Is the Big Bazaar Franchise Profitable? 

Last Updated at: February 19, 2020
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Is the Big Bazaar Franchise Profitable_

Introduction 

The retail industry of India is one the fastest growing industries accounting for a considerable share of 10 percent of the total GDP of the country, and it is also ranked as one of the top-five retail markets of the world.

Big Bazaar, an Indian retail chain store consisting of a departmental, grocery store, and hypermarkets, was launched in the year 2001 by Mr. Kishore Biyani under the parent company “Future group,” which already had a significant presence among retail and fashion market.

If you’re just looking around for related information on startups, government registrations, tax or legal documentation, check out the list of services we provide to make your interaction with government as smooth as is possible by doing all the legal documentation for you. We will also give you absolute clarity on the process to set realistic expectations.

Big Bazaar is not like a regular hypermarket; it is a place that satisfies all the needs and demands of the customer and his family. Big Bazaar offers a wide variety of different products under one roof. The customers don’t have to worry about running around in various types of stores for every product they need. From the household items, office supplies & stationeries, daily groceries & vegetables, medicines, kitchenware, electronics, etc.

Franchise Profit Margin

As a franchise owner, you will be entitled to get a commission of 3-15% depending on the products and income potential. The compensation will also include rewards and recognition programs.

Big Bazaar Franchise Evolution over the Years

In recent years, the company has invested a substantial amount of money in completely re-designing the store and towards the enhancement of customer satisfaction within almost every store of Big Bazaar. Vast usage of social and digital platforms increased a fair share of customer footfalls. These changes helped Big Bazaar to increase their sales by 11.5% per square feet and also resulted in an increase in sales by 13.4% in the same store during the year.Big Bazaar Franchise

The Big Bazaar now also runs small stores network, comprising of Easy Day and Heritage Fresh stores. The Big Bazaar is now focusing on expanding small store networks that can potentially have 10,000 stores; each store will be located within a two-kilometre radius of every consumer class living in the urban Indian. This will allow them to serve every customer without any restriction of time and location. It will also enable them to do business at lower costs involved in comparison with the conventional e-commerce and retail store models. The studies show that the prices in this type of model will be even lower than the existing store economics.

contact us to draft your franchise agreement

The Future Group operates its business via two formats of the retailing store, the large and more prominent form retailing through the Big Bazaar and small-format neighbourhood retail business, dealing in   Food, Fashion, and Home items. The company has also planned on rolling out mobile and web-based platforms. These will facilitate the customers to order the required details and goods via apps, messages, calls and also give them the facility to scan the bar code, pay on the app and leave the store without the need to go to the cash counter to pay the bills.

Big Bazaar Franchise

The Indian consumer market, especially the retail sector of the country, continues to attract billions of dollars as investments from business giants from not just only within the country but from other parts of the world.

Financial Performance 

Company Sales:

The Company’s sales and Other Operating Income showed an increase from `Rs 17,075.09 Crore in the previous fiscal year to ` Rs 18,477.97 Crore with Year over Year growth of 8.22% for the fiscal year ended March 31, 2018. The company has also recorded a sales growth of 9.9% in the same store for the financial year ending on March 31, 2018.

Profit before Tax:

The profit before tax of the company for the financial year ending March 31, 2018, was at ` 615.18 Crore as compared to ` 368.28 Crore during the previous fiscal year.

Interest:

Interest & Financial charges outflow showed a decline from ` 204.23 Crore that the company incurred in the previous financial year to `175.38 Crore for the fiscal year ending on March 31, 2018. The reason for the decline in interest and financial charges was on account of a decrease in the average borrowings during the year and the presence of lower interest rates.

Surplus Management:

The Company due to its business strategies generated a cash profit of ` 668.61 Crore for the financial year ending on March 31, 2018, which was ` 400.86 Crore in the previous fiscal year, the rate the growth was 66.79%. The surplus amount generated was invested back in the business to fund the growth of equity shares.

Big Bazaar Franchise

Conclusion 

The Big Bazaar is a franchise for anyone dedicated to customer satisfaction. It is profitable for a person with the vision to see himself/herself as a successful businessman who wants to earn some additional income. It is a scalable business and provides good possibilities and prospects.  Big Bazaar can be set up with a little initial investment cost as compared to the other competitive retail chain stores present in India. Along with an opportunity to receive high returns, there are added benefits of running a franchise with a successful brand name and image gives an additional advantage and perks for the owner. Anyone who is looking out for a low initial investment to generate profit and a job for themselves or few others can consider getting a Big Bazaar franchise.


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An NGO has a major role in resolving the issues of the underprivileged by using financial assistance received from the Government or foreign bodies.More about NGO Registration.

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Is the Big Bazaar Franchise Profitable? 

1157

Introduction 

The retail industry of India is one the fastest growing industries accounting for a considerable share of 10 percent of the total GDP of the country, and it is also ranked as one of the top-five retail markets of the world.

Big Bazaar, an Indian retail chain store consisting of a departmental, grocery store, and hypermarkets, was launched in the year 2001 by Mr. Kishore Biyani under the parent company “Future group,” which already had a significant presence among retail and fashion market.

