The franchise industry in India is sizzling with growth, attracting global brands and entrepreneurs alike.
Recent news and staggering figures highlight the immense potential and challenges that come with franchising.
In Todays Franchise News, we’ll dive into the latest headlines and facts that showcase the dynamic landscape of franchising in India.
Let’s explore the trends, opportunities, and risks that define this ever-evolving sector:
Global Brands are eyeing Indian Franchise Market
Franchising is becoming a big deal in India. Big companies from around the world want to set up their businesses in India through franchising.
Recently, the CEO of Franchise India, Gaurav Marya, organized a show in Delhi where many international brands showed interest in using the franchise system to enter the Indian market.
It’s predicted that over 125 such brands are looking to do this and could make about Rs. 2000 crores in just one year.
Among these, entertainment and leisure brands are leading the way, followed by restaurants and clothing companies.
Even South African restaurant German Brewery has opened in India, showing that India is becoming a hot spot for international franchises.
Indian Franchise Industry to Become $150 Billion by 2028
The Indian franchise business is on the rise. A report called ‘FranCast Whitepaper on Franchise Forecast 2023-2024’ predicts that by 2028, the franchise industry could be worth between USD 140-150 billion.
This is because more and more foreign companies are investing in the Indian franchise market. Also, people in India are spending more, which is crucial for businesses that use the franchise model.
Right now, the Indian franchise industry is worth about Rs. 80,000 crores, and it’s expected to grow at a rate of 30-35% annually.
This means it could reach Rs. 3 Lakh crores. There are already over 4600 franchises and 2 lakh outlets in India, with 35% of them being food outlets.
London Coffee to Launch its Franchise in India
London Coffee, a famous coffee brand from London that began in 1975, is getting ready to start franchising in India.
They are known for their organic and tasty coffee. What makes them stand out is that they save on employee costs, require a one-time investment, and have customers all year round.
They offer four different franchise models and provide support before and after you start your franchise.
Cult.fit Franchise to open its 100th outlet in India
Cult.fit, a health and fitness app, has hit a big milestone by opening 100 franchises. This app offers workout plans that are equipment or non-equipment based, catering to different preferences.
Whether you like using fancy gym machines or prefer simple, equipment-free exercises, they’ve got a workout plan for you.
In just three years, Cult.fit has grown a lot. It shows how much people in India are getting into fitness and using apps to help them stay healthy.
KFC Franchise Scam or KFC Franchise Fraud worth Rs.1 Crore
But, it’s not all smooth sailing in the world of franchising. There are some risks. Recently, there was a case of online fraud related to a fake KFC franchise.
In Coimbatore and Pune, people got tricked into sending a lot of money to fraudsters.
In Coimbatore, a young woman saw an ad for a KFC franchise, called the number in the ad, and spoke to someone pretending to be from KFC.
They gave her a bill with the franchise fee and other costs, even with the KFC logo. She sent 14 lakhs to the person, and then the person disappeared.
A similar thing happened in Pune, where a businesswoman sent 80 lakhs to a scammer who showed her fake KFC franchise documents.
KFC had to put a notice on their website, warning people to only trust emails from official KFC email IDs to avoid falling for scams.
Franchise News #1 – Conclusion
Franchising is becoming a big business in India. International and Indian brands are all excited about the opportunities.
Brands like London Coffee and Cult.fit are growing, and the industry is expanding. But there are also scams to watch out for, like the fake KFC franchise frauds.
So, if you’re thinking about joining a franchise, be careful and do your research. With the right choices and some hard work, the franchise business can be a great way to succeed in India.
The future looks bright, and India is on its way to becoming a hub for global franchises.