The pizza hut franchise business is one of the most reputed franchise businesses in India for a very long time.
It has been holding the position in the top fast-food restaurant chain industry in India, and if you are looking to start a reputed food chain franchise business, the pizza hut is going to become a nice opportunity for you.
In order to get the franchise of Pizza Hut, you need to follow some mandatory steps which we are going to explore in this article.
Italian food is world-famous food, and whenever you hear the name of the Italian food, your mouth starts imagining the taste of Pizza, right?
The most popular Italian food is pizza, and nowadays, it is available in each country of the world.
There are many big food companies that are making and selling the pizza, but many few companies are well reputed and well known for their trustworthiness, taste, and service with quality.
Pizza Hut is amongst them having the ranking in the top 5 fast-food chain companies, it is the company that is one of the most reputed pizzas selling companies in the world.
They have managed to win the hearts of lots of foodies across the world with their exotic flavors and delicious recipes.
It is very profitable to acquire the pizza hut franchise whether you are living in India, in the United States, or anywhere else.
Moreover, it becomes very easy to start a new business, if we have proper details with the checklist, and in this article, we are going to cover all those details, so you could conclude your mind about the further process.
In this article, we are going to cover:
- How to get pizza hut franchise in India
- Pizza Hut history and background
- Business Model of Pizza Hut in India
- Land Requirement to get Pizza Hut Franchise
- Pizza Hut Franchise cost in India
- Documents required
- Pizza hut profit margin in India
- How to apply online or offline
What is Pizza Hut || About Pizza Hut
Pizza hut is a food chain restaurant established in the United States of America in 1958 by Dan and Frank Carney in Wichita, Kansas which is the subsidiary of one of the largest restaurant companies in the world.
However, by the name of the company, you can judge that the featured product is Pizza, but it is selling other products also like pasta, side dishes, and desserts as well.
As of 2020, Pizza hut has established its own more than 18,000 restaurants across the world, and the acquisition history of pizza hut is very interesting to know.
In May 2022, The company’s logo called the “Red Roof” is also one of the most familiar logos of a brand to the public.
As of today, Pizza Hut has restaurants in all entities of the world including countries like Saudi Arabia, UAE, Hong Kong, South Korea, Inda, UK, Finland, Germany, Spain Costa Rica, etc…
Pizza hut started its first franchise in 1996 in Bangalore in India, and since then, it has managed to grow at the rate of 40% per annum.
It has established more than 450 restaurants in India today and has the plan to double the numbers in the next upcoming five years.
Talking about the market shares, Pizza Hut is the second biggest pizza company in India with a market share of 27%.
Pizza Hut Business Model in India
If you have gone through the different franchise business models, you might have noticed that every company has its own different model of business.
And it is supposed to be because you can survive in the competitive market if you have a unique business model which adds value to customers’ lives.
Similarly, the Pizza Hut franchise has a different and unique business model which assures that the franchise of pizza hut is profitable to acquire.
And well, it is very recommended to know everything about the business model of the third party before we invest in them, right?
Pizza Hut has adopted a business model in which it operates through three different restaurant formats.
Types of Pizza Hut Franchise in India
Within the business model of Pizza Hut, it is offering you three types of franchise stores.
If there’s a group of people with family or friends arranging the dinner in the fast-food restaurant, then this type of food outlet is the best for them.
From the point of view of the investor, if anyone wants to open the pizza hut franchise in the residential area, then the family dine-in pizza hut franchise is the most preferable for him.
Storefront Delivery and Carry Out
If a person wants to carry out the food with him by the parcel service, he is the most recommended outlet of pizza hut for him.
For example, if anyone is in a hurry or has come by taking a break from the office, or someone’s loved one is waiting for him, he should come here to buy the food.
Hybrid Franchise Outlet of Pizza Hut
The hybrid type of pizza hut outlet stands for the mixture and inclusion of both above franchise types.
The location for this franchise store is selected in such a way that can accomplish all the criteria of storefront delivery and family dine-in franchises.
Moreover, there are some franchises which have a lunch buffet also. But these are the main three models of franchises from which pizza hut generates most of its revenue.
Requirements to Get Pizza Hut Franchise
As pizza hut is an international franchise business model it is supposed to maintain its reputation over the world by providing the same taste, service, and quality over the world.
So, it has set certain criteria which you must fulfill if you want to acquire the restaurant franchise of Pizza Hut.
So, let’s explore which requirements you have to fulfill if you want to buy the franchise business of Pizza Hut in India.
