How to Start a Kalyan Jewellers Franchise in India

India is one country where jewellery is not limited to decoration but has acquired the status of a tradition, symbolizing affluence and forming part of every cultural occasion. The trust and quality associated with Kalyan Jewellers make it a household name in India. If you want to enter the jewellery business, buying this franchise might be your best option since it is both lucrative and prestigious. This article outlines how one can establish a Kalyan Jewellers Franchise in India including costs, potential benefits, application process, and contact details.

Kalyan Jewellers Franchise Cost in India

To initiate a franchise in India for Kalyan Jewellers requires a significantly large amount because it is considered a high-end brand and the stock of jewellery inventory has to be large in value. The expected investment associated with starting a franchise falls within the estimated range of ₹50 Lacs to ₹1 Crore. Indicated below is a list of areas you can expect to incur costs.

1) Franchise Fee

• Estimated Cost: ₹5 Lacs

This fee is paid to allow you to use the Kalyan Jewellers name and be a part of that business operated through a franchised.

2) Store Setup and Interior

• Estimated Cost: ₹10 Lacs to ₹15 Lacs

This would include all costs to set up your interior including fixtures, fittings, and the overall setup of the retailer store to be acceptable to Kalyan Jewellers brand strategy.

3) Inventory Costs

• Estimated Cost: ₹10 Lacs to ₹30 Lacs

Due to the high level of investment in gold, diamonds, and other stones, the jewellery or stock inventory will require a large amount of funds of

4) Working Capital Costs

• Estimated Cost: ₹5 Lacs to, but not limited to, ₹10 Lacs

Working capital refers to the funds available to the business to spend on expenses, including, salary, utility, hire and advertising until there is income.

5) Marketing and Promotions

• Estimated Fee: ₹5 Lacs to ₹10 Lacs.

This would be included with an opening party and sometimes ongoing ‘buy local marketing’ to begin to attract your first customers.

Additional Investment:

• Real Estate Costs: The franchise business must be located, therefore, either leasing or buying a space will add to the overall estimated costs investment. The business space needs to be a minimum of (minimum – estimate area) 1000 sq. ft area in a location with a good-looking front face.
• Compliance Expenses: You will incur additional costs and fees to obtain licenses to trade, and compliance with your locality.

Total Estimated Investment to Launch a Kalyan Jewellers Franchise: ₹50 Lacs to ₹1 Crore.

Kalyan Jewellers Profit Margin

The jewellery industry, especially one that has a legacy brand with a market presence like Kalyan Jewellers, has returned some of the highest profit margins in the industry. Kalyan Jewellers promotes 96% profit sharing with franchise partners and has a franchisee profit margin of 15% to 20% on sales, on average.

About the Company Kalyan Jewellers

Kalyan Jewellers was founded in 1993 in Thrissur, Kerala, India by T.S. Kalyanaraman. Kalyan Jewellers has quickly become an established chain, being one of the largest jewellery chains, with local and international operations. They have various designs of jewellery of innumerable styles in impeccable quality and further employ ethical practices in all their dealings.

Why Buy Kalyan Jewellers Franchise?

• Domestic and Internationally Recognized Brand: Simply hearing the name Kalyan Jewellers anywhere in India sparks trust and confidence, and reflects positively on its brand, image and ethical practices.
• Vast Range of Products: Kalyan Jewellers has a large assortment of products, from traditional designs to modern pieces for customers.
• Honest Business Practices: Kalyan Jewellers displays its prices openly and uniformly displays any pricing in all locations.

Franchise Models of Kalyan Jewellers

There are different franchise models available from Kalyan Jewellers depending on location, investment and business objectives. The two primary models are:

• Exclusive Store Franchise: This model provides for an exclusive store owned and operated by Kalyan Jewellers. Provides for the full range of Kalyan Jewellers products.
• Shop-in-Shop Franchise: The shop-in-shop model is a model where Kalyan Jewellers operates within the store, almost exclusively a multi-brand outlet.

Advantages and Disadvantages

Looking to invest in Kalyan Jewellers franchise is an enticing opportunity in the market, taking into consideration their position in the market and the booming jewellery industry in India. Like all business opportunities, franchises are not without advantages or disadvantages. Here is a breakdown of the advantages and disadvantages you should determine before pursuing a Kalyan Jewellers relationship.

Advantages of Owning a Kalyan Jewellers Franchise

• Established Brand Reputation
• Comprehensive Support
• High-Profit Margins

Diadavantages of Owning a Kalyan Jewellers Franchise

• High Initial Investment
• Intense Competition
• Dependency on Gold Prices
• Stringent Operational Standards
• Market Saturation

Steps to Open a Kalyan Jewellers Franchise

Step 1: Researching and Planning

Thoroughly research the jewellery market in your chosen location. Identify the competition, customer expectations, and market demands. Write a strong business plan with financial projections and plans for marketing and operations.

Step 2: Contacting Kalyan Jewellers

You can either visit the Kalyan Jewellers website, or you can contact the franchise department to display your interest. Once you have submitted your application, Kalyan Jewellers will review your application and carry out an initial screening.

Step 3: Meeting and Agreement

If you are selected for consideration, you will be invited to meet about the franchise agreement. In this part of the process, you will be informed about the contract terms, investment needs, and franchise operations. Kalyan Jewellers will also assign someone to you to help you choose a location for your franchise.

Step 4: Setup and Training

When it comes to setting up a store, the Kalyan Jewellers team will be on hand to ensure that you meet a strong franchise standard. Kalyan Jewellers will also deliver complete training to you and your staff on product knowledge, sales techniques, customer service, and inventory management.

Step 5: Opening and Marketing

Before you open, conduct a soft-open to iron out operations and gather customer feedback. Plan a larger opening with promotions and campaigns designed to attract individuals to come and visit.

Contact Details

To open a Kalyan Jewellers franchise, you can reach out to them via the following:

• Website: Kalyan Jewellers Official Website
• Email: [email protected]

Frequently Asked Questions

What is the initial investment required to open a Kalyan Jewellers franchise?

Total investment costs range from ₹50 Lacs to ₹1 Crore, including franchise fee, store setup, stock inventory, and working capital.

How long does it take to open a Kalyan Jewellers franchise store?

From submitting the application to the grand opening, the process takes between 6 and 12 months depending on several factors such as store location and build-out.

Is previous experience in the jewellery industry necessary?

While previous experience in the jewellery industry is preferred, it is not needed. Kalyan Jewellers provides all necessary training to franchisees.

What kind of support does Kalyan Jewellers provide the franchisee?

Kalyan Jewellers provides support with site selection, store setup, employee training, marketing materials and continuing operations.

How do I apply to be a Kalyan Jewellers franchisee?

You can apply by going to the Kalyan Jewellers website, completing the franchise inquiry form, or reaching out to the franchise department.