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Aug, 08 2012

BAKING YOUR WAY TO DELECTABLE PROFITS

Australia's Muffin Break is all set to make its debut in India with plans to deliver very high-quality bakery and coffee products to Indian consumers. In a tête-à-tête with Amanpreet Kaur, Serge Infanti, Managing Director, FoodCo Group Pty Ltd, talks abo

Australia's Muffin Break is all set to make its debut in India with plans to deliver very high-quality bakery and coffee products to Indian consumers. In a tête-à-tête with Amanpreet Kaur, Serge Infanti, Managing Director, FoodCo Group Pty Ltd, talks about the brand's entry into India and how it plans to add 40 Muffin Break stores in the country by the end of 2017.

Tell us about Muffin Break.

Muffin Break is a premium bakery-café brand that is owned by a leading Australian retail food franchise company, the Foodco Group Pty Ltd. Specialising in foods freshly-baked onsite daily and recognised for its award-winning proprietary coffee blend, Muffin Break currently trades across Australia, New Zealand and the UK.

What's the brand's preferred business route for entering into India?

This year Foodco signed an all-India regional licence partnership agreement with South Asian Food and Hospitality Pvt Ltd (SAFH), giving SAFH the master rights to operate the Muffin Break concept in India. SAFH is the subsidiary company of South Asian Hospitality, which is a multi-unit master franchise/franchise holder of various international and national brands. SAFH runs more than 55 outlets across India. The first Indian Muffin Break store is scheduled to open in South Delhi in August/ September 2012. Foodco and SAFH plan to see 40 Muffin Break franchise stores trading in India by the end of 2017.

How has the market research proved helpful in introducing Muffin Break in India?

The market research has revealed that India's café consumers have long had an appetitive for baked products and are increasingly seeking fresh, healthy, low calorie food options. The Indian market is driven by a young population which is keen on consuming upmarket baked products.

What customisations did you make in terms of menu & pricing to suit the Indian customer's taste buds and pocket?

Muffin Break India will operate in accordance with the freshly-baked onsite daily model that has received acclaim in Muffin Break's current markets. However, the model will be adapted to local conditions with different seating options and minor menu changes and additions to reflect Indian dietary and taste preferences. The Muffin Break menu includes more than just muffins, and Muffin Break India boasts of an expanded vegetarian range (as well as non-vegetarian options). In India, Muffin Break will offer a range of wraps that includes paneer, cheese and local spices. Muffin Break India stores will reflect upmarket international standards with high-end interiors, crockery and cutlery. Products will be competitively priced with excellent service support.

Do you have any plans to sub-franchise your brand's operations in India?

Foodco has signed an agreement with master franchise company SAFH, which will initially open 2-3 Muffin Break India outlets. Thereafter, SAFH has plans to sub-franchise in India.

What locations are you targeting?

The established strength and expertise of SAFH has proved very beneficial for launching Muffin Break India, especially in terms of real estate deals. Two prominent location deals have already been finalised in the South Delhi region and other central locations are being considered for Muffin Break India.

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FRANCHSIE FACTS

Investment: Rs 55-60 lakh

Area: 700 sq.ft

RoI: 25%

Existing stores: 262 franchise stores

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