Domino’s Pizza is a global pizza delivery company that has franchises in many countries, including India. It has more than 1400 outlets in India and its profitability is increasing every year. To become a Domino’s franchise in India, you will need to meet certain eligibility criteria and complete the franchise application process. Here are some key details about the Domino’s pizza franchise opportunity in India
Domino’s Franchise Cost in India
To become a Domino’s franchisee in India, you will need to make a significant financial investment. According to the company’s website, franchisee partners in India are expected to have a minimum investment capacity of INR 1 crore, which can be considered as the total Domino’s franchise cost in India. This investment covers the franchise fee, construction costs, and working capital.
The franchise fee is a one-time payment to the company for the right to use Domino’s brand and business model. It is typically a percentage of the total investment required, and it may vary based on factors such as the location and size of the restaurant. In addition to the franchise fee, franchisees are also responsible for covering the costs of construction and renovations, as well as working capital to cover expenses during the initial startup phase.
Domino’s franchise offers three different types of franchise models in India:
- Traditional Outlet: Domino’s Pizza is often considered a traditional business because it is typically housed in a standalone structure with ample parking for both customers and delivery vehicles. These conventional outlets are often located in larger structures such as shopping centers and only offer delivery or takeout services for authorized products.
- Non-Traditional Outlet: On the other hand, non-traditional locations for Domino’s Pizza include non-traditional structures such as office buildings, stadiums, airports, and toll roads. These stores may offer takeout services, but dine-in options may be limited or unavailable.
- Transitional Outlet: Outlets with a lower number of customers compared to other locations are often referred to as transitional stores. These stores may have a customized menu that is tailored to the location and the regional preferences of the local community.
Domino’s Franchise India Cost Break Down
Domino’s Franchise Cost in India can start from 60 Lakh Rupees to 80 Lakh Rupees for the Initial franchise starting investment. Below is the detailed cost breakdown for the basic setup of the outlet.
| Expenses | Amount (in INR) |
|---|---|
| Domino’s Franchise Fee (10 Lakhs) +18% GST | 11,80,000 |
| Equipment and Machinery Expenses | 20,00,000 |
| Civil Work, Interior & Furniture Expenses | 20,00,000 |
| Training, transportation, Maintainance, Licensing, Marketing, and other costs | 10,00,000 |
| Total Initial Investment in INR | 61,80,000 |
Domino’s Franchise Profit Margin in India
It is difficult to predict exactly how much profit a Domino’s franchise in India will generate, as this will depend on a variety of factors such as location, competition, and market demand. However, the company claims that its franchisees in India have the potential to achieve high returns on their investments. The average sale of X store in India is INR 30 Lakhs per month, and their average gross margin is around 50%. These figures are provided as an example of the potential profits that a Domino’s X outlet in India has achieved, and that should not be taken as a guarantee of actual results.
Below is the profit margin calculation considering the three different scenarios of the sales.
| Particulars | Best Case Sales (in Rupees) | Average Case Sales (in Rupees) | Worst Case Sales (in Rupees) |
|---|---|---|---|
| Monthly Gross Sales | 20,00,000 | 12,00,000 | 8,00,000 |
| Food Cost (40%) | -8,00,000 | -4,80,000 | -3,20,000 |
| Shop Rent | -1,20,000 | -1,00,000 | -80,000 |
| Electricity & Water | -40,000 | -30,000 | -25,000 |
| Employee Salaries | -1,40,000 | -1,20,000 | -1,00,000 |
| Zomato, Swiggy commissions | -52,000 | -40,000 | -30,000 |
| Royalty & Ads Fee (9.5% +GST) | -2,12,400 | -1,27,500 | -85,000 |
| Transport & Delivery | -36,000 | -26,000 | -20,000 |
| Other expenses (Software, Maintenance & Misc) | -50,000 | -50,000 | -50,000 |
| Total Net Profit | 5,50,000 (27.5% of sales) | 2,26,500 (18.87% of sales) | 90,000 (11.25% of sales) |
From the above analysis of monthly net profit calculations (considering the profits of all three scenarios 27.5%, 18.87%, and 11.25%), the average profit margin of the Domino’s Pizza Franchise is 19.20% of total sales, which is a good ROI for a pizza franchise. Moreover, the amount of sales and profit margin depends on the location of the shop. The company’s marketing team will help you to create local marketing and offers for the customers to attract new customers. For better sales, it is advised to start a store in tier 1 cities.
Benefits of Domino’s Franchise in India
There are several advantages to acquiring a Domino’s Pizza franchise in India. Some of the key benefits of this franchise opportunity include:
- Strong brand recognition: One key advantage of a Domino’s franchise in India is the strong brand recognition that the company has built over the years. Domino’s is known for delivering high-quality pizza and other menu items, and this reputation can help attract customers and build a loyal customer base for your franchise. Additionally, Domino’s brand is widely recognized and respected, which can help build trust and credibility with customers.
- Proprietary technology: Another advantage of a Domino’s franchise in India is the proprietary technology that the company provides to its franchisees. This includes the company’s ordering and delivery platform, which can help streamline operations and improve efficiency. By using this technology, franchisees can potentially save time and reduce costs, leading to higher profits.
- Extensive training: In addition to the technology provided by Domino’s, the company also offers extensive training to its franchisees in India. This training covers a wide range of topics, including operations and management, food safety, and customer service. By participating in this training, franchisees can learn about the Domino’s business model and how to apply it to their own restaurants. This can help franchisees get off to a strong start and achieve success in the long term.
- Ongoing support: Domino’s pizza company provides ongoing support to its franchisees in India, including marketing support, menu development, and supply chain management. The company also provides access to its proprietary technology, including its ordering and delivery platform, which can help franchisees streamline operations and improve efficiency. Overall, the goal of the franchise support provided by Domino’s is to help franchisees succeed and grow their businesses.
