Franchise “Tatar pies. Pie franchise What else do partners get?
Traditional food can be turned into a profitable business. Networks delivering Italian pizza and Japanese sushi have already spread throughout Russia. Does franchising favor pies? And what are the prospects for networks working with this product?
In the CIS countries, pies are always in demand. They still appear at festive and everyday feasts, and recently office workers, tired of pizza and rolls, choose pies for business lunches and corporate events. According to the Restcon company, in 2012 pies accounted for 10% of the entire Russian food delivery market. However, only a few have so far succeeded in building franchise networks known mainly for their pies.
Pie franchises today are best represented in Moscow. The only exceptions, perhaps, are the Stolle chain, which has made its way far beyond Russia, and a bakery originally from Izhevsk. However, you can buy a pie franchise in the areas of baking, sales, and delivery. Let's look at the features of working with each option.
Bakery
Many people expect that they can make money by baking pies by opening a bakery at home. You can bake pies to order at home yourself, which reduces the cost of business, because you don’t need to pay for the work of chefs, rent premises, or purchase special equipment.
But such a business usually has a rather narrow distribution channel, production volumes are small, and therefore the turnover is corresponding. A more profitable option for a pies business could be opening a full-fledged bakery. Production volumes are larger than in the case of a home bakery, but startup costs also increase.
Before opening a mini-bakery from scratch or as a franchise, you need to choose a suitable premises. It should be located in such a place that it is convenient to reach it from anywhere in the city. It is advisable to provide parking next to the premises. It is important that the bakery is located in an area with high foot traffic.
If you choose the wrong premises, you risk not recouping the opening costs
This happened with some franchisees of the Tatar Pies company: “We help our franchisees at all stages of opening, including choosing a location. But there are those who come having already paid the rent. In this case, the location is often chosen incorrectly. In such cases, franchisees open at their own peril and risk, but often never make a profit.”
But in the case of premises, it’s not only a matter of good location, but also the requirements of the SES. The premises for the bakery should not be a basement, the walls should be tiled and the ceiling should be whitewashed. You also cannot do without hot water supply, ventilation and at least a small warehouse. In addition to the premises, you will also need special equipment for the production, storage and sale of products, as well as personnel: 4 bakers, 2 cashiers, a cleaner.
But that's not all. You will have to register your business with Rospotrebnadzor and the tax authorities, prepare contracts for the removal of solid waste, negotiate with medical institutions about medical examinations of employees and prepare their personal medical records. For ventilation and air conditioning systems, you will also have to prepare special passports.
The bakery as a business has one feature - it will only allow it to reach a limited number of people working, living or vacationing nearby. To attract more customers, you can start delivering pies.
Pie delivery
The majority of franchise offers are concentrated in the delivery segment. This format is popular among businessmen because of the successful balance of investments and profits. The creator of the Rumyantsev chain, Nikolai Pavlov, says: “The customer coverage of delivery is disproportionately greater than that of a regular bakery or pie cafe. This means that business is absolutely independent of the number of seats.”
In addition, by opening a bakery that will only work for delivery, you can save a little on rent, for example, by choosing a premises far from the center or busy streets. True, it is worth preparing for the fact that about 15-20% of all expenses will go to logistics. In the case of delivery, it is very important to organize work on receiving and processing orders. It is advisable to prepare several channels for receiving delivery orders, for example, website, telephone and mobile application.
Pie cafes
A pie franchise is already an application for the restaurant business. And that means corresponding investments. At the same time, the market niche is quite narrow, and there are few players in it. The most famous of all pie cafe franchises is the Stolle chain. It is most widely represented in Russia, as well as Ukraine and Belarus. In 2015, Stolle establishments opened in London and New York.
But even such a large chain could not do without a delivery service. It is on this that Stolle makes more than 50% of its revenue. The main income from delivery is also received by another network of pie cafes operating under franchising - “Pirogovaya Rogova”, well known to Muscovites.
Selling pies in a cafe is more of a tasting. The main income comes from delivery
If we talk about competition in the pies market, then in most Russian cities there is no shortage of pies. Almost everyone bakes: hypermarkets, private bakeries and small bakeries, cafes. Therefore, it is important to stand out from them. For example, the Stolle chain, so to speak, is focused on the premium segment. Anna, a Stolle franchisee in Krasnodar, says: “We make money mainly by delivering pies to large companies. The clients are respectable people who will not eat products of unknown quality in a nameless cheburek shop.”
Franchising cooperation with a network of pie cafes is interesting primarily because the franchisor not only transfers all production technologies, but also teaches how to run a business. And in the case of Stolle, you also get the most famous brand on the Russian pie market.
It is important to note that in pie cafes, about 70% of orders are taken away. Therefore, for those who have little initial capital, it makes sense to pay attention to franchises of pie sales points.
