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Author: Shourya Jain

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Brand Stories

Zomato’s Bold Game-Changer: How ‘District’ and ‘Food Rescue’ Are Redefining the Industry

The rivalry between Zomato and Swiggy is heating up, and Zomato is making sure it doesn’t play second fiddle. As Swiggy celebrates its high-profile IPO, Zomato has stolen some of the spotlight with two groundbreaking initiatives: Zomato District and Food Rescue. These moves are more than business as usual—they’re bold steps toward redefining how India experiences food, entertainment, and sustainability.

With a food delivery market valued at $20 billion and growing at 20–25% annually, standing out is no small feat. Yet, Zomato is proving it has what it takes to lead not just in numbers but in innovation and purpose. Let’s uncover how these ventures are setting new benchmarks in the industry.

Zomato District: Marrying Dining and Live Entertainment

In a trailblazing move, Zomato has ventured into the live entertainment space with Zomato District, following its ₹2,048 crore acquisition of Paytm’s entertainment and ticketing business. This strategic shift taps into India’s live entertainment industry, which is projected to reach $4 billion by 2025. Millennials and Gen Z, the key spenders on experiences like concerts and curated events, are fueling this rapid growth.

Post-pandemic, the desire for social outings and experiential entertainment has soared. A PwC report highlights a 16% CAGR in India’s live entertainment segment, driven by rising disposable incomes and a growing appetite for unique experiences. Zomato District seamlessly integrates dining with entertainment, offering users the ability to book a table at restaurants hosting live music or events—all through the app.

This move not only diversifies Zomato’s portfolio but also provides a unique edge over Swiggy, which currently lacks an entertainment-focused offering. By bridging the gap between dining and live events, Zomato District also positions itself against established players like BookMyShow in the ticketing arena.

Why It Works:

  • Competitive Advantage: Leveraging its restaurant partnerships to create exclusive experiences.
  • Premium Positioning: Attracting high-value customers willing to spend on quality entertainment and dining.
  • Brand Loyalty: Elevating Zomato as a lifestyle brand rather than just a delivery platform.

The initial response? Overwhelmingly positive. Customers appreciate the app’s convenience and the novelty of curated dining experiences. This is more than just a feature; it’s a lifestyle upgrade.

Food Rescue: Fighting Wastage, Winning Hearts

Every day, thousands of perfectly good food orders are wasted due to cancellations—a pain point Zomato has turned into an opportunity with its Food Rescue initiative. According to the Food Waste Index, India generates a staggering 68.8 million tons of food waste annually, a significant portion of which originates from urban areas and food delivery.

Zomato CEO Deepinder Goyal highlighted this issue on X (formerly Twitter):
“Despite strict policies, more than 4 lakh orders are canceled monthly on Zomato. That’s a lot of wasted food—something we can’t ignore.”

Food Rescue addresses this by offering recently canceled orders to nearby customers at discounted prices. It’s a win-win: customers save money, restaurants reduce waste, and Zomato earns goodwill as a socially conscious brand.

A survey by Kantar reveals that 77% of Indian consumers prefer brands aligned with social causes. By tackling food wastage head-on, Zomato strengthens its position as a purpose-driven company. The low-cost, high-impact feature has resonated deeply with consumers, reinforcing brand loyalty and sustainability credentials.

The Viral Masterstroke: Zomato’s Perfect Clapback to Swiggy’s IPO

When Swiggy announced its IPO, Zomato could have remained quiet. Instead, it made waves with a simple yet powerful gesture: a congratulatory post from Deepinder Goyal that read,
“Congratulations Swiggy! Couldn’t have asked for a better company to serve India with.”

The internet went wild. The post struck a chord for its gracious tone and strategic brilliance. Industry experts hailed it as a PR masterclass, showcasing Zomato’s knack for turning competition into an opportunity for positive branding.

This move wasn’t just about being a good sport—it subtly kept Zomato in the spotlight while Swiggy basked in IPO glory. The viral post reinforced Zomato’s reputation as a forward-thinking, relatable brand.

Swiggy’s IPO vs. Zomato’s Long-Term Vision

While Swiggy’s IPO highlights its scale and financial success, Zomato’s recent ventures suggest a broader, more innovative play. Here’s how Zomato is positioning itself for the long game:

  1. Diversification: Expanding into live entertainment (Zomato District) to tap into adjacent markets.
  2. Sustainability: Addressing food wastage through Food Rescue, aligning with consumer values.
  3. Cross-Selling Opportunities: Events booked through Zomato District can drive food orders, while Food Rescue strengthens retention.

These initiatives deepen user engagement and offer tangible differentiation in an increasingly commoditized food delivery space.

Conclusion: Redefining the Playing Field

As Swiggy focuses on IPO milestones, Zomato is rewriting the rules of the game. With Zomato District, the brand taps into experiential trends, while Food Rescue champions sustainability and social impact. Together, these ventures reflect Zomato’s ambition to go beyond delivery and evolve into a lifestyle ecosystem.

The race isn’t just about market share anymore; it’s about shaping the future of consumer engagement. Whether Zomato’s strategy will outpace Swiggy depends on execution, but one thing is clear: it’s no longer just a competition—it’s a reinvention of what’s possible in India’s dynamic food-tech industry.

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BBFT Success Story Franchise stories

Inside Peter Rabbit & BBFT’s Plan to Revolutionize Punjab’s Café Culture with Freshness, Flavor, and Innovation

The coffee culture in Punjab is evolving, and with it comes a growing appetite for authentic dining experiences. Yet, a key problem has remained—most cafés relied on frozen, proprietary food, leaving customers wanting more in terms of freshness and transparency. 

Peter Rabbit Coffee Roasters, known for its specialty coffee and inhouse fresh production, has identified this gap and partnered with Building Brands for Tomorrow (BBFT) to expand across Punjab and Himachal Together, they aim to redefine the region’s café experience by combining premium coffee with a live kitchen—offering what the Punjab market has been missing.