If you’re just looking around for related information on startups, government registrations, tax or legal documentation, check out the list of services we provide to make your interaction with government as smooth as is possible by doing all the legal documentation for you. We will also give you absolute clarity on the process to set realistic expectations.

Big Bazaar is not like a regular hypermarket; it is a place that satisfies all the needs and demands of the customer and his family. Big Bazaar offers a wide variety of different products under one roof. The customers don’t have to worry about running around in various types of stores for every product they need. From the household items, office supplies & stationeries, daily groceries & vegetables, medicines, kitchenware, electronics, etc.

Franchise Profit Margin

As a franchise owner, you will be entitled to get a commission of 3-15% depending on the products and income potential. The compensation will also include rewards and recognition programs.

Big Bazaar Franchise Evolution over the Years

In recent years, the company has invested a substantial amount of money in completely re-designing the store and towards the enhancement of customer satisfaction within almost every store of Big Bazaar. Vast usage of social and digital platforms increased a fair share of customer footfalls. These changes helped Big Bazaar to increase their sales by 11.5% per square feet and also resulted in an increase in sales by 13.4% in the same store during the year.Big Bazaar Franchise

The Big Bazaar now also runs small stores network, comprising of Easy Day and Heritage Fresh stores. The Big Bazaar is now focusing on expanding small store networks that can potentially have 10,000 stores; each store will be located within a two-kilometre radius of every consumer class living in the urban Indian. This will allow them to serve every customer without any restriction of time and location. It will also enable them to do business at lower costs involved in comparison with the conventional e-commerce and retail store models. The studies show that the prices in this type of model will be even lower than the existing store economics.

contact us to draft your franchise agreement

The Future Group operates its business via two formats of the retailing store, the large and more prominent form retailing through the Big Bazaar and small-format neighbourhood retail business, dealing in   Food, Fashion, and Home items. The company has also planned on rolling out mobile and web-based platforms. These will facilitate the customers to order the required details and goods via apps, messages, calls and also give them the facility to scan the bar code, pay on the app and leave the store without the need to go to the cash counter to pay the bills.

Big Bazaar Franchise

The Indian consumer market, especially the retail sector of the country, continues to attract billions of dollars as investments from business giants from not just only within the country but from other parts of the world.

Financial Performance 

Company Sales:

The Company’s sales and Other Operating Income showed an increase from `Rs 17,075.09 Crore in the previous fiscal year to ` Rs 18,477.97 Crore with Year over Year growth of 8.22% for the fiscal year ended March 31, 2018. The company has also recorded a sales growth of 9.9% in the same store for the financial year ending on March 31, 2018.

Profit before Tax:

The profit before tax of the company for the financial year ending March 31, 2018, was at ` 615.18 Crore as compared to ` 368.28 Crore during the previous fiscal year.

Interest:

Interest & Financial charges outflow showed a decline from ` 204.23 Crore that the company incurred in the previous financial year to `175.38 Crore for the fiscal year ending on March 31, 2018. The reason for the decline in interest and financial charges was on account of a decrease in the average borrowings during the year and the presence of lower interest rates.

Surplus Management:

The Company due to its business strategies generated a cash profit of ` 668.61 Crore for the financial year ending on March 31, 2018, which was ` 400.86 Crore in the previous fiscal year, the rate the growth was 66.79%. The surplus amount generated was invested back in the business to fund the growth of equity shares.

Big Bazaar Franchise

Conclusion 

The Big Bazaar is a franchise for anyone dedicated to customer satisfaction. It is profitable for a person with the vision to see himself/herself as a successful businessman who wants to earn some additional income. It is a scalable business and provides good possibilities and prospects.  Big Bazaar can be set up with a little initial investment cost as compared to the other competitive retail chain stores present in India. Along with an opportunity to receive high returns, there are added benefits of running a franchise with a successful brand name and image gives an additional advantage and perks for the owner. Anyone who is looking out for a low initial investment to generate profit and a job for themselves or few others can consider getting a Big Bazaar franchise.


When can the taxpayer claim refund from electronic cash ledger?

If the taxpayer has paid excess amount by mistake, they can request for refund from the electronic cash ledger.Understand the procedure for GST registration and GST returns here.

How do banks assess the working capital requirements of borrowers?

Methods such as cash flow mismatch are used by banks to assess the capital requirements that the borrowers seek from banks.More on Income Tax Return Filing.

What does the Aadhaar number have to do with filing of tax returns?

Aadhar card is mandatory for tax payers in India. Non-resident Indians, people aged more than 80 years are exempt from providing Aadhar card when applying for PAN card. Learn more about Aadhar Certification.

What is the purpose of ISO standards?

ISO international standards checks whether the services and products remain reliable, good quality and safe. There are certain tools that helps in increasing productivity. More info on ISO Registration in india.

What is the benefit of ngo?

An NGO has a major role in resolving the issues of the underprivileged by using financial assistance received from the Government or foreign bodies.More about NGO Registration.

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