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Food and Beverage 2010-01-12

Brewing up business

By Abha Garyali Sub Editor

The rising coffee culture in India has given ways to a number of entrepreneurs to start a café but with a tinge of difference. In an interview, Ankur Gupta, CEO, Brewberrys Hospitality Pvt. Ltd shares the USP and future plans of his company.

Abha Garyali (AG): Tell me something about the origin and growth of Brewberrys Hospitality Pvt. Ltd.

Ankur Gupta (AG): Brewberrys is a young chain of coffee bars which started in Gujarat in the year 2005. Unlike standard coffee bars, it is Indianised. We have introduced changes in our café as per the local needs to make it work profitably in India. Now we are looking for a pan-India expansion. At present, the company operates 16 outlets in cities like Vadodara, Ahmedabad, Surat, Indore, Bengaluru, Thiruvananthapuram and Bhopal.

AG: When did you think of taking the franchise route? What difference have you noticed after opting the franchise way?

AG: We started franchising in 2008. The franchising model has enabled us to grow faster with cafés at multiple locations. With franchising, we have been able to tap good locations, which otherwise would require a lot of funding. So, franchising has helped us expand our business rapidly across the nation.

AG: What is the USP of Brewberrys?

AG: We are a national chain of coffee bars, where we do not just provide coffee to our customers but also provide them with lip-smacking cuisine that are cooked in the cafés only. We also have books and games for our customers to make them spend more time in the café. This differentiates us from a regular café. As in India, people do not come to café for coffee only, rather they come to sit, talk and relax. So, with the availability of all these options, they can spend quality time in the café.

AG: What initiatives and practices have you introduced in the company?

AG: As far as franchising is concerned, we ensure that we provide our franchisees with all the necessary help and guidance. Apart from the investment, the company takes care of the operational activities. In other words, we do not rely on our franchisees; all we expect from them is to take care of the daily operations.

AG: What do you look for while selecting your franchisees?

AG: We have a very simple eligibility check for selecting our franchisees. First we look for a feasible location. Besides, we want the prospective franchisee to understand the concept and the business to make it run successfully. Moreover, the franchisees should be willing to work according to our standards and requirements.

AG: Have you faced any challenges while establishing your business. I f yes, what were they?

AG: We have faced many challenges while establishing our business. Initially, when we entered into the Tier II cities, people did not know much about coffee bars, so we worked quite hard in order to develop the concept in those cities. Secondly, competition from the brands of similar sector was there. So, we have positioned ourselves accordingly to get well established there.

AG: What investment is required by an aspiring franchisee?

AG: The initial investment to own a franchised café ranges from 12 to 18 lakhs. However, we have three modules to start our café business, which are kiosks, bistro and café.

AG: What are you future plans?

AG: We have plans to open 50 more outlets in 2010. We are starting with 12 more café by the first quarter of 2010. We also have plans to open around 25 outlets in Delhi, Ahmedabad, Jaipur, Chandigarh, Kochi, Pune, Hyderabad, Vishakhapatnam, Lucknow and Punjab.

AG: Any advice for the aspiring entrepreneurs?

AG: Whenever an entrepreneur ventures into a new business, s/he has to understand the fact that every business takes time to flourish. It is very important to have patience and not to compromise on the quality just for the sake of succeeding. This is the only way to become a successful entrepreneur.

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