Bringing Freshness and Flavor to Every Plate and Cup

Founded in 2023 in Chandigarh, Peter Rabbit was born with a mission to serve artisanal coffee and freshly prepared wholesome meals, setting itself apart in a cluttered F&B space. 95% of the café’s food is made in-house at the base kitchen—from breads and sauces to cookies and pastries—ensuring a fresh, high-quality experience.

“At Peter Rabbit, we are committed to serving authentic flavors that speak for themselves,” explains Rishab, co-founder of Peter Rabbit. “We make everything fresh, so what you taste isn’t frozen—it’s real food, prepared right in front of you. Our coffee is no different, sourced directly from the estates of Coorg and Chikmagalur and brewed with care.”

Must try Menu Items

The café has already become a favorite destination for breakfast lovers and small-plate enthusiasts, offering dishes like the Avocado Moong Cheela and Parsley Cream Paccheri Pasta, as well as specialty beverages such as the Tiramisu Iced Latte and Royal Rocher Shake. These offerings not only delight the senses but also reflect Peter Rabbit’s focus on transparency through a live kitchen model.

 With an impressive lineup of artisanal desserts and in-house bakery items as well, Peter Rabbit offers something for every palate. This concept invites customers to observe their meals being prepared, turning hygiene and craftsmanship into part of the dining experience.

A Café that Engages All the Senses

Every detail at Peter Rabbit is thoughtfully curated to elevate the customer experience, from the banana-leaf light installations to the hand-crafted rabbit motifs and selfie points. The café also integrates manual coffee brews like Pour Over, AeroPress, and Cold Brew, ensuring that artistry and craftsmanship go hand-in-hand with every cup served.

“We’re not just selling coffee or food,” Rishab emphasizes. “We’re creating an experience where every dish tells a story, and every cup connects with the customer on a personal level. That’s what makes Peter Rabbit different.”

The focus on continuous innovation keeps Peter Rabbit ahead of market trends. Menu updates, new additions, and active social media campaigns ensure strong engagement with customers, making it more than just a café—it’s a community hub where people come to connect and unwind.

Growth Strategy: Expanding the Peter Rabbit Experience

The partnership with BBFT marks the start of Peter Rabbit’s ambitious expansion plans. Together, they are set to roll out 8-10 new outlets across Punjab and Himachal Pradesh, bringing Peter Rabbit’s winning formula of coffee, food, and ambiance to a larger audience leveraging both COCO (Company-Owned, Company-Operated) and FOCO (Franchise-Owned, Company-Operated) models.

Each café will offer the same signature elements—fresh food, artisanal beverages, and a vibrant ambiance—to maintain consistency in the unique experience Peter Rabbit offers to the market. The investment required for a typical 1,000 sq ft outlet stands at INR 80 lakhs, with a Cap-Ex breakeven period of 22- 24 months.

BBFT and Peter Rabbit: A Collaboration Shaping Punjab’s Cafe Culture

With Punjab’s café scene growing at a rapid pace, BBFT recognized the opportunity to introduce a fresh, unique concept to the region.

“Today’s customers aren’t just looking for a place to sit and sip—they want an experience,” says Rohit, founder of BBFT. “The market was saturated with cafés offering pre-prepared meals, which didn’t meet the expectations of discerning customers. Peter Rabbit brings a much-needed change with its fresh, live kitchen model—delivering exactly what Punjab’s evolving café culture needs, at just the right time.”

This collaboration embodies BBFT’s mission to shape the future of F&B by leveraging innovative concepts that cater to modern market demands.

Meeting the Market at the Perfect Time: Performance and Positioning

Peter Rabbit’s business model has already shown strong performance, with an average ticket size of INR 1,200 for two and monthly sales of INR 15-18 lakhs and an expected ROI of 23%. The café’s focus on quality, authenticity, and community building has earned it the Times Food & Nightlife Award 2024 for the best coffee in the tri-city region, 2nd time in a row.

The specialty coffee market in India has seen significant growth, with consumers moving toward personalized dining and high-quality brews. Punjab, in particular, is ready for this change, and Peter Rabbit’s in-house food and live kitchen model offer the perfect solution to meet evolving demands.

“Punjab’s café scene was waiting for something new,” says Rohit. “And with Peter Rabbit, we’re not just following trends—we’re setting them.”

Conclusion: A Journey Built on Quality, Creativity, and Community

As Peter Rabbit expands across Punjab with BBFT, the focus remains on building lasting connections through authentic experiences. With artisanal coffee, fresh food, and immersive spaces, the brand promises to redefine the café experience across the region.

For both Peter Rabbit and BBFT, this journey is about more than growth—it’s about creating spaces where people feel connected. And as the first café in Punjab to offer a live kitchen model, Peter Rabbit is ready to set a new standard for quality and transparency in the F&B industry.

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BBFT Success Story Franchise stories

Tan Coffee Opens Flagship Store in Connaught Place: A New Chapter in Delhi’s Speciality Coffee Scene

Tan Coffee continues to be a pioneer in India’s specialty coffee market, by announcing the launch of their flagship outlet in Connaught Place. This iconic location, alive with energy and steeped in history, serves as the perfect backdrop for the brand to share its passion for crafting exceptional brews and delicious food. Under the visionary leadership of founders Nishant Mittal and Shivank Verma, and in collaboration with BBFT (Building Brands For Tomorrow), Tan Coffee is making significant strides in its mission to redefine the Speciality coffee experience in India, showcasing impressive market positioning and strategic expansion.

A New Era of Flavor: Tan Coffee’s Signature Creations

With the launch of their flagship store, Tan Coffee is staying true to its core philosophy of continuous evolution and innovation, elevating the coffee experience by expanding their menu like never before.

