To munch on popcorns while watching movies or favorite sport has been an all-time favorite activity of most people globally. Here is why a popcorn kiosk franchise is the most profitable business model in today's time.
Since the past few years, the concept of kiosks is taking the world of business by storm. Kiosk – a concept that earlier was associated with street markets–has now been transformed into a model that is taking over the entire mall culture. Although there is a wide range of kiosks that are emerging in the market, the most commonly spotted kiosk model in today’s time is a popcorn kiosk.
To munch on popcorns while watching movies or favorite sport has been an all-time favorite activity of most people globally. As popcorns are one of the most purchased snacks in shopping malls and multiplexes, popcorn brands are looking to start their kiosks’ franchise in every mall and multiplex for better exposure and expansion. A popcorn kiosk franchise is considered a lucrative business model and has become the most lucrative low-cost investment idea for budding entrepreneurs.
Popping Success with Popcorn Kiosks
The all-time snack of Indians, the popcorn has come a long way from the local Kirana shops to the roadside vendors to the now fancy-looking kiosks in malls. So, what has led popcorn kiosk to grow immensely popular in the high-street culture?
One of the biggest growth drivers is the exotic flavors introduced in the market lately. From the classic plain-salted, buttered and masala flavored popcorns to modern flavors like gourmet, cheesy garlic, peanut butter, caramel, and cinnamon sugar flavor, the whole new range of exotic flavors has popped up in the market and is attracting the popcorn-lovers to small kiosks to try them all. Diverse flavors of popcorns are tantalizing the taste buds of the millennial, hence accentuating the growth of popcorn kiosks.
Another major growth driver of the popcorn kiosks is the lower operational cost. According to sources, a gourmet popcorn franchise can be started in a small investment of about Rs 2-3 lakhs, which includes the franchise fee and the other operational expenses such as equipment, furniture, fixtures, and advertising, and the breakeven period is just 6 months. In a kiosk model, a lot of errands get reduced considering the fact that it requires fewer resources to set up a kiosk. One can save expenses incurred in the interiors, exteriors and even the kitchen equipment in a popcorn kiosk (as it just requires the flavors, corn kernels and popcorn maker). Another thing that lowers the operational cost in a popcorn kiosk is that it doesn’t require a big workforce to run. The best part is: just one or two people can manage a popcorn kiosk with efficacy.
In today’s time when fitness is a new trend, can a snack business survive? The answer is yes – popcorn is considered as one of the healthiest snacks and is recommended to weight-watchers (unless you opt for the butter and chocolate versions, of course). This is another reason why consumers are turning to popcorn kiosks more than ever.
Smaller Format, Bigger Margins
When we talk about running a business, it is obvious to calculate the margins that you are going to earn while running the business. Obviously, every businessman hopes to earn higher margins in the lowest investment. It’s a hard aim to achieve; but with a popcorn kiosk, it is quite achievable. Popcorn businesses have margins that are literally eye-popping. As per sources, the corn kernels are sold for Rs 90 per kilogram while in a popcorn kiosk, one spends a minimum of Rs 150 on a 100 gm tub of popcorn. This says a lot about the high margins one could earn in a small format like a popcorn kiosk franchise.
With greater returns and lower investment, a popcorn kiosk franchise seems to be the most lucrative business model and is something that a beginner can start his entrepreneurial venture with.