Once associated with special occasions and full meals, biryani has now emerged as an unlikely champion of India’s fast food scene. As such, a biryani outlet is a serious business proposition
Availability of authentic and hygienic Indian food options in the QSRs space was a rarity just 4-5 years ago. Not any more, with the availability of organised QSR chains offering Indian foods like biryani, rolls, kebabs and sandwiches. In fact, over the last few years, as QSRs and take-away outlets have begun to dominate, biryani has emerged as an unlikely champion of India’s fast food scene, unseating the pizzas and burgers.
Zain-ul-Abedin, Director, Karim’s, adds that biryani consumption is boosted by growing eating-out habits. “Many people eat out at least twice a week. The trend started in Mumbai and now Delhi is following suit. Also, biryani is a hit with young people.” On an average, a person spends Rs 350-500 for a biryani.
IMPRESSIVE MODEL
Thakur finds QSR as a lucrative model for biryani due to lower rentals and investment. “Our primary focus was to standardise biryani making so that each dish would have the same taste. We ensure that it is delivered fresh by cooking each order individually. The economics per order make it a viable business proposition.”
Biryani QSR calls for startup investment of Rs 15-30 lakhs for an area of 200-500 sq. feet. This includes interiors and furniture worth Rs 5-7 lakhs, kitchen equipment worth Rs 5-6 lakhs, IT cost at Rs 1-2 lakhs, licenses and launching costs at Rs 2 lakhs, and franchise fee of Rs 3-7 lakhs. Operational expenses may go up to Rs 2.85-6 lakhs per month. It includes rent at Rs 45,000 to Rs 1 lakh, salaries of Rs 40,000 to Rs 1 lakh for 3-10 employees, monthly royalty of Rs 30,000- 70,000, and miscellaneous expenses of Rs 25,000- 80,000.
Franchise outlets may expect monthly revenues of Rs 5-10 lakhs with roughly 50-60% margins. “With average revenues of Rs 7-8 lakhs per month, franchise owners can easily achieve breakeven within 12-18 months at the very least,” shares Sabharwal.
AGGRESSIVE PLANS
Biryani brands like Charcoal Eats, which has over 43 outlets, are now expanding aggressively. “We are opening 16 more outlets within a month, and are targeting total 250 outlets by March 2020,” discloses Thakur. Biryani Queen, which has six outlets so far, is adding 10 more over the next two months. “We are opening the world’s highest altitude biryani restaurant in Ladakh and will launch our first international outlet in Melbourne, Australia in June 2019,” shares Sabharwal.
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