How to Open an Amul Franchise (2023)- Cost & Profit Margin

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

Are you passionate about the dairy industry and dream of running your own successful business? Then Amul Franchise can be perfect for you. Amul is the pride of dairy sector of India and it is providing opportunity to the aspirants for dairy business to join their franchisee.

India is one of the leading countries in the world in the production and consumption of milk. India produces 23% percent milk of the world and if we talk about consumption, on an average 578 grams of milk is consumed per person in India.  203.49 Metric Tons of milk was consumed in India in 2022.

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

If India is the largest milk consuming country in the world, then Amul is not only India’s but the world’s largest producer of milk and its products. In this blog, we will know “How to Open an Amul Franchise, what will be the total cost for its franchise, what will be the profit margin, we will also know what are the risks in this business and many more. So, let’s start from the beginning.

Overview about Amul Franchise

Amul was founded in 1946 by Tribhuvandas Patel. It is under the ownership of Gujarat Cooperative Milk, Marketing Federation Limited, Department of Cooperation, Government of Gujarat. Amul has a wide range of dairy products including Milk, Curd, Paneer, Cheese, Chocolate, Ice cream, Bakery Items, Ghee, and a range of beverages & dairy products

Amul Franchise: Essential Facts

1 Trade Name Amul Coop
2 Type Cooperative
3 Industry Dairy
4 Founded 1946
5 Founder Tribhuvandas Patel
6 Headquarters Anand, Gujrat
7 Area Served Worldwide
8 Owner Dairy Producers of Gujrat
9 Revenue Rs. 52,000 crores
10 Website  amul.com

Reasons to Consider an Amul Franchise

There can be many reasons why you should take Amul Franchise, but here we will look at some of the main points of why you should take it.

  1. Trusted Brand: – It is the world’s largest milk and milk producer company that has earned the trust of generations of consumers. Being associated with such a respected name boosts your credibility and builds customer confidence which gives you a competitive edge.
  2. Wide Product Range: – It has a wide product range in dairy like Milk, Curd, Paneer, Cheese, Chocolate, Ice cream, Bakery Items, Ghee, and a range of beverages & dairy products. Thus, you can cater to a diverse consumer base.
  3. Training and Support: – Along with training us for business, they also support us in business areas like site selection, its outlet design and renovation, equipment purchase, marketing and advertising and many more.
  4. Low Investment: – We require low investment cost to start this franchise and it also provides us with a high profit margin.
  5. No Royality Fee: – Amul neither takes any royalty fee from its franchise nor do we have to share any revenue with Amul.

Amul Franchise Model and its Cost

There are 4 types of franchisee models in this, so let us first know their franchisee model one by one, along with this we will also see what is the requirement for them and how much total investment we will need for each franchisee.

  1. Amul Preferred Outlet Model (AOP)
  2. Scooping Parlour Model
  3. Amul Parlour at Railway Station
  4. Amul Parlour at COE

Amul Preferred Outlet

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

  • For this, you need 100- 150 sq. ft. of space, which can be your own or for rent.
  • For this, you will have to get your shop designed according to its standard design.
  • More than 8000 AOPs are currently working in India.
  • For this you need some equipment which is as follows
    • Deep Freezer (for Ice-cream)
    • Visicooler (for Dairy Products)
    • Milk Cooler (for Fresh Products)
    • Pizza Oven (for Frozen Pizza)

Average total investment for Amul Preferred Outlet Model (AOP)

Security Deposit Cost (Refundable) 25,000
Renovation of the Cost (Approx.) 90,000
Equipment Cost (Approx.) 90,000
Total Investment (Approx.) 2,00,000

Scooping Parlour

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

  • For this, you need 250- 400 sq. ft. of space, which can be your own or for rent.
  • For this, you will have to get your shop designed according to its standard design.
  • this brand has more than 1500 ice cream spoofing parlour across India inciting franchises.
  • For this you need some equipment which is as follows
    • Deep Freezer (for Ice-cream)
    • Visicooler (for Dairy Products)
    • Mixer/Grinder
    • Milk Cooler (for Fresh Products)
    • Waffle Cone Machine
    • Pizza Oven (for Frozen Pizza)
    • Scooping Cabinet with SS Bowls (for Ice-cream Pack)
    • Cone Holder/Topping Tray for Placing Sauces
    • Pos Machine

