XTRA Power Premium Energy Drink
No. of Franchise Outlets: Nil
Investment: Rs. 2lac - Rs.5lac
Universal Group with XTRA Power premium energy drink is offering franchise opportunity... Read On!
XTRA Power premium energy drink is being marketed by the Universal Group, promoted by Sanjeev R, a first generation entrepreneur. XTRA Power has so far been well received in the market and is presently being sold in Bangalore and Kerala. Universal group has also in the recent past marketed a premium fruit juice, under the brand name ’HUNGRY’, which was extremely well received by the market. However, Sanjeev has decided to focus on the anchor produce XTRA Power, for the next 6 months, to consolidate and expand the market base. While XTRA Power was initially imported, Universal has achieved 100% indigenization of production in 2014.
- XTRA Power retails at a MRP of Rs 100/- per can. At this time, XTRA Power is being offered to retailers and distributors, through attractive schemes, for both retailers and distributors.
- Universal offers very attractive margins for both retailers and distributors, which ensure consistent repeat orders from most outlets.
- As a ball park figure, XTRA Power offers retailers up to 3 times higher margins as compared to the market leader in the energy drink segment.
- At this time XTRA Power is being sold, primarily through a hefty retailer incentive strategy, through deep discounting of the product.
- This has enabled Universal to get advance payments from 100% of the customers.
Distributors & Franchisee Model:
- Universal Group is looking for Distributors/Franchisees, to distribute XTRA Power energy drink, across the country.
- Our experience in Bangalore and Kerala has convinced us that there is a big market for XTRA Power drink, given that this is a retailer driven product.
- Since the product is seen as a substitute to the market leader, customers are willing to try and use the product, based on retailer suggestion.
- Retailers in turn are very happy in pushing XTRA Power, duer to the very high margins. Therefore, we think we have a very successful product and a very successful and scalable retailer driven product promotion strategy.
- The Franchisees/Distributors will have to invest about Rs 5 Lacs, to procure a minimum lot of 250 Cases of the product and will also require investing in a small office, with minimal branding and also a small warehouse to store the product.
- Total SQ FT space, including office and warehouse can be from 500 -1000 sq. ft.
- If the Distributor can distribute a bare minimum of 250 cases per month, we think an earning of anywhere from Rs 50000 - 60000 is possible, after deducting office running expenses, including rent and transport expenses.
- The earnings can multiply up to Rs 2 Lacs per month, if the sales increase to 750-1000 cases. Each case has 24 cans of the drink.
- Typically, a single outlet like a bakery can take 2-3 cases per month, and depending on location and sales can go up to 15 cases a month. Pubs, Bars & Restaurants are very big and regular customers.
- We will appoint only one Franchisee/Distributor for a city and that includes a 50 KM radius, around the city.
- We are 100% confident about the product XTRA Power and we are willing to offer a buy back guarantee, at any point in the 1st 3 months of establishing a new Franchisee/Distributor.
- We will offer full refund for all returned cases and will seek to appoint another distributor, for the city.
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