The Booming Market of QSR Franchise in India

We have seen remarkable growth in quick-service restaurants (QSRs) in recent years. This is because of changes in consumer preference, people moving towards urban cities, economic development, and the digital revolution. The QSR franchise model is one of the most profitable business opportunities in India and the upcoming years, this model is going to be blooming if you want to make an investment in the food industry. Let’s have a look at the growth of the QSR sector in India, its emerging trends, and insight into the future of the QSR sector in India.

The Growth of the QSR Sector in India

The food service industry is one of the booming industries in India and QSR franchises help in the expansion of the food sector because of the growing demand for quick-service food, affordable, and hygienic food options available across metropolitan cities, tier 2, and tier 3 cities.

Factors impacting the rise of the QSR in India

Changing in the lifestyle of consumer

There is a remarkable change in the eating habits of the consumer due to the increase in disposable income, urban lifestyle, accessibility, and affordable food options available in the market. Due to the busy schedule of working employees and students prefer Quick-service restaurants more because of their speed, accessibility, and affordability.

Increased spending on eating out

Due to the increase in disposable income of the consumer, people spend on eating out because there are many QSR franchises available in the market. Cooking food at home requires more time and effort and working professionals have busy schedules so they prefer to eat from QSRs.

Expansion into Tier 2 and Tier 3 Cities

Metropolitan cities have a strong influence on the QSR market and brands are now expanding in small cities and towns. The increase in disposable income and increase in the internet connectivity in this region made the QSR franchise more interested in expanding. Cities such as Jaipur, Indore, Chandigarh, Patna, Bhopal etc have a growing demand for fast food.

Digital Transformation and Online Ordering

People started ordering their food online through food-delivery apps such as Swiggy and Zomato which has transformed the QSR industry. This transformation leads to an increase in the cloud kitchen also. App-based loyalty programs, coupons, and discounts strengthened the QSR presence in the market.

Friendly QSR Franchise model

There are fewer restrictions on the entry and exit of the QSR franchise model making it friendly and this is the safer investment because of the proven track record of success, established brand name and the franchisor giving full support on running the business.

Emerging Trends of the QSR Sector

Rise of Indian Fast Foods

There is an increasing rise in Indian fast food and international brands have adapted their menus to cater to the tastes of Indian people. For example, McDonald’s has Mc Aloo Tikki burgers on their menu and Domino’s has paneer toppings on their menu.

Healthier Options Available

Nowadays people are becoming more health-conscious and prefer to eat food which are plant-based, nutritious, and organic. Brands such as Subway offer healthy food options on their menus to serve people according to their preferences. QSRs are now adopting eco-friendly practices and packaging in a way that causes no harm to the environment.

Cloud Kitchen QSRs

There is an increasing rise in cloud kitchens that have transformed the QSR industry. These cloud kitchens are comparatively more profitable because it doesn’t need any physical space and lower operational costs. And now brands are giving preference to online food and takeaways more.

Social media and Influencer Marketing

Social media platforms such as Facebook, Instagram, YouTube etc played an important role in the growth of the QSR market. Food influencers, bloggers, and content creators are the ones who promote brands which leads to brand awareness and engagement.

Contactless Dining

After the pandemic, people are more conscious about hygiene and safety. Most of the QSRs have QR codes through which people order their food and make online payments. This trend will continue because people prefer contactless dining more.

Future Prospect of the QSR Market in India

• The brands will continue their focus to expand their business in tier 2 and tier 3 cities.
• QSRs will practice sustainable packaging and eco-friendly practices to reduce wastage.
• Digital payments, online ordering, and AI-driven ordering help in customer engagement.
• Brands offer customizable menus to their customer means they can customize their food according to their taste and preference.
• The Indian brands will expand their business internationally and compete with international brands.

Conclusion

If you are looking for a profitable opportunity in the food franchise business in India then entering into the QSR sector is the best option. The QSR sector is booming in India and will continue to expand because of the increasing disposable income of consumers and the hectic working schedule of working professionals.