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BACKGROUND STORY

Kabir Jeet Singh, in 2007 was a management student who was pursuing his MBA, Masters in
Business Administration, degree from University of Birmingham, UK.

As an overseas Indian student, he worked at a burger outlet during the night shift for his day to day
needs. At the end of his shift, he used to get a free burger but as he grew uninterested in eating those
tasteless burgers which did not have much flavours he therefore decided to experiment with the
foreign burger by adding Indian spices and flavours thereto.

Soon after, the proprietor of the burger outlet learned of Singh's unique burger's popularity and added
it to the burger outlet's menu. Singh's original and unique burger was an immediate hit with the british
customers, earning him the nickname “Burger Singh” and it was then that the concept for the
enterprise was formed.

INDUSTRY ANALYSIS

PORTERS 5 FORCE ANALYSIS

Competition in the Industry


The industry rivalry is huge with players like Mcdonalds, KFC, Burger King, Wendys etc. Burger
Singh, India's domestic burger business, has seen a 400 percent growth in income in the previous year
2020-21 . In less than a year, the brand has expanded from 23 locations in 10 cities to 50 locations in
20 cities.

Threat of New Entrant


The food business is a capital intensive business and requires huge amount of investment in
operations, technology and quality control. Burger Singh in a short span of time has become one of
the fastest-growing fast-food brands; it was founded in 2014. Customers trusted their reputation and
the quality of food and materials they utilised. So, if new entrants wish to join and compete with
Burger Singh, acquire market share, and challenge them, it will be extremely difficult. Burger Singh is
a franchised business. If you want to enter the industry, you must have a large amount of funds to
invest as well as highly advanced patented technologies. Because of these specialised assets and the
high cost of departure, it is extremely difficult for you to enter and quit the fast food business.

Threat of Substitute
There are several options and the switching cost is inexpensive. Customers have an easier time
selecting items from McDonald's, KFC, and Wendy's Burger. They may also manufacture things that
are extremely comparable, such as Veg Burger, Chicken Burger, French Fries, dessert, and so on.
McDonald's also sells burgers for low and throwaway costs. Customers can easily alter their minds
and elect to buy the rivals' replacements to meet their wants. But, once again, Burger Singh has taken
care of replacements by targeting the youthful audience with penetration pricing and strong
marketing.
Bargaining power of Suppliers
The Supplier threat is low as there are many suppliers in the market who supplier ranges of raw
materials required for the fast food industry such as vegetables, meat, dairy products, packaging goods
etc.

Bargaining Power of Buyer


Buyers have a high bargaining power as there are multiple players in the fast food industry and people
can switch from one brand to another with little to no additional cost incurred.

Competitors in the Market

 Wendys
 Mcdonalds
 KFC
 Burger King
 Subway
 Other fast food chains

INITIAL JOURNEY

Kabir Jeet Singh took a job in normal commodities trading in the UK after finishing his MBA, but the
notion of Burger Singh's company never left his head.
Because understanding the Indian market from the UK was impossible, Kabir Jeet Singh returned to
India in 2011 and then joined Beer Cafe company, an Indian beverages company, to learn about the
quick service restaurant (QSR) system and the retail environment in the Indian market.
Kabir Jeet Singh worked for Beer Cafe for a few years before opening his first Burger Singh outlet
with a 30-lakh investment. It was a 98 square feet store on Golf Course Road in Gurugram, NCR. He
started this with the support of his friend Nitin Rana. Burger Singh was the first to try putting an
Indian spin on a burger, which was still considered an American cuisine in India at the time.
While other companies focused on selling the same traditional burger, Burger Singh focused on
offering Indian tastes in a visually appealing burger style to appeal to Indian palates. This was the
venture's USP, and it became successful in a short period of time.
The company serves burgers including ‘Kabir's Bihari Gosht Burger, Rajma Burger, and United
States of Punjab Burger, Chana Burger’, which reflect the cuisines of all Indian states. Singh creates,
tests, and approves every recipe.
Another added advantage was the quick delivery system that gave them an upper edge over its
competitors.
BECOMING A SUCCESSFUL BUSINESS VENTURE

Burger Singh instantly appealed to the Indian clients, and the first location achieved cash breakeven
sales in 2 months. Burger Singh's goods were well-received in the Indian market, and they were had
to close their business beyond a certain hour on weekends.

Within two months, the outlets were well-known through idle talk, and the return rate of clients was
so high that sales increased from 25 to 60 transactions during the week, and from 35 to 100
transactions during the weekend. The expanding popularity and demand cleared the way for the
establishment of several stores around the country and overseas.

Burger Singh now has 50 outlets, twenty of them are in NCR, two are in Dehradun, one in Pune and 2
in Jaipur and the latest one was opened in Moradabad. The restaurant brand has many franchisees, out
of which one is in Nagpur Maharashtra and two of them are in London. Burger Singh has a yearly
revenue of Rs 26 crore.

CHALLENGES AND COMPETITION

Unlike the western countries where the fast-food chains major percentage of revenue comes from a
single or two items, in case of India the menu needs to be continuously change and have a broader
menu to appeal to the broader masses and compete with other big players like McDonalds, KFC,
Burger King etc.
Burger Singh had faced legal issue s as well where one vendor in Ludhiana was using the company’s
name which then had to be changed as Burger Singh one the lawsuit.

