Thursday, June 20, 2024
HomeApparel FranchiseStart a PUMA Franchise in India - Cost, Fee, & Profit

Start a PUMA Franchise in India – Cost, Fee, & Profit

Imagine owning a brand that carries a legacy of nearly seven decades that not only brings up a great margin, higher customer foot traffic, and regular cash flow for their franchise owner but also doesn’t require a huge investment.

Obviously, from the title itself, you may have an idea about the brand. Yes, we are going to discuss in depth about the PUMA franchise in India. India’s footwear and apparel market is still unpenetrated and dominated by unorganized players.

Having access to the growing premium footwear demand can only be possible through obtaining a license or franchise for a few international brands, and in this scenario, PUMA takes the lead.

  • Floor area: minimum 1000 sq. ft
  • Est. cost to setup outlet: Rs. 10 lacs – Rs. 20 lacs
  • Initial Inventory : Rs. 15lacs – Rs. 20 lacs
  • Additional Funds: Rs. 10 lacs
  • Agreement Period: 5 Years
  • Profit Margin: 20–30% on each sale
  • Net Worth: Rs. 2 crore
  • Available Liquidity: Rs. 1 Cr
  • Total Initial Investment: Rs. 50 lacs – Rs. 1 crore

Overview of PUMA Franchise

Puma franchise opportunities

Founded in 1948 in Herzogenaurach, Germany, by Rudolf Dassler, Puma is one of the third-largest sportswear manufacturers in the world. The chain has been popularly known for offering a range of casual footwear and apparel products for men and women.

Having a strong worldwide distribution network, 1000+ exclusive showrooms, and more than 10,000+ multi-brand outlets across the global and domestic markets has enabled the chain to become one of the highly recommended and No. 1 sportswear brands in India (PUMA entered the Indian market in 2006).

The chain has been continuously improving the quality of distribution, which has allowed them to expand their presence in leading sports performance and sport style accounts across the world.

PUMA has also strengthened relationships with their retailers by being a flexible and service-oriented business partner.

Quick Snapshot:

PUMA has been experiencing strong demand and continuously expanding its reach to several countries through numerous channels. According to its financial report, PUMA has given strong sales growth, exhibiting a CAGR growth of 12.3% from 2015 to 2021.

PUMA Sales growth worldwide

Enough about its background; now come to its real picture.

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Key facts on PUMA

Sr No.TypePrivate
1Trade NamePUMA
2IndustryTextile and Footwear
4Founders Or Parent CompanyRudolf Dassler
5Corporate HeadquartersHerzogenaurach, Germany
6Number of locations1000+ exclusive showrooms,
and 10,000+ multi-brand outlets
7Area servedAcross the Globe
9Services offering footwear and apparel products
10RevenueUS $6.8 Billion( FY21)

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Why consider owning a Puma franchise?

Why to Choose a PUMA Franchise

Well, there could be several reasons to own a PUMA outlet in your city. But why choose only PUMA? When we have other options such as Red Tape, Bata, Relaxo, and other chains. Let’s check out some of its promising features.

  1. Established Brand:
    • There could be several emerging footwear or apparel brands, but PUMA is one such brand that doesn’t need any introduction to anyone.
      • That’s their brand image and value. After becoming a franchise owner of a PUMA outlet, one may leverage PUMA’s pre-established brand image.
  2. Targeted Customer:
    • PUMA does know: Who are their primary or targeted customers? It allows the chain to market and advertise products to its main customers, ultimately making it a profitable franchise opportunity for interested candidates.
  3. Premium products and brands in each category:
    • The franchise offers a range of premium footwear and apparel products without compromising on its quality standards. It helped the chain become the leading brand in the industry.
  4. Profitable opportunity with moderate investment:
    • To become a PUMA outlet holder, one may need to have an initial investment of over Rs. 50 lakh to Rs. 1 crore for a floor area of over 1000 sq. ft.
  5. Immense demand and limited opportunity:
    • India has a lot of demand for fashion and apparel franchises, but a limited number of opportunities require you to make quick decisions with a long-term perspective.
  6. Rapid digitization:
    • PUMA has been continuously and extensively working on the multiple online channels to market and sell their products. Recently, they launched the first-ever PUMA Shopping app in India and other countries as well.

