99 Pancakes, the renowned pancake brand, is making bold strides in its expansion plans. According to the Founder, Vikesh Shah, the company has set its sights on opening 50 new stores this fiscal year. This significant endeavor will catapult the brand’s total store count to an impressive 90.
To facilitate its ambitious expansion plans, 99 Pancakes is prepared to make a substantial investment of approximately INR 15-16 crore. With this financial commitment, the brand aims to enter new markets, including the bustling city of Delhi. This strategic move is expected to enhance 99 Pancakes’ presence and attract a wider customer base.
“99 Pancakes reached around 70 stores within a time span of 2 years and expanded its reach to around 15 cities, however, Covid changed the game. We had to rethink our strategy and we started venturing into bigger stores from 150-200 sq.ft. to 600-800 sq.ft. stores and even stopped franchising,” he said.
“At present, 99 Pancakes has 42 stores spread across 12 cities and out of these, 22 stores are company-owned and company-operated stores,” he added.
Presently, 99 Pancakes has established a strong presence in prominent tier I and II cities such as Mumbai, Varanasi, Surat, and Raipur, among others. These locations have served as the foundation for the brand’s success. Moreover, 99 Pancakes operates two central hubs, strategically located in Mumbai and Hyderabad, which efficiently support its operations and ensure smooth distribution across its network of stores.
Looking ahead, the brand has set its sights on expanding its presence in tier II cities. Its strategic plan involves the opening of 10-12 stores in each city.
“Most of our stores will be opening on the high-streets,” he said.
Additionally, the brand intends to raise funds, allocating 20 percent of the funds specifically for opening new stores. The remaining portion of the funds will be utilized to establish hubs in different cities, including Bengaluru, Delhi, and Hyderabad, as well as for marketing purposes.
In the upcoming fiscal year, the brand has its sights set on opening additional hubs in cities such as Chennai and Kolkata. The estimated average cost to establish a new hub is approximately INR 1 crore.
In addition to its expansion plans, the brand is preparing to enter the FMCG (Fast-Moving Consumer Goods) sector by introducing pancake and waffle premixes as well as brownie brittles.
“We will be launching these products at our stores first and then we will be taking them online and to the supermarkets,” he stated.
The pancake brand achieved a revenue of INR 15 crore in the previous fiscal year, and we are determined to double our success this year. Our goal is to reach a revenue of INR 30 crore in the current fiscal year.
“At present, we have a presence in international markets like Australia and Melbourne and we are eyeing to turn EBITDA positive by this fiscal end,” he added.