In an interaction with Restaurant India, Dheeraj Gupta, MD, JumboKing Foods, shares his growth plan over the next five years.
How difficult was it opening JumboKing and entering into a niche market?
I think, the first three years was very difficult as people did not understand how a single product company can try and create a brand. But now, we have a much focused way in which it was happening and it is becoming much easier to expand and attract the right kind of customers.
What are the things that helped you to become an entrepreneur?
The first thing which made JumboKing became a brand was about the narrow view on the product. Meanwhile, we knew our target customers in advance and maintained a discipline because after sometimes when you taste success, you try to do different things and we maintained to stick to one.
How do you think the street side vadapav sellers as your competitor?
Today restaurant business is seeing segmentation. Customers, who go to the street sellers, are very different from the ones who come to us. Young crowd from the college, school and office come to JumboKing because they are concerned about the hygiene, reasonable price point and variety.
What is your expansion plan?
We are looking at 12 cities over the next two years and 500 stores in the next five years. We will be having 100 stores by March 2015.
What is the preferred route of investment for you?
I think, we were very fortunate to understand the franchise as a business model, where we have created a win-win situation. A lot of investments happen through the franchise route and in return the franchisee is getting a return for the situation. So, we are funding all our outlets through the franchise route.