Archies Gallery Franchise Overview
Archies Gallery, one of the biggest players in the Greeting Cards and Gifting sector in India, is one such brand which provides a franchisee opportunity to the investors. Archies started in 1979 has come a long way with over 2000 retail outlets in over 120 cities and six countries. The Franchise model is suitable for those who are interested in retailing and want to get into the promising gifting business.
Archies Gallery Franchise Costs
The following are the costs incurred for the opening of an Archies Gallery Franchise.
- Franchise Fee: ₹2 Lakhs to ₹3 Lakhs
- Investment in Infrastructure: ₹15 Lakhs to ₹18 Lakhs
- Total Initial Investment– logs in at Approx. ₹20 lakhs to 30 Lakhs and this figure constitutes of the following:
- Non-refundable miscellaneous and administrative costs of ₹100,000.
- Interest-free refundable security fee: ₹1,00,000
- ₹1400 for every square foot is to be paid for interior designing.
- The first consignment of goods and services is expected to be around five to six lakhs.
- In addition to the above, there were other costs incurred for additional goods such as air conditioning units and computer systems which will costs around ₹75,000 to ₹100,000.
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Archies Franchise: Profit Margin and Return on Investment (ROI)
Archies franchise profit margin
The potential return on investment for The Archies franchise is said to be around 70 percent with a reasonable profit margin. Investment recovery also looks good as capital investments usually take between 1 to 2 years to recover which is promising for the franchisees. A few factors to consider with the revenue sharing model does incorporate a royalty of around 5 percent on sales.
Franchise of Archies Gallery: Requirements for Franchisees
There are few characteristics every potential Archies franchise holder is required to meet, these include:
- Retail Space: The franchise business requires the holder to have a minimum of 400 to 500 sq. ft. for the store.
- Business Acumen: Prior retail management experience or retail franchise experience would be preferred.
- Adherence to Brand Standards: Remember Archies have their expectations, so as a franchisee you are expected to adhere to Archies branding rules of conduct and other requirements.
Support and Training Provided
Franchisees are offered the following support by Archies;
- Training Programs: Training on how to run a store, how to place products, interact with customers, and other necessary skills.
- Marketing Support: Marketing services regarding the area, digital platforms, and any coupon events.
- Operational Support: Continuous support through a dedicated account manager, business management software, and monitoring tools.
Archies Franchise Application Process
In case of an interest in becoming an Archies franchisee, the franchisee can approach the company directly. The following are the steps to be followed to enrol:
1. Contact Details:
– Address: Archies Limited, Franchise Division, C-113, Naraina Industrial Area Phase-1, New Delhi-110028.
– Phone: +91-11-41412222 or +91-11-41410000.
– Email: [email protected].
2. Documentation Required:
- Franchise agreement
- Copy of Proprietor Aadhaar
- PAN card copy
- GST Registration Certificate
- Business place address proof.
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Conclusion: Archies Franchise Business
Owning an Archies Gallery franchise is expected to be a good Business in the growing gifting sector. Such as, it has a strong brand, a wide range of product offerings, and strong assistance, prospective franchisees have this opportunity to earn solid profits while fulfilling the various customer demands in gifting and celebration oriented businesses.
Frequently Asked Questions (FAQs)
What is the initial investment required to start an Archies Gallery franchise?
An Archies Gallery franchise can be started in an investment ranging from ₹14 lakhs to ₹30 lakhs. As per the agreement, the franchisee will also have to pay a franchise fee of about ₹2 lakhs to ₹3 lakhs, constructing the necessary infrastructure may cost around ₹15 lakhs to ₹18 lakhs, initial inventory expenses will be around ₹5 lakhs to ₹6 lakhs along with many other interior finishing costs and other miscellaneous expenses.
What are the ongoing franchise fees for Archies Gallery?
Archies Gallery’s franchisees pay a standard ongoing royalty fees of 5% of the gross sales using the franchised trademark. Such royalties are a common feature in franchise agreements and are used, among other things, to enhance and maintain the region’s and the franchisee’s business and such other support services and material provided by Archies. There are further costs that would be borne by franchisees, which could include local adverts and running costs and similar ones.
How long does it take to break even with an Archies Gallery franchise?
An important metric franchisees ought to always pay attention to is the payback period. For an Archies Gallery franchisee, this is expected to be between 1 to 2 years. This timing, however, is never cast in stone and may vary, for instance, with location, readiness management or even the state of the market. Franchisee will be getting back 70% as a Return On Investment (ROI) approximately on their investments within this specified time limit.
What kind of training and support does Archies provide to new franchisees?
Archies has a lot of coaching and assistance programs for new franchisees as a form of training, and this includes orientation on how to handle the shop, serve customers, arrange products and advertise them to support business growth. There is also extra support new franchisees can get from relationship managers such as guidance on how to run the franchise even at times of challenges.
Are there any specific locations where Archies Gallery franchises are more profitable?
From a revenue earning standpoint, Archies Gallery franchises have a comparative edge in cities with dense population as well as high pedestrian counts in places such as malls and busy marketplaces. Such places draw a wide range of customers eager to purchase gifts for different events improving the selling chances substantially.
What are the key factors that influence the profitability of an Archies Gallery franchise?
The profitability of operating an Archies Gallery franchise is business affected by tagging down factors such as location, variety of products, and strong management. In areas of high volume sales such as shopping malls or commercial hubs, the business is likely to have a bigger clientele base and as a result higher sales. In addition, interms of age standards and likes, they will also have a higher purchase rate. Their detailed management including stocks and front desks also need to concern in order to increase profit rates.
How does Archies Gallery support franchisees in marketing and advertising?
To get their brand awareness and image out there, Archies Gallery helps their franchisees by using a well detailed approach to their franchisees in terms of raising domestic strategies, promoting through digital platforms and organizing awareness events in the locality. This will help franchisees to avoid using funds on marketing since they will have already had advertising methods in place and also are provided with tools on how to promote locally. As well, Archies focuses on unit interior advertising so that branding will be consistent across all outlets and there will be advertising targeting in region.
What is the average customer footfall in Archies Gallery stores?
A large proportion of customers in Archies Gallery outlets will mostly depend on the location of the business and the period of the year. However, during special occasions such as holidays and festivals individuals who work in that location tend to spend more break times at the outlet bringing an average of around 50 to 100 people a day.
Are there any exclusive deals or discounts available for franchisees?
As a franchisee, Archies presents you with solid offers and discounts during their promotional period or for new product launches. Such incentives, on the one hand, assist franchisees in controlling their expenses, and on the other hand, help them in buying new products or seasonal products. These deals, in principle, tend to improve a franchisee’s profitability and market positioning.
How does Archies Gallery ensure consistency in product quality across all franchises?
Archies Gallery has also established comprehensive quality control systems at all levels of its production and distribution to have a high degree of uniformity in the quality of the products offered by the different franchises. Production takes place at a specific site that meets uniform production reasons and the standard of quality required. In order to ensure customers that the standard of service provided is always of high quality irrespective of the outlet that customers go to, regular audits and feedback systems are also put in place.