Tan Coffee’s current menu boasts an impressive selection, ranging from specialty coffees, manual brews, specialty mocktails and a wide selection of innovative beverages like their Kerala Spiced Cappuccino, Tiramisu Latte, Pistachio Iced Latte, Strawberry Espresso Tonic, Basil Gimlets and many more, paired with 100+ gourmet fresh food options across cuisines like Italian, Mexican, Continental and American.

The New Addition

Staying true to their traditions while continuously evolving, Tan Coffee has also unveiled an array of new signature dishes. Their menu now boasts a Pan Asian section featuring comforting ramen bowls and flavorful Pad Thai noodles, perfectly complementing their popular Ema Datshi rice bowl. In the Italian section, alongside their signature wood-fired pizzas and pastas, they’ve added a delicious new lasagna to the lineup. For those with a sweet tooth, the signature in-house-made Lotus Biscoff cheesecake, is now paired beautifully with their latest creation—Flushed Croissants. Among these, the choco banana croissant stands out as a must-try.

Nishant Mittal, Co- founder, Tan Coffee added, “We’ve been dreaming of this day for a long time, and it’s finally here! Our flagship store is opening its doors, and we couldn’t be more excited. We’ve poured our hearts and souls into creating a space that’s both inviting and inspiring. Our new menu is a big deal — it’s more refined and diverse than ever. We can’t wait to share our love for coffee with Delhi

A Heritage Location

Connaught Place stands as Delhi’s most iconic and heritage-rich destination. Renowned for its stunning colonial architecture and lively atmosphere, this area is not just a shopping and dining hub; it’s a cultural landmark that attracts millions of visitors each year. With an impressive annual footfall exceeding 60 million, Connaught Place is a vibrant mix of both history and modernity, making it the ideal setting for Tan Coffee to establish its presence and connect with coffee enthusiasts across the city.The flagship outlet is strategically located in one of the busiest lanes of Connaught Place, directly across from the expansive 28,000 square-foot H&M outlet. This prime location witnesses a remarkable daily foot traffic of over 25,000 people, offering Tan Coffee a unique opportunity to engage with a diverse audience and cultivate a community of coffee lovers eager to experience what the brand has to offer. 

The Perfect Blend of Tradition and Modernity

As Tan Coffee opens its doors in the heart of Delhi, it artfully balances the charm of the area’s rich heritage with a fresh, contemporary twist on the coffee experience. 

At this flagship store, Tan Coffee combines a thoughtfully crafted ambiance—featuring warm, artisanal décor—with a focus on offering a coffee experience that delights both traditionalists and modern coffee enthusiasts. The interiors have been designed with a minimalistic and soothing approach, with an emphasis on subtle tones, while still maintaining a sense of aesthetic appeal. This careful balance creates a warm and cozy vibe, making it the perfect setting for customers to enjoy their coffee and food. The harmonious blend of ambiance and design ensures a welcoming atmosphere where guests can explore new flavors while soaking in the vibrance of the space.

An Investment with Strong Returns

Tan Coffee is not just about great coffee; it’s also an attractive business opportunity. With its unique positioning as an experiential specialty coffee and gourmet food brand, it offers an impressive payback period of around 20-24 months for investors with a net profit margin of 20-25%. With a capex investment of 60-70 lakhs, Tan Coffee provides a unique investment opportunity that blends passion with profitability. The flagship outlet in Connaught Place sets the stage for future growth and showcases the brand’s potential to deliver both a premium customer experience and robust financial returns. 

Rohit Singh, Founder and CEO of BBFT, highlights the brand’s strategic approach: “From day one, our focus has been on quality over quantity, ensuring that each new outlet delivers consistent returns and is a true representation of what Tan Coffee stands for. Launching in a landmark location like Connaught Place marks a significant opportunity for investors to partner with a brand that is not only poised for significant growth but also committed to setting new standards of excellence in the specialty coffee industry.

Conclusion

The launch of Tan Coffee’s flagship store in Connaught Place marks a pivotal moment for both the brand and the thriving coffee culture of Delhi. This flagship store will serve as a blueprint for future locations, embodying the brand’s core values of continuous evolution, exceptional coffee, and culinary delights—all while delivering an unparalleled customer experience against the backdrop of this historic location.


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Industry Story

How Blue Tokai Coffee Roasters Revolutionized Coffee Culture in India

From Home Roasting to Coffee Roastery Success

In a country where chai has been the undisputed king, a new challenger emerged—a brand that dared to disrupt India’s tea-dominant culture. Enter Blue Tokai Coffee Roasters, a company that has become synonymous with specialty coffee in India.

Founded in 2013 by Matt Chitaranjan and Namrata Asthana, Blue Tokai set out to change the way Indians experience coffee. What began as a passion project soon evolved into a full-fledged mission to introduce premium, high-quality coffee to a nation still primarily brewing chai.

The Early Days: Crafting a Revolution, One Cup at a Time

Imagine a small 1 kg roasting machine in a home kitchen. Long nights were spent roasting beans, packing orders, and fulfilling the budding demand for something different—something that spoke of authenticity and quality. That’s how Blue Tokai began.

Matt and Namrata’s journey took a pivotal turn when they secured ₹3 crore in seed funding, enabling them to move from their humble kitchen to a warehouse in Saket. With a larger space came even greater ambitions. By 2013, the brand opened its first roastery in Delhi. Soon, Blue Tokai expanded into new cities, including Bombay, and even secured a kiosk at the Australian Embassy.

The early success wasn’t just about selling coffee—it was about educating a tea-loving nation on the nuances of coffee culture.

Cracking the Code: Blue Tokai’s Road to Success

1. Unwavering Focus on Quality

At the heart of Blue Tokai’s rapid rise lies its commitment to quality. Using pure Arabica beans, the brand ensures that each cup offers the same, consistent flavor profile across batches. Customers can taste the dedication to freshness with every sip—most deliveries in metro cities are fulfilled within 24 hours.

