Courier service companies are extremely hard to manage because of the complexities they bring with international and regional deliveries.
However, if one can manage it well, it could be extremely profitable with many new opportunities.
If you are considering owning a courier service through franchising, Blue Dart is one of the most famous ones in India.
Since you are a franchisee, running it is easier because you don’t deal with the hands-on logistics if you choose to.
We will discuss Blue Dart and its franchise system in this article if you are thinking of becoming a part of their franchise model.
About the company
Blue Dart is an Indian air express and courier company that works together with massive companies like DHL.
They only operate in India and serve 220 countries worldwide. They were founded in 1983, and they now operate in 85 locations across India.
DHL bought about 80% stake in Blue Dart to strengthen their cooperation. Ever since then, they have been working together, and they are one of the best delivery services in India.
Blue Dart Franchise Model
| Initial Investment | ₹2 lakhs-₹20 lakhs |
| Franchise | YES |
| Franchising Since | 1983 |
| Franchise-Fee | ₹1-1.5 lakhs |
| Royalty-Fee | N/A |
| Liquidity | N/A |
| Estimated Outlets | 85 |
How Much Does it Cost to Open a Blue Dart Franchise?
The associated costs of opening a Blue Dart franchise vary by its location, size, and some other details.
When we consider all the available options, the expected initial investment is between ₹2 lakhs and ₹20 lakhs. This includes the franchise fee of between ₹1 and 1.5 lakhs.
Blue Dart Franchise Requirements
Blue Dart has its own requirements, but some of them could change depending on your city and region.
To be a Blue Dart franchisee, you need to:
- Be an Indian citizen.
- Minimum 21 years old.
- Have some experience in the courier industry.
- Have enough cash to make sure you can pay for all the necessary expected investments.
Blue Dart Profit & Revenue
In their last declaration of financial results, Blue Dart posted a ₹117 Cr net profit in the last year.
Their revenue was ₹ 1,293 Cr for 2022 which was a growth of 49.6% from the previous year of the same time period.
Franchisees can expect to make a profit margin of between 35% and 45% in their stores, meaning they can get almost half of the revenue as net profit.
Blue Dart Comparison
| Name | Franchise Fee | Royalty Fee | Initial Investment |
|---|---|---|---|
| Gati | ₹5 lakhs | 10% | ₹5-₹50 lakhs |
| DTDC | N/A | 10% | ₹50000-₹2 lakhs |
| Blue Dart | ₹1-1.5 lakhs | N/A | ₹2 lakhs-₹20 lakhs |
Conclusion
Blue Dart is one of the biggest courier services in India, with massive brand recognition. This gives the entrepreneurs thinking of owning a Blue Dart franchise an amazing opportunity.
You are expected to make an initial investment of between ₹2 lakhs and ₹20 lakhs. Between 1 and 1.5 lakhs of this is the franchise fee, and the other depends on several different factors.
If you are thinking of becoming a Blue Dart franchisee, you need to have experience in the field and comply with certain size requirements of your office. Overall, it’s a great business with the potential to earn over 35% in profit margin.
FAQ
How profitable is a Blue Dart Franchise?
The exact profitability depends on your individual circumstances. The average profit margin is between 35% to 45%.
Can a Blue Dart franchise fail?
Yes. If you fail to run the business successfully, you might fail despite the brand recognition.
How much does a Blue Dart franchise cost?
Opening a Blue Dart franchise could cost anywhere between ₹2 lakhs to ₹20 lakhs. This cost could be very different based on your location and other factors.
Sources
https://www.dtdc.in/franchisee/
https://www.bluedart.com/press281
Amit Gupta is an experienced expert in digital marketing and co-founder of DrFranchises. With more than 11 years of knowledge in franchise digital marketing, SEO, email marketing, and social media marketing, Amit has helped many brands achieve incredible success online. As a passionate entrepreneur and owner of 7 franchises, he continues to study franchise models, looking at costs, revenue, and profitability to guide brands toward profitable growth. When he’s not working on digital marketing, Amit enjoys spending time playing with his beloved dog.