Are you looking to start a jewellery business, that too a business opportunity with a renowned TATA brand? Then Tanishq jewellery franchise is the best option for you. Tanishq is an Indian brand operated by Titan. Tanishq has become a household name in India. The company has been producing premium jewellery for many years and Tanishq offers franchise opportunities to entrepreneurs, to become a part of their excellent family.
In this Blog, we explore the investment required for a Tanishq franchise, the potential investment needed for a Tanishq franchise, and how to get a Tanishq franchise. And whether it’s a worthwhile investment.
Franchise brand Overview
| Brand Name: Tanishq |
| Line of Business: Jewellery |
| Founder of Tanishq: Xerxes Desai |
| No. of Franchise Outlets: 200+ |
| Founded In: 1994 |
| Revenue: ₹1,100 crore in FY22 |
| Tanishq Head Office: Bengaluru |
| Industry: Fashion |
Tanishq franchise Cost in India
To open a Tanishq franchise, the initial investment including the franchise fee, royalty, and the complete investment is crucial. In the total investment of the tanishq franchise cost the franchise fee ranges from 30 to 50 lakhs. Additionally, there is an 8% royalty fee based on the net revenue.
Marketing plays a crucial role in the jewellery business, for which the Tranishq franchise charges 2% of the franchise’s net revenue for this purpose.
Complete training will be given to the employees, including the product knowledge and training free will cost 5 lakhs. Setting up a Tanishq franchise outlet will require an investment of 60 lakhs to 1 crore, covering store design, interiors, fixtures, and initial inventory.
To manage the day-to-day operations you will need a capital of 1 to 2 crore.
Overall, the total investment for a Tanishq jewelry franchise ranges from 15 crores to 20 crores. Despite the higher initial investment, a Tanishq franchise offers a promising return on investment (ROI).
Requirements to start a Tanishq franchise
| Area Requires: 2000sqft – 2500sqft |
| Total Investment cost: ₹15 Crores to ₹20 Crores |
To start a Tanishq franchise you will require a minimum floor area of 2000 – 2500 sq. ft. which requires a total investment of ₹15 Crores to ₹20 Crores. The majority of this investment typically goes into inventory or stocking.
In the Tanishq franchise model, franchisors often agree to share a certain percentage of sales with the franchise owner, resulting in a revenue-sharing arrangement. Amounts shared in revenue might range from 12% to 20%.
A computer with internet access, a billing counter, a mandatory product display, air conditioning, and the location of the store in a busy market area are additional requirements for obtaining a Tanishq franchise.
ROI of Tanishq franchise in 2024
An initial investment of 15 to 20 crores is required to purchase a Tanishq franchise. This amount covers establishment charges, working capital, initial inventory, franchise fees, and other costs. Tanishq franchises normally have a profit margin of between 12 and 20%.
One of the main benefits of owning a Tanishq franchise is the revenue-sharing franchise model, where the franchisee receives 75% of the generated revenue. This model can increase profitability by a large margin for the franchisee.
Franchisees can have an expected ROI time for the initial investment within 2 to 3 years of starting a franchise outlet, This makes the jewellery retail franchise a lucrative business opportunity.
Jewellery Industry market trends
Indian culture signifies gold as a precious investment that is made by families. Owing to that, India is the world’s second largest consumer of gold accounting for 20% of the global population. The spending power among the consumers has increased, especially the growing middle class with rising disposable income is fueling the demand for jewellery. There is change in the customer preferences as the younger generations are more brand conscious and seek sophisticated designs. This is causing traditional, disorganized businesses to gradually give way to organized companies that guarantee quality and offer a greater selection.
How to get Tanishq franchise in your location
To qualify for a Tanishq franchise, you must meet all eligibility criteria. While filling out the form may be free, meeting these requirements is essential. Like other business franchises, you must adhere to Tanishq’s terms and conditions before receiving a response regarding your application.
Opening a Tanishq franchise in India requires meeting specific requirements. Such a reputable franchise is not awarded to just anyone; you must fulfill the necessary criteria to be considered.
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FAQ
Yes, the Tanishq franchise is a profitable franchise business in the jewellery franchise market. To set up a Tanishq franchise you need an initial investment of 15 – 20 crores, and with that investment, you will have a profit percentage of 12 – 15%, with a ROI of 2 – 3 years.
In India, jewellery franchises are profitable, Indian consumers are always attracted to gold, and they make gold as an investment, so if you are a person who already owns a jewellery franchise in India, without any doubt it is profitable.
Tanishq jewellery has generated a share of revenue of 31,897 crores for the fiscal year concluded on march 31,2023 for the titan’s jewellery division which includes the revenue from the other brands such as CaratLane, Zoya, and Mia led by Tanishq in its jewellery division.
Tanishq, founded in 1994, is an Indian jewellery brand, a division of Titan company, and has more than 200+ outlets in 240 cities in India, US, UAE, Singapore, and Qatar.
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