Rasna is Franchising India’s First Mocktail Bar, Rasna Buzz

Sneha Santra
Sneha Santra Jun 28 2019 - 4 min read
Rasna is Franchising India’s First Mocktail Bar, Rasna Buzz
In conversation with Franchise India, Gagan Anand, Head of Operations (Rasna Buzz), FranGlobal, shared some details about the brand, consumer trends and expansion plans.

Conceptualised merely 5 months back, popular children's brand Rasna started its compact mocktail brand, Rasna Buzz. The brand has now signed up almost 40 units in India and is expanding rapidly.

In conversation with Franchise India, Gagan Anand, Head of Operations - Rasna Buzz, FranGlobal, shared some details about the brand, consumer trends and expansion plans.

A“Buzz”ing Concept

Rasna is trying to innovate and trying to bring some new things into the market, and introduction of the Rasna Buzz, a mocktail bar, is one such initiative. The USP of Rasna Buzz is that they aren’t limiting themselves to mocktails only, but will also have milkshakes, smoothies, apart from various food items such as French fries, burgers, sandwiches, etc in their menu.

Rasna is an iconic brand in the beverage segment, which is why there was a thought of cashing onto its popularity and consumer base to start something new in the beverage market.

Anand, said, “Since 90% of the people in India are already aware of the brand, so we don't need to put much effort in introducing ourselves in the market, so we thought to take advantage of the same and came up with Rasna Buzz.”

The Journey

The brand has got a tremendous response from the customers as they have already signed up 40 franchises in the last 5 months. Rasna, being a famous brand, has an added advantage because of the brand name.

 “We are getting numerous franchise queries. Whosoever is hearing about Rasna starting a mocktail bar, is interested in taking the franchise. They are keen to know about the business and the segment,” stated, Anand.

A Low-cost Business Opportunity

Rasna Buzz was started with the idea of offering low-cost business opportunity to aspiring entrepreneurs.

Anand, explained, “Let’s take, for instance,  someone has a budget of 15-20 lakhs and wants to start his own business, can sign up for a Rasna Buzz franchise and enjoy great profit margins.

“Owing to our reasonable products on the menu, we are targeting all the market segments like tier I, II & III. Our products like Tapri Chai & Banta Bottle starts from INR 49, so a consumer having a budget on INR 100 can come & enjoy in our outlets. Hence, due to the pricing factor, our business model is viable in almost every market segment, increasing our expansions rates,” he added.

Emerging Consumer Trends

Consumers are the heart & soul of any business. Hence, it is important to take note of the consumer’s needs, desires, behaviour pattern. For Rasna Buzz, the millennial have been the driving force of their mocktail bar.

“Millennials are more aware of the mocktail concept, and are the driving factor behind Rasna Buzz,” commented Anand.

However, only targeting millennials isn’t a good business move. An F&B business should have something for everyone.

“We are not limiting ourselves by targeting only the younger population as we have seen customers from an older generation visiting our stores and enjoying the products. We have a variety of teas, which are mostly preferred by older people. We also have sugar-free offerings in our menu for diabetic people or those who prefer less sugar. So, you can say that we have something for everyone visiting our stores,” he asserted.

Business Model

Rasna Buzz offers a franchise in two different formats; kiosks and stand-alone outlets. The investment required for a kiosk franchise ranges from 15-20 Lakhs with area requirement starting from 100 sq. ft. The preferable location for a kiosk would be malls or high-street areas.

For stand-alone stores, the area requirement ranges from 300-500 sq. ft. The investment goes up to 25-35 lakhs. The profit margin, including the operational expenses, would be 30%. 

Rasna Buzz is actively seeking franchisees and is planning to open 300 stores by the end of 2021.

Anand adds, “We have opened up two stores this month in Pune and will be opening 10 more stores Mumbai, Kanpur, Hyderabad, and Delhi-NCR.”

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