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BurgerMan’s Low-cost Franchisee Model: Kiosks Lead the Way
(An Interview with Sunil Cherian (Founder & CEO of BurgerMan))
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What these two videos are about?
Recognising the advantages of the low-cost business models implemented in industries like aviation and retail, players in many other industries have adopted the model and become successful. Entrepreneurs in India too have embraced the model and are operating successfully. One such business is BurgerMan Foods India Pvt. Ltd., a fast food chain, operating on low-cost franchisee model. Started on December 21st 2006, in Chennai, the chain has expanded to Bangalore and Hyderabad with 105 outlets by March 2010. Unlike other fast food joints, this chain operates through franchised kiosks that are set up in a 25 sq. ft., area in the premises of high-frequency footfall places like supermarkets, shopping malls, etc. Sunil Cherian (Cherian), the founder and CEO of BurgerMan, ensures that the products served in the kiosks have standard taste, quality and affordable price. Besides, care is also taken that the franchisees follow a set of Standard Operating Procedures (SOPs) to attract customers and enhance the brand image of the fast food chain. While the franchisee only takes care of maintaining the kiosk, the complete back-end supply chain (sourcing and distributing) is efficiently managed by the company itself.
However, as Cherian plans to go pan-India, with a vision of 5,000 outlets in the next 5 years, challenges are bound to come along its way. But, Cherian seems confident of overcoming them on the go.
In this comprehensive interview, Sunil Cherian speaks about:
- The idea generation of a low-cost business model and selection of a suitable product
- On-field execution and establishment of BurgerMan
- His achievements and challenges/highs-lows, faced as an entrepreneur while establishing the BurgerMan chain and his endurance in dealing with them
- Franchising of BurgerMan outlets and careful selection of franchisees
- SOPs for the front-end delivery operations in the outlets
- Increase of menu items and giving them a unique taste, price and quality (based on customer feedback) which sets BurgerMan apart from other well-established domestic and international players in the fast food industry
- Maintaining consistency in the product offering, sourcing and delivery operations
- Challenges in scaling up of the operations and his future plans of expansion.
Recommended to use this video for:
- Business Strategy Course: To understand the low-cost franchisee model and the economics of the costs incurred by the franchisees, management of the supply-chain operations in a franchisee business model
- Branding: To understand the building up of a brand in a low-cost business model
- Entrepreneurship Module
Video Details
Title :
An Interview with Sunil Cherian (Founder & CEO of BurgerMan)
Released Date : 8th March, 2010
Interviews conducted and prepared by : Dr. Nagendra V Chowdary (Dean, IBSCDC Hyderabad)
Price : $ (1000 INR)
Duration : 1 hr 15 mins
Keywords : Business Model, Business Plan Vs Business Model, Entrepreneurship, Indian Entrepreneurs, Burgerman, Burgerman Kiosks, Sunil Cherian, Low-Cost Fast Food Franchisee, Franchisee Model, Indian Fast Food Industry, Fast Food Restaurants in India, Vision, Mission, Supply Chain Management, Social Entrepreneurship, Fast Food Operations
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