Lite Bite Foods Pvt. Ltd. intends to open more food courts, this time on highways. In the initial pilot phase, the food courts will come up in 3-6 major highways in and around NCR
Lite Bite Foods Pvt. Ltd. intends to open more food courts, this time on highways. In the initial pilot phase, the food courts will come up in 3-6 major highways in and around NCR .Subsequently, they’ll be rolled out in a phase - wise regional and then pan-India basis. For the next 6 months, Lite Bite Foods intends to focus expanding in NCR. In the second half of `09 it will reinforce its business in major metros like Mumbai, Bangalore, Pune for it casual dining formatand tier 2 cities in North India ,for its quick service/ food court format . Lite Bite Foods’ Larger food courts operate under the Food Union brand while the mini food courts are manned under its brand,Food Union Clix .Each Union Clix food court has an area of 5000 sq ft and is home to 6 food and beverage brands , namely, Subway, Baker St, Rapps, Street foods of India, Big Gulp! and Pino`s. Also, PVR, Lite Bite Foods’ equity partner, manages Union Clix food courts on some of its properties. The total number of current Lite Bite Foods outlets is 40 and the company is bullish on adding 20 more to its burgeoning empire before the year ends. It has 6 Food Union Clix outlets,which are spread across 3-5000 sq ft each and can seat 100-150 people at a time ; and 10 outlets in the large food court format, with an area of 10,000 to 20,000 sq ft each,and a seating capacity of200-500 people.Most of its current 40 outlets are Delhi/NCR based . Next year , Lite Bite Foods plans to increase the number of its outlets byan impressive 100.The additional outlets will be an amalgamation of casual, fine dining ,quick service restaurants,express outlets and entire food courts. The money allocated to this extension manoeuvre is Rs 100 crore ,tobe pumped into this endeavour over a period of 3 years. The firmanticipates aRs.1000 crore sales in the next 3-4 years ,with more than 150-200 outlets disseminated across the country; in malls, office complexes, high way locations,airports, hospitals and other locations offering a high foot fall. According to Pavan Gandhok, CEO , Lite Bite Foods Pvt. Ltd , “ the company has already invested over 50 crores and is looking to double that over the next six to nine months. Returns on investments at the store level are very attractive, typically at 30-40% cash on cash returns, payback periods of 2 yrs or less, ROIs well in excess of 25% .” Lite Bite Foodsis promoted jointly by Dabur`s Mr Amit Burman , Mr Rohit Aggarwal and Mr Tejpavan Gandhok. “With Lite Bite Foods, we are attempting to be a restaurant chain company, which I don`t think anyone in India has attempted to be." claimed Burman. The initialLite Bite Foods stores will becompany - owned .However, ithas started contemplating franchising on a pilot basis and is on seeking the “right fit of a franchisee in terms of mindset.” Their franchising model is to retain strong control of operating systems and store level employee management to ensure fulfillment of strict quality control and customer service guidelines. Lite Bite Foods claims to provide complete support to its Franchisees, right from the design; project management of fit-out; and complete operational management responsibility right from hiring and training of staff to managing day to day operations. Its preferance is for high street areas within NCR for their fine dining and quick service format restaurants and highways located within 2-4 hours from NCR for its mini food court models. Capital investment of approximately 1.5 to 2crores is required and a typical carpet area of 2500-3500 sq ft for a fine dining restaurant; 3-5000 sq ft for a mini food court and 5-10000 sq ft for a larger food court is imperative. Lite Bite Foods aspires to construct a significant pan-India pipeline, with over half a million sq ft already signed. Its mission is to rapidly achieve critical mass by employing a strategic mix of pugnacious organic growth and judicious joint-ventures and acquisitions. It is aiming for a grand total of 300 stores within 3 to 5 years and eventually wants to take many of its concepts overseas as well. Lite Bite Foods is also the largest franchise operator of Subway pan-India.