Cafe Coffee Day (CCD) Franchise Cost In India

. 7 min read
Cafe Coffee Day (CCD) Franchise Cost In India

Coffee is a beverage loved by all. If you are someone who spots a business opportunity in everything, then the recent snowballing popularity of coffee shops across India would have made you sit up and take notice. The Cafe Coffee Day franchise is an incredible opportunity for you. In this write-up, we present in-depth information on the process of application, resource and infrastructure requirements, and the CCD franchise cost in India.

About Cafe Coffee Day

Cafe Coffee Day is popularly known by its acronym, CCD, in India. A café chain is owned by the leading coffee conglomerate in India, Coffee Day Enterprises. The café serves coffees, pastries, sandwiches, and smoothies. CCD serves 1.8 billion cups of coffee every year in 6 countries—an indicator of the brand’s continued success and positive reception.

The company was also awarded the prestigious 22000:2005 certification by the internationally acclaimed DNV business Assurance Food Safety System for its outstanding quality and safety management systems.

The Strengths and USP of CCD

The delicious, high-quality beverages and food items are the best features of the company. They are also famous for growing their coffee beans, enabling them to supply coffee at lower prices than their competitors. Moreover, the warmth of CCD’s coffee manifests itself in its customer-friendly approach. All this has made the youth fall in love with the brand, which forms 40% of its customer base.

Based on the location, the different types of CCD outlets are the Square, the Lounge, or the Value Express. You can also choose the theme that best fits your store.

CCD Outlet Type

Capital Investment (Rs)

Square

11,00,000

Lounge

10,50,000

Value Express

10,00,000

Businessman hand writing advantages with red marker on transparent wipe board

Advantages of Starting a Franchise of CCD

  • The attractive food menu makes the brand stand out in the sea of competitors.
  • The brand partners with the best advertising and marketing agencies that can help you with marketing. So you don’t have to do it all on your own.
  • The brand awareness is extensive and spans across India.
  • Given that the company produces its coffee beans, the production cost is low. This makes the menu affordable and promotes sales.

Weaknesses of CCD

1. Beware of wrong-site selection.

CCD franchises may incur losses because of the wrong location. You need to make sure that your store is located in an area with heavy foot traffic. There are franchise owners who select a remote location for the franchise, and because of this, they do not get enough customers.

2. The company is gradually losing brand loyalty.

India is a fertile market for investments. With global coffee chains entering the market, the competition is sky-high. As a result, CCD has recently experienced wavering loyalty among its customers.

Consider this as you move forward with the franchise.

3. The company is spending less on promotions.

While the company invests in promotions and marketing, these aspects are given less importance, perhaps relying on its long-standing reputation. Given that you are new to the company, you will have to do most of the promotion and marketing.

How to Start a CCD Franchise In India

Like any other company franchise, to be considered, you need to contact a specific person and send the required information. To be eligible for the franchise opportunity, you need to send all the below details to CCD at bd@cafecoffeeday.com.

  • Names of the individuals who will act as owners of the retail space or the property
  • Details of the owner, including the contact number, residential address, and email
  • The postal address of the place of retail where you intend to open the franchise of CCD
  • The area of the property or retail space in sq ft
  • Details of the frontage of the retail space or property
  • Photographs from various angles of the retail space or the property
  • The demographic specifications of the intended area or the retail space

The concerned personnel appointed by the company in different regions within India will go through your pitch and communicate further proceedings.

Folder with the label Requirements

The Requirements for Opening a CCD Franchise

  • Area: You should have a space available to get the franchise of the company. The size of the space should be 1000 to 1500 sq ft with a minimum frontage of 25 sq ft. A sufficient parking area is another factor considered by the company.
  • Skills Needed: You need to have a thorough knowledge of market trends and running a business. An important skill you will need is leadership to delegate activities and run the franchise successfully.
  • Locations to open: CCD already has stores across India. So you are free to open the franchise in any place in the country.
  • Training and staffing requirements: The head office will provide you with the hardware and software you need to run the business and give additional training at the site. Training helps you to get familiar with the rules and guidelines to be followed when running the franchise.

Now let’s get into CCD franchise cost in India.

The minimum investment required, revenue, and number of staff

Fixed Investment Required

Amount (Rs)

Equipment and Interior

5,00,000

Other Expenses

5,00,000

Brand Fees

50,000

Total

10,50,000

Recurring Expenses

Amount (Rs)

Approximate salary for 6 employees

70,000

Rent and other expenses

2,00,000

Total

2,70,000

Revenue 

Amount (Rs)

Avg income earned in a day

40,000

Total revenue for a month

12,00,000

Gross profit

6,00,000

Net profit per month

3,30,000

It is also important to keep in mind that CCD generally signs a franchise bond for 4-5years, after which you can renew the contract.

Though the initial CCD franchise cost in India is high, the investment is usually gained back in 3 to 4 months considering all goes well. Given the brand image and popularity, this would not be a difficult thing to do. It is clear from the stats that opening a CCD franchise is a profitable business model.

We hope our article turned out to be useful for you. For more such informative content, you can visit these linked articles as well:
Haldiram’s Franchise Cost in India KFC Franchise Cost in India Subway Franchise Cost in India
Dmart Franchise Cost in India Franchise Business under 15 lakh Franchise Business under 20 lakh

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FAQs

Q. Do I need any qualifications to start a franchise of CCD?

Ans. No, you do not need any educational qualifications or degrees to start the franchise of CCD. But you should have business and leadership skills. This would help you run the franchise effectively and manage the employees.

Q. Is there a requirement that I should own a retail space or property?

Ans. Yes, you should own a retail space or property to have a franchise with the company. This is mandatory as the company feels that you are serious and have the necessary capacity to go forward.

Q. Will, I get any training or assistance from CCD once I start the franchise?

Ans. Yes, of course. You will be given training by the company and the hardware and software required to keep things going. CCD makes sure that you are equipped to get customers and perform well so that both parties mutually benefit.

Q. Can I open the franchise in any part of India?

Ans. Yes, you are free to open the franchise in any part of India. The company is spread all over India and has a good customer base in all areas. So you are free to choose the location that best fits you.

Q. Is there any guarantee that I will make profits from the franchise?

Ans. Well, it is almost certain that you will make profits from the franchise if you do proper planning and take precautions. If you start the franchise in a less crowded area, the chances of making good profits are lower. It is advised to have a thorough understanding of the requirements before going forward.