- Potential for high returns on investment: As we see above, the sale of an outlet in India can reach INR 30 lakhs per month, and the average gross margin is around 50%. These figures suggest that a Domino’s franchise in India has the potential to achieve high returns on investment.
Overall, the opportunity for Domino’s franchise in India offers a range of benefits to franchisees, including strong brand recognition, proprietary technology, extensive training, ongoing support, and the potential for high returns on investment. If you are considering becoming a Domino’s franchisee in India, it is important to carefully consider these and other factors before making a decision.
Requirements for Starting Domino’s Franchise in India
To start a Domino’s Pizza franchise in India, you will need to meet certain eligibility criteria and complete the franchise application process. Here are some of the key requirements for starting a Domino’s franchise in India:
- Financial requirements: Domino’s franchisee partners in India are expected to have a minimum investment capacity of INR 1 crore. This includes the franchise fee, construction costs, and working capital. Franchisees are also required to have a good credit history and the ability to secure financing for the franchise.
- Location requirements: Domino’s franchisees in India are required to have a suitable location for the restaurant, with a minimum area of 400-500 sq. ft. The location must have good visibility and accessibility and must meet the company’s standards for decor and ambiance. Franchisees are also required to have a lease or ownership of the location.
- Experience requirements: While specific experience is not required to become a Domino’s franchise in India, the company does look for franchisees who have a strong track record of success in business and the ability to manage and motivate a team.
- Training requirements: All Domino’s franchises in India are required to participate in the company’s training program, which covers a wide range of topics such as operations and management, food safety, and customer service. The training includes both classroom instruction and hands-on experience, and it is designed to help franchisees understand the Domino’s business model and apply it to their own restaurants.
If you are interested in becoming a Domino’s franchisee in India, you can visit the company’s website (https://www.dominos.co.in) for more information and submit an online franchise application. Keep in mind that the franchise application process and requirements may vary based on your location and other factors. It is always a good idea to thoroughly research and carefully consider any franchise opportunity before making a commitment.
How to Apply for Domino’s Franchise in India
If you are interested in becoming a Domino’s Pizza franchisee in India, there is a process you will need to follow to submit an application. Here are the steps to apply for a Domino’s franchise in India:
- Research the franchise opportunity: It is important to carefully research the Domino’s franchise opportunity in India to ensure that it is a good fit for you. This may include reviewing the company’s franchise disclosure document, visiting the company’s website, and speaking with current franchisees.
- Meet the eligibility criteria: To apply for a Domino’s franchise in India, you will need to meet certain eligibility criteria, including financial requirements, location requirements, and experience requirements. Be sure to review these requirements carefully to ensure that you meet them before submitting your application.
- Submit an online franchise application: To apply for a Domino’s franchise in India, you will need to submit an online franchise application through the company’s website (https://www.dominos.co.in). The application will ask for information about your background, financial resources, and business experience. You will also need to provide contact information and consent to a background check.
- Wait for a response: Once you have submitted your franchise application, you will need to wait for a response from the company. This process can take several weeks, as the company will review your application and conduct a background check. If your application is approved, you will be invited to participate in the company’s training program.
- Attend training: If your franchise application is approved, you will be required to attend the company’s training program, which covers a wide range of topics such as operations and management, food safety, and customer service. The training includes both classroom instruction and hands-on experience, and it is designed to help you understand the Domino’s business model and apply it to your own restaurant.
- Sign the franchise agreement: If you successfully complete the training program, you will be required to sign a franchise agreement with Domino’s pizza. This agreement will outline the terms of your franchise relationship with the company, including the franchise fee, royalty payments, and other obligations.
Overall, the process of applying for a Domino’s franchise in India involves researching the franchise opportunity, meeting the eligibility criteria, submitting an online franchise application, attending
Domino’s Franchise in India Review
Overall, the Domino’s franchise opportunity in India has received positive reviews from franchisees. The company provides extensive training to its franchisees, covering a wide range of topics such as operations and management, food safety, and customer service. Franchisees also have access to the company’s proprietary technology, including its ordering and delivery platform, which can help streamline operations and improve efficiency. In addition, the company provides ongoing support to its franchisees, including marketing support, menu development, and supply chain management. Overall, the goal of the Domino’s franchise opportunity in India is to help franchisees succeed and grow their businesses.
If you are looking to open an amazing pizza brand outlet with high returns and if you are from the tier 1 city, Domino’s Franchise is the best option for you.
Also read: Top Pizza Franchises in India.
FAQs
What is Domino’s franchise profit margin in India?
According to the calculation done by us, the average net profit will be around 20% if your monthly sales lies under average case. This is a good amount of profit for a pizza brand.
How many domino’s stores are there in India?
Currently there are more than 1400 Domino’s Pizza stores available in India and it is increasing every year.
Do you need any experience to start Domino’s Franchise?
Yes, as per company’s rule, you need to have experience in the fast-food or restaurant industry to start a Domino’s franchise in India.
Which company manages the Domino’s Franchises in India?
Jubilant Foodworks is the company which manages the Franchises of Domino’s in India and the only official way of acquiring Domino’s Franchise in India.
How much royalty domino’s franchise take from store owner?
The company Domino’s takes 9% (+GST) of the sales as the royalty and the marketing fees from the store owner.
How much does domino’s franchise cost in india?
The Domino’s franchise cost in India can go from 60 lakhs to 80 lakhs rupees depending on your franchise type and other choises of expenses.
How to get the domino’s Franchise in India?
You can visit their website www.dominos.co.in or you can mail them an franchise inquiry to [email protected]. Their business representative will get in touch with you soon based on your email and they will discuss the further steps for getting started with domino’s pizza franchise.
