Entering the fast-food business through the franchise of  Domino’s Pizza can prove to be highly profitable for anyone interested in seeking a franchise business in India. Being one of the most recognizable pizza delivery chains, which has developed and proven a business plan,  Domino’s provides its franchisees with numerous services, including training, marketing, and operational tools. This guide aims to describe key indicators relevant to Domino’s Franchise in India and the cost structures, requirements, and profit involved in franchising.

Overview of Domino’s

Domino’s Pizza was established in 1960 in the United States of America and is now one of the most recognized pizza delivery companies across the globe. Due to its slogan, ‘Yum, deep delight,’ market penetration, attractive prices, variety of products, great service delivery, and above all, EOSS strategy, Domino’s has established a large market share in India. It enjoys a loyal following because of the consistent quality of its products, the new products and services it launches often, and a strong delivery network that meets the requirements of the demanding Indian market.

Key Information About Domino’s Franchise

• Founding Year: 1960
• Global Reach: Currently, it has an outlet network of over 18,000 stores in more than 90 countries.
• Popular Offerings: Several types of pizzas, appetizers, desserts, and drinks
• Franchise Types: Fixed stores (large stores or eating places) and non-fixed stores (or mobile outlets like kiosks, outlets in the food courts, etc.)
• Domino’s Franchise Cost in India: 1 to 2 Crore

How Much Does Domino’s Franchise Cost in India?

To open a Domino’s franchise in India, certain expenses can be expected. These are the initial franchise fee, costs of establishment, equipment and materials, advertising and promotion, and many others.

Initial Franchise Fee: Domino’s Franchise Fees are ₹25 lakhs to ₹50 lakhs. This fee provides the franchisee an authorization to operate Domino’s outlet to cater for and also comes with operational tools, training, as well as continued support from the company. The fee may also vary depending on, among other factors, the location and type of store.

Construction Costs: That dropped from a range of ₹50 lakhs to ₹1 crore. These costs comprise all that has to do with getting the store to become operational, such as location, renovations, developments, interior decoration, and installations of signs, among others. However, the actual cost will be determined by the size of the store together with its location.

Components of store setup costs: Components of store setup costs:

Site Selection and Leasehold Improvements: Selecting a prime site that suits Domino’s requirements and making some alterations to it if need be.

Construction and Renovation: Constructing or rehabilitating the store based on Domino’s requirements for construction, such as a kitchen, dining area, and restrooms, among other modifications.

Interior Furnishings and Fixtures: Placing furniture, decorations, signs, and other objects necessary for an inviting atmosphere, which corresponds to the brand of Domino’s.

Equipment and Kitchen Setup: From ₹20 lakhs to₹30 lakhs. This pertains to all of the kitchen utensils and equipment for preparing food products and items, like pizza ovens, dough mixers, refrigeration, preparation tables, and POS terminals.

Initial Inventory: From ₹ 5 lakhs to ₹ 10 lakhs Includes expenses for purchases of the opening inventory of food and other items that are used in the store and other items that may be needed by the store for the first few months of its operations.

Marketing and Promotion: Promotional costs 10 lakhs for the launch of a retail shop, like local newspaper advertisements, fairs, or Google advertisements and posts to attract consumers.

Working Capital: ₹10 lakhs to ₹15 lakhs this reserve helps cater for the everyday expenses of the business, like paying the employees’ wages, bills, and other overheads right from the start until the business starts making its profits regularly.

Royalties and advertising fees

Royalty Fee: The gross margin was 5.5% of gross sales.

Advertising Fee: The remaining 4% must be derived from gross sales.

These are regular charges that the franchisee pays to Domino’s for the rights to use the name and engage in national marketing and promotional activities.