Land and Space Requirements
The company has not mentioned any certain location for establishing the franchise, but according to the market research, a minimum of 1,000 sq ft to 1,500 sq ft of the area or outlet space is required to set up a pizza hut outlet.
Moreover, the location should be in such a way from where you can get more and more customers.
Talking about the land acquisition, it doesn’t matter whether you own the land or you have taken it on lease or rent, the company is concerned with only the location, and it should be profitable.
Pizza Hut Franchise Cost in India
If you are from India, then I am sure that you are very eager to figure out the pizza hut franchise cost in Indian rupees.
Let me tell you that the franchise cost of Pizza Hut depends upon the type of franchise that you want to start.
As we have known just now, Pizza Hut is offering you three types of franchise outlet businesses in India, and one investor can invest in only one franchise model of pizza hut.
According to the costing, pizza hut has been distributed in three types:
Restaurant-Based Delivery System — Pizza Hut Restaurants
In this type of franchise, the pizza and other food items approved by PHLLC are available for dine-in and carry-out services.
You need to invest around 25 lakhs to 30 lakhs rupees to open the restaurant-based delivery system of pizza hut in India.
Delivery Carry Out (Delco) System — Pizza Hut Restaurants
Carry out services stands for that you can only sell the products in this type of franchise business of pizza hut.
If you want to start delivering a carry out system pizza hut outlet in your location, then you need to invest around 15 lakhs rupees.
Delivery Based Restaurants (DBR) — Fast Casual Delco (FCD) System Pizza Hut Restaurant
If you open this type of pizza hut outlet, you can sell or die-in, carry out, and deliver the foods as well.
You need around 20 Lakhs rupees to invest to start the delivery-based pizza hut.
Common Recurring Expenses For Every Type of Franchise
The above-mentioned cost for pizza hut franchises depends upon the type of franchise, but there are two expenses that are common for all.
- Royalty Fees: You need to pay the 6% of gross sales of the franchise in that month as a royalty fee to the company.
- Advertising Fees: As the advertising fees, you are supposed to pay 4.25% of the gross sales of the month to the company.
How to Get Pizza Hut Franchise in India
Again, every franchise has a different process to sell the franchise for different countries, and pizza hut has the same as well.
In order to get the pizza hut franchise, you need to visit the official website of the pizza hut franchise, where you will get the form and you have to submit it by filling in all the required details.
Once you submit the application form, your application will be reviewed by the support team of the pizza hut company.
If your application is approved, they will contact you and will schedule a meeting in which they will discuss the franchise business model.
It is mandatory to attend the meeting and on the success of the meeting, you will need to sign the agreement, and then you can start a franchise of pizza hut on the selected location.
This process takes around 10 to 12 weeks, and after approval, you can start your franchise store within six to nine months according to size and location.
Moreover, if you have any issues or queries regarding the pizza hut franchise in India, you can visit the headquarter office physically.
Pizza Hut Headquarter India Office Address: Pizza Hut Office, 12th floor, Tower D, Global Business Park, Gurgaon, Haryana, India – 122002
Training and Support
Let’s explore how the company will help you in terms of providing the training and support if you get the franchise.
Pizza hut is an international brand, so it takes care that it maintains the required standard in every country at each store.
And that is why pizza hut provides the training according to which you have to run the franchise store wherever you are in India.
Pizza Hut provides on-the-job training to the workers which can last for 8 to 10 weeks.
Along with this training, the company will give you the two types of support.
- Ongoing Business Support: In this support, a franchise can attend conventions with other franchises and gain some inside knowledge.
- Marketing Support: By this support, franchisees are able to take advantage of the brand name of pizza hut.
Pizza Hut Profit Margin in India
Although the portability of any franchise business model is determined by its performance and footfall, you can still expect the profit revenue of 50,000/- to 70,000/- per month from the pizza hut revenue.
Hence, it varies on the location and type of franchise which you acquire, on average your profit will fluctuate around these figures if you run the business properly.
Conclusion on Getting The Pizza Hut Franchise
Specialization makes man different, and when it comes to pizzas in India, people’s first choices are always the pizza hut, am I right?
If you are thinking about opening a pizza hut outlet, then you should keep in mind that the goal of the company is to double the outlets in India in the upcoming 5 years, so it will help you to boost your business in the up direction.
So, if you are thinking about investing in a pizza restaurant, then the Pizza Hut restaurant franchise is the best option for you.
Because pizza hut is specialized & dedicated to pizza, the specialization always grabs the attention of the audience by serving the best quality.