How to start a What a Sandwich franchise in India in 2024?
Written By: Yukta Palekar
FranchiseBazar lists top sandwich franchises in India, offering quick, healthy, and delicious sandwiches with amazing toppings. These franchises are hassle-free, require minimal inventory, and offer affordable investment. Sandwiches are popular due to their convenience and value.
Investing in the food sector can be rewarding, as people appreciate good food on a tight budget. Choose a well-known What a Sandwich franchise to establish a connection with the intended market and provide nourishing snacks while working or going out.
What a Sandwich, a Pune-based sandwich franchise, offers Desi-style submarine sandwiches and delicious salads. The franchise fee is reasonable and the brand provides training and support. Established in 2013, the franchise has a 100 sq. ft. area, a 75% gross profit margin, 20% net profit margin, 7% loyalty, and 50 franchise outlets.
What a Sandwich franchise Overview
What' A Sandwich is a popular Submarine Sandwich and Salad brand that began in 2013 and has over 30 stores across Delhi, Mumbai, Pune, and Kolkata. The brand aims to fill a gap in the market by offering larger and more affordable products.
It operates as a "Delivery Kitchen" restaurant to save on rental costs and operate on volumes. What' A Sandwich offers a variety of sandwiches that other Sub-Stitute Sandwich places cannot, including amazing prices, sizes for all, and fresh breads.
They also offer organic bread baked daily, 100% eggless and low-fat sauces, and halal chicken.
What' A Sandwich is known for its delicious and nutritious Subs, including fresh vegetables cut daily and no beef or pork. They also provide a variety of sizes to cater to all appetites, making it a convenient and enjoyable dining experience.
By offering a variety of sandwiches and salads, what' A Sandwich is a leading Submarine Sandwich and Salad brand in the market.
What a Sandwich Franchise Models and Investment requirement
Delivery Cloud Kitchen Model, Takeaway Model, and Dine-In Model are offered. Initial investment ranges from ₹3,00,000 to ₹10,00,000 Rupees. Minimum kitchen area required is 100 Square Feet.
- Franchise Fee Structure: Franchise fee ranges from ₹75,000 to ₹3,50,000 Rupees + GST. Franchise fee includes 15% GST on franchise fee, machinery setup, kitchen setup, civil work, advertising, other expenses, and a refundable security amount.
- Brand Options: Three brands available: What a Sandwich, Was a Pavman, and Hero Sandwiches.
- Training and Operational Support: Training provided for self-operation with a duration of 2-3 days. Franchise provides labour service. Can be started within 21 days.
- Sales and Profit Margins: Profit margin is 15% for sales of ₹2,00,000 Rupees. After local marketing and branding, sales can increase to ₹3,00,000 Rupees per month. Profit margin improves to 35% on sales, resulting in a profit of ₹1,05,000 Rupees.
- Market Demand and Location: High demand in the market, especially among young people. Success factors include location with high footfall, proximity to colleges, corporates, and areas where young people frequent.
- Sales Growth Strategy: Initial days may have lower profits, but strategic local marketing and branding are emphasized. Anticipated sales growth to ₹3,00,000 Rupees per month after effective marketing efforts.
- Key Success Factors: Location is crucial for success. Emphasis on food quality and service.
- Quick Start-Up: Franchise can be started within 21 days.
- No Royalty for Two Years: No royalty is charged on sales for the Takeaway and Dine-In Models for the first two years.
- Variety of Brands: Offers three distinct brands, providing variety and catering to different customer preferences.
- Refundable Security Amount: Franchise fee includes a refundable security amount.
Sandwich Franchise Industry Growth and Trends
- Market Growth Projections: The sandwich market is projected to grow at a CAGR of 4.9% between 2022 and 2027. Projected increase in market value is USD 41.15 billion.
- Segmentation of the Market: Segmented by product type (fresh and pre-packaged sandwiches), type (non-vegetarian and vegetarian), and geography (North America, Europe, APAC, South America, and Middle East and Africa).
- Drivers of Demand: Increasing demand for ready-to-eat food products, driven by convenience and the ability to prepare sandwiches with preferred ingredients. Growth attributed to the rising number of working women globally.
- Industry Growth Rate in 2024: The sandwich industry is expected to experience a 2.9% growth rate in 2024. Growth driven by fast-food trends, particularly in the Quick Service Restaurant (QSR) segment.
- Market Share and Size in the U.S.: In 2022, sub and sandwich franchises held a 12% market share of the U.S. fast-food market. Market size amounted to $23 billion.
- Popularity Factors: Popularity of sandwiches attributed to their quick and convenient delivery.
- Crucial Role of Technology: Technology integration is crucial for the future of fast-food franchises. Inclusion of mobile apps, online ordering, delivery, and pickup options meets customer demands for convenience.
