's interest in hanging out, what better place than a cafe where you get all the vibe.

Other Cafe Franchise Brands To Consider

Barista Franchise

Barista Coffee Company is a well-known cafe franchise in India. It was established in 2000 and it is considered as the brand which has started the cafe culture in India. The brand has more than 2,000 franchise outlets in India. The franchise fee for Barista Coffee Company is up to INR 7.5 lakh, and the total initial investment ranges from INR 30 lakh to INR 50 lakh. The minimum floor area required is 650 to 850 sq ft. Barista Franchise.

The expected ROI is around 100%, and the payback period is 2-3 years. The franchise agreement is renewable, and the term of the agreement is 9 years.

Third Wave Coffee Franchise

Third Wave Coffee is a boutique coffee chain in India that offers an affordable range of premium freshly brewed coffee and cold brew bags. The company sources and roasts premium and specialty coffee grown in India's southern region.

Third Wave Coffee franchise is promoted by Heisetasse Beverages. The brand has over 90 franchise networks in six cities and more than 300 outlets planned.

The franchise fee for Third Wave Coffee is approximately INR 5 lakhs + 18% GST, and the total initial investment ranges from INR 25 lakhs to INR 50 lakhs.

The expected ROI is around 100%, and the payback period is 2-3 years.

Aspiring entrepreneurs venturing into the Froozo franchise realm can anticipate not only the joy of providing delectable treats to their communities but also the satisfaction of being part of a brand which has the capacity to make a global reach.

With careful planning, adherence to brand standards, and a passion for customer satisfaction, starting a Froozo franchise in India can indeed be a sweet recipe for entrepreneurial success.

Hurry up and dive into the world of food and beverages franchise by starting a cafe franchise and don't miss out on the opportunity, in this journey of entrepreneurship FranchiseBAZAR will hold your hand and make your journey soothing enough.

Disclaimer: The brands mentioned in this blog are the recommendations provided by the author. FranchiseBAZAR does not claim to work with these brands / represent them / or are associated with them in any manner. Investors and prospective franchisees are to do their own due diligence before investing in any franchise business at their own risk and discretion. FranchiseBAZAR or its Directors disclaim any liability or risks arising out of any transactions that may take place due to the information provided in this blog.

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