“At Blue Tokai, consistency isn’t just a goal—it’s our promise to our customers,” says co-founder Matt Chitaranjan.

2. Branding: More Than Just Coffee

Positioned as a premium coffee brand, Blue Tokai’s appeal extends far beyond its product. Their focus on branding and education resonates with a new generation of consumers. The company’s Instagram presence and website are built to create a community of coffee aficionados, guiding them through the intricate world of specialty coffee.

Blue Tokai’s commitment to sustainability and ethical sourcing also plays a central role in their brand story. By including the names of the farmers on each packet, they’re connecting consumers directly to the source.

3. Strategic Expansion: Growing One Café at a Time

Blue Tokai’s growth strategy is as refined as their coffee. Their cafes are strategically placed in high-footfall areas across Tier 1 metro cities and emerging Tier 2 cities. Over the past 12 months, they’ve doubled their presence, with 130 outlets now serving fresh brews across India.

“We didn’t just want to open cafes. We wanted to create experiences,” says Namrata.

4. Targeting India’s New Coffee Drinkers

With a focus on young professionals aged 25-45, Blue Tokai has successfully onboarded an entirely new demographic of coffee drinkers. Their multi-channel approach, comprising 20% direct-to-consumer (D2C), 10% business-to-business (B2B), and 70% café-driven revenue, highlights the versatility of their business model.

Financial Growth and Future Outlook

As India’s coffee culture continues to grow, Blue Tokai is poised to capitalize on this surge. The specialty coffee market is expanding at a rate of 10-15% annually, and Blue Tokai is at the forefront of this trend. With Series C funding of $35 million and plans to open 220 new stores in the next three years, the future looks promising.

Their expansion into B2B and D2C channels further diversifies their revenue streams, solidifying their position as a dominant player in India’s coffee industry.

Conclusion: Shaping the Future of Coffee in India

Blue Tokai Coffee Roasters has redefined what it means to enjoy coffee in India. Through their unrelenting focus on quality, strategic growth, and forward-thinking branding, they’ve shifted coffee from a mere commodity to an experience.

As they continue to grow, expand, and innovate, Blue Tokai is not just serving coffee—they are shaping the future of coffee in India, one cup at a time.

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Industry Story

The Nightclub Business: Why Surviving the Night is So Tough

The nightclub industry shines brightly in the hospitality sector, drawing entrepreneurs with promises of excitement and profit. Yet beneath the dazzling surface lies a business fraught with challenges. The global nightclub market, valued at $23 billion in 2023, presents a tempting opportunity. However, the reality is sobering: about 30% of new nightclubs close within a year, and 60% don’t make it past five years.

Success in this industry demands more than just creating a lively atmosphere. It requires careful management of finances, operations, and complex regulations. “In the nightclub business, you’re only as good as your last party,” says veteran club owner Marcus Aurelius. “One misstep, and you’re yesterday’s news.

Indeed, industry statistics paint a grim picture: approximately 30% of new nightclubs shutter within their first year, with that number climbing to a daunting 60% by the five-year mark. These figures serve as a stark reminder that success in this realm requires more than just a flair for festivities—it demands a masterful grasp of financial acumen, operational finesse, and regulatory savvy.

The Marketing Maelstrom: Staying Relevant in a Fickle Market

In an era where social media reigns supreme, nightclubs find themselves locked in a perpetual battle for relevance. The digital arena has become the new frontline, with venues pouring up to 10% of their revenue into marketing budgets. From influencer partnerships to viral campaigns, the pressure to stay “buzzworthy” is relentless.

Priyank Sukhija, CEO of First Fiddle Restaurants, offers a seasoned perspective: “Customer’s thirst for the next new thing is the main reason behind the short shelf life of nightclubs. Guests love to explore, but can quickly jump to the next best thing once they’ve visited a venue 2-3 times. It’s why we change our menus every 6-8 months—to offer something new to guests who’ve tried and loved us before.”

This constant need for reinvention underscores a fundamental truth: in the nightlife industry, complacency is a death sentence.

The Financial Tightrope: Walking the Line Between Profit and Loss

The financial challenges of running a nightclub are daunting. Rent for prime locations can eat up to 30% of revenue. Staffing costs often account for another 20%. Add to this the expenses for utilities, including power-hungry light and sound systems, and profit margins quickly narrow. Revenue streams like drink sales, cover charges, and table reservations are highly unpredictable, swinging wildly between busy weekends and slow weeknights.
Add to this the rollercoaster of revenue streams—drink sales marked up by 300% on busy nights may plummet on slower evenings—and the challenge becomes clear. Success in this industry requires not just a head for hospitality, but the acumen of a seasoned financial strategist.

Regulatory Roulette: Navigating the Maze of Compliance

As if the financial challenges weren’t enough, nightclub owners must also contend with a labyrinth of regulations. From obtaining elusive liquor licenses to adhering to strict noise ordinances, the regulatory landscape is fraught with pitfalls. One misstep can result in hefty fines or, worse, closure.

“Compliance isn’t just about following rules,” notes legal expert Sarah Chen. “It’s about anticipating changes and adapting before they become problems. In this industry, being proactive isn’t just smart—it’s survival.”

The Path Forward: Thriving in the Night

Despite the challenges, the nightclub industry continues to attract bold entrepreneurs drawn by its energy and potential. For those brave enough to enter this high-stakes world, success lies in understanding that a great party is just the beginning. True triumph comes from mastering the delicate dance of financial management, marketing innovation, and regulatory compliance.
In the end, the nightclub business is not for the faint of heart. It’s a world where fortunes can be made and lost in the span of a weekend, where today’s hotspot can become tomorrow’s cautionary tale. Yet for those who can navigate its treacherous waters, the rewards—both financial and personal—can be extraordinary.

As the saying goes in the industry, “The night is young, but only the strong survive till dawn.”