- Menu Diversity and Freshness Emphasis: Menu diversity and updates emphasize value and align with consumer demands for fresh, quick, and delicious food.
- Customer Loyalty Programs: Loyalty programs drive customer loyalty with discounts, points, and special offers. Programs serve as a means for businesses to connect with consumers and generate interest in new menu items.
Benefits of Investing in a Sandwich Franchise
- Established Reputation: Tap into the market with a brand that consumers already recognize.
- Avoid Starting from Scratch: Bypass the challenges of building a new sandwich shop by leveraging an established brand.
Training and Operational Support:
- Professional Training: Franchisors provide comprehensive training to equip franchisees with the skills needed to operate successfully.
- Operational Know-How: Gain insights into the key factors that contribute to the brand's success.
Strategic Marketing Power:
- Collective Marketing Efforts: Benefit from a larger marketing machine created by both individual franchisees and the overarching brand.
- Marketing Expertise: Leverage the franchisor's marketing strategies and expertise for effective promotion.
- Pre-opening Assistance: Receive support in preparing for the grand opening of the business.
- Continuous Guidance: Access ongoing advice and support, drawing from the experiences of other successful franchisees.
Alignment with Values and Goals:
- Strategic Choice: Select a sandwich brand that aligns with personal values and business goals.
- Long-Term Viability: Ensure that the chosen franchise allows for the achievement of both short-term and long-term objectives.
Due Diligence and Research:
- Financial Disclosure Document (FDD): Thoroughly review the franchise's FDD to understand the financial aspects and commitments involved.
- Franchisee Feedback: Seek insights from current and past franchisees to gain a realistic understanding of the franchise's operations and potential challenges.
Market Dominance of Sandwich Franchises and Their Competitive Approaches
Companies in the sandwiches market employ strategies like strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches for market presence enhancement.
- Key Offerings by Dominant Companies: Major players include American Dairy Queen Corp., Arbys IP Holder LLC, and Around Noon Group. Offerings encompass a variety of sandwiches, such as crispy chicken and grilled chicken sandwiches.
- Competitive Landscape Analysis: Detailed analyses of the competitive landscape, covering 20 market companies.
- Notable companies include Digital Management LLC, Focus Brands LLC, Greencore Group Plc, Greggs Plc, Jimmy Johns Franchisor SPV LLC, McDonald Corp., Pret A Manger, Quiznos Sandwiches Inc., Starbucks Corp., The Subway Group, Wendys Co., Tyson Foods Inc., Waa Inc., WHAT A SANDWICH, Yum Brands Inc., Roly Poly Franchise System, and Jersey Mikes Franchise Systems Inc.
- Categorization of Companies: Companies classified as pure play, category-focused, industry-focused, and diversified. Companies assessed based on dominance, leading status, strength, tentativeness, or weakness.
- Diverse Market Presence: Companies like Starbucks, McDonald's, and Yum Brands exhibit a diversified presence in the market.
- Wide Range of Offerings: Varied sandwich offerings, including those from QSR giants such as McDonald's and Subway, alongside niche players like WHAT A SANDWICH and Quiznos.
- Strategic Alliances and Expansion: Ongoing use of strategic alliances, partnerships, and geographical expansion to strengthen market positions.
- Product/Service Launches: Continuous product/service launches as a strategy for market relevance and innovation.
- Analytical Categorization: Analysis categorizes companies based on their business focus, market approach, and overall market strength.
- Diversity in Dominance: Companies assessed for their dominance, leading status, strength, tentativeness, or weakness in the market.
What A Sandwich is a brand that specializes in Submarine Sandwiches and Salads with a Desi Touch, originating in 2013. The company has expanded its presence to Mumbai and Pune, with over 100 stores and plans to expand to Bangalore, Delhi, and Hyderabad. The brand aims to fill a gap in the market by offering a larger and more affordable product.
Franchising benefits for What a Sandwich include a single investment in four brands, a flexible delivery kitchen, and staff support. The company operates in 30 units across multiple cities, including Pune, Mumbai, Delhi, and Kolkata.
Sandwich business in India is a viable business idea for small-time entrepreneurs with limited capital. The market for sandwich businesses in India is large, and entrepreneurs can explore sandwich franchises in Bangalore, Mumbai, Bangalore, and Maharashtra.
FranchiseBazar can help business seekers find locations for these franchises, offering them access to some of the most lucrative food franchise opportunities in India.
Q.1. What is the size of the sandwich market?
The market for sandwiches is projected to increase at a rate of $41.15 billion between 2023 and 2027.
Q.2. What are the market dynamics for sandwiches?
The main elements propelling the market expansion are: Growing suppliers' online presence, introduction of inventive sandwiches and new flavours.
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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