India’s love for pizza is undeniable, and with the growing number of pizza outlets, the country now ranks among the top nations with the highest density of pizza shops. Pizza restaurants have become a common sight, both in bustling cities and in more remote areas. This booming trend has attracted numerous entrepreneurs who are eager to open their own pizza joints, even in unexpected locations like highways or less affluent neighborhoods.
About Domino’s
Domino’s is a globally recognized pizza chain, headquartered in Ann Arbor, Michigan, and led by CEO Russell Weiner. Established in 1960, Domino’s Pizza, Inc. has grown into a worldwide brand. By 2018, the company had nearly 15,000 locations across 5,701 cities in more than 83 countries, including 5,649 outlets in the United States, 1,500 in India, and 1,249 in the UK. Domino’s has become a trusted name in pizza delivery, with a large footprint in India.
Why Choose a Domino’s Franchise?
Pizza is a universal favorite, whether it’s for a family gathering, a party, or simply a regular day. A Domino’s franchise presents a great opportunity for business owners. If you also offer delivery services, you can expect to earn profits of 2-3 lakhs INR per month. In 2018, Domino’s solidified its position as the top pizza delivery service, which has led to increasing demand for franchises. Currently, the cost to open a Domino’s franchise ranges from 30 lakhs INR for non-traditional locations to 50 lakhs INR for traditional outlets.
Domino’s Franchise Cost Breakdown: Traditional vs. Non-Traditional Locations
The cost of opening a Domino’s franchise varies based on the type of location. Traditional stores typically require an investment starting at 50 lakhs INR, whereas non-traditional stores need an initial investment of around 30 lakhs INR. However, it’s important to note that high rents in premium areas could push the total investment to 1 crore INR or more.
Franchise Fees and Additional Costs
In addition to the initial investment, franchisees must pay other fees. The first franchisee is required to pay approximately 4.5 lakhs INR, while subsequent franchisees must pay around 2.25 lakhs INR. Infrastructure costs, including setting up the restaurant and purchasing equipment, can range from 30 to 50 lakhs INR.
Factors Affecting Franchise Costs
Several factors influence the total cost of opening a Domino’s franchise. Location plays a major role, with high-traffic areas typically requiring larger investments. The size of the outlet, which can vary from 200 to 1,000 square feet, also significantly affects the overall cost. Other considerations include the initial inventory, interior design, and the quality of equipment used in the store.
Space Requirements for Domino’s Stores
The space needed for a Domino’s store depends on the type of outlet and its location. Here’s a breakdown of the typical space requirements:
- Dine-In Restaurants: These outlets require more space, ranging from 800 to 2,000 square feet, depending on expected foot traffic.
- Delivery and Carryout Stores: These outlets generally need between 400 and 1,000 square feet to accommodate storage and order processing.
- Express Outlets: These smaller stores focus on quick service and delivery, requiring just 200 to 400 square feet.
It’s important to note that these estimates are subject to change based on factors such as local regulations and Domino’s specific franchise policies.
Application Process and Required Documentation
Becoming a Domino’s franchisee involves a thorough application process that includes legal agreements and permits.
How to Apply for a Domino’s Franchise in India
- Submit Your Application: Start by filling out Domino’s franchise application form, ensuring that all the required information is accurate and complete. Submit it along with any applicable fees.
- Approval and Due Diligence: Domino’s will review your application, conduct background checks, and determine your eligibility. If approved, you will receive a franchise agreement outlining the terms and conditions.
- Setup and Procurement: Once the agreement is in place, you can begin setting up your store in line with Domino’s operational guidelines.
Conclusion
The pizza market in India continues to grow, and new flavors are constantly being introduced to cater to changing consumer preferences. Opening a Domino’s franchise can be a highly profitable venture due to the brand’s strong reputation and widespread appeal. If you’re considering launching a franchise in India, Domino’s offers an excellent opportunity to generate significant revenue. However, keep in mind that actual costs may vary based on factors like location, outlet size, and equipment quality. It’s advisable to consult directly with Domino’s representatives for the most accurate and up-to-date information about franchise costs and requirements.
