Please tell us the success story of Movenpick from its inception till now?
The man behind Mövenpick ice cream was Ueli Prager, the son of a Swiss hotelier and opened Mövenpick’s first restaurant in Zurich in 1948. Mövenpick was one of the first premium international ice cream brands to enter India in 2000, but couldn’t gain a foothold due to changes in its ownership worldwide. Tarun Sikka, Managing Director, Nectar Hospitality has brought Mövenpick again in India. But now, our strategy has changed to ensure a continuous growth in the outlet business through both company owned and franchise models. These models will include both café/ gallery format and even look at smaller formats such kiosks and scooping unit at strategic locations. We expect to have a total of 30 Movenpick outlets as well as at least 60 scooping units to be placed in different regions of the country in next four years. Presently, we have a total of five outlets and planning to open six more outlets by this year.
Please tell us about your Master Franchisor?
Franchise today is a natural way of expanding in a country. It helps to carter in different regions with someone, who is familiar with local laws and culture. Movenpick is the Master Franchisee of Nectar Hospitality. They even vested interest in two restaurants in Delhi that gives the necessary knowledge of retail, import and cold chain distribution. We prefer this model as it allows them to adapt and grow faster in a market. Together, with our partners who have good local knowledge along with past experience of cold chain logistics is the backbone of our ice- cream business.
What benefits do you offer to your franchise partners?
The ice-cream chain offers everything from its inception till it is running on the round, in terms of benefit for the franchisees. We choose the site, getting the outlet designed from Movenpick, Australia and the implementation of these designs. We also help in procurement of machinery to raw materials to maintain an international standard in India. We play a vital role in hiring and training the staff from international Movenpick team, who are a part of the training process. Apart from this, we help to launch the outlet and design a marketing strategy too.
Please tell us about your product range. What are the variations are you introducing to make your offerings more India oriented?
We have a total of 22 flavors in the Indian market which includes Sorbets and double mixes, which is a combination of ice cream and sorbets. Our menu however is much more as our outlets offer a large range of products which include Waffles, Pancakes, Macaroon with ice cream, Pavlova and the Indian favourite brownie.
Our offering is not India oriented, in fact most of our customers have a eclectic and global tastebud and we are looking to give them an international experience. We strive to give our customers the same Movenpick experience they would have in Switzerland or Australia or anywhere else in the world.
What business strategy are you adopting for Indian market?
The Indian market as discussed is very diverse and we want to ensure a good foothold in cities like Delhi and Mumbai. We are currently opening 2 outlets in Delhi and will also be expanding our scooping model in the above mentioned markets. We also are looking at cities like Hyderabad, Chandigarh and Pune where we are keen on establishing outlets.
Franchise facts:
- Investment: Rs 15 - 60 lakh
- Existing outlets: 2 company owned + 3 franchise + 4 scooping units
- Area: 100- 500 sq. ft depending upon the model
- RoI: 25-30%
- Expected breakeven: Different breakeven point for different cities and outlets sizes. Rents in each city vary and hence break evens can differ
- Expansion plan: high street or premium malls in Gurgaon, Pune, Hyderabad and Chandigarh