Selling pies
A franchise for selling pies will allow you to avoid all the difficulties associated with organizing production. The Tatar Pies franchise network operates according to this scheme, which is currently represented only in Moscow.
Products at the Tatar Pies sales points are supplied from the central bakery; the franchisee’s job is to open a small sales area and hire a salesperson. But the simplicity of this business is deceptive. In addition to the danger of choosing the wrong premises for a business, other pitfalls await a novice businessman. The Tatar Pies network says that franchisees sometimes make mistakes that cost them business: “Young businessmen often do not monitor the work of sellers and end up deceived. Another common mistake is the lack of change in the cash register. Many people forget to order products in a timely manner, and during the most active human traffic, the display case turns out to be empty.”
What is a franchise? This is a store, cafe or salon, already known to customers, which is opened in a new location by the future owner under the leadership of the franchisor. In such a business, there is no need to promote your brand or come up with something new. The brand is already well-known, and the business plan has been developed and tested over the years. Anyone can try such a business by choosing a suitable franchise. When purchasing, you need to remember the location of the outlet, so that there are many potential customers in your city and the establishment makes a profit.
Franchise "Tatar pies". What investments are needed?
Total investment 200,000-350,000 rubles. All this money goes to:
Lump sum payment 99-150 thousand.
Purchase of necessary equipment 15-50 thousand.
Purchase of furniture 15-70 thousand.
Purchase of cash register equipment 10-20 thousand.
For the first order 15-30 thousand.
It is possible to open a Tatar Pies franchise only in Moscow and the Moscow region. This company has no royalties, and the payback period for this franchise is two months.
There are two training options:
1.Economy 99,000 rub.
2.Standard 150,000 rub.
The franchisor's responsibilities include:
Development of room design for a future bakery;
Promotion of a new point;
Territorial manager services;
Training of all personnel and internship;
Advanced training courses.
The room can be of two types. A small pavilion in passages, subways and other crowded places, or a full-fledged store. The pavilion requires a room with an area of 3.5-7 sq.m. For a store 7-12 sq.m.
Bakery "Tatar Pies"
All Tatar Pies franchises belong to the LLC Nutrition Technologies company. The bakery is just the name of the eatery. In fact, the store does not bake flour products on site, but regularly delivers fresh pies and buns. Such eateries have already become famous in Moscow and have acquired their own fans. The unusualness and originality of such delicacies lies in the fact that they are made exclusively according to Tatar traditions and technologies. The assortment includes large and small pies, simple and beautifully decorated for some festive feast, pies with a variety of fillings, buns, cakes, and bread. All products are delivered almost daily and sell out very quickly. Buyers like the taste of these products and the satiety of these products. And most importantly, they are prepared by the hands of experienced bakers.
Entrepreneurs have one very interesting trick. If you call an enterprise or a store, a music school, or anything else, any country. For example, “French sweets”, “Italian wine”, then the turnover in an establishment with such a sign will be much greater. This is because people perceive such a name as a guarantee of the highest quality. This does not mean at all that a person has never tried French sweets, that he wants to try them. Perhaps French sweets are worse than our Russian “Red October”, but the very fact that the brand is under a foreign name makes you go to the “French Sweets” store, and not to the usual “Candy” store. This works in the same way in other countries, even if in France they open a store with the sign “Russian candies”.
Ready-made business in the real sector of the economy. The complex of their production workshops, ordering services and retail outlets. Entering an almost empty niche of national Russian cuisine.
Format of OSPIROGI.RU stores
- Delivery (online store)
- Cafe-bakery
Franchise offer from bakery OSPIROGI.RU
The first franchisee receives a lump sum payment of 500,000 rubles
Investments required to open a bakery OSPIROGI.RU
Starting investments: 2,000,000 rubles
Payback period: 10 months.
Turnover per month: from 229,000 rubles.
Royalty: fixed fee.
Lump sum fee: 500,000 rubles.
- Brandbook of the company,
- Business complex:
- production workshop, delivery service, and call center. control
- More than 200 products
- Free staff training
Send a request
Success stories of bakery OSPIROGI.RU
Our company has been on the market since 2004, we are the first company to launch the production of Ossetian pies in Moscow! Specifically, the OSPIROGI.RU brand has existed since 2011, over these years we have managed to establish our brand as a reliable manufacturer of ready-made food products on the market of Moscow and the Moscow region.
Traditional food can be turned into a profitable business. Networks delivering Italian pizza and Japanese sushi have already spread throughout Russia. Does franchising favor pies? And what are the prospects for networks working with this product?