Average total investment for Scooping Parlour Model

Security Deposit Cost (Refundable) 50,000
Renovation of the Cost (Approx.) 3,00,000
Equipment Cost (Approx.) 1,50,000
Total Investment (Approx.) 5,00,000

Amul Parlour at Railway Station

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

  • Railway parlour will be credited after getting allotment from the Railways.
  • For this, you need 60- 100 sq. ft. of space, which can be your own or for rent.
  • For this, you will have to get your shop designed according to its standard design.
  • For this you need some equipment which is as follows
    • Deep Freezer (for Ice-cream)
    • Visicooler (for Dairy Products)

Average total investment for Amul Parlour at Railway Station

Security Deposit Cost (Refundable) 1,00,000
 Cost of Stall (Approx.) 2.5 – 4 lacs
Equipment Cost (Approx.) 50,000
Total Investment (Approx.) 4,00,000-5,50,000

other liability: –

  • payment of security deposit and license fees.
  • to Railway on behalf of GCMMF.
  • payment of other operating expenses.

Amul Parlour at COE

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

  • parlours at the center of excellence will be credited after getting allotment from important institutions, organizations, municipal corporations, government organizations, etc.
  • For this, you will have to get your shop designed according to its standard design.
  • For this you need some equipment which is as follows
    • Deep Freezer (for Ice-cream)
    • Visicooler (for Dairy Products)
    • Milk Cooler (for Fresh Products)
    • Pizza Oven (for Frozen Pizza)

Average total investment for Amul Parlour at COE

Security Deposit Cost (Refundable) 50,000
 Cost of Stall (Approx.) 2.5 – 4 lacs
Equipment Cost (Approx.) 50,000
Total Investment (Approx.) 3,50,000-5,00,000

other liability: –

  • payment of security deposit and license fees.
  • to the respective Organization on behalf of GCMMF.
  • payment of other operating expenses.

Benefits to the Amul franchise

  • In this every single product of Amul is supplied to you.
  • They provide Backlit/LED Signage.
  • In this, you are subsidized on every equipment and branding.
  • You are also given inauguration support.
  • You are given a discount on additional purchases of its products.
  • There are special offers for the consumer.
  • In this, neither royalty-free is taken from you nor your profit sharing is taken.

Amul Franchise Profit Margin

Each product of Amul does not have the same profit margin. The following are the profit margins per different product of Amul.

  • Pouch Milk- 2.5%
  • Milk Product- 10%
  • Ice cream- 20%
  • Other Items (Ice-cream Scoops, sundaes, and other frozen items)- 50%

You can see how much average earning we can get from an Amul shop with an example.

Milk Product Ice Cream Pouch Milk Other Items Total
Sales (in Rs. Per Month) 1,00,000 50,000 1,00,000 50,000 3,00,000
Gross Margin 10,000 10,000 2,500 25,000 47,500
Less: Electricity Charge -2,000
Less: Rentals -5,000
Less: Misc Expenses -2,000
Net Profit Margin 38,500

Here we can clearly see that we are getting a Net Profit Margin of 12.83% so we can say that at Amul Franchise we can get Net Profit of 12-20%. Expected monthly Sell turnover will vary from place to place depending on the location of the parlour it may be in the range of 5 lakh to 10 lakh per month.

Document Requirements for Amul Franchise

  • Owner Passport Size Photo.
  • Near View Photograph of Shop.
  • Residence Proof of Outlet.
  • Cancelled Cheque
  • FSSAI Registration Receipt
  • DD of Rs. 25,000/50,000
  • APO Undertaking

How to Apply for Amul Franchise

You have to fill-up the franchise form by visiting its official website, after that its customer care will call you on its own.

How to Open an Amul Franchisee (2023)- Cost & Profit Margin

For inquiries regarding Amul Parlour/franchise please email retail@amul.coop or call 02268526666.