SWOT ANALYSIS

Strengths
Aside from burgers, the firm uses a diverse product range, including French fries, chicken and paneer
items, beverages, and desserts. This organisation, like McDonalds, has a strong brand. It is well-
known in the areas where it has its outlets and it acquires customers through its advertising and
marketing activities. Franchisees own more than 60% of Burger Singh locations. This method has
enabled the organisation in focusing on incorporating new menus on a regular basis rather than
worrying about cash and financing possibilities.

Weakness
People's consumption of burgers and other fast-food products is declining as a result of growing
health consciousness. Another problem of Burger Singh is that it is a tiny firm in comparison to
McDonald's and Burger King. It lacks the money and financial resources to compete with these major
competitors. Despite having entered the Delhi NCR region, it still has a long way to go before
becoming a household name.

Opportunity
Because of its localised flavour and manufacture, the company can extend its business in emerging
and new regions where the larger competitors cannot reach. -ingredients it employs Furthermore, the
corporation might enter a new food category with healthy food products, fruit juices, and shakes.

Threats
One of the greatest dangers in the fast food sector is fierce rivalry. Burger Singh is up against a slew
of domestic and international competitors in the sector. KFC, Dominos, McDonalds, and Subway are
a few examples. Burger King's government promotes health awareness via different initiatives, so that
people prefer to eat food items that are not harmful to their health. Aside from that, increases in raw
material prices may have an influence on Burger Singh's company operations. Food prices are rising
faster than the general rate of inflation, leading to a loss of profit.

MARKET STRATEGY

Burger Singh's current franchise partners have opened second and third locations in the majority of
markets. This demonstrates that they are performing well in their respective markets. As a result,
whenever they have the choice of going with a franchisee, they do so. Because the investor invests
funds, the franchisee model is a major hit in Food Chain outlets. He invests money, obtains the brand
name, and pays franchisee fees and royalties in exchange. Most of the money goes to the franchisee,
with a little percentage going to the brand. Because it saves time and money, the Franchisee Model is
used in Market Expansion in such firms.

Burger Singh is
targeting the people on
the basis of
demographic
characteristics and
targeting the children
and youth generation
as being low
priced they are easily
affordable to students
from their pocket money
also. In
addition to this, it is
focusing on the
geographic characteristics
also and searching
for a strategic location to
introduce its new
franchise. Under its target
market
strategy, Burger Singh is
targeting the people, who
prefer QSR model.
Burger Singh is targeting individuals based on demographic features, specifically children and
the youth generation, because its products are low-cost and easily available to students using their
own money. In addition, it is focused on regional qualities and looking for a suitable place to launch
its new business. Burger Singh's target market approach focuses on customers who prefer the
QSR format.

MARKETING MIX

Products
Burger Singh offers the following products

 Burgers (Veg and Non-Veg)


 Beverage
 Combo Meals
 Dessert

Price
The pricing strategy of Burger Singh is based on market penetration where it prices its burger at low
affordable rates compared to its competitors in order to increase its market share.
Place
Burger Singh's goods and services are available at its culinary establishments throughout India and in
Dubai. It employs efficient distribution channels. The key channels via which the firm positions its
products are as follows: the company's mobile app, restaurants, the company's website, and a food
aggregator app. People may use the company's mobile application and other meal ordering apps to
look at the many coupons for discounts and other special deals. They may also place their purchase
using the company's official website. The company performs home deliveries by accepting orders
from this website.
Promotion
It uses social media and TV for its marketing campaigns. It does its promotion through online food
aggregators as well such as Swiggy and Zomato.

CURRENT STATE OF THE BUSINESS

It was hit by Covid, but Burger Singh had reported a 400 percent increase in its total revenue in 2021
and currently has 50 outlets across India
place, which the entities utilize to make transactions with the customers in target
market. It is using effective distribution channels. The major ways, through which
the company is positioning its products, are; like; mobile app of the company,
restaurants, website of company, E-commerce sites. People can use company’s
mobile application and E-Commerce sites to look at the different coupons for
discounts and some other special offers. In addition, they can place their order on
official website of the company. By taking the orders from this website, the firm
can do the home deliveries. Under this part of marketing mix tool, Burger Singh
majorly focuses on improving the physical existence of its fast food outlets.
P
The company opened its first store in Gurugram in 2014, and since then, the chain has expanded
rapidly across India, with locations in cities such as Delhi NCR, Jaipur, Lucknow, Jammu, Dehradun,
Nagpur, Jhansi, Ahmedabad, Amritsar, Chandigarh and another 12 franchises under construction
across the country.

FUTURE OF THE BUSINESS

The company plans to open another 75 outlets across India and eighteen (18) outlets in the United
Kingdom (UK) in another 3 years of time. It already has business in UK with three (3) outlets and
food trucks and franchisee partner plans will take this number to the desired 18 outlets.
The company sees a great potential in tier 2 and tier 3 cities in India and currently offers 3 franchise
model through Dine-in, Mini and takeout.

REFERENCES

https://edtimes.in/started-in-a-98-sq-ft-shop-with-rs-30l-burger-singh-has-grown-to-28-outlets-with-
a-turnover-of-rs-26-crores-competing-with-global-chain-burger-king/
https://www.indiaretailing.com/2020/01/21/food/food-service/burger-singh-to-open-66-franchise-
outlets-in-the-next-2-years/
https://www.studocu.com/in/document/srm-institute-of-science-and-technology/master-of-business-
administration/burger-singh-marketing-strategy/8189106

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