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Industry Story

The Rise and Fall of Cloud Kitchens in India: A Business Perspective

Introduction

Imagine a restaurant with no tables, no waitstaff, and no diners, yet generating millions in revenue. Welcome to the world of cloud kitchens. Once hailed as a disruptive force in the Indian food industry, cloud kitchens promised to transform how food was prepared, delivered, and consumed. With the rise of food delivery giants like Swiggy and Zomato, cloud kitchens were seen as a high-growth, low-cost solution. But as quickly as they rose, many operators have struggled to survive. What went wrong?

This article explores the rise and fall of cloud kitchens in India, analyzing their growth trajectory, the challenges they faced, and the key lessons for businesses looking to navigate this complex and evolving industry.

The Rise of Cloud Kitchens in India

Cloud kitchens, also known as dark kitchens or ghost kitchens, are delivery-only restaurants that operate without physical dine-in spaces. By cutting down on rent, staffing, and overheads, these kitchens can focus exclusively on food preparation for online orders. The model seemed tailor-made for the digital era, offering flexibility and cost efficiency.

But cloud kitchens weren’t just a response to changing consumer preferences. They aligned perfectly with the surge in demand for food delivery services, driven by platforms like Swiggy, Zomato, and UberEats. The absence of front-of-house expenses allowed operators to experiment with multiple cuisines under one roof, giving birth to a new kind of food business.

Market Growth and Drivers

In 2019, the Indian cloud kitchen market was valued at around $400 million. By 2022, that figure had more than doubled, reaching over $800 million. Analysts projected that the market could grow to $2 billion by 2024. The COVID-19 pandemic only accelerated this growth, as lockdowns and safety concerns pushed consumers toward online food ordering. Restaurants that had previously relied on dine-in business quickly pivoted to delivery models.

As Mr. Anurag Katriar, former President of the National Restaurant Association of India (NRAI), observed, “The cloud kitchen model is a game-changer for the foodservice industry, allowing businesses to operate with lower overheads while leveraging the growing trend of online food delivery.”

Challenges Leading to the Fall

Dependence on Aggregators

As cloud kitchens proliferated, many operators became heavily reliant on food aggregators like Swiggy and Zomato for order volumes. While these platforms offered access to millions of customers, they also charged steep commissions—typically between 20% to 30%. For businesses already operating on slim margins, these fees were crippling.

To illustrate, consider this: A kitchen with a 10% profit margin, after paying 25% in aggregator commissions, would already be operating at a loss. Over time, this dependence eroded profitability, pushing many operators to the brink.

Oversaturation and Branding Struggles

As the market grew, so did the number of players. The relative ease of setting up cloud kitchens led to a flood of new entrants, resulting in market saturation. Smaller operators, lacking the branding and marketing muscle of bigger players like Rebel Foods, struggled to stand out. Without a distinctive brand identity or loyal customer base, many kitchens found it difficult to attract repeat business, leading to unsustainable models.

Profitability Struggles

By 2023, it became evident that the cloud kitchen gold rush had its limits. Data showed that 25-30% of cloud kitchens in India shut down within their first year of operation. A survey by the NRAI found that nearly 50% of cloud kitchens in major cities like Delhi, Mumbai, and Bangalore were unprofitable.

The industry’s once-optimistic projections were now overshadowed by high failure rates and widespread closures, forcing a reassessment of the cloud kitchen model’s viability.

Key Industry Players

Several players capitalized on this opportunity, but none more successfully than Rebel Foods, the largest cloud kitchen operator globally. By 2021, Rebel Foods had over 450 kitchens across India, and its multi-brand strategy included popular names like Behrouz Biryani, Faasos, and Oven Story Pizza. Backed by investors like Sequoia Capital and Goldman Sachs, Rebel Foods was able to scale rapidly, with an estimated topline of ₹1,200 crore in FY23.

Other notable players include Cure Foods, Biryani By Kilo, Ghost Kitchens India, and FreshMenu, each employing various strategies to tap into the burgeoning market.

Case Studies: Lessons from Rebel Foods and CureFoods

Despite these challenges, some companies have not only survived but thrived. The key to their success? A combination of scale, innovation, and adaptability.

Rebel Foods offers a case study in multi-brand strategy. By running multiple restaurant brands from a single kitchen, they maximized efficiency and catered to diverse consumer tastes. This flexibility allowed them to pivot quickly to high-demand cuisines and scale across geographies. Their omni-channel approach—offering food through various platforms, including their own—reduced dependence on aggregators and improved margins.

Similarly, CureFoods, led by Ankit Nagori, followed a strategy of acquiring smaller cloud kitchen brands to build a diversified portfolio. This helped them tap into various market segments, from fast food to premium dining. Both Rebel Foods and CureFoods have invested heavily in technology, using data analytics to optimize operations, streamline logistics, and improve customer insights.

The lesson here is clear: To survive in the cloud kitchen space, businesses must build scale, diversify revenue streams, and invest in technology to drive efficiency.

The Future of Cloud Kitchens in India

While the initial cloud kitchen boom has slowed, the model is far from dead. In fact, its future could lie in direct-to-consumer (D2C) approaches, where businesses build their own apps and websites to engage directly with customers. This would help reduce dependence on aggregators and allow cloud kitchens to build brand loyalty.

Additionally, innovation in packaging, sustainability, and logistics could offer new avenues for growth. Businesses that focus on delivering a seamless customer experience—from order placement to delivery—will be better positioned to capture market share.

For cloud kitchens to succeed in the future, the focus must be on differentiation. Operators need to build strong brands, invest in customer relationships, and leverage data to make smarter decisions. As the industry matures, only those who can adapt quickly and strategically will survive.

Conclusion

The cloud kitchen model, once seen as a revolutionary force in India’s foodservice industry, has faced significant challenges. Heavy reliance on aggregators, market saturation, and profitability issues have led to the downfall of many operators. However, the future remains bright for businesses that can innovate, scale efficiently, and build stronger brands.

