Do You Know Domino’s Franchise Cost, Profit, and Requirements? -

Indians are among the top 30 consumers of pizza in the world. The high consumption rates have increased demand for pizza shops all over the country. Today, you can find pizza outlets in bustling cities, remote towns, and beach restaurants. The growing pizza consumption trends have opened new opportunities for entrepreneurs, so much so that you can start a pizza business everywhere, including highways and unpopular neighborhoods, and expect high returns.

Starting a pizza business from scratch is costly and full of uncertainties. Many Indians love their pizzas specially prepared and have a particular inclination towards leading pizza brands. Domino’s is a famous pizza brand in India. They have dominated the industry since the mid-80s, with over 1,700 stores nationwide.

Domino’s offers business opportunities to budding entrepreneurs. You can start a Domino franchise and reap the brand’s reputation. I’ll explain everything you should know about starting a Domino’s franchise in this article.

Is It Worth to Start a Domino’s Franchise in India?

The first question to ask yourself before penetrating the Indian pizza industry as a Domino’s franchise operator is whether the business is worth it. Pizza is a fast food consumed globally and tops the list of dishes most consumed by Indians. In this same train of thought, Domino’s is an iconic brand with a deep-rooted reputation in the country for preparing top-quality pizzas. Many Indians know and have had a taste of pizza from Domino’s and its subsidiaries at some point.

Therefore, when starting an outlet under this brand, expect support from existing and potential Domino’s lovers. The Indian pizza industry is getting stronger by the day, and more people are realizing the uniqueness of this brand. Let’s not forget that Domino’s was declared the world’s biggest and most followed Pizza chain.

Types of Domino’s Franchise Outlets You Can Start

The cost of Domino’s franchise in India depends on the type of outlet you start. Domino’s provides the opportunity for you to start transitional, traditional, or non-traditional outlets. All these franchise opportunities have different costs to start. Likewise, the profits they generate differ.

Non-Traditional Outlet

Non-traditional outlets have no stringent location requirements. You do not necessarily need to confine your business to a mall-based premise. The business location can be in airports, office buildings, stadiums, or even toll roads. You can mix takeaway with dine-in services for optimal profitability.

Traditional Stores

These are the standard Domino’s outlets. You have to rent a spacious business space in a mall or other business facility. The space should have a parking lot for customers and delivery vehicles. You can focus on order-based deliveries and takeout services to maximize your profits.

Transitional Stores

Domino’s also offers you the opportunity to start a transitional store. These stores are for the elites, as orders are customized per the location and regional tastes. You will need to be an excellent pizza maker in your region and thoroughly understand the customers’ cultural prevalence to succeed here.

Space Requirements and Costs Involved

The Domino’s franchise cost in India also depends on the type and size of space you rent or buy. You have several outlet formats to choose from, including express-outs, dine-in restaurants, and carry-out or delivery stores. The space and cost requirements differ based on the location.

Dine-In Restaurants

These restaurants require around 800 to 2,000 square feet of space. You also need to have a comfortable and effective customer seating arrangement. Considering the high Domino’s franchise price in India for dine-in restaurants, you should look for strategic locations with high human traffic. The most recommended places are bustling cities and town centers with higher customer capacity.

Express Outlets

An express outlet is a low-cost Domino’s franchise formatted for space-constrained locations or high-traffic roads and pathways. Starting an express outlet is cheaper as you will need less space. You have to get trained hands to help you meet the demands for quick delivery service. With a minimum of 200 square feet of space, you are good to go.

Carry-Out and Delivery Stores

You can also start a carry-out or delivery store under the Domino’s brand. This type of franchise requires a minimum space of 400 square feet. You can expand it over 1,000 square feet if you have higher storage requirements and expect higher order volume. Delivery and carry-out stores have no seating requirements. The cost of Domino’s franchise in India in this category is lower than dine-in restaurants and higher than express outlets.

Licensing and Accreditation Requirements and Costs

You will incur costs in acquiring licenses and documentation for your Domino’s franchise in India. According to a recent 2022 breakdown, you need 4.5 lakhs INR to launch the first franchise and around 2.25 lakhs INR for stores you open later. This estimate doesn’t include all the documentation and licensing costs. You have to budget for document costs, which include:

Obtaining proof of address and business proof
Obtaining PAN and Aadhar card
Costs of registering the business
Cost of obtaining character certificate
Insurance coverage costs
Costs obtaining FSSAI and GST number
Costs of obtaining the business premise
Audit report and business turnover report
Sub-franchise agreement

Domino’s Franchise Ownership Costs in India

When starting a Domino’s franchise outlet, you have to pay a partnership fee. Yes, Domino’s will require you to obtain a franchise name under their brand. That comes at a cost, and the amount largely depends on varied factors:

The type of outlet you decide to start is the basic determining factor. The Domino’s franchise price in India for a traditional outlet franchise is 50 lakhs INR. It is the most expensive franchise option with higher profit potential.
Non-traditional franchise outlets are cheaper to obtain. However, they have a lower profit potential. You will need to pay 30 lakhs INR to get this Domino’s franchise.

When deciding on the type of franchise to invest in, consider the options and your budget. For example, there’s no need to pay so much for a franchise in an area that does not guarantee high-profit potential. Think about the customer base in the target location and the predicted growth potential.

Domino’s Franchise Profit Expectations

Profit is the primary goal for starting a Domino’s franchise in India. When factoring in Domino’s franchise price in India and other related costs, consider the profit potential of your investment. So, how much can you earn in profits from a Domino’s business?

It is difficult to give an exact profit margin for running a Domino’s franchise business in India. The profits your business generates depend on the primeness of its location, current market demand, and level of competition in the city or town of investment. Starting a Domino’s franchise business in a bustling city with higher customer volume guarantees more sales and higher profitability.

The Domino’s brand claims that franchises under its name in prime locations enjoy profit margins of up to 50%. After investing in this business idea, you can earn double or more within a month or two. The high return on investment and guarantee of sales make Domino’s a profitable and sustainable business idea.

Privileges Offered by Domino’s Pizza to Help You Maximize Profits

Domino’s does not just allow you to start and run a profitable business. They offer the resources and tools you need to succeed in the competitive pizza landscape. The following are privileges you get by partnering with Domino’s Pizza.

A Solid and Reputable Brand Image: Customers are more than ever brand sensitive. They often search for food products from reputable brands. When you partner with Domino’s for a franchise startup, you enjoy all the respect and recognition the brand has built for decades. You also get to reap from its loyal customer base.
Ongoing Quality Support: Domino’s offers you a robust support system to aid your business growth. You get professional-grade supply chain management support, menu development suggestions, and marketing tips and help. You will profit from the company’s proprietary delivery and ordering technology. These features help streamline your operations and aid your business to grow with minimal hassle.
High-End and Superior Technology: Running a pizza franchise requires utilizing the latest technologies and systems to optimize profits. A streamlined ordering and delivery system makes placing orders easier for clients. Domino’s offers advanced, proprietary technology to streamline ordering and delivery processes.
Professional, Extensive Training: Domino’s doesn’t let you alone in the waters. They give you the guidance and tools to enter the river more professionally and energetically. They will provide you with all customer service, food safety, and management matters you need to succeed.

Wrapping Up

If you have been searching for a sustainable business idea, consider investing in a Domino’s franchise. It is, without a doubt, one of the most profitable business opportunities in India. Before starting, however, understand the market dynamics and choose the best investment suited to your budget and goals. The costs differ the same as the profits, so research intensively and invest wisely.