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How much does a PUMA franchise cost in India?

PUMA Franchise cost in India

The initial investment for a Puma retail outlet may possibly vary depending on the model and location you plan to choose.

Usually, potential franchisees plan to open one of their outlets in a shopping mall or in a retail space located in a high-traffic area, which eventually draws more foot traffic.

In either case, the initial investment for opening a PUMA franchise may range from ₹50 lakh to ₹1 crore. The majority of capital is poured into inventory and store planning and buildup.

Cost breakdown for PUMA outlet

Types of FeesCost and Its description
Floor areaMinimum 1000 sq. ft
Est. cost to setup outlet₹10 lakh – ₹20 lakh
Initial Inventory₹15 lakh – ₹20 lakh
Additional Funds₹10 lakh
Agreement Period5 Years
Profit Margin20-30% on each sale
Net Worth₹2 crore
Available Liquidity₹1 crore
Total Initial Investment₹50 lakh – ₹1 crore

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Is PUMA Franchise Profitable?

Is PUMA Franchise profitable

The profitability of any franchise or business is one of the most searched parameters on the internet. However, after becoming a PUMA outlet owner, one may certainly churn out the perks of being associated with a renowned chain.

Find the perfect location, either in the city center, a hypermarket, or a super mall, and enjoy a good monthly income.

Puma is certainly a renowned footwear and apparel brand, and with its fabulous and exceptional range and great marketing tactics, it has expanded its presence across the country.

According to our discussion with a few PUMA franchise owners, it was quoted that they were generating over 25–30% of the net margin on a monthly basis. An outlet located in a high-traffic area was able to generate an average sales of nearly ₹10 lakh to ₹15 lakh.

Therefore, based on these figures, you can certainly earn a monthly takeaway of approximately over 1.5 lakh to 2.5 lakhs.

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Requirements to own a PUMA Outlet

  1. The potential candidates should be aware of the footwear and apparel industries. Additionally, they should have some relevant industry experience (though it’s not necessary).
  2. You must possess the required customer-dealing expertise and should be a strong team player.
  3. Be capable enough to invest the required capital, which could potentially go beyond ₹50 lakh.

How to Get PUMA franchise?

Interested prospects can take up this franchise and start their entrepreneurial journey once they meet the PUMA factory outlet franchise requirement and the brand finds them as one of the perfect candidates for outlet owners.

Nevertheless, to become a PUMA partner, please visit their official website and fill in the required details on the contact us page.

Or, if necessary, you may also contact them using the below mentioned details;

PUMA Customer support Number: 080 3535 3535 (Mention to them that you need to check out the franchise, and they will provide you with the concerned person’s contact details.)

The Editor’s Thought

India’s economy is booming, and several international brands are now ready to foray and capture market share in their particular industry. Puma is certainly a prominent player in the footwear and apparel sectors.

It has more than 350 franchise partners across the country and is ready to partner with potential entrepreneurs.

The initial investment for the PUMA outlet may be approximately ₹50 lakh and could potentially go beyond that. With this capital and better outlet placement, you may expect a net profit margin of 20–30%.

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  1. How much does it cost to start a PUMA franchise?

    To become an approved PUMA Outlet Partner, one would at least require an initial investment of ₹50 lakh to ₹1 crore. There are some other cost involved and a few of them are listed below:

    Floor area: minimum 1000 sq. ft
    Est. cost to setup outlet: Rs. 10 lakh – Rs. 20 lakh
    Additional Funds: Rs. 10 lakh
    Agreement Period: 5 Years
    Profit Margin: 20–30% on each sale
    Net Worth: Rs. 2 crore
    Available Liquidity: Rs. 1 Cr
    Total Initial Investment: Rs. 50 lakh – Rs. 1 crore

  2. How much does a PUMA Factory outlet franchise make?

    If the outlet location have been chosen perfectly and has immense customer footfall, then it may turn out to be a profitable venture, and one may anticipate a profit margin of 20-30%.

FranchiseGoal India
FranchiseGoal India
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