The cloud kitchen landscape may be high-risk, but with the right strategy, it also offers high rewards. As the industry continues to evolve, the key to success will lie in adaptability, operational excellence, and a deep understanding of the market.

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BBFT Success Story

The biggest game changer in QSR is here: Sheikh Chang Singh;  Announces Expansion Plan, Partners with BBFT to Open 12 New Outlets.

Sheikh Chang Singh, a dynamic QSR brand founded in 2020 by Akshay Sharma and Karan Chachra, has announced an ambitious expansion plan in partnership with BBFT BBFT (Building Brands For Tomorrow). The brand plans to open 12 new outlets within this financial year cementing its position as a leading name in the Indian QSR landscape. The brand’s position and name is a combination of three parts: Sheikh (shawarma and falafel), Chang (rolls and momos), and Singh (kebabs, curries, and biryani), making it unique in the F&B market.

A Visionary Beginning

Established in September 2020, Sheikh Chang Singh began with a small 200 sq. ft. outlet in Hauz Khas, New Delhi. Despite the challenges posed by the pandemic, the brand turned a profit from its very first month. Founders Akshay Sharma and Karan Chachra, who are also directors of Mallu Farms, one of the best wedding venues in Delhi NCR, leveraged their extensive experience in hospitality to build a brand that quickly gained traction.

With a vision to capture major cities across India, Sheikh Chang Singh expanded within Delhi NCR in 2020. Their commitment to excellence in QSR is evident in their ability to collaborate with top minds in hospitality and create profitable franchise models even during challenging times.

Akshay Sharma, Co-founder, stated, “We have worked meticulously to create one of the best back-end operations that a QSR can have. By intentionally choosing some of the most scalable food items, we are now ready to expand across Delhi NCR and Punjab in the first phase, followed by a pan-India presence in the second phase, in collaboration with BBFT.”

Strategic Expansion and Investment Opportunities

Sheikh Chang Singh’s outlets, typically 200-250 sq. ft., are designed to optimize space with a 150 sq. ft. kitchen and the remaining area for seating. This model allows for lower rental costs, with 70% of business coming from deliveries. Notably, 40% of sales come from rolls, another 40% from momos, and the remaining 20% from other items. The investment required to open an outlet ranges from 18-25 lakhs, including deposits and working capital, making it an attractive opportunity for aspiring entrepreneurs. The brand enjoys gross margins of 60-63%, operational breakeven from 3-4 months, and capex breakeven in 15-24 months.

By partnering with BBFT, Sheikh Chang Singh aims to scale its operations and open 12 new outlets this financial year. BBFT’s expertise in franchising, expansion, building and strategic growth will play a crucial role in this expansion. The broad vision of the company is to make the franchise available at low cost with high profits.

Sheikh Chang Singh stands out as a brand with an unparalleled backend at this investment level,” says Rohit Singh, Founder and CEO of BBFT. “The brand addresses the critical gaps in quality, consistency, and variety that have long been missing in the F&B franchise market within this segment. We are fully prepared to expand Sheikh Chang Singh to a PAN-India level within this financial year.

Menu and Operational Excellence

Sheikh Chang Singh offers a diverse menu featuring 85 food items, including rolls, momos, curries, biryani, breads, and beverages. The menu is strategically composed of almost 50% vegetarian and 50% non-vegetarian items, catering to a wider audience and maintaining consistent sales year- around. Must-try items include Dubai Falafel, Chicken Shawarma, Chicken Kung Pao, Butter Chicken Roll, and Mushroom and Spinach Momo’s.

To ensure consistency and hygiene, all items are prepared at a central base kitchen, and supplied to outlets weekly. The brand currently operates three company-owned stores and six franchise stores across Delhi NCR. The “chef less” model ensures operational efficiency and consistency in food quality.

Comprehensive Menu Strategy for Market Dominance

The brand’s moat lies in its centralized kitchen, the variety in its menu, and it’s completely assembly line food production. Sheikh Chang Singh offers a wide variety of options under one roof: Sheikh includes shawarma and dips, Chang includes momos and rolls, Singh includes kebabs, biryanis, and curries. Customers get all these varieties with a consistent taste because of the centralized supply. This model ensures that rolls and momos can be consumed at any time of the day. A significant portion of their delivery orders, especially through platforms like Zomato and Swiggy, comes from an upscale market audience.

Conclusion

Sheikh Chang Singh is dedicated to setting new benchmarks for Indian QSRs, customer satisfaction, and community engagement. The brand’s focus on continuous innovation and sustainability ensures it remains a top choice for foodies. Akshay Sharma and Karan Chachra’s commitment to excellence in QSR is reflected in their mission to create a positive impact on customers, employees, and communities. With a proven track record and a strong vision for the future, Sheikh Chang Singh is poised for significant growth, making it a compelling opportunity for investors and franchise partners alike.

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BBFT Success Story

Tan Coffee Launches Two New Outlets within 16 Days: Expanding its Specialty Coffee Empire

Tan Coffee, a pioneer in India’s specialty coffee market, has made significant strides by launching two new outlets within just 16 days. Under the visionary leadership of founders Nishanth Mittal and Shivank Verma, and in collaboration with BBFT (Building Brands For Tomorrow), Tan Coffee continues to redefine the premium coffee experience in India, showcasing impressive growth and strategic market positioning.

Strategic Expansion: Mohali and Faridabad

Tan Coffee’s new 2000-square-foot outlet in Sector 68, Mohali, and the 900-1000 square-foot outlet in Faridabad highlight the brand’s robust growth trajectory. The Mohali outlet, near CP 67 mall and housing brands like Blue Tokai, Anytime Fitness, and McDonald’s, accommodates up to 60 guests across two floors. This prime location ensures a steady stream of potential customers and enhances the outlet’s visibility. The Mohali outlet provides a sophisticated and welcoming environment, making it a hub for coffee enthusiasts. Its design caters to both individual and group seating, addressing diverse customer preferences.