Note: -There are some fake websites that can cheat you in the name of Amul franchisee. Therefore, by clicking on this link, after reading what is mentioned on it, go ahead with the decision of taking the franchise.

How to Apply for Amul Distributorship

To take distributorship of Amul Franchisee you can email distribution@amul.coop or call them at – 022-68526666.

Risk in Amul Franchise

  1. Market Competition: –There is high competition in the dairy industry. Every state has some local brand which can challenge it in pricing, product range and marketing
  2. Ups and down in demand: – The demand for dairy products can fluctuate due to changing weather, economic conditions, changing consumer preferences, which can affect its sales.
  3. Location Suitability: – Before joining the business of Amul Franchise, make sure that the location you have chosen is not the wrong location or a place with low demand, otherwise you may have to suffer losses.
  4. Changing Consumer Trends: – There has been an increasing consumer preference for healthier or plant-based alternatives these days, which is affecting the demand for traditional dairy products.

Overview

Amul is not only India’s but the world’s largest producer of milk and its products. Amul has a wide range of dairy products including Milk, Curd, Paneer, Cheese, Chocolate, Ice cream, Bakery Items, Ghee, and a range of beverages & dairy products. Low investment cost to start this franchise and it also provides us with a high profit margin of 12-20%. Amul neither takes any royalty fee from its franchise nor do we have to share any revenue with Amul. Total investment required to start this franchise is in between 2-6 lacs.

Every business has some merits as well as some risks to them, so according to me, consider each and every aspect before starting this franchise. If there are any questions related to this franchise, then you can ask us your question in the comment box below.

FAQs

.

How much does it cost to Start an Amul Franchise?

It depends on which franchisee model you take because the fees are different for each franchisee model. If we talk about the average cost then it is as follows Security Deposit Cost (Refundable)- 25,000-1,00,000 Renovation of the Cost (Approx.)- 90,000-4,00,000 Equipment Cost (Approx.)- 50,000-1,50,000 Total Investment (Approx.)- 2,00,000-6,00,000

Is Amul Franchise profitable?

Yes, it is a 100% profitable outlet. Its net profit margin is 12-20%. It depends on which of its products you are selling the most because the profit margin of each product is different.

How long does it take to complete Amul Franchising application process?

It takes 30 to 45 days to complete the application of Amul Franchisee because when you submit the application, your application is thoroughly scrutinized.

How much does an Amul Franchise owners make?

Its net profit margin is 12-20%. It depends on which of its products you are selling the most because the profit margin of each product is different.

Is there any provision for Amul kiosk franchise E for handicaps?

In our research, no information has been found about them that any Provision is given to the handicapped person, for this you can talk to their official customer care number. For inquiries regarding Amul Parlour/franchise please email retail@amul.coop or call 02268526666.

Is it mandatory to acquire Fssai certificate for Amul franchise?

Yes, FSSAI Certification is necessary for Amul Franchisee because this certificate is demanded by them when you apply for the Amul Franchise.

Whom should I contact to open Amul franchise?

For inquiries regarding Amul Parlour/franchise please email retail@amul.coop or call 02268526666.

For ladies any subsidy to take Amul franchise?

Ladies do not get any subsidy for Amul Franchise as far as our research has come to know.

Give phone number for Amul Nets franchise?

Phone Number: (022) 6852 6666 (Between 10 AM – 6 PM) (Monday – Saturday).

I want to know about real Amul franchise day to day profits?

The profit of Amul Franchise depends on your total sales copy. That's why we cannot talk about its exact daily profit. Your monthly sales will be between 5-10 lacs and your net profit is 12-20 percent.

How to get franchise of Amul cooperative society and what are the conditions?

If you want to take the franchisee of Amul, then you have to read this blog completely, in which it has been explained in detail about its Franchise.

Who is contact person for Amul garden parlor franchise in Ahmedabad Ranip area?

For inquiries regarding Amul Parlour/franchise please email retail@amul.coop or call 02268526666.

 

Leave a Comment