Zudio has become a prominent name in India’s fashion retail market, providing stylish and affordable clothing for men, women, and children. The brand strategically places its stores beyond major cities to ensure that trendy fashion reaches a diverse audience. As a mass-market brand with a value format, Zudio’s stores offer a wide range of apparel, footwear, and home products, making it a popular shopping destination. If you are looking to enter the fashion business, a Zudio franchise could be the ideal opportunity for you.
The Zudio franchise, known for its strong market presence and customer acceptance, presents an attractive investment opportunity for fashion retail entrepreneurs, allowing them to own a part of India’s leading affordable fashion brand and bring trendy clothing to their communities.
Our article will give you all the details on how to become a Zudio partner, how much it costs and how to start a Zudio franchise.
About Zudio
Zudio is a value-fashion brand owned by Trent Limited, launched in September 2016. It is a Tata Group company, known for providing stylish, affordable clothing and home essentials, and has become a key growth engine for Trent. Zudio, a fast-fashion brand known for its affordable and trendy clothing, is expanding rapidly with over 545 stores across 164 cities, driven by strong customer demand for value-conscious fashion.
| Aspect | Details |
|---|---|
| Company Name | Zudio |
| Parent Company | Trent Limited (a Tata Group company) |
| Founded | 2016 |
| Founder | Part of Trent Limited; specific individual founder not publicly specified |
| Industry | Fast-Fashion Retail |
| Headquarters | Mumbai, Maharashtra, India |
| Services | Offers a wide range of affordable fashion products including apparel for men, women, and children, as well as beauty products and accessories |
| Area of Operation | As of March 2024, Zudio operates 545 stores across various cities in India |
| App Availability | Primarily focuses on physical retail stores; online shopping availability is limited |
| Employees | Specific number not publicly disclosed; operates numerous stores nationwide |
| Revenue (Estimated) | Trent Limited, the parent company, reported a revenue of ₹12,669 crore for FY24; specific revenue for Zudio is not separately disclosed |
Zudio Franchise Model
Zudio Franchise operates on the FOCO (Franchise Owned, Company Operated) model, where you invest in setting up the store, covering costs like the franchise fee, security deposit, store setup, and inventory. However, once the store is ready, Zudio takes full control, managing everything from staffing and inventory to daily sales and maintenance. While the franchisee bears the investment, Zudio ensures smooth operations, allowing you to benefit from your investment without the hassle of daily management.
How Much Does a Zudio Franchise Cost?
Total cost of Zudio franchise is around Rs 50 Lakh to Rs 2 Crore in India. This includes the franchise fee, security deposit, shop setup, inventory, and other expenses.
Zudio Franchise Cost Details:
Franchise Fees: Zudio franchise fees range from Rs 10 to Rs 15 lakh depending on location and size.
Security Deposit: Zudio typically requires a security deposit of Rs 20 to Rs 30 lakh for franchise operations.
Shop Setup Cost: The shop setup cost for a Zudio franchise generally ranges between Rs 30 to Rs 80 lakh, depending on the size.
Inventory Cost: The inventory cost for a Zudio franchise usually ranges from Rs 30 to Rs 50 lakh initially.
Other Expenses: Other expenses of a Zudio franchise include marketing, training and operational costs, which total around ₹40 lakh.
What is Zudio Franchise Profit Margin?
Zudio is one of the most profitable clothing franchises in India, known for its strong market presence, affordable fashion, and consistent trendy updates. The brand’s success is driven by its ability to offer stylish clothing at budget-friendly prices, making it a popular choice among consumers. However, its low-price strategy results in thinner profit margins, requiring efficient operations, strict inventory management, and careful avoidance of overstocking to prevent markdowns that could impact overall profitability.
For franchisees, the profit margin can vary depending on factors like store location, sales volume, and operational efficiency. On average, the Zudio franchise profit per month ranges between 10-20%. Franchise owners can expect Return on Investment (ROI) within 3-5 years of operation, depending on their expenses and revenue. Despite the challenges of maintaining profitability with lower margins, Zudio remains a highly attractive franchise option due to its strong brand appeal and cost-effective fashion offerings.
Why Choose Zudio Franchise?
Zudio, known for trendy and affordable fashion, offers franchise opportunities with low investment and high potential returns, with complete support and guidance from planning to store setup, making it an established and trusted brand to partner with.
Here’s why a Zudio franchise can be a good choice:
Trendy and affordable fashion: Zudio caters to a large customer base seeking stylish and budget-friendly clothing.
Low investment, high returns: The franchise model allows for maximizing profits with a relatively low initial investment.
Full support and guidance: Zudio offers comprehensive support from initial planning to store setup and ongoing operations.
Established and trusted brand: Partnering with a recognized and reputed brand like Zudio can provide a competitive advantage.
High Profit potential: Franchisees can expect returns within 3-5 years, with monthly profit margins potentially reaching 10-20% depending on location, sales, and operational efficiency.
Company-owned, company-operated (COCO) model: Zudio operates under the COCO model, which means all stores are directly managed by its parent company, Tata Trent Ltd, ensuring a consistent brand experience.
Zudio Franchise Requirements
To open a Zudio franchise, you would typically need to meet the following requirements:
1. Investment:
- Total Investment: ₹50 lakh to ₹2 crore. (This includes franchise fees, store setup, initial inventory, and other expenses)
- Franchise Fee: ₹10–15 lakhs.
- Store Setup: ₹20–25 lakhs.
- Initial Inventory: ₹10–12 lakhs.
- Licenses and Other Expenses: ₹3–5 lakhs.