The Faridabad outlet, positioned in a high footfall area with a lack of quality cafes within a 4-5 km radius, caters to 25-28 covers. This strategic positioning attracts both dine-in and delivery customers, making it a key asset in Tan Coffee’s expanding portfolio. This strategic entry into Faridabad is expected to drive significant business growth and market penetration in this premium residential area.

Nishant Mittal, Co founder, Tan Coffee, on the launch of Faridabad outlet added “Since our expansion kicked off in October 2023, we’ve rapidly grown to seven outlets, with two more poised to launch in Hyderabad and Connaught Place this quarter. Each location is strategically selected to accelerate our vision of leading India’s specialty coffee market. By FY25, we’re targeting 10 additional outlets, positioning Tan Coffee as a dominant player in the industry. Our aim is clear: to set the benchmark for specialty coffee paired with gourmet dining, making us the top choice for a premium casual experience across the country”

Robust Business Model and Financial Viability

BBFT has played a crucial role in Tan Coffee’s journey from a three outlet in January 2023 to seven outlets by July 2024, with several more in the pipeline. The brand’s innovative franchise model, with a setup cost of 60-70 lakhs, offers net profits ranging from 20-25% and a payback period of 18 to 24 months, presenting a compelling investment opportunity. This rapid expansion highlights Tan Coffee’s strategic approach and business acumen, making it an enticing proposition for investors. Notably, all current outlets of Tan Coffee are profitable, demonstrating the brand’s successful business model.

Enhanced Menu Offerings and In-House Bakery

In line with its expansion, Tan Coffee has introduced new items across its menu, enhancing its appeal and customer satisfaction. New offerings include Chili Pepper Pod Paneer/Chicken, Tandoori Paneer/Chicken Pizza, Fruit Sangria, and Pina Colada. Importantly, all bakery items are now prepared fresh in-house, ensuring superior quality and freshness. This move not only elevates the dining experience but also reinforces Tan Coffee’s commitment to excellence and innovation.

Future Expansions

Tan Coffee is set to open a substantial 3600-square-foot outlet in Hyderabad’s Hi-tech City, embracing a bold and innovative concept tailored for the region’s dynamic market. This expansion further solidifies Tan Coffee’s market position and its commitment to delivering unparalleled coffee experiences.

Rohit Singh, Founder and CEO of BBFT, remarked, “The goal is not to expand rapidly in numbers but to focus on building profitable, high-quality outlets. We prioritize ensuring that each new location offers outstanding experiences, generates strong returns, and makes a lasting impact. Scaling too quickly can pose risks to a business, so we are committed to growing Tan Coffee’s bandwagon through quality rather than sheer quantity’ 

Conclusion

Tan Coffee’s journey from a single outlet in 2023 to its current rapid expansion underscores its innovative vision and strategic execution. The brand’s unique positioning, combining premium specialty coffee and gourmet food, creates a distinct competitive advantage in the F&B market. Investors have the opportunity to partner with a brand that is not only poised for significant growth but also committed to setting new standards of excellence in the specialty coffee industry.

With strong leadership, a dedicated team, and strategic market positioning, Tan Coffee, supported by BBFT, is on a path to revolutionize the specialty coffee landscape in India. The recent launches in Mohali and Faridabad are just the beginning of a broader expansion strategy designed to capture market share and deliver substantial returns to investors.

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BBFT Success Story Franchise stories

BBFT’s Golden Goose: Cafe-Wink partners with BBFT to launch 3 new outlets in FY 24-25! Get ready to Wink, as Cafe Wink Franchise is here!

Café Wink, a prominent name in East Delhi’s dining scene, is set to expand its footprint significantly by partnering with BBFT. This strategic collaboration aims to establish three new Café Wink outlets across Delhi NCR, targeting prime locations in South Delhi, Central Delhi, Gurgaon, and Faridabad during the fiscal year 2024-25.

Award-Winning Cafe-Wink Sets Sights on Domination

Since its inception on September 1, 2011, Café Wink has evolved from a humble takeaway outlet to a 40-cover restaurant, serving over 5 million customers  and earning numerous accolades. Recognized as a “Best Instagram-Worthy Café” by Zomato and maintaining a 4.4 Zomato rating over 13 years, Café Wink has consistently demonstrated excellence in the highly competitive food and beverage industry. The café’s significant social media presence, with 50,000 Instagram followers and an Instagram reach of 60 million during Christmas 2023, highlights its robust digital marketing strategy. Additionally, the café received over 200,000 DMs for bookings during the Christmas celebration, showcasing its strong customer engagement.

Vivek Sharma, Founder and CEO of Café Wink, commented on the expansion plans, saying, “Our journey over the past 13 years has been marked by dedication to quality and consistency. This expansion is a pivotal moment for Café Wink as we aim to scale our operations and brand presence. We are confident that our commitment to excellence will drive us to new heights, transforming Café Wink into a household name nationwide. Our vision is to build a legacy that lasts a century, setting new benchmarks in the F&B industry.”

Cafe-Wink: The Next Big Thing in Franchising?

Café Wink’s franchise offers a lucrative business opportunity. The estimated capital expenditure for establishing a 2000 square foot outlet is approximately ₹1.5-2 crores. With a projected payback period of 18 to 24 months, this venture presents a significant return on investment. Café Wink’s current annual revenue stands at ₹7 crores, and with the addition of new outlets, this figure is expected to quadruple, underscoring the brand’s immense growth potential.

Franchise partners will receive Complete handholding from Café Wink, including assistance with site selection, store setup, training, and marketing. Additionally Cafe Wink is also coming up with FOCO, franchise model, an interesting opportunity for people with established business, who don’t want to get involved but still, enjoy superior returns.

