Pepperfry is an Indian online home décor and furniture marketplace that has been operating since 2011. The company is headquartered in Mumbai, and they are a big company offering franchises.
Read more to learn about Pepperfry and its franchising system.
About Pepperfry and Pepperfry History
Pepperfry was founded in 2011 and started to franchise in 2017 with a special franchisee program. They were started by 2 ex eBay executives, and they grew incredibly quickly, reaching over 195 stores in over 10 years.
The company currently offers franchising opportunities with a unique program aimed at increasing the company’s location numbers. They serve 28 cities across India, and they have plans to expand more to the North of India in the future.
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|Cost or Fee
How Much Does it Cost to Open a Pepperfry Franchise?
The total cost to open a Pepperfry franchise is generally around 15 Lakhs. This cost includes all the related startup costs, such as the furniture, equipment, basic training, and the franchise fee.
Depending on the exact location in India, size of the store, and other requirements, this fee might be higher than the average.
Franchise Requirements Of Pepperfry Franchise
Pepperfry doesn’t require a lot of requirements from the franchisees, both financially and professionally.
If you have previous management, marketing, or sales experience, that is a huge benefit. They also generally prefer franchisees with university degrees like Ph.D., Bachelor’s, or Master’s.
You also need to possess enough financial means to cover the initial investment and some cash to make sure that you don’t go under in the first year of operation.
Profit & Revenue Of Pepperfry Franchise
The exact profit and revenue of a Pepperfry franchise store depends on many different things. Overall, the potential for annual profit is about 50 lakhs.
However, if your store is bigger and in a good location, it could go as high as 100 lakhs a year. The gross sales, your revenue, is around 12 thousand Lakhs.
What Is The Profit Margin Of Pepperfry Franchise?
The profit margin of a Pepperfry store is generally between 6% to 12%, depending on your pricing.
You also get a 15% commission for each online sale you make through your store. This contributes a lot to your total revenue and increases your profit margin.
Training and Support
Pepperfry provides both training and operational support to the franchisees if the franchisee wants to. The company provides initial and ongoing training as necessary and also gives a helping hand with marketing support.
In addition, they also help with the recruitment of employees and help the franchisee in the interview process.
Terms of Agreement and Renewal
The initial term of the agreement is generally for five years. After the initial term, a renewal is available if the franchisor is satisfied with the franchisee. The cost of renewal depends on your initial franchise agreement.
What Are The Obligations and Restrictions Of Pepperfry Franchise?
As the franchisee, you are obligated to take the initial training of the brand. You are allowed to use the space of the store only for the Pepperfry brand and no other brand.
The products you sell must be approved by the Pepperfry brand itself, and you have to sell everything that the brand wants you to.
Pepperfry is an Indian online marketplace that is growing fast and helping franchisees to grow with their program.
You need about 15 Lakhs to open a Pepperfry store as the initial investment and some professional experience in sales, management, or marketing.
You get all the help from the company for training, marketing, recruitment, and all other details. The average annual profit per store is around 50 Lakhs, but depending on some factors, this could be above 100 Lakhs, as well.
How can I apply to be a Pepperfry franchisee?
All you need to do is fill out the form on Pepperfry’s website for franchisees and wait for them to call you.
What is the franchise fee for a Pepperfry franchise?
The franchise fee is 1 Lakh.
What is the average ROI on a Pepperfry franchise store?
The average ROI for Pepperfry stores is around 22%.