In the CIS countries, pies are always in demand. They still appear at festive and everyday feasts, and recently office workers, tired of pizza and rolls, choose pies for business lunches and corporate events. According to the Restcon company, in 2012 pies accounted for 10% of the entire Russian food delivery market. However, only a few have so far succeeded in building franchise networks known mainly for their pies.
Pie franchises today are best represented in Moscow. The only exceptions, perhaps, are the Stolle chain, which has made its way far beyond Russia, and a bakery originally from Izhevsk. However, you can buy a pie franchise in the areas of baking, sales, and delivery. Let's look at the features of working with each option.
Bakery
Many people expect that they can make money by baking pies by opening a bakery at home. You can bake pies to order at home yourself, which reduces the cost of business, because you don’t need to pay for the work of chefs, rent premises, or purchase special equipment.
But such a business usually has a rather narrow distribution channel, production volumes are small, and therefore the turnover is corresponding. A more profitable option for a pies business could be opening a full-fledged bakery. Production volumes are larger than in the case of a home bakery, but startup costs also increase.
Before opening a mini-bakery from scratch or as a franchise, you need to choose a suitable premises. It should be located in such a place that it is convenient to reach it from anywhere in the city. It is advisable to provide parking next to the premises. It is important that the bakery is located in an area with high foot traffic.
If you choose the wrong premises, you risk not recouping the opening costs
This happened with some franchisees of the Tatar Pies company: “We help our franchisees at all stages of opening, including choosing a location. But there are those who come having already paid the rent. In this case, the location is often chosen incorrectly. In such cases, franchisees open at their own peril and risk, but often never make a profit.”
But in the case of premises, it’s not only a matter of good location, but also the requirements of the SES. The premises for the bakery should not be a basement, the walls should be tiled and the ceiling should be whitewashed. You also cannot do without hot water supply, ventilation and at least a small warehouse. In addition to the premises, you will also need special equipment for the production, storage and sale of products, as well as personnel: 4 bakers, 2 cashiers, a cleaner.
But that's not all. You will have to register your business with Rospotrebnadzor and the tax authorities, prepare contracts for the removal of solid waste, negotiate with medical institutions about medical examinations of employees and prepare their personal medical records. For ventilation and air conditioning systems, you will also have to prepare special passports.
The bakery as a business has one feature - it will only allow it to reach a limited number of people working, living or vacationing nearby. To attract more customers, you can start delivering pies.
Pie delivery
The majority of franchise offers are concentrated in the delivery segment. This format is popular among businessmen because of the successful balance of investments and profits. The creator of the Rumyantsev chain, Nikolai Pavlov, says: “The customer coverage of delivery is disproportionately greater than that of a regular bakery or pie cafe. This means that business is absolutely independent of the number of seats.”
In addition, by opening a bakery that will only work for delivery, you can save a little on rent, for example, by choosing a premises far from the center or busy streets. True, it is worth preparing for the fact that about 15-20% of all expenses will go to logistics. In the case of delivery, it is very important to organize work on receiving and processing orders. It is advisable to prepare several channels for receiving delivery orders, for example, website, telephone and mobile application.
Pie cafes
A pie franchise is already an application for the restaurant business. And that means corresponding investments. At the same time, the market niche is quite narrow, and there are few players in it. The most famous of all pie cafe franchises is the Stolle chain. It is most widely represented in Russia, as well as Ukraine and Belarus. In 2015, Stolle establishments opened in London and New York.
But even such a large chain could not do without a delivery service. It is on this that Stolle makes more than 50% of its revenue. The main income from delivery is also received by another network of pie cafes operating under franchising - “Pirogovaya Rogova”, well known to Muscovites.
Selling pies in a cafe is more of a tasting. The main income comes from delivery
If we talk about competition in the pies market, then in most Russian cities there is no shortage of pies. Almost everyone bakes: hypermarkets, private bakeries and small bakeries, cafes. Therefore, it is important to stand out from them. For example, the Stolle chain, so to speak, is focused on the premium segment. Anna, a Stolle franchisee in Krasnodar, says: “We make money mainly by delivering pies to large companies. The clients are respectable people who will not eat products of unknown quality in a nameless cheburek shop.”
Franchising cooperation with a network of pie cafes is interesting primarily because the franchisor not only transfers all production technologies, but also teaches how to run a business. And in the case of Stolle, you also get the most famous brand on the Russian pie market.
It is important to note that in pie cafes, about 70% of orders are taken away. Therefore, for those who have little initial capital, it makes sense to pay attention to franchises of pie sales points.
Selling pies
A franchise for selling pies will allow you to avoid all the difficulties associated with organizing production. The Tatar Pies franchise network operates according to this scheme, which is currently represented only in Moscow.
