Overview Of How to Start a Tea House Franchise
It is said that the word ‘Tea’ or ‘Chai’ is not just a word but a complete emotion for most of the citizens in India.
For many Chai lovers, the day starts with a cup of Tea and that is how most of us keep ourselves going in our routine. Great conversations are said to have been on with a cup of tea on the table. Be it office breaks, holidays, or college days, Chai has always been the first preference for many. There has been a huge demand for a variety of tea flavors in the market and out of the many brands that stand out in the Tea-selling industry, one such known brand is Tea House.
Currently considered the No. 3 leading Tea-selling brand in the country, Tea House has developed a huge brand value and a customer base in a very short period of time. Unlike other tea-selling brands in the market, Tea House is not just focused on the quality of its tea & coffee or any such beverages. In fact, the brand has a wide range of menus that it offers and serves to its customers. They have many snacks, fast-food items, coolers, shakes, and so on to serve as well which helps them to increase their revenue in general.
One of the best parts about having the Franchise outlet of Tea House Franchise is that it has its own processing unit that handles the production and hence the production cost itself lowers, giving a chance of high-profit margin. This also gives an assurance to their customer about the quality of tea they are consuming and this is the same reason why they have a huge customer base and such a good growth pace in a short period of time. The ambience as well as the taste of the tea that is provided by Tea House is complimented by many.
Advantages of Starting a Tea House Franchise in India
Fast-food chains and cafeterias as well as Tea-sellers are currently the leading sectors in the food industry. When you acquire a Franchise of a brand, you become a part of the venture itself, and
hence it is crucial to understand the various unique selling points of the brand that you can take advantage of. The various USPs of the Tea House brand are as follows.
- For a venture to hit success, it is very crucial that it charges the nominal or the minimal rate that can be afforded by the customers. Tea House has always kept the price of its various items at a minimum level. Their menu ranges between Rs. 10 to Rs. 100. The numbers themselves speak about the progress and the customer base that can be built easily. This allows the brand to have all the different classes of people to be a part of its customer base.
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- It is very crucial for a brand to have its own processing unit. This not only helps it to maintain the quality and the taste of its own products but it also helps them to lower the cost of the production of its selected items. The lower the cost of production, the higher the profit margin that can be earned by the Franchise unit holders through the same, and hence there is no complaint of receiving or earning less profit in the long run.
- The brand provides a wide range of items on its menu. As discussed above, most of the tea brands in the market only divert their focus to the beverage sector. However, in the case of the Tea House brand, they have also added snacks, shakes, coolers, and many more items to their arsenal. This itself says the possibility of being famous in more than just one sector of the industry and having higher chances of success.
- In the end, brand value is of utmost importance. There are many companies out there that are giving away their franchise outlets, however, it is crucial for an interested candidate to recognize if the company has enough brand value and the vision to reach great heights. With the progress that is being made by the Tea House brand, it is safe to assume that they have a good chance of higher profits.
Investment Required for Starting Tea House Franchise in India
Tea House brand offers two different types of Franchise models to the interested candidates and hence the investment amount would vary as per the franchise model chosen. They provide a kiosk and a dining model. The investment for a kiosk model goes around 10 lakhs INR, including the brand fee and the equipment. On the other hand, the investment required for the dining model goes around 14 Lakhs INR, which again covers all the costs with regard to the brand fee and the equipment.
Requirements for Starting a Tea House Franchise in India
Every brand has its own guidelines and conditions which they would expect the franchise outlets to follow. The Tea House brand also has different types of business models to offer and hence there
are certain requirements that individuals should be aware of and are mentioned
- The minimum area required for starting either a kiosk model or the dining model
of the Tea House brand ranges between 200 sq. ft to 500 sq. ft of area.
- There is no special requirement with regard to the qualification or the experience necessary by the Franchise outlet owner to acquire the franchise of Tea House.
- All the staff members of the brand are provided with the various training
sessions by the brand itself.
How to Apply for Tea House Franchise
The recommended and easiest way would be to visit the official website of the Tea House and apply for the Franchise. Once you visit their website, you need to click on the ‘Franchise’ tab. On clicking the tab, you would be presented with an application form, you must fill the form with the details asked. On submitting the form, you would be contacted by the staff of Tea House within a few days, and if eligible the process would move further. The official website of Tea House is mentioned as follows, https://teahousegroup.com/index.
How many Franchises of Tea House are currently operating?
More than 15 Franchise outlets of Tea House are running currently.
What is the term agreement period?
It is of 5 years.
What is the expected period of return?
Around 7 to 8 Months.
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