Target Market and Financial Viability

Café Wink targets a broad demographic, ranging from 15 to 50 years old, appealing to young professionals, families, and food enthusiasts who appreciate high-quality, flavorful meals in a relaxed setting. The café also offers a breakfast menu, catering to those seeking fresh and light morning options. With an average bill value of ₹800 per customer, the café’s pricing strategy positions it well within the mid-range market, offering excellent value for money. Café Wink’s omni-channel presence, with 60-65% dine-in and 35-40% delivery, further enhances its market reach and brand visibility.

Recognition and Market Positioning

Café Wink has been recognized by top media companies such as Times Now, Business Insider, Curly Tales, LLB, SO Delhi, NDTV, Zee News, and India.com. The café’s premises have also been used for multiple ad shoots, including an Uber ad shoot in 2022, enhancing its brand visibility. This extensive media recognition and strategic use of the café space highlight Café Wink’s strong market positioning and brand appeal.

Future Vision and Strategic Innovation

Rohit Singh, Founder BBFT, Says “Cafe Wink isn’t just a cafe; it’s a culinary legend in the making. We’re thrilled to partner with a brand that has defied industry norms for 13 years. While many F&B ventures are fleeting, Cafe Wink is building a legacy. Their proven track record of profitability, coupled with record-breaking numbers, makes them a goldmine for investors. We’re not just bringing Cafe Wink under the BBFT umbrella; we’re investing in a century-long success story. Get ready to witness the next big thing in franchising”

Conclusion

Café Wink’s strategic partnership with BBFT represents a significant milestone in its expansion journey. This collaboration will redefine the café experience across Delhi NCR, bringing Café Wink’s renowned culinary delights to a broader audience. With BBFT’s expertise and Café Wink’s commitment to quality, this expansion marks a new chapter of growth and success in Delhi’s competitive F&B landscape. The future looks promising for Café Wink as it continues to set new standards in the industry, offering compelling opportunities for investors and franchise partners alike.

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BBFT Success Story Franchise stories

Wakhra Swaad Announces Expansion plan; Partners with BBFT, Eyeing 4 new outlets in FY 24-25

Founded in March 2016,Chef Arjun Thakkar and Ravi Bajaj, Wakhra Swaad serves North Indian cuisine and it has expertly positioned itself at the intersection of tradition and innovation within the North Indian cuisine. Chef Arjun, inspired by his great-grandfather’s Urdu recipe book, translated these recipes into Hindi, ensuring the authenticity of North Indian flavors. The brand has successfully leveraged its deep-rooted heritage to create a dining experience that seamlessly integrates age-old recipes, with contemporary culinary practices. This strategic blend not only preserves the authenticity of North Indian cuisine but also appeals to modern tastes, effectively bridging the gap between tradition and today’s dynamic food landscape.

How Wakhra Swaad has transformed North Indian Kitchen operations for Franchising?

The primary challenge for North Indian restaurants lies in formulating authentic recipes and maintaining year-round consistency. The worldwide principal problem under North-Indian Cuisine is as the chef changes, the quality changes. However, at Wakhra Swaad, to maintain consistency, and to solve this problem, they have established a centralized supply chain which means everything will be supplied from the Wakhra Swaad’s base kitchen to the unit franchise which includes key ingredients like including pre-mixes masalas, curries, chaaps, tikka, momos, and other raw material. This ensures, plug-and-play model for the franchisee and enables the franchisee to ensure smooth operations at the same time eliminate the scope of errors. 

Milestones 

This strategy has been pivotal in delivering consistent taste, as evidenced by their impressive Zomato rating of 4.4 from over 50,000 reviews.

Their commitment to quality has earned the trust of prominent brands like Godrej, Paytm, Ddecor, HCL, India TV, SoDelhi, Curly Tales, TripAdvisor, and LBB, which regularly engage Wakhra Swaad for event catering.

Arjun, the co-founder of Wakhra Swaad, shares, “We have spent the last 7-8 years working on the backend, ensuring the consistency of our food quality, which is one of the biggest challenges in North Indian cuisine. With over a decade of experience and already running 4 successful outlets,  we are now ready to expand and have partnered with BBFT to help us achieve this vision.”

Target Audience and Market Reach

North Indian, being the comfort food, Wakhra Swaad has a wide range of audience to cater to, including young professionals, millennials, families, and corporate clients. The ability to blend traditional flavors with modern twists attracts a wide range of customers. The average ticket size ranges from ₹700 to ₹1,500 for couples, ₹1,500 to ₹2,500 for families and small groups, and ₹5,000 and above for large groups and corporate events.

Financial Insights and Expansion Plans

Opening a Wakhra Swaad restaurant requires capital expenditure ranging between ₹50 lakh and ₹1 crore, where 30- 35% is allocated for the construction cost and 25-30% goes for the equipment, with an average ROI of 70% per annum and a payback period of 18-24 months.   Plans are in place to scale up to 10 outlets by next year through a hybrid expansion model of self-owned and franchised locations.’

Rohit Singh, Founder BBFT, while announcing Wakhra’s expansion plan states, “ There’s a big gap in the north Indian brands in the market, despite India being the home to North Indian cuisine to the world. The biggest challenge while expanding any North Indian brand is the consistency in taste, and Wakhra over the years have invented their tech and systems in such a way, that I am confident they will be the game changers in the north Indian segment. I and BBFT are excited about this collaboration, and we promise to give our all in to transform them into a success story!”

Future Outlook

Our vision for the future is clear – to celebrate the fusion of tradition and modernity in North Indian cuisine. As Wakhra Swaad continues to grow, we plan to introduce new dishes inspired by the evolving culinary landscape and open new locations to reach a broader audience.

The partnership between BBFT and Wakhra Swaad represents a significant milestone in the culinary landscape. With a deep respect for the past and an eye on the future, Wakhra Swaad continues to enchant diners with its rich, flavorful, and innovative dishes. Together, we are shaping the future of North Indian cuisine, one delicious dish at a time.

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