Products at the Tatar Pies sales points are supplied from the central bakery; the franchisee’s job is to open a small sales area and hire a salesperson. But the simplicity of this business is deceptive. In addition to the danger of choosing the wrong premises for a business, other pitfalls await a novice businessman. The Tatar Pies network says that franchisees sometimes make mistakes that cost them business: “Young businessmen often do not monitor the work of sellers and end up deceived. Another common mistake is the lack of change in the cash register. Many people forget to order products in a timely manner, and during the most active human traffic, the display case turns out to be empty.”
The rights to the TM “Tatar Pies” belong to LLC “Nutrition Technologies”, the age of the company is not advertised. The network is widespread in Moscow and the areas closest to the capital; 60 franchise points have been opened, with the launch of five more in the near future. Products: baked goods based on national recipes, white bread and pies, bread and desserts, hot and cold drinks. The franchisor himself provides production and delivery from the bakery, the partners are engaged only in trade.
Investments, payback
The “Tatar Pies” franchise will cost those wishing to start a fast food business in the amount of 99 thousand to 150 thousand rubles. lump sum fee, plus start-up costs.
- equipment costs 15 thousand - 50 thousand rubles.
- furniture (for cafes) 15 – 70 thousand rubles.
- cash register equipment 10 – 20 thousand rubles.
- advertising expenses 15 – 50 thousand rubles.
- ordering products 20 – 30 thousand rubles.
In total, the total investment amount ranges from 200,000 to 350,000 rubles, not taking into account the cost of renting retail space. Undoubted advantages - no royalties, payback of the project from three to six months. The franchisor promises the owners 35-40% profit from turnover, but specifies that the outlet must be well located and the company’s standards must be met.
Franchise benefits
- In-demand products, recognizable brand.
- No need for a kitchen - fewer hassles with certification and lower costs.
- Products ready for sale, a large assortment of baked goods, compliance with GOST at all stages of production
- Requirements for area 3.5 - 12 sq. meters.
- Simple ways to expand and grow your business.
- Possibility to choose conditions: “Economy” package with a lump-sum payment of 99,000 rubles, “Standard” package 150,000 rubles. It requires approximately the same expenses, but the concept of the cafe is different. The purchase will cost many times more.
The company provides, depending on the start option:
- Design project, corporate identity of the point of sale and personnel.
- Promoter and leaflets.
- Territory manager support.
- Personnel training with internship at company locations.
- Seminars for franchisees.
- Recommendations for work and consultations with specialists.
- Additional motivation, bonuses up to 10% of sales.
Premises requirements: for a mini-pavilion you need an area of 3.5 – 7 square meters. m., for a store 7 - 12 sq. meters. It is strongly recommended to place retail outlets near large transport interchanges, railway and metro stations, and in large shopping and entertainment complexes. Target audience: teenagers, young people, office workers, city guests.
What else do partners get?
- The right to use the trademark “Tatar pies”.
- Access to data on suppliers (furniture, advertising, vading).
- Marketing developments.
- Project and plan of the future store.
- Consultations with a business development manager regarding the location of a retail outlet.
The company does not provide ready-made business plans; the franchisee himself assesses the risks, the level of possible sales and profits, but the brand owner is ready to share experience and statistics.
Reviews from partners and clients
Franchise “Tatar Pies” - reviews are divided exactly in half, with clients and business owners surprisingly unanimously, even in the same expressions, praising and scolding the franchisor and the pies. Completely polar groups express their opinions, from fans of hot whites (there are more than 15 options on the pies menu) to irreconcilable fighters against national fast food. Touching revelations from young housewives, such as “I didn’t eat it myself, I’ll bring it home for tea - my husband loves prune filling,” and “a nightmare, I got gastritis.” How is it with the classics - they scold it, so it means “it’s a good thing, you should take it”? At least, there are definitely no indifferent people among the clientele of Tatar Pies.
The relationship of the franchisee to the business is quite predictable: those who receive the declared profit are actively expanding the business, are satisfied with the result and recommend others to buy the franchise, while the “burnt out” ones complain about the indifference of the brand owner to their problems, inconsistencies with supplies and are already tired of eating pies at their own expense. Some manage to make an excellent profit in the first days, even above the plan, but then sales begin to fall and go into the loss zone; absolutely everyone is silent about the real reasons, but again they blame the franchisor. Perhaps the complaints about product delivery are similar to the truth - baked goods are delivered later than the stated time, and problems with forecasting assortment demand - products not sold by the end of the day have to be either disposed of personally, which is bad for the waist, or simply thrown away.
Beginning entrepreneurs planning to buy a franchise must immediately be aware: the franchisor is not responsible for the success of the partners, he only provides the opportunity to develop their own business based on proven principles. “Tatar Pies” offers only two basic points of the business development concept: a good location of the outlet and strict compliance with the exact standards - read in the contract.
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