2. Location:
- Area: 800 to 1,200 square feet.
- Location: Prime retail space in high-traffic areas like shopping malls, commercial streets, or busy marketplaces.
3. Infrastructure:
- Store Setup:The store should be designed and furnished according to Zudio’s brand standards.
- Equipment:The store needs to be equipped with the necessary retail equipment, such as display racks, point-of-sale systems, and storage facilities.
4. Manpower:
- Staffing: You’ll need to hire 10 to 20 employees.
- Training: All staff members must complete Zudio’s training program.
5. Commitment:
- Business Acumen: You should have good business sense and be ready to follow Zudio’s brand guidelines and values.
6. Experience:
- Previous retail or business experience is preferred, but not essential.
Zudio Franchise Documents Requirement
To become a Zudio franchise partner in India, you will need to provide several documents, including GST number, trade license, EPF and ESIC registration and insurance for the outlet, as well as other documents like business proof, identity proof, franchise agreement and lease agreement (if applicable).
1. GST number: This is required to register your business and pay taxes.
2. Trade license: This allows you to operate a business at a specific location.
3. EPF and ESIC registration: These are required for employee benefit plans.
4. Insurance for the outlet: This covers potential risks to the store and its contents.
5. Business proof: If you are setting up a company, you will need a certificate of incorporation and a PAN card.
6. Identity proof: Government-issued identity documents are required for identity verification, including Aadhaar card, PAN card, passport, voter card and driver license.
7. Franchise agreement: You will need to sign a franchise agreement with Zudio.
8. Lease agreement: If you are renting a store space, this document is required.
9. ITR filed for last 3 years: Provide copies of your Income Tax Returns for last 3 years.
10. Bank Account Details: Submit bank account details showing average account balance for last 1 year.
How to Apply for Zudio Franchise Online?
To apply for a Zudio franchise, you must first express your interest by contacting the Z udio franchise team via their website or email, then submit the franchise application form detailing your business experience, financial situation and preferred location.
Follow the steps below to apply for a Zudio franchise online:
1. Visit the official website: Go to the official Zudio franchise page and open the franchise application form. (https://www.zudio.com/pages/zudio-franchise)
2. Fill in the required details: Enter your contact information, business/work experience and location details in the form.
3. Review your information: Before submitting, carefully double-check all the details you have provided.
4. Confirm accuracy: Tick the small box on the left to confirm the information entered is true and correct.
5. Submit the form: Click the “Submit” button and wait for a response from Zudio. They will contact you via email only about the next steps.
Benefits of Owning Zudio Franchise
Zudio franchise offers benefits such as a strong brand name (backed by the Tata Group), affordable fashion that attracts a large customer base, extensive training and support, a proven business model, and access to affordable inventory, leading to high profit potential and consistent sales.
Key Benefits of Zudio Franchise:
Strong Brand Recognition
Zudio is a well-known brand, and its association with the Tata Group enhances credibility and trust, making it easier to attract customers.
Affordable Fashion, Big Sales
Zudio’s focus on trendy, budget-friendly clothing attracts a large customer base, leading to consistent sales and growth.
Comprehensive Training and Support
Zudio offers comprehensive training and ongoing support in areas such as product knowledge, customer service, and marketing, ensuring that franchisees are well-equipped to succeed.
Proven Business Model
Zudio’s retail strategy is well planned and effective, making it easier for the franchisee to run a profitable store.
Low Inventory Costs
Zudio’s bulk buying power means lower inventory costs for the franchisee, thereby increasing profit margins.
Wide Product Range
Zudio offers a diverse range of products, including apparel, accessories and footwear for men, women and children, which cater to a wide customer base.
Vast Market Reach
Zudio has a strong presence across India, which gives the franchisee access to a large and growing customer base.
High Profit Potential
With affordable pricing and high footfalls, the Zudio franchise has the potential to generate strong revenues.
Consistent Sales
Zudio’s trendy collections keep customers coming back, ensuring regular sales and steady growth.
Return on Investment
Franchisees can expect to recover their initial investment within 2-3 years.
Monthly Sales
The typical monthly sales of a Zudio franchise shop ranges from Rs 20 to 50 lakhs.
Profit Margin
The franchisee can expect to earn a profit of 10% to 20% of the total revenue.
Final Conclusion
The Zudio franchise can be a lucrative opportunity for entrepreneurs looking to enter the retail fashion market, provided they understand the business model, do thorough research and focus on operational efficiency and customer satisfaction.
TATA Zudio Franchise (FAQ’s)
What is Zudio franchise eligibility?
To open a Zudio franchise, you’ll need a minimum investment of ₹50 lakh to ₹2 crore, a store space of 800-1200 sq ft in a high-traffic area, and a team of 10-20 employees who will undergo Zudio training.
How much does a Zepto franchise cost?
The cost of opening a Zudio franchise in India approximately between Rs 50 lakh to Rs 2 crore depending on the location, store size and setup. This includes the franchise fee, security deposit, shop setup, inventory, and other expenses.
What is Zudio franchise profit per month?
The franchise can offers a profit margin of 10% to 20% with ROI in 2 years.
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Thank for detail information on Tata zudio franchise and franchise cost. Well researched article.
Thanks for your appreciation. Please bookmark this post for latest updates or news on franchise opportunities in India.
I am from Kerala. Can I start Zudio franchise for a profitable business. Please suggest me. Thank you.
Yes, you can start a Zudio franchise in Kerala, but you need to contact Trent Limited (a Tata Group company) for official details. Zudio has a strong brand value and demand, making it a potentially profitable business if a good location is chosen.